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Office | Introduction | Information CHINA  
China is a land of opportunity for foreign companies and entrepreneurs. Following its accession to the World Trade Organisation (WTO) in 2001, China has made remarkable legal and regulatory progress - doing business in China has never been easier or more profitable.China is the world's fastest growing economy, the world's second-largest economy and the world's single biggest recipient of foreign direct investments (FDIs) among developing countries. With 1.3 billion people and a vast geography, China represents one of the last major frontiers. A properly structured China company is an excellent tax efficient corporate vehicle through which international business can be conducted. Joint Venture Company (JVC) In a JVC, a foreign person or entity goes into business with a Chinese person or entity. This type of China Company formation is usually set up as a limited liability company, with liability limited to the contribution of the shareholders. There is no minimum foreign contribution requirement for a JVC, allowing for foreign minority shareholders. Contribution is not required to be monetary, as it can also be ‘in kind’, including labour, resources and services. Representative Office (RO) A Representative Office is a useful and inexpensive corporate vehicle through which a foreign presence can be established. However, ROs are restricted in their activities. They can be valuable in market research, marketing and sales administration, project investigation for a parent company and hiring of local staff. ROs cannot invoice Chinese clients and premises must be rented in China. Wholly Foreign Owned Venture (WFO) In recent years over 65 per cent of foreign investments in China have been in the form of a WFO, mainly because of the absence of a minimum and maximum investment requirement. The unique feature of a WFO is that involvement of a Chinese investor is not required unlike most other investment vehicles. This can give greater control over the business venture in China and avoid a multitude of problematic issues which can potentially result from dealing with a domestic joint venture partner.
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