Company Registration Process in Dubai

Company Registration in Dubai, Company Registration Process in Dubai, Foreign Company Registration in Dubai, Company Formation in Dubai, Offshore Company Registration in Dubai, Offshore Company Formation in Dubai, Starting business in Dubai, Doing business in Dubai, Foreign Investment in Dubai

S & F CONSULTING FIRM LIMITED is an international business/ company registration consultancy firm.

Foreign Company Registration (100% Foreign Investment, Joint Venture, Virtual/ Branch/ Liason Office, Foundation), Taxation, Accounts & Audit, Legal, Company Secretarial & Management Consultancy.

Company Registration/ Formation/ incorporation in Dubai, Foreign Direct Investment in Dubai-FDI, FDI in Dubai, Doing Business in Dubai

Company Formation / Registration in Dubai

Dubai Joint Venture Companies

A joint venture is a contractual agreement between a foreign party and a local party licensed to engage in the desired activity. The local equity participation in the joint venture must be at least 51%, but the profit and loss distribution can be prescribed. There is no need to license the joint venture or publish the agreement. The foreign partner deals with third parties under the name of the local partner who - unless the agreement is publicised - bears all liability.
In practice, joint ventures are seen as offering a suitable structure for companies working together on specific projects.

Dubai Limited Liability Companies

A limited liability company can be formed by a minimum of two and a maximum of 50 persons whose liability is limited to their shares in the company's capital. Such companies are recognised as offering a suitable structure for organisations interested in developing a long term relationship in the local market.

In Dubai, the minimum capital is currently Dh. 300,000 (US$ 82,000), contributed in cash or in kind. While foreign equity in the company may not exceed 49%, profit and loss distribution can be prescribed. Responsibility for the management of a limited liability company can be vested in the foreign or national partners or a third party.

The following steps are required in establishing a limited liability company in Dubai.

Branches and Representative Offices of Foreign Commercial Companies in Dubai

The Commercial Companies Law also covers the formation and regulation of branches and representative offices of foreign companies in the UAE and stipulates that they may be 100% foreign owned, provided a local agent is appointed.

Only UAE nationals or companies 100% owned by UAE nationals may be appointed as local agents (which should not be confused with the term "commercial agent"). Local agents -- also sometimes referred to as sponsors -- are not involved in the operations of the company but assist in obtaining visas, labour cards, etc and are paid a lump sum and/or a percentage of profits or turnover. In general, branches and offices of foreign commercial companies are not licensed to engage in importing activity except for re-export or in the case of products of a highly technical nature.

To establish a branch or representative office in Dubai, a foreign commercial company should proceed as follows:
• Apply for a licence from the Ministry of Economy and Commerce, submitting an agency agreement with a UAE national or 100% UAE owned company. Before issuing the licence, the Ministry will:
• forward the application to the Economic Department to obtain the approval of the Dubai government;
• forward the application specifying the activity that the office or branch will be authorised to undertake in the UAE, to the Federal Foreign Companies Committee for approval;
• Once this has been done, the Ministry of Economy and Commerce will issue the required Ministerial licence specifying the activity to be practised by the foreign company;
• The branch or office should be entered in the Economic Department's Commercial Register, and the required licence will be issued;
• The branch or office should also be entered in the Foreign Companies Register of the Ministry of Economy and Commerce;
• Finally the branch or office should be registered with the Dubai Chamber of Commerce and Industry.

• What are the capital requirements to set up business in UAE ? 

Minimum share capital required for a specific trade license is U.A.E.
Dhs. 300,000/- .
The share capital is divided into shares of Dhs. 1,000/- each.
For emirates other than Dubai capital requirement is Dhs. 150,000/- and Dhs. 1,500,000/- respectively. The share capital is divided into shares of Dhs. 1,500/- each

•How is the capital to be contributed?
Dhs. 300,000/- for Specific Trade License.

Contribution in Cash
Existing Sole Proprietor or partnership concerns can contribute capital in cash.
New companies have to compulsorily contribute capital in cash only.

