China Company formation and Registratio

Types of Corporations

In China, the following are common forms of incorporation:
Overseas Investments:

Equity Joint Venture (EJY)

  • The foreign investors will have a holding of at least 25% in the Chinese company.
  • The registered share capital must cover a specific percentage of the total investment in the company. This percentage varies between 33% (an investment of over $ 36 million) and 70% (an investment of under $ 3 million).

A Joint Cooperative Venture (CJV)

  • A Joint Cooperative Venture is usually set up for a specific project or partnership for a period of time that is defined in advance.

Wholly Foreign Owned Venture (WFO)

  • There are no minimum or maximum limits regarding the amount of the foreign investment.
  • In recent years over 65% of foreign investments in China have been in the form of a WFO, mainly because of the absence of a minimum investment requirement.

Chinese Holding Company (CHC)

  • This is intended for a company that is interested in consolidating a number of investments in China to one body.
  • There are legal requirements in China regarding the credit rating of a foreign investment in a CHC. The total value of the investor's assets and his investments in a company in China must be in excess of the legally defined minimum.

Joint Stock Company

  • The minimum registered share capital is CNY 30 million. The minimum for a company traded on the Stock Exchange is CNY 50 million.
  • The foreign investors' share must be at least 25% of the registered capital.


  • At present, only foreign companies in the financial and services sector, subject to the restrictions specified in Chinese law, may set up a branch in China.

Representative Office (RO)

  • A representative office is a type of operation with low financial expenses.
  • The aim of the RO is the creation of a presence in China and promotion of contacts/supervision/management investigations in China.
  • The RO may not issue accounts to the Chinese market for sales and services in China.

Bulgaria Company Formation | BVI Company Formation | China Company Formation | Cyprus Company Formation | Dubai Company Formation | Estonia Company Formation | Germany Company Formation | Greece Company Formation | Hong Kong Company Formation | Hungary Company Formation | India Company Formation | Iran Company Formation | Ireland Company Formation | Israel Company Formation | Italy Company Formation | Japan Company Formation | Latvia Company Formation | Lithuania Company Formation | Malta Company Formation | Poland Company Formation | Portugal Company Formation | Romania Company Formation | Russia Company Formation | Slovakia Company Formation | Slovenia Company Formation | Turkey Company Formation | US Company Formation