If you are planning to set up your business in China then get ready to face tough legal structure. Foreigners can’t apply their own strategies and plans as they are unfamiliar with the market trends of China and even they can’t take any assistance from the Chinese Businessmen. In that case here are few basic things that you need to consider while setting up a business in China:-
1.Do A Research:-
There is no logic to reel your wheels on such things that people have done before. So whenever you are planning to start your business in China then always do a lot of research so that you are able to find out the pros and cons of the particular business. Moreover you will get a chance to avoid repeating those errors that usually people have done before in their own business. There are few things that you need to include in your home work as mentioned below:-
-What kind of business strategies you need to follow?
-What type of business is success in China?
-Go through the guidelines to start a business.
-Does Foreigner is allowed to invest foreign capital?
-What are the special restrictions for the foreign investor?
2. Pick A Location :-
Your office location plays an important role so before freezing any property, you must determine some facts as center places are not the only option especially if you are selling goods rather than the services. Here are some points that you must focus while searching for the location:-
-What kind of transportation you would required for your business?
-Are you rely on some goods that need to be import?
-How you will get the goods from the port to your location?
-What will be your logistical needs?
-Do you need to hire regular logistical services?
3. Choose Entity Status:-
Before jumping to the China’s market you have to determine that what vehicle you want to choose to start your trade such as:-
1.Joint Venture (JV Shanghai)
2.Representative Office (RO Shanghai)
3.Wholly Foreign Owned Enterprise (WFOE Shanghai)
Every entity has its own limitations and advantages and offers you a complex structure. If you are not able to make out the right decision then you can hire Chinese agent who will guide you about whole things.
4. Determine Business Plan & Strategies:-
Being a foreigner it is tough to assume that what strategies will work in the market and how to approach the clients. You can take the assistance from your agent who will brief you about the market trends which helps you to design appropriate business plans.
5. Documentation:-
Even the hired agents will allow you to get the affiliation for your business. You just need to provide him a copy of various documentation and rest of the paperwork will be done by him only.
1.Do A Research:-
There is no logic to reel your wheels on such things that people have done before. So whenever you are planning to start your business in China then always do a lot of research so that you are able to find out the pros and cons of the particular business. Moreover you will get a chance to avoid repeating those errors that usually people have done before in their own business. There are few things that you need to include in your home work as mentioned below:-
-What kind of business strategies you need to follow?
-What type of business is success in China?
-Go through the guidelines to start a business.
-Does Foreigner is allowed to invest foreign capital?
-What are the special restrictions for the foreign investor?
2. Pick A Location :-
Your office location plays an important role so before freezing any property, you must determine some facts as center places are not the only option especially if you are selling goods rather than the services. Here are some points that you must focus while searching for the location:-
-What kind of transportation you would required for your business?
-Are you rely on some goods that need to be import?
-How you will get the goods from the port to your location?
-What will be your logistical needs?
-Do you need to hire regular logistical services?
3. Choose Entity Status:-
Before jumping to the China’s market you have to determine that what vehicle you want to choose to start your trade such as:-
1.Joint Venture (JV Shanghai)
2.Representative Office (RO Shanghai)
3.Wholly Foreign Owned Enterprise (WFOE Shanghai)
Every entity has its own limitations and advantages and offers you a complex structure. If you are not able to make out the right decision then you can hire Chinese agent who will guide you about whole things.
4. Determine Business Plan & Strategies:-
Being a foreigner it is tough to assume that what strategies will work in the market and how to approach the clients. You can take the assistance from your agent who will brief you about the market trends which helps you to design appropriate business plans.
5. Documentation:-
Even the hired agents will allow you to get the affiliation for your business. You just need to provide him a copy of various documentation and rest of the paperwork will be done by him only.