• Is residential address to be stated anywhere? 
The residential address of the expatriate partners has to be stated in the Memorandum of Association and supported by the tenancy contract copy as 5% tax has to be paid on the per annum rental value.

• Which are the documents required to be submitted to the Department of Economic Development?
A complete list of documents required to form a Limited Liability Company is enclosed herewith. Refer Annexure A.

After Formation of the Company in Dubai
• Can the company open branches in Dubai?
The company can open branches in Dubai by submitting an application alongwith the original trade licence and other documents.

• Apply to the Ministry of Economy
An application must be made to the Ministry of Economy (MOE) (the UAE Commercial Companies Law, article 314). trade name reservation certificate and initial approval

Obtain licence from the Department of Economic Development
The MOE will issue a formal approval to either the Abu Dhabi Department of Economic Development or the Dubai Department of Economic Development, as appropriate (collectively referred to as the DED here).

Becoming a member of the Chamber of Commerce and Industry

The final step is for the branch or representative office to register as a member with the Abu Dhabi Chamber of Commerce and Industry or the Dubai Chamber of Commerce and Industry, as appropriate. The procedure is largely the same. It will be necessary to complete an application, and provide copies of the commercial licence and office lease agreement along with passport copies of the authorised signatories of the branch or representative office.

Notarisation and translation of documents
The foreign company will have to present the documents listed above for authentication at the foreign ministry of the country in which the company is incorporated and subsequently to the UAE consulate. Before they can be presented to the authorities in the UAE, they must also be translated into Arabic by an official translator. The notarisation process should be commenced as early as possible as it can take a significant amount of time. Where the responsible UAE embassy is not located in the country of incorporation, the process can be delayed further.

Fees: Lower cost/ Fees/ Charge

Email us: contact@sfconsultingbd.com
Abu Dhabi, Dubai

S & F CONSULTING FIRM LIMITED

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Starting business in Dubai

Company Registration in Dubai, Company Registration Process in Dubai, Foreign Company Registration in Dubai, Company Formation in Dubai, Offshore Company Registration in Dubai, Offshore Company Formation in Dubai, Starting business in Dubai, Doing business in Dubai, Foreign Investment in Dubai

S & F CONSULTING FIRM LIMITED is an international business/ company registration consultancy firm.

Foreign Company Registration (100% Foreign Investment, Joint Venture, Virtual/ Branch/ Liason Office, Foundation), Taxation, Accounts & Audit, Legal, Company Secretarial & Management Consultancy.

Company Registration/ Formation/ incorporation in Dubai, Foreign Direct Investment in Dubai-FDI, FDI in Dubai, Doing Business in Dubai

Company Formation / Registration in Dubai

Dubai Joint Venture Companies

A joint venture is a contractual agreement between a foreign party and a local party licensed to engage in the desired activity. The local equity participation in the joint venture must be at least 51%, but the profit and loss distribution can be prescribed. There is no need to license the joint venture or publish the agreement. The foreign partner deals with third parties under the name of the local partner who - unless the agreement is publicised - bears all liability.
In practice, joint ventures are seen as offering a suitable structure for companies working together on specific projects.

Dubai Limited Liability Companies

A limited liability company can be formed by a minimum of two and a maximum of 50 persons whose liability is limited to their shares in the company's capital. Such companies are recognised as offering a suitable structure for organisations interested in developing a long term relationship in the local market.

In Dubai, the minimum capital is currently Dh. 300,000 (US$ 82,000), contributed in cash or in kind. While foreign equity in the company may not exceed 49%, profit and loss distribution can be prescribed. Responsibility for the management of a limited liability company can be vested in the foreign or national partners or a third party.

The following steps are required in establishing a limited liability company in Dubai.

Branches and Representative Offices of Foreign Commercial Companies in Dubai

The Commercial Companies Law also covers the formation and regulation of branches and representative offices of foreign companies in the UAE and stipulates that they may be 100% foreign owned, provided a local agent is appointed.

