NAVIGATION

Subsidy for high-level foreign talent in Shenzhen

01 Overview of high-level foreign talent in Shenzhen :
High-level foreign talent refers to high-level foreign experts and returning students from overseas involved in three areas, namely:enterprise technology and innovative enterprises; scientific research and health education; arts, culture and sports. High-level foreign experts are classified into Category A and B, while returning students from overseas are classified into Category A, B and C. Category A talent refers to the national leading talent specified in Measures for the Determination of High-Level Professional Talent of Shenzhen (Trial); Category B talent refers to local leading talent; and Category C talent refers to reserve talent.
02 Basic eligibility criteria for high-level foreign talent :
1、Abides by the law, possesses good occupational ethics and a rigorous research attitude, adheres to science and facts and the spirit of teamwork and cooperation;
2、High-level foreign experts must have an employment contract of more than one year with the hiring organization. Returning students from overseas must be high-achieving individuals who intend to be entrepreneurs in Shenzhen or have signed an employment contract with an organization based in Shenzhen.
3、Meets the age requirement:
(1) Category A high-level foreign talent must be 60 years old or below;
(2) Category B high-level foreign talent must be 55 years old or below;
(3) Category C high-level foreign talent must be 40 years old or below.
Specific applicant criteria :
Category A :
RMB 3 million
Nobel laureates, recipients of prestigious international awards, academicians of the Chinese Academy of Sciences and Chinese Academy of Engineering, leaders of renowned enterprises or world-renowned organizations, recipients of prestigious international awards for specialized fields, etc.
Specific applicant criteria :
Category B :
RMB 2 million
Internationally-renowned academicians, provincial-level leading talent, heads of internationally renovwned tertiary institutions, recipients of prestigious international awards for specialized fields, etc.
Specific applicant criteria :
Category C :
RMB1.6 million
Individuals who have served as assistant professors at prestigious foreign universities, core members of teams of high-level foreign talent, performers in world-renowned orchestras, principal inventors of patented inventions, etc.

Income tax subsidy for high-level foreign talent and talent in urgent demand in Qianhai District of Shenzhen

Funding criteria:

Subsidy rate = (paid income tax amount - taxable income)*15%
15% of the excess of paid income tax amount over t.3he taxableincome will be subsidized
Income tax is exempt for the amount subsidized.

Enquiry details:

0755-88988988 (8:00-12:00/13:30-19:00 on working days)

Office address:

Service Center, Qianhai E Station, Building A, No. 1, Qianwan 1st Road, Qianhai Shenzhen-Hong Kong Cooperation Zone

For more detaills

please scan the QR code

Type 1

Wholly foreign-owned enterprise

A wholly foreign-owned enterprise is a company, enterprise, commercial organization or individual that is established in China according to the laws of China and derives its total capital from foreign investors. These include sole ownership by natural persons and by legal entities.

Registration requirements

（1）A rented office space for the company’s registered address;

（2）Sufficient start-up capital;

（3）One legal representative (who can be a shareholder, and can act as the executive director and general manager);

（4）One supervisor (who cannot be a senior executive);

（5）One financial manager is required (if personnel is insufficient, it can be assumed temporarily by a director);

（6）One person holding Chinese identification card is required as the company’s recipient of legal documents served within the country.

Pros:

（1）The shareholders own 100% of the shares and can operate independently without having to consider the position of Chinese investors. The company can determine its own strategic goals;

（2） Compared to the restricted operations of the representative office, a wholly foreign-owned company can receive payments in RMB and issue invoices;

（3）No minimum registered capital requirements - shareholders may decide on an appropriate amount of registered capital according to the company’s future development needs. If the capital becomes insufficient later on for the company’s operation, it can be increased. It is not advisable to set the registered capital amount at RMB 1;

（4）No restrictions on registered capital - currencies such as RMB, HKD and USD may be used as the registered capital currency.

Const:

（1）Allowed to be set up only as a single-member limited liability company.

（2）Apart from one foreign member, there must also be another foreign person acting as a company supervisor.

Case Study:

John Doe is interested in exploring the consultancy market in China and would like to set up a consultancy company under his name in China. After operating for half a year, Foreigner A would like to develop software for his online consultancy business, which requires him to set up a technology company. Foreigner A needs to find Foreigner B or Foreign Company B to form a joint venture company, as he is not allowed to create another sole proprietor under his name.

Type 2

Chinese-foreign joint venture enterprise

A joint venture established in China according to the laws of China and jointly operated by a foreign company, enterprise, economic organization or individual and a Chinese company, enterprise, economic organization or individual.

