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WFOE stands for wholly foreign-owned enterprise: a company registered in China and owned entirely by foreign investors, such as you or your European company. Most WFOEs are limited liability companies, broadly comparable to a GmbH, SARL or BV. The term is still widely used, although foreign-invested companies now fall under China's Foreign Investment Law and Company Law. A WFOE is a separate Chinese legal entity, not a branch of your European business.

Yes, for many business activities. Trading, sourcing, consulting, software services and many other sectors permit full foreign ownership, so a Chinese joint-venture partner isn't required. Some activities are restricted or prohibited under China's foreign investment negative list, and others need licences regardless of ownership. We check your planned business scope before recommending a structure.

A representative office can only carry out liaison and market research activities for its parent company: it cannot sign sales contracts, invoice Chinese customers or earn revenue in China. If you want to trade, provide services, employ staff directly or manage suppliers with your own entity, a WFOE is usually the better fit. We can talk through which structure suits your plans.

Start with where your customers, suppliers and staff actually are. Shenzhen suits electronics, hardware and sourcing businesses; Shanghai is a common choice for consumer brands, finance and regional headquarters; Beijing for technology and government-facing work. We support Shenzhen, Shanghai, Beijing, Wuhan, Hainan and Changsha, with our headquarters in Shenzhen, and help you compare address availability, costs and industry requirements.

Allow around 10–20 working days for the business licence once your documents are complete and an acceptable address is confirmed. That is our planning estimate, not an official deadline. European applicants should allow additional time beforehand for apostilles, sworn translations and courier, and afterwards for the bank account, tax registration, any industry licences and visas. Most clients should budget one to two months from first call to an operating company with a bank account.

There is no general minimum, although some sectors have their own rules. Choose an amount that is credible for your business plan and that you can actually fund. For a newly established limited liability company, subscribed capital is generally due within five years of incorporation, subject to exceptions. Registered capital is money you invest in your own company; it is separate from our fee.

Not necessarily. They are separate roles, although one person can hold both. The legal representative is a director or manager who acts for the company, as set out in the Articles of Association. The role carries real legal responsibility, rather like a Geschäftsführer, so choose someone who will be actively involved.

Usually: the registration application, Articles of Association, passport copies for individual shareholders or corporate documents for a European company shareholder, officer appointments and ID, and evidence of a lawful business address in China. Regulated activities can require further approvals. We prepare a checklist tailored to your ownership structure, activity and city.

Most of the registration can be handled from Europe: you sign documents, have them apostilled and courier them to us. Don't assume the whole process is remote, however. Plan for the legal representative to visit China for bank account verification unless the bank confirms an accepted alternative. Confirm the bank appointment before booking flights.

Yes. A European entity can be the sole shareholder of a WFOE. China will ask for corporate documents such as a recent commercial register extract (for example a Handelsregisterauszug, Kbis extract or KvK extract), the articles of association and evidence of authorised signatories, apostilled and translated into Chinese. Whether to hold the WFOE personally or through your European company affects your tax position, so decide with your adviser before we file.

China joined the Apostille Convention in November 2023, and all EU member states are parties, so Chinese consular legalisation is no longer needed for covered public documents. Each country designates its own competent authority, often a court, ministry or regional government office, and private documents may need to be notarised first. Chinese translation is usually also required. Check the exact list with us before ordering apostilles.

No single EU-wide treaty exists. Instead, each EU member state has its own bilateral double tax treaty with China. China's domestic withholding rate on dividends paid to a non-resident company is 10%, and many of these treaties reduce it to 5% for a company shareholder with a substantial holding, often at least 25%. Rates for interest, royalties and individual shareholders also vary by treaty, so check the one for your country.

Possibly. The EU Anti-Tax Avoidance Directive requires every member state to have CFC rules, which can attribute certain low-taxed income of a foreign subsidiary to its EU parent. China's 25% standard corporate income tax rate often keeps an operating WFOE outside their scope, but reduced rates, reliefs and passive income can change that. Ask your home-country adviser to review your structure.

For most businesses, no. In January 2025 the European Commission recommended that member states review outbound investments in semiconductors, artificial intelligence and quantum technologies, and EU dual-use export controls and sanctions continue to apply. Typical trading, sourcing, consulting and service companies are unaffected. If your Chinese company could touch sensitive technologies, take advice in your home country before investing.