Only UAE nationals or companies 100% owned by UAE nationals may be appointed as local agents (which should not be confused with the term "commercial agent"). Local agents -- also sometimes referred to as sponsors -- are not involved in the operations of the company but assist in obtaining visas, labour cards, etc and are paid a lump sum and/or a percentage of profits or turnover. In general, branches and offices of foreign commercial companies are not licensed to engage in importing activity except for re-export or in the case of products of a highly technical nature.

To establish a branch or representative office in Dubai, a foreign commercial company should proceed as follows:
• Apply for a licence from the Ministry of Economy and Commerce, submitting an agency agreement with a UAE national or 100% UAE owned company. Before issuing the licence, the Ministry will:
• forward the application to the Economic Department to obtain the approval of the Dubai government;
• forward the application specifying the activity that the office or branch will be authorised to undertake in the UAE, to the Federal Foreign Companies Committee for approval;
• Once this has been done, the Ministry of Economy and Commerce will issue the required Ministerial licence specifying the activity to be practised by the foreign company;
• The branch or office should be entered in the Economic Department's Commercial Register, and the required licence will be issued;
• The branch or office should also be entered in the Foreign Companies Register of the Ministry of Economy and Commerce;
• Finally the branch or office should be registered with the Dubai Chamber of Commerce and Industry.

• What are the capital requirements to set up business in UAE ? 

Minimum share capital required for a specific trade license is U.A.E.
Dhs. 300,000/- .
The share capital is divided into shares of Dhs. 1,000/- each.
For emirates other than Dubai capital requirement is Dhs. 150,000/- and Dhs. 1,500,000/- respectively. The share capital is divided into shares of Dhs. 1,500/- each

•How is the capital to be contributed?
Dhs. 300,000/- for Specific Trade License.

Contribution in Cash
Existing Sole Proprietor or partnership concerns can contribute capital in cash.
New companies have to compulsorily contribute capital in cash only.

• Is residential address to be stated anywhere? 
The residential address of the expatriate partners has to be stated in the Memorandum of Association and supported by the tenancy contract copy as 5% tax has to be paid on the per annum rental value.

• Which are the documents required to be submitted to the Department of Economic Development?
A complete list of documents required to form a Limited Liability Company is enclosed herewith. Refer Annexure A.

After Formation of the Company in Dubai
• Can the company open branches in Dubai?
The company can open branches in Dubai by submitting an application alongwith the original trade licence and other documents.

• Apply to the Ministry of Economy
An application must be made to the Ministry of Economy (MOE) (the UAE Commercial Companies Law, article 314). trade name reservation certificate and initial approval

Obtain licence from the Department of Economic Development
The MOE will issue a formal approval to either the Abu Dhabi Department of Economic Development or the Dubai Department of Economic Development, as appropriate (collectively referred to as the DED here).

Becoming a member of the Chamber of Commerce and Industry
The final step is for the branch or representative office to register as a member with the Abu Dhabi Chamber of Commerce and Industry or the Dubai Chamber of Commerce and Industry, as appropriate. The procedure is largely the same. It will be necessary to complete an application, and provide copies of the commercial licence and office lease agreement along with passport copies of the authorised signatories of the branch or representative office.

Notarisation and translation of documents
The foreign company will have to present the documents listed above for authentication at the foreign ministry of the country in which the company is incorporated and subsequently to the UAE consulate. Before they can be presented to the authorities in the UAE, they must also be translated into Arabic by an official translator. The notarisation process should be commenced as early as possible as it can take a significant amount of time. Where the responsible UAE embassy is not located in the country of incorporation, the process can be delayed further.

Fees: Lower cost/ Fees/ Charge

Email us: contact@sfconsultingbd.com
Abu Dhabi, Dubai

S & F CONSULTING FIRM LIMITED

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Dubai Company Registration/ Formation/ Incorporation

Company Registration in Dubai, Company Registration Process in Dubai, Foreign Company Registration in Dubai, Company Formation in Dubai, Offshore Company Registration in Dubai, Offshore Company Formation in Dubai, Starting business in Dubai, Doing business in Dubai, Foreign Investment in Dubai

S & F CONSULTING FIRM LIMITED is an international business/ company registration consultancy firm.