Registration requirements:

（1）A rented office space for the company’s registered address;

（2）Sufficient start-up capital;

（3）At least one Chinese investor (enterprise) and one foreign investor (enterprise or individual);

（4）Three directors and one supervisor;

（5）One financial manager is required (if personnel is insufficient, it can be assumed temporarily by a director);/p>

（6）One person holding Chinese identification card is required as the company’s recipient of legal documents served within the country.

Pros:

（1）A joint venture can benefit from shared resources with both parties leveraging their mutual strengths, and has easier access into the Chinese market by relying on the networks and established branding of the Chinese enterprise;

（2）The geographical advantage of a Chinese partner enterprise can help foreign investors reduce some of the financial expenditures reasonably and legally, thus lowering operational costs;

（3）Foreign businesses are entitled to certain benefits.

Cons:

（1）The Chinese investors cannot be natural persons from China, but must be Chinese enterprises;

（2）The investment percentage of foreign investors must not generally be lower than 25%;

（3） A board of directors is mandatory, which will be the highest decision-making body of the company. The legal representative must be the chairman of the board and cannot be the general manager.

Case Study:

A, who is Australian, and B, who is Chinese, are good friends interested in exploring the cross-border e-commerce business in China. They have decided to form a company for the venture. They have been informed by the personnel at the Market Supervision and Regulation Bureau of Shenzhen Municipality that B has to first establish a domestic enterprise under his name, then form a company with A as a Chinese enterprise, or else they would not be allowed to register their company.

Organizer:

The Shenzhen Taxation Bureau under the State Taxation Administration

The taxable year：

From January 1 to December 31 of a calendar year

Tax payment method：

1.By direct deduction from the company’s bank account through linking the company’s bank account to the tax authorities.

2.By payment through WeChat.

Tax filing schedule：

1.Personal income tax needs to be declared by the 15th of each month. Generally, salaries are paid monthly.

2.The VAT, corporate income tax and other relevant taxes of the previous quarter need to be declared to the tax authorities by April 15, July 15, October 15 and January 15 each year.

3.The annual financial and audit reports need to be submitted to the tax authorities by May 31 each year.

Tips:

1.The legal representative/finance manager/tax executive of your company needs to register himself or herself at the tax department by means of real-name verification, as well as his or her mobile number in China. Otherwise, you will not be able to process your taxes. The registration should be made after the company has applied for a business license and made an official seal;

2.Comply with the rules when using invoices. For a sale of goods, an invoice needs to be issued to the buyer. If an invoice is not issued in accordance to the details, the tax department may suspect tax evasion, for which you may be subject to penalty;

3.The company’s operating income must be deposited in the company’s general bank account, and not in the personal bank account of the legal representative;

4.Ask for invoices from drivers or shops when travelling in cabs or dining at restaurants during business trips. Invoices are the legal proof of your activities during the business trip.

Question answer

Q
What is the difference between registered capital and paid-in capital?
A
The registered capital of a company is raised at the time of its establishment, and is stated clearly in the company charter and registered with the company registration authorities. It is the amount of capital subscribed to by shareholders. Paid-in capital is the amount of capital contribution actually received from the shareholders when the company is established. It is the amount of actual capital held by the company.
As the subscribed shares of a company may either be paid for in a lump sum or in installments, the paid-in capital of a company may sometimes be lower than its registered capital. In any case, a company’s registered capital and paid-in capital should ultimately be the same.
Q
Is it necessary to pay stamp duty when the paid-in capital is in place?
A
It needs to be paid according to the specific amount of paid-in capital, and the tax rate is five ten thousandths.
Q
Does the company need to go to the tax bureau to register for the office?
A
Yes. You will need to complete a tax registration at your local tax department within 30 days of the purchase. After the registration is complete, you will need to pay a property tax. Any default in payment will result in a fine and an increased tax amount.
Q
The invoice is lost, what is the impact?
A
Losing an invoice will incur a fine, the amount of which is determined by the relevant tax department.
Q
The Shenzhen Taxation Bureau has implemented online ticket purchase. Can the online ticketing address be filled in with an address other than Shenzhen?
A
No. The measures for tax invoices do not allow for the delivery and use of invoices outside the local area. Therefore, you are not allowed to deliver blank invoices purchased online to addresses outside Shenzhen, and taxpayers are not allowed to use the blank invoices in a different place.

