Business China

How to start a business in Guangzhou as a foreigner?

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Business China Advantages:

1. One-stop business service provider of China business registration, China working visa application, China accounting, and tax compliance service.
2. A professional consulting team with more than ten years’ experience.
3. Numerous successful cases of clients from all over the world.
4. Bilingual service.

How to start a business in Guangzhou as a foreigner?

Advantages of Applying for a China Work Permit:

1. Foreign investors or employees could apply for one-year work residences without leaving China. Foreigners holding L visas, F visas or M visas had to exit China to extend their visa while residing in China after one year. Obtaining a China work permit leaves you no worries.

2. Family members of China Work Permit holders can apply for family residence permits afterward without leaving China to extend visas.

3. A China Work Permit and Family Residence Permit only require one-time extension per year.

4. Gaining a residence permit in China enables you to work and live in China legally.

Advantages of registering a company in China as a foreigner:

1. Legally operate the business inside of China and generate tax invoices.
2. Apply China Work Permit for foreign employees.
3. Apply for import and export rights and enjoy tax refund.
4. Apply for general taxpayer.
5. Protect intellectual property and independent patent technology.

As a foreign entrepreneur, how to open a company in China or start a café, restaurant, a bar?

We will give you a full explanation via an example of setting up a Guangzhou company.

First, Choose investor (Shareholder of China company)

Compared to the setting up procedure of China company as a Chinese nationality, starting a company in China as a foreigner is a different story with a different start.

For foreigners, you are required to select a foreign investor, either individuals or entities coming from overseas or HK / Macau/ Taiwan.

Three types of foreign investors:

Type A: Foreign companies
Type B: Foreign individuals
Type C: HK/ Macau/ Taiwan companies or individuals

If you choose type A (foreign companies), then you need to certify and notarize the foreign companies’ business license, article of association in their local notary office and China embassy or consulate overseas. The bank reference letter is not a required file after the year of 2015 since the adoption of registered capital registration of China company. For China WFOE’s Latest Capital Requirement, please check here:

If you choose type B (foreign individuals), then you can select either certify or notarize the passport in local notary office and China embassy overseas or bring your passport into China and use the original to do the passport certification inside of China for around five working days.

If you opt for type C (HK/ Macau/ Taiwan companies or individuals), then you need to do the notarization in Hong Kong. By the way, Business China has the office in Hong Kong and can help you to finalize the Hong Kong company notarization.

Second, Set up China Company’s management layer.

Director: Formulate the company's primary management system, hire or dismiss the company's manager (general manager), and formulate plans for the company's merger, division, change of company form, and dissolution. Foreigners could either choose an exclusive director or set up the board of directors with at least three directors. (An excellent job option for China Work Permit applicant.)

Legal Representative: personnel responsible for the China incorporation and should be either director, manager or shareholder. (Another excellent job option for China Work Permit applicant.)

Supervisor: a manager appointed by the shareholders to supervise the daily operation of the company. (Please be aware that this is not a job option for China Work Permit applicant.)

Third, Rent an office address.

Leasing an office space for starting up an office in China should be arranged before the ship sails. Bear in mind that the leasing contract and clear property ownership certificate is the primary paper document. For some location in Guangzhou, the leasing contract record should arrange.

Fourth, Decide the registered capital.

The registered capital uses the subscription system, and foreigners can choose to do the capital verification within 30 years.

Fifth, Draft the business scope.

Forming a company in China does not mean you could engage in any business you want to, which is different from other countries. Although business scope could be modified or changed later, it saves you time and money if you could choose the business scope at the very beginning.

Take an E-commerce company for instance: edible agricultural products, handicrafts, clothing and footwear, cultural and office supplies, cosmetics, textile raw materials, leather products, stainless steel products, machinery equipment and accessories, electronic products, furniture, toys, feed, flower seedlings, bedding, packaging materials, paper products, communications equipment, plastic products, glass products sales, domestic freight transport agents, lease of own equipment (not allowed to engage in financial leasing), corporate management consulting (Except brokers), engaged in the import and export business of goods and technology, food circulation (operating with a license).

Should you have any question, you could reach us at
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