Concept of Guangzhou WFOE
Guangzhou WFOE Formation Service
Hotline: 86-755-82143348, Email:firstname.lastname@example.org
Guangzhou WFOE stands for Guangzhou Wholly Foreign Owned Enterprise, is a limited liability company wholly owned by either a foreign individual a or foreign legal entity. Hong Kong, Macao, Taiwan, investors is also included.
Advantages of Establishing a Guangzhou WFOE
Ability to formally carry out business rather than just function as a representative office which is restricted in many ways.
There is no requirement for investors to be established for over 2 years while parent company of Representative Office should as least has 2 years history.
Protect Intellectual property and Independent technological patents
Greater efficiency in management, operations and future development
Ability to receive RMB revenues and issue official invoices.
Legal profits, lawfully-earned income and funds after liquidation can be remitted abroad.
Able to convert RMB profits to US dollars for remittance to its parent company outside of Guangzhou
Guangzhou WFOE Company Name
Not every name will be accepted by local Administration for Industry and Commerce in Guangzhou. The name of each WFOE shall be unique and not be the same with or similar to the registered name in the same industry. The official company name of a WFOE in Guangzhou should be in Chinese, while English company names are for reference only.
The Chinese name is divided into four parts, first part is name of city (for example: Guangzhou), second part is company name (for example: ZYC), third part is Sector Expression (for example: trade), and fourth part is type of company (for example: limited).With that an enterprise called ZYC set up in Guangzhou engage in trade business will be called Guangzhou ZYC trade limited.
If the words "investment" or “international” within a company name, the registered capital should be more than RMB 10 million, the use of the word 'Guangzhou' in a company name, it is required to be pre-approved by ICAB at national level in Beijing.
Business Scope of Guangzhou WFOE
Business scope is one of the most important issues in WFOE registration application, divided into the licensed business item and the general business item. Licensed business item means a pre-approval is needed before business license application. General business item means ordinary item which can be registered in Bureau of Industry and Commerce directly.
In Guangzhou, Business scope of a business is a "one sentence description" covering all of the present and future activities of the WFOE; In Guangzhou, Business scope of a business is a "one sentence description" covering all of the present and future activities of the WFOE; It is essential this encompasses every envisaged scope of future activity. Guangzhou Wholly Foreign Owned Enterprise (WFOE) can only conduct business within its approved business scope, which ultimately appears on the business license. Any alteration to the business scope requires further application and approval. There is some connection between business scope and register capital. Generally speaking, larger register capital, more business items can be approved.
Needed Documents for a Guangzhou WFOE Registration
2x Original Bank Reference Letters from investor’s bank (declare a good standing).
2x Original Certificate of Incorporations, Articles of Incorporation or Equivalent document notarized by local lawyer and endorsed by Chinese embassy or consulate. For individual investor: 2x original Passport copies of Investors need be notarized by local lawyer and endorsed by Chinese embassy or consulate.
The latest annual audit report copy of Investor Company provided by a Certified Public Accountant (CPA) (For foreign companies established over one year)
Certificate of Guangzhou Company domicile: 2x original leasing contracts, 2x copies of house property certificate with company stamp or signature of lesser and 2x landlord identification documents (The lessee should be acted by legal representative or investor. The area is required no less than 30 ㎡ and for commercial use only with more than one year’s rent and the lease contract should be endorsed by local Housing Management Authority)
ID or passport copy of directors, supervisors and managers
ID or passport copy and 4 photos (2 inches size) of legal representative
Appointment letter for legal representative, directors, supervisors and managers
Letter of authorization for service of legal documents
Other relevant documents and certificates;
Guangzhou WFOE Registration Procedure
Name Pre-registration with Guangzhou Administrative Bureau of Industry and Commerce
Pre-approval document or certificate for some special industries
Approval application from Fire and Environment Bureau for manufacturing industry
Certificate of Approval issued by Bureau of Foreign Trade and Economic Cooperation of Guangzhou Municipality
Registration for Business License
Carving of Company Chops
Registration for Organization Code License
State tax certificate registration
Local Tax certificate registration
Registration and Approval with State Administration of Foreign Exchange (SAFE)
Bank account opening including foreign currency and RMB
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Guangzhou Tannet Tel：86-20-87550061
Guangzhou Tannet Website：http://www.for-guangzhou.net
Guangzhou Tannet E-mail：email@example.com
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