Tax and financial risks(Organizer: The Shenzhen Taxation Bureau under the State Taxation Administration.)

Since the financial and tax regulations of any two countries are different, naturally the tax policies in China will differ from those of other countries. For instance, tax declarations are made monthly, quarterly and annually. Failure to declare in time will result in you being blacklisted and paying a fine and an increased tax amount.

Employment risk(Organizer: the Shenzhen Human Resources and Social Security Bureau. )

If you hire Chinese, you need to know the labor laws in China. If you hire foreigners, you should pay attention to the timely processing of work visa and other relevant procedures. When recruiting employees, special attention should be paid to the recruitment registration, legal review, labor contract, confidentiality agreement, non-competition clause setting and the need to buy social insurance and provident fund for employees.

Business risk(Organizer: the Ministry of Commerce of the People’s Republic of China.)

Foreign investors in China must comply with the Special Administrative Measures (Negative List) for the Access of Foreign Investment and the Negative List for Market Access. Any business operation that goes beyond the scope of these measures will be investigated by the government and be subject to penalty.

Development and Reform Commission Order No. 19 of 2018

Special Management Measures for Foreign Investment

Access in the Free Trade Zone (Negative List) (2018 edition)

Question answer

Q
Before the establishment of the enterprise, the company's annual report must be completed before June 30 of the next year. Does it not affect the company without publicity?
A
Enterprises that have not disclosed their annual reports as required will be placed by the department for industry and commerce on a list of irregularly operated enterprises and fined accordingly. Failure to conform to this requirement for more than three years will result in the enterprise being included permanently by the department for industry and commerce on the “blacklist” of seriously non-compliant enterprises.
Q
In addition to the annual report publicity, the same need to be settled in the tax bureau system, and the impact of not reporting on the enterprise on time is?
A
An enterprise also needs to complete the settlement and payment of tax with the taxation bureau before May 31 of the year following its establishment. Any enterprise failing to settle and pay taxes within the stipulated period or submit complete documents may be fined and charged a higher tax amount by the tax authorities.
Q
Is it necessary to issue an audit report?
A
Audit reports can be issued by the enterprise according to its needs. An audit report can be issued if it is needed by a third-party during tendering and bidding processes, or to instill confidence in investors who are not involved in the actual operation of the company, or enable the management to have a better understanding of the company’s finances.
Q
How to buy social insurance for company employees?
A
There are two ways to purchase social insurance for your employees. You may apply to the Human Resources and Social Security Bureau of Shenzhen Municipality for a company social insurance account, after obtaining an account opening permit. Alternatively, you may ask your HR personnel to complete the relevant procedures at the local social insurance authority by bringing the employment contracts and other relevant documents. To enquire about the list of documents required, you may call the Chinese-language service hotline 12333.

Advantages and disadvantages of service outsourcing and hiring an internal team

Approach

Recommendation

Pros and Cons

Finance / legal services outsourcing

During the early stages of a company, when the team is small and there is still limited understanding of the Chinese market, it may be a good idea to consider outsourcing your financial and tax/legal work.

Pros:

(1) Highly professional: Tax agencies are professional in their work and promptly handle tax declarations, thus significantly reducing the risk of penalty for late declarations and damaging the company’s credibility. Engaging a legal services organization will also give you access to the quality services of professional legal teams.

(2) Reduces operational costs.

Cons:

Risks of disclosure of trade information and lack of communication efficiency.

Hiring an internal finance / legal team

After a company has reached a certain size, and its continued expansion requires the prompt and immediate communication and interaction of finance/legal personnel, it may be advisable to hire an internal finance/legal team.

Pros:

More secure:Prompt and immediate communication and interaction helps expedite internal financial processes.

Cons:

Higher costs: More costs need to be incurred for employees’ salaries, social insurance and provident fund contributions, as well as benefits.

List of well-known accounting firms in Shenzhen can provide financial and taxation outsourcing services

Name

Address

Website

PricewaterhouseCoopers Shenzhen Office

34th Floor, Tower A, Kingkey 100, 5016 Shennan East Road, Luohu District, Shenzhen

www.pwccn.com/en.html

Deloittet Shenzhen

13th Floor, China Resources Building,5001 Shennan East Road, Shenzhen

www.deloitte.com/cn/en.html

Ernst & Young Shenzhen

21st Floor, China Resources Building, No. 5001 Shennan East Road, Shenzhen

www.ey.com/en_gl/

KPMG Shenzhen

15th Floor, China Resources Building, No. 5001 Shennan East Road, Shenzhen

home.kpmg/cn/zh/home.html

BDO Shenzhen

16th Floor, Building A, Shenzhen Investment International Business Center, No. 1061, Xiangmei Road, Futian District, Shenzhen

www.bdo.com.cn/en-gb/microsites/english/home

A list of well-known law firms in Shenzhen can provide legal business outsourcing services

