logo

WFOE Company registration services in Shenzhen

 

Shenzhen Company Registration

WFOE is Ideal for Various Industries – Consulting, trading, manufacturing, tech services

N

Shenzhen Registered Address

N

Shenzhen Corporate Bank Account

N

Tax and Accounting service

Think China Business is Complex? We Might Change Your Mind.

SHENZHEN COMPANY REGISTRATION -view

Kickstart your business journey in China and join our outstanding community of more than 1,500 clients

Disney Disney Disney Nike Disney Disney Disney Nike Sony Sony Sony Sony Sony Sony Sony Sony

The Ultimate Guide to Shenzhen  Company Registration in 2023

Why register a Company in Shenzhen

A Guide to Setting up a Wholly Foreign Owned Enterprise (WFOE) in Shenzhen in 2023

If you consider expanding your business into China, Shenzhen is undoubtedly a promising destination. As one of China’s most dynamic and economically vibrant cities, Shenzhen offers many opportunities for foreign investors. Setting up a Wholly Foreign Owned Enterprise (WFOE) in Shenzhen is a popular choice for businesses looking to establish a presence in this thriving market. In this comprehensive guide, we’ll walk you through the key steps and requirements for Shenzhen company registration and the establishment of a WFOE in 2023.

Understanding WFOE

A Wholly Foreign Owned Enterprise (WFOE) is a limited liability company allowing foreign investors full control over their business operations in China. This business structure allows you to operate independently without needing a local Chinese partner. WFOEs are particularly attractive for businesses seeking to retain ownership and decision-making power.

Key Steps for Shenzhen Company Registration

1. Market Research

Before diving into the registration process, conducting thorough market research is essential. Understand the local market, your target audience, and your competitors. This knowledge will help you make informed decisions throughout the setup process.

2. Choose a Business Scope

Determine the scope of your business activities in Shenzhen. This will dictate the type of WFOE you need to establish, as there are different categories based on business activities, such as consulting, trading, manufacturing, or services.

3. Name Registration

Selecting an appropriate and unique Chinese name for your WFOE is a crucial step. Ensure it complies with the relevant naming regulations in China and accurately reflects your business.

4. Capital Contribution

Determine the registered capital required for your WFOE. The minimum capital requirements in Shenzhen may vary based on your chosen industry but do not need to be injected. You’ll need to deposit this capital in a local bank.

5. Legal Documentation

Prepare all the necessary legal documents, including the Articles of Association, Feasibility Study Report, and various application forms. These documents will be submitted to the relevant authorities during the registration process.

6. Office Space

Secure an office space in Shenzhen that meets the local requirements for your business type. Having a physical office is typically mandatory for WFOEs, but the good news is that Corporation China can supply a registered address that can be used for the company.

7. Registration Approval

Submit your application and required documents to the Shenzhen Market Supervision and Administration Bureau or the relevant authority. The approval process may take several weeks to months, depending on various factors.

8. Business License

Once your application is approved, you will receive your business license, allowing you to operate your WFOE in Shenzhen legally.

9. Tax Registration and Compliance

Register for taxes and ensure compliance with local tax regulations. This includes value-added tax (VAT) and corporate income tax (CIT).

10. Hiring and Labor Contracts

Hire local and foreign employees as needed and create employment contracts in accordance with Chinese labor laws.

Benefits of Setting up a WFOE in Shenzhen

  1. Full Ownership: As mentioned earlier, a WFOE allows you to maintain full control of your business operations without requiring a local partner.

  2. Profit Repatriation: You can return your profits to your home country without restrictions.

  3. Access to the Chinese Market: Shenzhen’s strategic location in the Greater Bay Area provides access to a vast and rapidly growing market.

  4. Intellectual Property Protection: China continuously improves its IP protection laws, which can benefit foreign businesses.

Challenges to Consider

While there are many advantages to establishing a WFOE in Shenzhen, it’s essential to be aware of potential challenges, including:

  1. Complex Regulatory Environment: Navigating China’s regulatory landscape can be intricate and time-consuming.

  2. Language and Cultural Barriers: Language and cultural differences can pose communication challenges, but our team will be there to help you all the way.

  3. Competition: Shenzhen is highly competitive, so understanding your target market and differentiating your business is crucial.

In conclusion, setting up a Wholly Foreign Owned Enterprise (WFOE) in Shenzhen in 2023 presents immense opportunities for foreign investors. However, it requires careful planning, compliance with local regulations, and a deep understanding of the Chinese market. Seeking professional assistance from a local consultancy firm can streamline the process and help ensure your venture’s success in this thriving economic hub. Shenzhen company registration may be complex, but the potential rewards are well worth the effort.

Start your Shenzhen Wholly Foreign-Owned Enterprise Today!

Shenzhen Business Environment

Since the mid-1990s, Shenzhen has focused on seven significant industries: computer software, I.T., microelectronics and components, video and audio products, electro-mechanical integration, and critical projects in light industry and energy. Meanwhile, newer industries such as pharmaceuticals, medical equipment, biotechnology, and new materials have also proliferated. Electronics and telecom equipment manufacturing is the city’s largest industry.
Perhaps due to a combination of Shenzhen’s proximity to Hong Kong and its status as the most successful SEZ, Shenzhen is mainland China’s most transparent economy.

Where is Shenzhen

Shenzhen is an important city in Guangdong Province, China. It creates a proportion of the Pearl River Delta megalopolis. The city is in the north of Hong Kong Special Administrative Region. It holds sub-provincial administrative status, with powers slightly less than a province.