Foreign Company Registration (100% Foreign Investment, Joint Venture, Virtual/ Branch/ Liason Office, Foundation), Taxation, Accounts & Audit, Legal, Company Secretarial & Management Consultancy.

Company Registration/ Formation/ incorporation in Dubai, Foreign Direct Investment in Dubai-FDI, FDI in Dubai, Doing Business in Dubai

Company Formation / Registration in Dubai

Dubai Joint Venture Companies

A joint venture is a contractual agreement between a foreign party and a local party licensed to engage in the desired activity. The local equity participation in the joint venture must be at least 51%, but the profit and loss distribution can be prescribed. There is no need to license the joint venture or publish the agreement. The foreign partner deals with third parties under the name of the local partner who - unless the agreement is publicised - bears all liability.
In practice, joint ventures are seen as offering a suitable structure for companies working together on specific projects.

Dubai Limited Liability Companies

A limited liability company can be formed by a minimum of two and a maximum of 50 persons whose liability is limited to their shares in the company's capital. Such companies are recognised as offering a suitable structure for organisations interested in developing a long term relationship in the local market.

In Dubai, the minimum capital is currently Dh. 300,000 (US$ 82,000), contributed in cash or in kind. While foreign equity in the company may not exceed 49%, profit and loss distribution can be prescribed. Responsibility for the management of a limited liability company can be vested in the foreign or national partners or a third party.

The following steps are required in establishing a limited liability company in Dubai.

Branches and Representative Offices of Foreign Commercial Companies in Dubai

The Commercial Companies Law also covers the formation and regulation of branches and representative offices of foreign companies in the UAE and stipulates that they may be 100% foreign owned, provided a local agent is appointed.

Only UAE nationals or companies 100% owned by UAE nationals may be appointed as local agents (which should not be confused with the term "commercial agent"). Local agents -- also sometimes referred to as sponsors -- are not involved in the operations of the company but assist in obtaining visas, labour cards, etc and are paid a lump sum and/or a percentage of profits or turnover. In general, branches and offices of foreign commercial companies are not licensed to engage in importing activity except for re-export or in the case of products of a highly technical nature.

To establish a branch or representative office in Dubai, a foreign commercial company should proceed as follows:
• Apply for a licence from the Ministry of Economy and Commerce, submitting an agency agreement with a UAE national or 100% UAE owned company. Before issuing the licence, the Ministry will:
• forward the application to the Economic Department to obtain the approval of the Dubai government;
• forward the application specifying the activity that the office or branch will be authorised to undertake in the UAE, to the Federal Foreign Companies Committee for approval;
• Once this has been done, the Ministry of Economy and Commerce will issue the required Ministerial licence specifying the activity to be practised by the foreign company;
• The branch or office should be entered in the Economic Department's Commercial Register, and the required licence will be issued;
• The branch or office should also be entered in the Foreign Companies Register of the Ministry of Economy and Commerce;
• Finally the branch or office should be registered with the Dubai Chamber of Commerce and Industry.

• What are the capital requirements to set up business in UAE ? 

Minimum share capital required for a specific trade license is U.A.E.
Dhs. 300,000/- .
The share capital is divided into shares of Dhs. 1,000/- each.
For emirates other than Dubai capital requirement is Dhs. 150,000/- and Dhs. 1,500,000/- respectively. The share capital is divided into shares of Dhs. 1,500/- each

•How is the capital to be contributed?
Dhs. 300,000/- for Specific Trade License.

Contribution in Cash
Existing Sole Proprietor or partnership concerns can contribute capital in cash.
New companies have to compulsorily contribute capital in cash only.

• Is residential address to be stated anywhere? 
The residential address of the expatriate partners has to be stated in the Memorandum of Association and supported by the tenancy contract copy as 5% tax has to be paid on the per annum rental value.