Name of Law Firm

Contact Details

Website

Beijing Yingke (Shenzhen) Law Firm

3rd Floor, Tower B, Rongchao Business Center, No. 6003, Yitian Road, Futian District, Shenzhen, Guangdong Province

www.yingkelawyer.com

Guangdong Sincere Qianhai Law Offices

Building 8 Qianhai Enterprise Dream Park，No.63 Qianwan 1st Road，Qianhai Shenzhen-Hongkong Modern Service Industry Cooperation Zone, Shenzhen

www.qianhailaw.cn/services

China Commercial Lam Lee Lai (Qianhai) Law Firm

Unit B, First Floor, Building 3, Enterprise Dream ParkQianhai Shenzhen-Hongkong Modern Service Industry Cooperation Zone, Shenzhen

www.hs-lll.cn/en

Global Law Office

Units B/C, 26th Floor, Tower 5, Dachong International Center, No. 39 Tonggu Road, Nanshan District, Shenzhen

www.glo.com.cn/en/

Dentons Shenzhen

3rd & 4th Floor, Block A, Shenzhen International Innovation Center, No.1006, Shennan Boulevard, Futian District, Shenzhen

shenzhen.dachenglaw.com

Classification of Visas

Types of Visas

Scope of Applicants

Crew members on international aviation and sea transportation, crew members of international aircrafts and vessels, and their accompanying family members, and drivers for land transportation

Foreigners intending to live in China permanently

Foreigners invited to China for exchange, official visits, research study, etc.

Foreigners transiting through China

Foreign journalists posted to news organizations in China for a long term (more than 180 days)

Foreign journalists who are on temporary interview assignments in China for a short term (not more than 180 days)

Tourists visiting China

Foreigners visiting China for business or trade purposes

Family members (spouse, parents, children, children’s spouses, siblings, paternal grandparents, maternal grandparents, paternal grandchildren, maternal grandchildren, and in-laws) of Chinese citizens or permanent residents of China who are applying for residency for the purpose of family reunion, or those applying for the purpose of child fostering

Family members of Chinese citizens or permanent residents of China intending to stay in China short-term (not more than 180 days) to visit family

Highly-qualified talent, and talent urgently needed in China

Spouses, parents, children below the age of 18, and in-laws of foreigners residing in China for work or study, who intend to stay for a long term (more than 180 days) to visit family, or for any other personal reasons that require them to be in China

Family members (spouses, parents, children, children’s spouses, siblings, paternal grandparents, maternal grandparents, paternal grandchildren, maternal grandchildren, and in-laws) of foreigners residing in China for work or study, who intend to stay short-term (not more than 180 days) to visit family, or for any other personal reasons that require them to be in China

Foreign students whose period of study is more than 180 days

Foreign students whose period of study is not more than 180 days

Foreigners employed in China

Process flow for visa application（More than 90 days'application for work in China）

Notice for Application for Visa of the People's Republic of China

The basic application documents required are as follows:

(1) Passport Your passport must be valid for a further six months, must have a blank page for the visa, and you need to submit a photocopy of the passport photo page;

(2) Visa application form and photo: To submit one Application Form for Visa of the People’s Republic of China, and a recent passport photo in color (light color background) showing the person’s face without wearing a hat;

(3) Legal proof of stay or residency (applicable to applicants outside their home country): If you are applying for a visa outside your home country, you must provide the original and photocopies of valid proof of your stay, residency, work or study in your host country, or your valid visa;

(4) Original Chinese passport or visa (applicable to those who were Chinese citizens but later adopted another nationality): If you are applying for a Chinese visa for the first time, you must provide the original Chinese passport and a photocopy of the passport photo page. If you have been granted a Chinese visa before, and are now applying for a visa with a renewed foreign passport, you must provide a photocopy of the original foreign passport photo page and the Chinese visa previously received (if the name on the new passport is inconsistent with the original passport, you will have to furnish the proof of name change issued by the relevant authority);

(5) Submit any other documents required according to the visa category.

