Registration of the Wholly Owned Foreign Company in China

The wholly owned foreign company is a limited liability company which means that the responsibility is that of the shareholders. Setting up a wholly foreign-owned company does not require a large investment in overheads, as it creates an independent company registration in china which is capable of making profits in China. Wholly Foreign Owned Enterprise may be incorporated to conduct general business activities in China, as specified by the business purpose. A wholly foreign-owned company allows the foreign investor to have full control over day-to-day business and decision-making without considering any Chinese partner.

The wholly owned foreign company formation procedure in Hong Kong, can also formally engage in any business and issue invoices to customers and receive RMB and convert profits into foreign currency and repatriate them. The Wholly Foreign Owned Enterprise is the most effective way to protect technical information on trademarks and trade secrets and allows a total authority regarding the recruitment of personnel, but it is not necessary to hire Chinese personnel. Wholly Foreign Owned Enterprise requires only one director of foreign nationality, who can act as an investor or a Hong Kong or overseas company.