Foreign employees legally working in China generally have to join China's social insurance system. China has social security agreements with several EU countries, including Germany, France, the Netherlands, Spain, Denmark and Finland, which can exempt seconded employees from some contributions for a limited period if they hold a certificate of coverage from home. Check the agreement for your country and the employee's arrangement.

China does not have an EU adequacy decision, so transfers of personal data from the EU to China generally need a GDPR transfer tool such as standard contractual clauses, plus a transfer risk assessment. China also has its own Personal Information Protection Law. Plan your customer and employee data flows with your data protection adviser before the subsidiary starts operating.

We quote and invoice in RMB, the currency your China company operates in. Euro figures on this site are approximate conversions to help you budget. Ask your adviser about payment options from Europe; the final amount in euros will depend on the exchange rate and any bank fees when you pay.

Expect to provide the business licence, the legal representative's passport, the company seals and any ownership, authorisation or business information the branch requests. Banks carry out their own checks and usually require an in-person visit. Our VIP service prepares and coordinates the application, but the bank makes the final decision.

Usually, yes. Banks such as ICBC offer corporate online banking for balances, transfers and payments. Access, English-language options, security tokens, approval permissions and reliability from abroad depend on the bank and service. Confirm these features when the account is opened, especially if you will run the business from Europe.

Before sending funds, ask the receiving bank to confirm which company account to use, the foreign investment registration, currency, remitter details and payment reference. The transfer should come from the shareholder named in the company documents, whether that is you or your European company, so there is a clear evidence trail. Don't assume a transfer from someone else's account, a cash deposit or a third party will count as a capital contribution.

Yes, within the rules. Capital isn't frozen or limited to investments, but its use must follow China's foreign-exchange rules and genuine business needs. Ask the bank and your accountant to confirm the payment route and documents needed for rent, salaries and other planned costs.

Often not. Under China's unilateral visa-free policy, citizens of most EU member states can currently enter for up to 30 days for business meetings, trade fairs, tourism, family visits and transit. The policy runs for fixed periods and has been extended several times, so check the current country list and end date before travelling. Visa-free entry does not permit employment.

No. Owning a company and being permitted to work are separate. To work in China long term, you normally need a work permit and a work-type residence permit, usually entering on a Z visa. A business licence is not work authorisation, and neither visa-free entry nor an M business visa permits employment.

First, the employer in China (which can be your own company) obtains a work permit notification. Next, you apply for a Z visa through the Chinese Visa Application Service Centre or consular post responsible for your place of residence. After arrival, you complete the work permit, health check, accommodation registration and residence formalities, and normally apply for the work-type residence permit within 30 days of entry. The exact route depends on your circumstances.

Applicants generally need to be at least 18, healthy, without a criminal record, with an eligible employer and suitable skills. A common Category B route uses a bachelor's degree plus two years of relevant experience, generally up to age 60. European applicants typically provide an apostilled degree certificate and a national criminal record certificate, such as a German Führungszeugnis or French extrait de casier judiciaire, apostilled and translated. Alternative routes and exemptions exist, so eligibility needs an individual review.

Category A is for qualifying high-end talent, Category B for foreign professionals and Category C for other eligible foreign staff under the relevant policies. These are work permit classifications, not products you choose. Your qualifications, role and the applicable criteria decide which applies, and we assess this before recommending an application.

No. Our work visa service, about €1,020 (RMB8,500) per person, is for an application targeting one year of work and residence permission. Actual approval and validity are decided by the authorities. The Z entry visa and the subsequent work and residence permits are separate documents. Medical examination costs are not included.

For a long-term S1 visa to join a foreigner living in China, eligible relatives are a spouse, parents, parents-in-law and children under 18. They normally need proof of relationship, such as an apostilled marriage or birth certificate, an invitation letter and copies of the sponsor's passport and residence permit. The consular authority decides each application.

S1 is for stays of more than 180 days; S2 is generally for stays of up to 180 days and covers a wider range of relatives. S1 holders must apply for a residence permit within 30 days of arrival. Neither family visa permits work. Our family visa service is about €480 (RMB4,000) per person.

Yes. Plan for proper bookkeeping, supporting documents and your filing schedule from day one. Some filings are usually required even before you start trading; having no sales does not mean compliance can wait. Our monthly accounting service is separate from company registration unless your written proposal says otherwise.

No. Depending on the tax and your company's status, filings can be monthly, quarterly or annual. Our monthly fee is a billing period, not a statement that every tax follows the same cycle. Public holidays can also move official deadlines.