Address and contact details of the application center for foreigner’s work permit

Administrative Services Hall, Civic Center

Address: Administrative Services East Hall, Zone B, Civic Center, Fuzhong 3rd Road, Futian District, Shenzhen

Application counters: No. 29-31

Telephone enquiry: 0755-88121678

Q & A

Is there a medical report required to apply for a visa?

No need.

Can the visa check the progress of the permit?

Usually, the embassy or consulate can apply for a visa within four to five working days, and the date of the collection will be indicated on the evidence collection form. Please be patient. If you have special circumstances, you can contact the relevant embassy or consulate by phone.

After getting the visa, I found that the number of visas or the stay period is not enough. Can I change it?

No. If the applicant changes the planned itinerary so that the number of visas or the duration of the stay cannot meet the actual needs, the applicant can apply for the visa again, but the application materials must be submitted again and paid.

Can the visa be processed for extension?

After entering the country, if you are unable to leave the country according to the original plan, you should go to the local police entry and exit administration department to apply for visa extension before the expiration of the stay. For details, please ask the public security organ.

Can foreign citizens apply for a visa at a Chinese port?

In principle, Chinese visa applicants should apply for visas in advance to Chinese embassies, consulates, offices, Hong Kong, Macao or other foreign agencies authorized by the Ministry of Foreign Affairs. Applicants should complete the visa in advance according to their own itinerary.
In addition to 24-hour transit, 7-hour transit in 7 cities including Beijing, Shanghai and Shanghai, 6-day convenience tour in Guangdong, and visa-free travel on Hainan on the 15th, US and French citizens must apply for visas abroad beforehand. Apply for a visa at the port.

How do foreign citizens go to Hong Kong and Macao SAR?

The entry policy for Hong Kong and Macao SAR is set by itself, please refer to its government website for specific matters.
Hong Kong Special Administrative Region Immigration Office website：www.immd.gov.hk；Macao SAR Public Security Police website：0085228246111。
Macao SAR Public Security Police website：http://www.fsm.gov.mo/；Macao SAR Public Security Police website：0085328725488。

How should foreign citizens apply for visas at the same time in mainland China and Hong Kong and Macao SAR?

Foreign nationals who travel to the Mainland of China, the Hong Kong Special Administrative Region, and the Macao Special Administrative Region must apply for a visa for the Mainland and a visa to Hong Kong and Australia.

What do you need to pay attention to when coming to China?

（1）Check if the visa is valid and have sufficient entry times.
（2）Foreigners carrying animals and plants, currency and other countries in China are subject to relevant laws and regulations.
（3）It is not allowed to engage in activities in China that are not related to the cause of the application when applying for a visa.
（4）Foreign citizens must not be stranded in China.
（5）Without permission, you must not enter an area that restricts the entry of foreigners.
（6）The following circumstances will result in the denial of boarding, being denied entry or being fined, etc. Please take care to avoid:
· Those who come to China without a visa in advance (except for those who are exempt from visas);
· Those who come to China with an expired visa;
· Those who stayed in China during the stay period;
· During the stay in China, the passport expires (regardless of whether the visa stay period is valid).

If a foreigner obtains a Visa for a Foreigner's Work Permit and goes to a foreign embassy or consulate to apply for a visa, is it still necessary to apply for an invitation letter or an invitation confirmation letter?

No need

Should you pay attention to the employment contract or certificate of employment (including the letter of dispatch from a multinational company)?

The employment contract or employment certificate (including the multinational company dispatch letter) includes the working hours, work place, work content, salary, position, and signature stamp page. When a general employer applies for a work permit business, it is required to provide an employment contract. For the use of the employment certificate, please refer to the remarks of the contract on page 10 of [External Issue [2017] No. 36).

How Do Foreigners

Work Legally in China?

Application requirements

Foreigners applying for permanent residency in China must comply with the laws of China, be in good health, hold no criminal record, and meet one of the following criteria:

1、 Having direct investments in China with good performance for a consecutive three years, and having a good tax payment record;

2、Holding the position of a deputy general manager, deputy factory manager or any other similar position, or an associate professor, a research associate or any other deputy senior position in China, and receiving equivalent benefits, on a continuous tenure of more than four years, with a cumulative period of residency of not less than three years and having a good tax payment record;

3、 Foreigners who have made significant and outstanding contributions to China and are urgently needed by the country;

4、 Spouses and unmarried children not older than 18 years old of individuals referred to in item 1, 2 and 3 above;

5、Spouses of Chinese citizens or foreigners who have permanent residency in China, having been in the marriage for at least five years, having resided in China continuously for five years, during which no less than nine months each year is spent in China, and having a stable means of living and residence;

6、Unmarried children not older than 18 years who are looking to depend on their parents in China;

7、Individuals of 60 years of age or above, who do not have direct relations outside China and are looking to depend on direct relations in China, having resided in China continuously for five years, during which time no less than nine months each year is spent in China, and having a stable means of living and residence.