• Which are the documents required to be submitted to the Department of Economic Development?
A complete list of documents required to form a Limited Liability Company is enclosed herewith. Refer Annexure A.

After Formation of the Company in Dubai
• Can the company open branches in Dubai?
The company can open branches in Dubai by submitting an application alongwith the original trade licence and other documents.

• Apply to the Ministry of Economy
An application must be made to the Ministry of Economy (MOE) (the UAE Commercial Companies Law, article 314). trade name reservation certificate and initial approval

Obtain licence from the Department of Economic Development
The MOE will issue a formal approval to either the Abu Dhabi Department of Economic Development or the Dubai Department of Economic Development, as appropriate (collectively referred to as the DED here).

Becoming a member of the Chamber of Commerce and Industry
The final step is for the branch or representative office to register as a member with the Abu Dhabi Chamber of Commerce and Industry or the Dubai Chamber of Commerce and Industry, as appropriate. The procedure is largely the same. It will be necessary to complete an application, and provide copies of the commercial licence and office lease agreement along with passport copies of the authorised signatories of the branch or representative office.

Notarisation and translation of documents
The foreign company will have to present the documents listed above for authentication at the foreign ministry of the country in which the company is incorporated and subsequently to the UAE consulate. Before they can be presented to the authorities in the UAE, they must also be translated into Arabic by an official translator. The notarisation process should be commenced as early as possible as it can take a significant amount of time. Where the responsible UAE embassy is not located in the country of incorporation, the process can be delayed further.

Fees: Lower cost/ Fees/ Charge

Email us: contact@sfconsultingbd.com
Abu Dhabi, Dubai

S & F CONSULTING FIRM LIMITED

Read More »

Company Formation in Hong Kong

Company Formation in Hong Kong, Company Formation Process in Hong Kong, Company Registration in Hong Kong, Foreign Company Formation in Hong Kong, Foreign Company Registration in Hong Kong, Starting business in Hong Kong, Doing Business in Hong Kong, Foreign Investment policy in Hong Kong, Company Incorporation in Hong Kong

S & F CONSULTING FIRM LIMITED is an international business/ company registration consultancy firm.

Foreign Company Registration (100% Foreign Investment, Joint Venture, Virtual/ Branch/ Liason Office, Foundation), Taxation, Accounts & Audit, Legal, Company Secretarial & Management Consultancy.

Company Registration/ Formation/ incorporation in Hong Kong, Foreign Direct Investment in Hong Kong-FDI, FDI in Hong Kong, Doing Business in Hong Kong

Company Formation / Registration in Hong Kong

Basic Requirement to set up Branch Office in Hong Kong

1. Certified true copies of the foreign company's certificate of incorporation, memorandum and articles, or equivalent documents.
2. A list of the directors and secretary and their pertaining details.
3. A list of person or persons residing in Hong Kong authorized to accept service of process and notices on behalf of the foreign company.
4. A certified true copy of the latest financial statement of the foreign company if it is a public company and is required by the law of the place of its incorporation to publish its accounts.

Branch Office set up procedure

• Consult and assess your company structure and collect necessary documents for the formation of Hong Kong branch office
• Sign our Letter of Engagement to make confirmation of proceeding with the Branch office formation
• Prepare the branch office formation documents
• Submit the original signed company documents to the government department and pay all government fees on the client's behalf
• Monitor the whole process and keep the client update for any news
• Pick up Business Registration from the government department
• Prepare a company chop
• Deliver the documents to the client

Advantage of Branch Office in Hong Kong

1. A branch office is a legally incorporated entity in Hong Kong.
2. An impression of unity with foreign parent company.

Disadvantage of Branch Office in Hong Kong

1. The foreign parent company is accountable and responsible for all legal liabilities and debts of the branch office
2. Hong Kong sourced profit generated in the branch office may subject to overseas tax.

Basic Requirement for Representative Office in Hong Kong

1. A certified true copy of the certificate of incorporation or equivalent document of the foreign company
2. A certified true copy of the English or Chinese translation thereof if the original is not in English or Chinese.

