China Company Formation

China company formation assists our clients to legitimately conduct business in one of the world’s fastest-growing economies. The following information will help you determine whether China company formation is the optimum corporate structure to fulfill your international business objectives:
Advantages of China Company Formation
1.	100% foreign ownership is permitted for a Foreign-Invested Commercial Enterprise (FICE) and a Wholly-Owned Foreign Enterprise (WOFE). For more information, see our Why Set Up a company in China? page.
2.	A China Representative Office is an ideal way for entrepreneurs interested in China company formation to market a parent company’s services in China.
3.	A Chinese company can access double taxation treaties with countries including including Australia, France, Germany, India, Singapore, the UK and the US to support China company formation.
4.	China company formation is popular with foreign investors looking for a foothold in the world's third-largest economy (after the USA and EU). According to the United Nations Conference on Trade and Development (UNCTAD), China is Asia's largest recipient of foreign direct investment (FDI).
5.	Following China company formation, Healy Consultants can open a corporate bank account with one of the world's leading retail banks, including HSBC, Standard Chartered and Citibank. For more information, visit our China corporate bank account page. For a wider overview of our services visit our Other services to support China incorporation page.
6.	In its 2008 World Competitiveness Yearbook, the Switzerland-based IMD positively ranks China as the world’s 17th most competitive economy. The ranking takes into account factors including economic performance, government efficiency, business efficiency and infrastructure.
Disadvantages of China Company Formation
1.	All Chinese companies suffers a unified 25% tax on global profits. However, tax deductions are available for WOFEs and FICEs in special cases, for example if the investment occurs in a province actively trying to encourage foreign investment and technology..
2.	China company formation is hampered by inefficient bureaucracy and complex licensing procedures. This is reflected in the country's poor rank as the world’s 83rd easiest place to do business in the 2008 Doing Business Survey by the World Bank. The survey measures factors including China company set up procedures, time, cost and minimum capital required to start a business. Furthermore, China is negatively ranks as the world's 126th freest economy in the Heritage Organisation’s 2008 Index of Economic Freedom, a measure of freedom enjoyed in business, trade, monetary, financial, investment and labour markets.
3.	Examples of the restrictions placed on Chinese companies include the inability of a Representative Office to make sales and invoice clients in China.
4.	China's legal system has a poor international reputation, for example the enforcement of intellectual property rights. As evidence of this, China ranks as the world's 72nd-least corrupt country in the 2007 Corruption Perceptions Index by Transparency International, a global measure of corruption amongst public officials and politicians. Moreover, China is poorly ranked as the world's 34th most competitive economy in the World Economic Forum's Global Competitiveness Report 2007-2008.
5.	Following China company formation, all entities are required to submit financial statements and tax returns to federal and provincial authorities.Healy Consultants will assist our clients efficiently and effectively to complete this annual statutory obligation.
Healy Consultants' China Company Formation Fees
WOFE - Our fee for this type of China company formation starts at US$9,250, although total engagement costs depend on the range of the professional services required.
FICE - Our fee for this type of China company formation starts at US$8,500, although total engagement costs depend on the range of the professional services required.
Representative Office - Our fee for this type of China company formation starts at US$6,250, although total engagement costs depend on the range of professional services required.
Joint Venture - Our fee for this type of China company formation starts at US$7,250, although total engagement costs depend on the range of professional services required.
Other Information
Refer to the following links to read more information on China company formation:

Contact Us
For more information on China company formation, email email@healyconsultants.com or call us in Singapore at (+65) 6735 0120.
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