Foreigner permanent residence ID card initial application process

Fee rates

1、Processing fee: RMB 1500; (non-refundable even if application is rejected)

2、Fee for Foreigner’s Permanent Resident Card: RMB 300.

Tips

1、Documents of proof issued by foreign authorities must be notarized by the Chinese embassy or consulate in that country.Documents in a foreign language must be translated into Chinese, and the translation document and the photocopy of the business license of the translation company must be stamped with the seal of the translation company.

2、 If the applicant wants their Chinese name typed on the Foreigner’s Permanent Resident Card, they must specify “please include Chinese name XXX on the card” in the “Other Details” section on the application form, otherwise it may be filled in as “N/A”.

3、If any matter requires investigation and verification by the public security authorities, the period of investigation shall not include working days. Currently, the time required to process a permanent residency application is around one year.

Telephone enquiry

1、Bureau of Exit and Entry Administration of the Shenzhen Municipal Public Security Bureau

Address: No. 4016, Jiefang Road, Luohu District, ShenzhenTel No.: 84465490

2、Management Committee of Shenzhen’s Qianhai Shekou Free Trade Zone

Address: Integrated Office for the Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone, South of Intersection of Dongbin Road and Yueliangwan Boulevard, Nanshan District, ShenzhenTelephone enquiry: 88988988

3、Shenzhen Administration of Foreign Experts Affairs

Address: Shenzhen Talent Park, No. 8005, Shennan Boulevard, Futian District, ShenzhenTelephone enquiry：88123456

4、Overseas Chinese Affairs Office of Shenzhen

Address: 6th - 7th Floor, Second Municipal Government Office, No. 1023, Shangbu Middle Road, Futian District, ShenzhenTelephone enquiry：88136167

5、Shenzhen Port Hospital

Address: Huanggang Port Residential Area, Binhe Boulevard, Fujian District, ShenzhenTelephone enquiry：83774013

The company is established to be operational and needs to go through industrial and commercial registration (application for company business license)、

Engraving seals, corporate banking account opening and other links.

Process flow for company registration (services in Chinese-language only)

Remarks: Processing time indicated is for reference only.

Foreign-invested enterprises set up a registration and registration process.(services in Chinese-language only)

Remarks: Processing time indicated is for reference only.

What documents are needed for a company registration? Documents that are required when registering on-site at the Registration Hall are as follow (only Chinese-language documents accepted):

Shareholders’ structure

List of documents (the following information is for reference only)

Natural person

(Wholly foreign-owned)

1.Shareholders provide personal notarized certificates or sign before the application submission personnel at the local registration hall;

2.Photocopies of identification documents of shareholders, directors, supervisors, managers and finance executives (Hong Kong and Macau residents: Mainland travel permits and personal identification cards; Foreigners: Passports; Taiwanese: Mainland travel permits for Taiwan residents)

3.Original passports of shareholders;

4.Photocopies of personal identification cards of designated recipients of legal documents (who must be a Chinese national)

5.Application Form for Company Registration (Joint Issuance of Business License and Social Credit Code) (downloadable on website)

6.Corporate charter (template downloadable on website)

7.Letter of appointment

8.Office leasing agreement and proof

(to be provided according to relevant local requirements)

Corporate legal person

(Wholly foreign-owned)

1.Proof of legal entity status of foreign investors;

2.Photocopies of identification documents of directors, supervisors, managers and finance executives (Hong Kong and Macau residents: Mainland travel permits and personal identification cards; Foreigners: Passports; Taiwanese: Mainland travel permits for Taiwan residents)

3.Photocopies of personal identification cards of designated recipients of legal documents (who must be a Chinese national)

4.Application Form for Company Registration (Joint Issuance of Business License and Social Credit Code) (downloadable on website)

5.Corporate charter (template downloadable on website)

6.Letter of appointment

7.Office leasing agreement and proof (to be provided according to relevant local requirements)

Chinese-foreign jointventure enterprises

1.The Chinese shareholder must be a legal entity and not a natural person. The photocopy of the business license stamped with the company’s seal is to be provided;