Hong Kong Representative Office Set up Procedure

• Consult and assess your company structure and collect necessary documents for the formation of Hong Kong representative office
• Sign our Letter of Engagement to make confirmation of proceeding with the
representative office formation • Prepare the representative office formation documents
• Submit the original signed company documents to the Hong Kong Inland Revenue Department and pay all government fees on the client's behalf
• Monitor the whole process and keep the client update for any news
• Pick up Business Registration from Inland Revenue Department

Advantage of Representative Office

1. There are no registration requirements with the Companies Registry, no minimum capital requirements and no compliances like filing tax returns or maintaining accounts etc. The only requirement is to register with the Inland Revenue Department and obtain a Business Registration Certificate.
2. A representative office of a foreign company is not required to file any financial or other statutory returns with any government authorities in Hong Kong. The same applies to the foreign company itself.

Disadvantage of Representative Office set up

1. A representative office cannot engage in profit making activities and is not treated as a legal entity. It cannot sign or enter into any contracts, sign deals on behalf of the foreign company, raise invoices or letters of credit nor engage in trading activities.
2. The representative office has to restrict itself to promotion and liaison activities, undertaking market research and coordinating activities on behalf of the foreign company.

A Virtual Office is ideal for:

• Having a requirement to hold meetings in the city but no requirement for a full time office
• People who often travel and therefore do not have the need for physical office space
• Individuals that work from home but require a city identity
• Those who require an office identity but do not have the budget for a physical office
• New business start-ups who wish to test a new market and cannot yet justify the cost of setting up a permanent office.

Fees: Lower cost/ Fees/ ChargeEmail us: contact@sfconsultingbd.com Hong Kong

S & F CONSULTING FIRM LIMITED

Foreign Company Registration Policy in Hong Kong

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Company Formation in China

Company Formation in China, Company Formation Process in China, Company Registration in China, Foreign Company Formation in China, Foreign Company Registration in China, Starting business in China, Doing Business in China, Foreign Investment policy in China, Company Incorporation in China

S & F CONSULTING FIRM LIMITED is an international business/ company registration consultancy firm.

Foreign Company Registration (100% Foreign Investment, Joint Venture, Virtual/ Branch/ Liason Office, Foundation), Taxation, Accounts & Audit, Legal, Company Secretarial & Management Consultancy.

Company Registration/ Formation/ incorporation in China, Foreign Direct Investment in China-FDI, FDI in China, Doing Business in China

Company Formation / Registration in China

Types of Business Presence in China:

1. Wholly Foreign Owned Enterprise (WFOE); 2. Partnership Enterprise (PE) 3. Representative Office; 4 . Joint Venture; and 5. Hong Kong company.

Company Registration Services: 

RMB 100,000~ RMB 500,000 (approx. 10,000 ~ 50,000 EURO) is the minimum registered capital for Consulting, Service or Hi Tech WFOE registration in Shanghai, Beijing, Shenzhen. Different cities of China have different policies on minimum registered capital, please contact a Path To China office at the bottom of the page for practical advice if you are planning to incorporate a WFOE in China.

A Foreign Invested Partnership Enterprise (FIPE) may worth a try if investors don't want to put much capital to establish a business in China,

After China's entry to the WTO, most industries in China welcome foreign investment. WFOE establishment in China became the first option for foreign investors (instead of Rep. Office) in China. At the mean time, for tax purpose, an effective licensing system, and other reasons more and more investors use Hong Kong as the holding company to invest in mainland China, using this offshore company to hold their operations in China.

As needed, we will help you at every step in order for you to be successful in China. Forming a company in China can be very difficult if you are not familiar with Chinese legislation and the requirements of different authorities. Our professional consultants will help foreign companies to set up in China in the most cost effective way.