Shenzhen has always shown its ambition to be China’s answer to Silicon Valley. Last year, the city payed more than 64 billion yuan (HK$80.46 billion) investing in research and development, which accounts for 4 percent of GDP, only matched by South Korea and Israel.

Corporation China is the leading company registration firm in China. We offer Shenzhen Company incorporation and help you establish a Wholly Foreign Owned Enterprise in Shenzhen. We can also provide the registered address in Shenzhen to Shenzhen or other districts like Luohu

    Shenzhen Wholly Foreign Owned Enterprise (WFOE)

    The registration of a Shenzhen Consulting Company is simple, Wholly Foreign Owned Enterprise, abbreviated WFOE or WOFE, is the first and obvious choice for foreigners looking to do business in Shenzhen. So what is WFOE? The special feature of a WFOE is that the entity is absolutely owned by 100% and capitalized by abroad investors, operates without a local (Chinese) partner. This maintains greater control over your business’s operations, targets, and incomes of the company, to relieve mother company’s affairs to concentrate on its own operations. WFOE is a favorable option for an overseas company that wants to permanently incorporate into mainland China.

    100% Ownership

    Wholly Foreign Owned Enterprise may be capitalized by foreign investors and operated without the need for Chinese partners or employees. It will give you greater control over your business’s operations, revenue, and profit targets. A WOFE is a favorable option for individuals and overseas company that wants to enter the Chinese market.

    Shenzhen Wholly Foreign Owned Enterprise

    Corporation China is the leading company registration firm in China. We offer Shenzhen Company incorporation and help you establish a Wholly Foreign Owned Enterprise in Shenzhen. We can also provide the registered address in Shenzhen to Shenzhen or other districts like Luohu.
    Shenzhen is a valuable city for companies who develop in computer software, I.T., microelectronics and components, video and audio products, electro-mechanical integration, and critical projects in light industry and energy. Meanwhile, newer industries such as pharmaceuticals, medical equipment, and biotechnology are also on the rise in Shenzhen.

    Four typical Shenzhen company’s

     

     

    Setting up a Company Shenzhen

    Operational Structure

    A Wholly foreign-owned enterprise (WFOE) could be a company established in Shenzhen in line with Chinese laws and wholly closely held by one or few foreign investors. A WFOE is being able to be a financial obligation company, the liability of the shareholders is restricted to the assets they contribute to the business. Seperate from the easier representative workplace setup that is subject to various limitations, a WFOE will create revenuess and issue native invoices in RMB to its customers, which is essential because invoices are the base for getting tax deductions in Shenzhen.

    A WFOE is the complete authority regarding staff hiring and does not require you to hire Chinese staff.
    A Wholly Foreign Owned Enterprise requires either one director of foreign nationality or a holding company located in Shenzhen to act as an investor.

    Shenzhen Registered Address

    Corporation China can provide an address to register your Company in Shenzhen. Corporation China will provide a Shenzhen registered address which will be the legal address of your company. A registered address is needed to register your Company in Shenzhen.

    We Provide:

    • Registered office address in Shenzhen
    • Contract Length: 1 to 2 years (renewable)
    • One month’s notice is required for contract termination.
    • Shenzhen Property layout and other documents.
    • Leasing/Rental contract of the Shenzhen office with a tax certificate.
    • Quick and easy set up 2 – 3 days.
    Corporation China offers a turnkey solution.

    We take of the complete registration of a China Company is not complicated, the limited-liability type company which we call Wholly Foreign Owned Enterprise, abbreviated WFOE or WOFE. It is a commonly used investment instrument for mainland China local businesses.

    Corporation China will supply a registered address that will be the legal address of your company. A registered address is essential and legally required to register your company in China.

    Shenzhen Bank Account

    Opening a Chinese Bank Account is a post-licensing service of ours. Corporation China will try the best to assist your company during the Bank Account Opening Process. To open a Bank Account, you must be present at the bank, but you will be accompanied by an assistant to help with translation and ensure that the process is done correctly.
    Corporation China can be Guaranteed a Bank Account for all our clients

      Why start your Business in Shenzhen?

      To engage in import and export activities still as domestic distribution (i.e., retail, wholesale and franchising trade activities) with the Ministry of Commerce, Ministry of Industry and Information Technology ( MOFCOM ).The may be established. Commerce WOFEs will mix completely different business activities, e.g., collection and providing services. Below is an associate example of business scope for a FICE:

      “Wholesale, commission agency (excluding auction), import and export of XXX products; after-sales services; technology transfer; technology consulting; technology development and different business consulting services.”

      Manufacturing WFOEs are corporations engaged in industries like machine producing and electronics, energy; building materials and construction; medical equipment; transportation; and animal and plant raising and breeding. A manufacturing WFOE must rent an industrial plant house as its registered address.

      The native Administration of business and Commerce (AIC) can physically check the industrial plant house before registering the WFOE. Additionally, producing WFOEs is needed to get approval from the Environmental Protection Bureau. In some cases, a full report on the calculable environmental impact of the industrial plant issued by an associate-appointed agent is needed, which is meant to confirm that producing production processes fit nominative environmental norms. In addition, the Bureau would require info concerning the raw materials used, the machinery and instrumentation, consumption, and safe disposal of the cyanogenetic product.

      An associate example of the business scope of a producing WFOE is:

      “Design, develop and manufacture XXX product and connected components and elements, sale of self-manufactured products; wholesale, import, and export of comparable product and commission agency (excluding auction); provision of after-sale services and different associated services to the products; technical consulting, technical development,, and technology transfer.”