2.The foreign shareholder can be a natural person or legal entity. The natural person shareholder shall provide his or her personal notarized certificate or sign before the application submission personnel at the local registration hall. The legal entity shareholder shall provide proof of their legal entity status as a foreign investor;

3.Photocopies of identification documents of directors, supervisors, managers and finance executives (Hong Kong and Macau residents: Mainland travel permits and personal identification cards; Foreigners: Passports; Taiwanese: Mainland travel permits for Taiwan residents)

5.Application Form for Company Registration (Joint Issuance of Business License and Social Credit Code) (downloadable on website)

6.Corporate charter (template downloadable on website)

7.Letter of appointment

8.Office leasing agreement and proof (to be provided according to relevant local requirements)

List of application documents for the integrated management of foreign-invested enterprises on the unified platform of the Ministry of Commerce’s operations system:

1.Proof of commercial entity name of foreign-invested enterprise (download at Step ② of the declaration process);

2.Letter of Commitment for Record-Filing for Registration of Foreign-Invested Enterprise (template downloadable on website);

3.Proof of legal entity status or natural person identity of investors;

4.Foreign-invested enterprises set up a filing application power of attorney (download sample on the website);

5.Proof of natural person identity of legal representative;

6.Shareholding framework of actual controlling persons of foreign-invested enterprise (template downloadable on website).

Question answer

How is the registered capital appropriate?

The registered capital can be formulated according to the needs of the company's own development. Except for special industries and free trade zones, there is no minimum registered capital requirement. In the company's articles of association, the time limit for paying the registered capital and the number of times of payment may be stipulated by itself, and may be paid in multiple times. The amount paid each time is not subject to specific requirements.

What are the special requirements for reducing registered capital?

The "Company Law" stipulates that the reduction of registered capital needs to be announced in the newspaper, and the capital reduction registration can be processed after 45 days.

The proportion of foreign investment is less than 25%. Can you be a foreign-invested company?

can. The registered capital of a Sino-foreign joint venture is generally not less than 25%. If the foreign investor's capital contribution ratio is less than 25%, unless otherwise stipulated by laws and administrative regulations, it shall be examined and registered according to the current examination and approval registration procedures for the establishment of foreign-invested enterprises. If the registration is successful, it shall be issued after the “enterprise type”. Add the business license of a foreign-invested enterprise with the words “the ratio of foreign investment is less than 25%”.

Who can be the legal representative?

The legal representative can only be held by the chairman, executive director or manager, and the person who is appointed by the company's articles of association, but not by those other than the three.

In the catering business in China, in addition to applying for a business license, do you need to apply for other documents?

If necessary, you need to apply for a food business license.

Addresses and contact information of company registration halls in Shenzhen:

Name of Bureau of Industry and Commerce

Address:

Contact Details

Electronic One-Stop Service Center Hall

(Qianhai Bureau of Industry and Commerce)

One-Stop Service Center Hall A105, Building A, No. 1, Qianwan 1st Road, Qianhai Shenzhen-Hong Kong Cooperation Zone, Shenzhen

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Registration hall of Futian Sub-Bureau

1st Floor, Luohu Management Center Building, No. 1008, Wenjin Middle Road, Luohu District, Shenzhen

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Administrative Services Hall of Luohu District

Administrative Services Hall of Nanshan District, Shenzhen Bay Sports Center, No. 3001, Binhai Boulevard Side Road, Nanshan District

(Single building south-east of Shenzhen Bay Sports Center)

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Registration Hall of Bao’an Sub-Bureau

1st Floor, Integrated Training Building of Bao’an Sports Center, Intersection of Bao’an Boulevard and Luotian Road, Bao’an District, Shenzhen

(Opposite the Bao’an Immigration Permit Application Hall)

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Registration Hall of Longgang Sub-Bureau

No. 8033-1, Longxiang Boulevard, Longcheng Subdistrict, Longgang District

(south-west of main gate of District Government Office)

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Registration hall of Yantian Sub-Bureau

1st Floor, Yantian Sub-Bureau, No. 1013, Haijing 2nd Road, Shatoujiao, Yantian District

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Registration hall of Guangming Sub-Bureau

Administrative Services Hall of Guangming District, Biyan Road, Guangming District, Shenzhen

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Registration hall of Pingshan Sub-Bureau

2nd Floor, Qixing Building, No. 12, Jinniu West Road, Pingshan District

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Registration hall of Dapeng Sub-Bureau

No. 10, Zhongshan Road, Dapeng Boulevard, Dapeng New District, Shenzhen

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Registration hall of Longhua Sub-Bureau

1st Floor, Block A, Guohong Building, No. 98, Meilong Boulevard, Longhua District, Shenzhen

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Once the business license and company seals are ready, the company can begin its operations. If the company wants to deal with payments in its name with suppliers, a business bank account will be needed. The company cannot provide the bank account details of its shareholders to the suppliers, as this might lead the tax authorities to suspect tax evasion.

