China Company Formation

Are you harboring any plan for business expansion to a new country but feel unsure about the right choice? If this is the case, you may very well opt for China. The Chinese market is what most US and European MNCs and giant companies cannot afford to overlook. It is the world’s second-largest consumer market and the portion of affluent consumers is too hard to ignore for any company. While the logistics and culture related factors need any business expanding operation in market to do proper research and analysis- these should not be deterrents for your offshore China Company Formation plan.

The Chinese economy underwent a major change in the 1990s and doors were opened by the government to encourage foreign investment. Still the impact of long communist rule is felt-in everything-including business operations and interactions. But that has not deterred foreign investors from China Company Formation as the country still offers relatively cheap labor and skilled workforce.

While the social factors matter, you have to look at the sheer economic growth and trends in China to understand why it can be a good choice for business expansion. The country leads most other nations in Asia and outside the continent in trading and manufacturing output, as it is. The Chinese GDP crossed past $10 trillion in 2014, which was a record high. In fact, the country’s GDP growth has bypassed 10 per cent in last three decades. The average spending power of Chinese residents is rising with time. The middle class in China usually regard brands and products from the EU and the USA in high esteem.

Owing to the growing percentage of middle-class consumers in China, it is easier for offshore companies to start operations in the country, compared to many other countries in Asia. The China Australia Free Trade Agreement is a major step in letting Australian companies expanding operations in the country. There are prospects of companies offering services in niches like tourism, food, media, hospitality insurance and more to get into China.

Manufacturing products in China should not be a problem and lack of resource is not going to be a deterrent. With time, Chinese people have understood the importance of learning English and so communication barrier is not as steep as it used to be even a decade back.

No matter if your company sells fast food or car insurance, China Company Formation will require clear understanding of taxation and legal norms. The BRIS group is the right partner to make your business expansion hassle free. Call us for details today for your China Company Formation needs.

• Director and one shareholder who can be non-citizens of China and also, they do not have to reside in China.
• Minimum capital can be as low as US$15,000.
• China as the largest populated country in the world – the second largest world economy.
• Manufacturing companies benefit in China from low labour costs.
• Companies located in China benefit from low cost and can enjoy of support from a big service industry that has numerous financial institutions and shipping agents;
• Lots of local industrial development zones.
• Fifty four Export processing zones (EPZs) offer a reduced rate of corporation tax and  subsidised custom duties;
• Subsidiary in China will be able to make use of almost a hundred double taxation avoidance treaties to reduce the withhold tax on dividends remitted overseas.
• DTAAs have been signed by China with many world leading markets.