Hi All,

Just a query. If an established company in Europe was considering saetting up an office to do business in Shanghai would they need a local partner or can they set up independently as Shanghai is an SEZ? I am getting some info for a few people.

Thanks

It all depends on the specific industry you are in, but in most cases you can establish a representative office or WFOE on your own. If you are in a sensitive or protected industry, yes you will need a partner.

What is a WFOE? Sorry I am a bit naive about this! Can the representative office operate and hire locals and bring in staff from the euro company to work in shanghai? They are a consuting company.

Thanks

Thanks for the info. Its mostly banking consulting some energy companies. They are medium sized and do a lot of work for multinational companies based in europe. Its an idea to expand their market more and would be a small operation I think and could do the whole visitor visa for projects. I have a good relationship with the Chininese embassy here and with our consulate in Shanghai so I will starting asking questions from them as well. Thanks. Its not a I wanna open a shop or restaurant in the french concession thing

Cheers

S

Fair enough. I was just asked as they know I travel for my work to China I am not in the consulting arena and have no idea what its like for this in Shanghai. I have a contact though our govt enterprise organisation that will be able to guide them now. Is it that impossible? This is not a small fly by night operation with a guy who is looking to get rich quick. Its a professional medium sized org/

It is easy,find agency who do register company in shanghai,those agency can help out.Need EU Co issue their register files,fill some documents,for banking,need approved by the people's bank of china,energy co is ok.

even tough this forum might provide some answers, i would suggest you should get in touch with your respective chamber of commerce....after all that is what they are here for!!!

there is even a "euro" chamber: http://www.europeanchamber.com.cn/view/home
although most countries have their own as well...

For a RO (Representative Office) would onlyn allow you to perform researches, monitoring, and liaisons activities which will not cause directly income.

WFOE(Wholly Foreign Owned Enterprise) would be a good option. It almost enjoys all the same treatment as a local enterprise, and a sperated leagl entity from thr parental compnay.

For more infomation on business registration in China, you can visit:
www.china-business-registration.com
or you can contact
15021151356 (John)

Actually representative Offices (RO) are not allowed to conduct business in China since they are not legal person. They cannot invoice or contract. Setting up a WFOE is an expensive option, since you'll have to get a class A work location and set up everything from zero in China (with all that it implies), meaning expend some 5-6 months in Bureaucratic paperwork to get it going.

I work for iqubator, we help you develop your business in China. We provide a good work location, other administrative aspects, amongst them hiring, contracting and invoicing; basically what foreign companies need to start conducting business regularly right away till they are to stand on their two feet.

We also provide through our partners all consulting services needed like marketing, legal, finance, translating, recruitment, etc.

Write to me at: daniel.pardo@iqubator.com
Visit us at: http://www.iqubator.com