The main ones are corporate income tax and VAT, which works much like European VAT, plus related surcharges and other taxes depending on your transactions. The standard corporate income tax rate is 25% of taxable profit, and qualifying small companies can pay considerably less. Foreign ownership does not, by itself, change your rate or qualify you for incentives. Ask for an assessment based on your activity and taxpayer status.

It isn't that simple. The 183-day test matters for a non-domiciled person's Chinese tax residence, but domicile, the source of income, your country's tax treaty and China's special six-year rule all play a part. Some foreign-source income paid outside China can be exempt under the non-domiciled rules. Your home country may also continue to tax you. Review your travel and income with advisers in both countries.

Yes, once profits have been properly calculated and taxed. A dividend must follow China's profit-distribution rules and the applicable tax and bank procedures. China's domestic withholding rate for a non-resident company shareholder is 10%, which many EU treaties reduce to 5% for a substantial holding. For foreign individuals, the rate on dividends from foreign-invested enterprises is 20% from September 2026, reduced to the treaty rate where an eligible EU resident claims it.

Yes. Every virtual office we offer is approved for company registration, and we check its suitability for your city and business activity before booking. They are not offered for visa applications. Our Company Registration & Bank Account package, about €2,230 (RMB18,478), includes one year of virtual office with a formal lease. Standalone virtual offices start from about €360 (RMB3,000) per year.

No. A Chinese company must have a lawful registered address in China, in the district where it is registered. That is why our registration package includes a one-year virtual office. Your European address can still be used for correspondence and as the shareholder's address on company documents.

Yes. Our Company Registration, Bank Account & Work Visa package, about €2,270 (RMB18,869), requires a separately paid serviced office with at least a one-year formal lease from an approved provider, plus the required premises documents. Starting monthly prices range by city from about €360 to €600 (RMB3,000–RMB5,000). The authorities still assess the premises and your case.

Speak to us before signing or relying on the lease. We need to check its permitted use, whether it can be registered, the address documents and whether it suits your business and any work permit application. A lease on its own does not guarantee approvals.

Not always. You may still need the bank account, tax registration, industry licences and employment or social insurance setup. The order depends on your activity and whether you employ staff. We explain the remaining steps and which are included in your service.

Company Registration & Bank Account, about €2,230 (RMB18,478), includes one year of virtual office and bank account support, with no work visa. Company Registration, Bank Account & Work Visa, about €2,270 (RMB18,869), adds work visa support for one person but requires a separately paid serviced office and accounting. Compare ongoing costs as well as the setup fee; final scope is confirmed in your proposal.

About €180 per month (RMB1,500) for up to 50 transactions, €300 (RMB2,500) for 51–200 and €420 (RMB3,500) for 201–500. Interpreter support is included. Ask for a tailored quotation above 500 transactions, and confirm how transactions are counted before choosing a plan.

Yes. Our advisers work with clients in English, German and Russian, as well as Chinese, Thai, Indonesian and Burmese. Chinese documents are explained to you before you sign. Shenzhen is seven hours ahead of Central European Time in winter and six in summer, so European mornings overlap with the Chinese working afternoon.

Ask your adviser for secure tracking access and milestone updates. The “Track application” button on this site prepares an email requesting access; it does not display private application records itself. Keep your application reference to hand when you contact us.

Not effectively in mainland China. Google, Facebook, Instagram, YouTube, X and WhatsApp are blocked, and LinkedIn closed its China-specific app in 2023. Chinese consumers and buyers use WeChat, Baidu, Douyin, Xiaohongshu (RED) and Weibo instead. To reach them, you need a presence on those platforms, with content written for Chinese audiences rather than translated from your European campaigns.

Plan 1 covers one platform, WeChat or Xiaohongshu, with 8 posts per month. Plan 2 covers WeChat and Xiaohongshu with 20 posts per month. Plan 3 covers WeChat, Xiaohongshu and Weibo with 40 posts per month and up to two influencer outreach activities. Our Hangzhou team handles content and copywriting. Post numbers are package totals; request a proposal for pricing and reporting details.

The plans include setup and verification support, subject to the platform accepting your entity and documents; some platforms require a Chinese company. Approval is not guaranteed. Influencer fees are not included in Plan 3. Platform charges, advertising budgets and other third-party costs are confirmed separately in your proposal.

Yes. Ask us about website localisation, translation, a Chinese brand name or Douyin setup. Having a Chinese-language website and being permitted to host it in mainland China are separate questions. Confirm the hosting location, entity, content and any required ICP filing or licence before launch; requirements vary by province and provider.