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Shenzhen IT Industry Co-operative Joint Venture (CJV)

Shenzhen IT industry Joint Venture is a company set up and invested by Chinese and foreign investors in Shenzhen IT industry. It effectively uses the advantages of local enterprises. There are two types of joint venture: Equity Joint Venture (EJV) and Co-operative Joint Venture.

Shenzhen IT Industry Co-operative Joint Venture

A more flexible way of operation with a Chinese partner is a Co-operative Joint Venture which is governed by the Law on Chinese Foreign Co-operative Enterprises promulgated in 1988 and amended in 2000. This legal framework allows individual agreements such as profit sharing, which need not be restricted to the equity contributions. It differs mainly with the equity joint venture in that the foreign investor may repatriate his original investment prior to the expiration of the joint venture.

Shenzhen IT Industry Co-operative Joint Venture Features

This kind of partnership structure has limited applicability between foreign individuals or entities and Chinese entities.

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