- Starting from USD 4,000 you can get your Wholly Foreign Wwned Enterprise (WFOE) registered. The package includes all official applications( i.e. business license application, tax application, bank account application)

Advantages of WFO

The advantages of incorporation a WFOE, compared with other types of enterprises, include, but not limited to:
1. Independence and freedom to implement the worldwide strategies of its parent company without having to consider the involvement of the Chinese partner;
2. Ability to formally carry out business rather than just function as a representative office and being able to issue invoices to their customers in RMB and receive revenues in RMB;
3. Capability of converting RMB profits to US dollars for remittance to its parent company outside of China;
4. Protection of intellectual know-how and technology;
5. For Manufacturing WFOE, no special requirements for Import / Export license for its own products;
6. Full control of human resources
7. Greater efficiency in operations, management and future development.

Business Scope

According to WFOE regulations, "Foreign investors are permitted to setting up a 100% foreign owned enterprise in industries that are conducive to the development of China’s economic benefits, and not prohibited or restricted by China government." The Catalogue of Guidance to Foreign Investment" [-Latest Catalogue of Guidance EN-CN-]categorises fields of potential investment as "prohibited," "restricted" and "encouraged". It is advisable to fully comprehend the interpretation of these categories. In China, Business scope of a business is a "one sentence description" covering all of the present and future activities of the WFOE; it is essential this encompasses every envisaged scope of future activity. The WFOE can only conduct business within its approved business scope, which ultimately appears on the business licence. One of the most important issues in WFOE application is business scope. Any amendments to the business scope require further application and approval. Business scope of a company in China is not as broad and general as in other countries. Generally business scope includes investment consulting, international economic consulting, trade information consulting, marketing and promotion consulting, corporate management consulting, technology consulting, manufacturing, etc. After China's entry into WTO, more and more business is open to WFOE especially in Trading, Wholesale and Retail business, check the Catalogue of Guidance to Foreign Investment which was Amended in 2007 [-Latest Catalogue of Guidance-] (PDF, 325 KB)

Registered and Paid up Capital

Registered Capital: USD$140,000 is a good idea for all kinds of WFOE, with USD$ 140,000 investment it's easy to get approved. Initial Paid-up would be 20% of the registered capital, the balance should be remitted within 2 years.

Registered capital is the amount that it's required to run the business until it can break even - the 'registered capital' is a guideline only. If you do looking for a minimum registered capital, for instance RMB 30,000 (which is impossible to establish a WFOE in China) this means you will run out of money pretty soon, which leads to increased costs in reapplying for permission to increase capital, additional licensing fees and renewals of business licenses and so on. The WFOE needs funding via it's registered capital until it's about to support itself from it's own cash flow.

However the amount of registered capital is dependent upon factors like Scope of Business and Location. In reality local authorities will review the feasibility study report (and check the lease contract) approve the investment on a case-by-case basis; reduced registered capital could be negotiated in some cases.

The minimum registered capital guides for various industries according to our practice in China, for instance Beijing, Shanghai[100k RMB registered capital Sample], Guangzhou, Shenzhen, Hangzhou, Dalian, Ningbo are given below: 

Consulting WFOE	RMB 100,000 ~ RMB 500,000
Service WFOE	RMB 100,000 ~ RMB 500,000
Hi-Tech WFOE	RMB 100,000 ~ RMB 500,000
Trading WFOE / FICE/ Retail	RMB 500,000 ~ RMB 1 million
Food & Beverage WFOE	RMB 500,000 ~ RMB 1 million
Manufacturing WFOE	RMB 1 million or USD 140,000

Office address of WFOE [Very important] 

Before submit the application forms of forming a WFOE in China, the foreign investor must rent a plant(manufacturing WFOE) or an office in advance(ridiculous? ), the office of WFOE can't be in a residence building nor residence and commerce (R&C) combined building. **Virtual address is not allowed to be registered a WFOE there although it's widely existing for local companies. Anyway, a normal office building in China will be OK for register a WFOE. 

Fees: Lower cost/ Fees/ Charge

Email us: contact@sfconsultingbd.com 

Shanghai, Beijing, Shenzhen- China

S & F CONSULTING FIRM LIMITED

Foreign Company Registration Process in China

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