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Tag Archives: Forming a WFOE

The Basics On Doing Business In China. Big Risks, Bigger Rewards?

Posted in Basics of China Business Law, Legal News

Just read a CNN article entitled, China offers big risk, bigger reward.  The article quotes me and a nice range of other attorneys on what it takes for foreign companies to succeed in doing business in China — from a legal perspective.  I really like the article, but I have a beef with its title. If… Continue Reading

Hiring “Independent Contractors” In China. Don’t Do It.

Posted in Basics of China Business Law, China Business, Legal News

We spoke with a software company the other day that has nearly fifteen “independent contractors” in China, who it views as “part of the corporate family.”  This company was contacting us to see about forming a WFOE in China.  They told me that they were not in any rush. The first thing I did was… Continue Reading

How To Start A Business In China. The Minimum Capital Requirements For A WFOE, Part II — The Goldilocks Rule

Posted in Basics of China Business Law, Legal News

Companies seeking to form a WFOE in China are often confused about Chinese law regarding the minimum registered capital requirements for forming a WFOE.  Part of the confusion stems from disreputable entity formation companies that encourage their hiring by claiming they know exactly how much will be required and that they have the ability to… Continue Reading

Hiring A Chinese Employee Without A China Company. Good Luck With That. Part II.

Posted in Legal News

A couple of years ago, we did a post on the difficulties in using “independent contractors” in China, entitled, Hiring A Chinese Employee Without A Chinese Entity. Good Luck With That. We wrote that post (and this post too) because forming a WFOE in China can be so difficult, expensive, and time-consuming, and because so many companies are… Continue Reading

Getting Your WFOE Approved In China. What It Really Takes.

Posted in Recommended Reading

The United States Chamber of Commerce recently came out with a report comprehensively detailing what it takes to get a foreign investment approved in China.  I started skimming it, but stopped becuase it caused a sinking feeling in my stomach as it hit too close to home. But for anyone wondering why it takes so damn much… Continue Reading

China Movie Co-Productions. They’re Tightening In A Sign Of Things That Have Come

Posted in China Film Industry

One of the things we are always writing about and always trying to get a handle on is what the attitude is in China towards foreign investment.  That attitude is never static for long, always shifting with the economy and sometimes shifting due to other factors such as politics. We are in the midst of… Continue Reading

Leasing Space In China For A Creative Industry WFOE – Renter Beware

Posted in Legal News

If you’re in a creative industry like graphic design or filmmaking or advertising, you want a suitable space for your China WFOE (Wholly Foreign Owned Entity). A sea of cubicles in a nondescript office park isn’t going to impress your clients, and isn’t going to inspire your employees either. You want a building with character… Continue Reading

How To Form A Company In China. The Basics.

Posted in Basics of China Business Law, China Business, Legal News

Though we often talk generally about what it takes to form a company in China, a reader recently pointed out to me that we have never set out the basic steps one must take to do so. The following sets out the basic steps a foreigner usually must take to form a Wholly Foreign Owned… Continue Reading

Forming A China WFOE Or Rep Office. The 90-10 Rule.

Posted in Legal News

A few weeks ago, a client asked my law firm to handle a relatively routine domestic matter for them. We told them we do not handle such matters and we gave them a short list of excellent attorneys that do. The client expressed surprise at our unwillingness to take on their matter and remarked on… Continue Reading

Forming A China Manufacturing WFOE? Your Lease Matters

Posted in Legal News

In deleting old emails over the weekend, I came across one from co-blogger Steve Dickinson to a client looking to lease a factory in China and use those operations as the basis for forming a Wholly Foreign Owned Entity (WFOE or WOFE). I am reproducing Steve’s email below because this is obviously not an uncommon… Continue Reading

China Company Formation Law Is Clear — WFOEs Are Easy

Posted in Legal News

Around 25% of my law firm’s China legal work is done with US or European attorneys, and a good chunk of that work is helping them help their own clients form a Wholly Foreign Owned Entity (WFOE) in China. The law firms that retain us do not have their own lawyers in China but because… Continue Reading

China’s Service Sector Will Reign, Part VIII — Case Study Of Edanz Editing

Posted in China Business

We often write on China’s service sector because we see so many unrealized China opportunities for foreign service businesses. It has become almost a given that big manufacturing companies will set up operations in China, but it also ought to become a given that service businesses at least look at China as a place to… Continue Reading