The application procedures for the establishment of foreign enterprises are more simple.
The time limit for the approval of applications for the establishment of foreign enterprises is as follows: The approval organ must give a written reply within 30 days after receiving preliminary application from the foreign investor and decide whether or not to grant approval within 90 days (for Guangzhou and Shenzhen, 15 working days) as from the day all documents required for the formal application are received.
For foreign enterprises, the date of the issuance of business licence is the date of their incorporation. The foreign investor may appoint an FIE service company or other economic organisations to handle the application procedures, but a power of attorney must be signed.
Step 1: Submission of Preliminary Application
The foreign investor of a foreign enterprise should submit a report to the foreign trade and economic cooperation department at county level or above at the place where the proposed enterprise is located.
Step 2: Submission of Formal Application
After the foreign investor receives a written reply from the relevant government authorities, a formal application supported by all the required documents should be filed with the local foreign trade and economic cooperation department at county, municipal or provincial level.
Step 3: Application for Approval Certificate
After the formal application is approved, the foreign investor should apply to the foreign trade and economic cooperation department at county, municipal or provincial level for an approval certificate by presenting all the necessary documents.
Documents required: Application letter for establishing the foreign enterprise, feasibility study report, articles of association and list of board of directors.
Step 4: Registration
Upon collection of the approval certificate, an application for business licence should be filed with the provincial or municipal administration for industry and commerce within 30 days. Subsequently, the enterprise should complete such procedures as applying for official seal and enterprise code, opening bank account, and registering for tax payment and customs declaration with the local public security, technical supervision, taxation, Customs, finance, foreign exchange administration, banking, insurance and commodity inspection departments.