Corporate bank account type

① Basic account (required, and only one allowed). A basic account is the first bank account that an enterprise needs. You must first have a basic account to be able to open other accounts. A basic account allows you to deposit and withdraw funds, transfer or receive payments, pay withholding tax, pay wages, etc.

② Foreign currency capital account (required for foreign-invested enterprises):

This is an account for receiving capital paid by Chinese and foreign shareholders in foreign currencies. When making payments from a foreign bank to a foreign currency capital account in China, the purpose of payment must be stated as “investment” or “capital”. This is to make it easier for the auditor to identify the amount as capital in the capital verification report or audit report.At the same time, the bank will have set certain rules regarding the use of the registered capital in accordance to the instructions and requirements of the Administration of Foreign Exchange. Please be sure to adhere to the specific requirements of each bank. For example: A foreign trade company that intends to make payments to its suppliers must present the relevant signed agreements, invoices and other documents at the bank counter to apply for the account before it is able to make any overseas payments.

③General account (not required, multiple accounts allowed)

An enterprise may open a general account locally, which allows for the deposit of cash, but not withdrawal. Only bank transfers are allowed, as well as payment of withholding tax.

After learning about the different types of business bank accounts available, Leanne has the following question: Where should I open the accounts, then?

How to find information about the bank?

in China, you can call the customer service number of each bank, such as Bank of China: 95566. You can tell the bank which bank you want to open a company bank account in, and the bank customer service staff will also inform you of the bank's phone number and address. Next, you can call the bank phone or at the address provided by the customer service to ask at the bank counter. The information to be understood.

Attachment: Important bank customer service phoneBy dialing the numbers as follows, you will be directed to the English-language service of the respective bank:

Bank

Customer service numbe

Bank of China

95566 press 8

China Construction Bank

95533 press 4

Industrial and Commercial Bank of China

95588 press 0

Agricultural Bank of China

95599 press 9

China Merchants Bank

95555 press 8

Shanghai Pudong Development Bank

95528 press 2

China CITIC Bank

95558 press 4

China Minsheng Bank

95568 press 9

China Everbright Bank

95595 press* press 7

China Guangfa Bank

95508 press 7#

Where should I open the accounts, then?

1.You can choose any bank near you. You can take a look at the area where your office is for any suitable bank. It might be good to choose a bank close to your office, as it’ll save time when the company is in operation and you will need to go to the bank every so often for banking errands.

2.Choose a bank you are familiar with. If you have used Bank of China before while overseas, then you can once again open a business account at a Bank of China branch in Shenzhen. It can be easier to learn more about the bank when you are already familiar with its operation and management.

How should I make an appointment to open a bank account?

1.You may schedule an appointment on the phone with the bank staff;

2.You may walk in and make an appointment at your selected bank;

3.You may also schedule an appointment through the bank’s website or the bank’s WeChat public account. The public account only provides services in Chinese, and to use it you must have a Mainland China mobile number that can receive mobile phone verification codes from Mainland China.

Additionally, you also need to bring along some cash to the bank for the relevant fee payments:

1.Account-opening fee;

2.Account management fee (usually paid monthly);

3.USB Key processing fee;

4.Online banking management fee (paid monthly or quarterly);

5.Bank transfer fee.

Process flow for opening a basic bank account :(for reference only - please refer to the individual requirements of each bank)

List of documents required for opening a basic account :(for reference only - please refer to the individual requirements of each bank)

1.Original business license of the company;

2.Original office leasing agreement and proof;

3.Original trust agreement for company office in Qianhai (required for enterprises in the Qianhai Free Trade Zone)

4.The legal representative needs to attend to the application in person at the bank account, and have his or her picture taken by the bank employee;

5.Original passport of the legal representative;

6The company’s official seal, financial seal, and legal representative’s personal seal;

7.Original passport of the company’s online banking executive;

8.Original passports of natural person shareholders.

The bank employee may ask the legal representative the following questions when handling the application in person:

1.What is the registered address of the company? Is it the same as the company’s office address?

2.What is the main business area of the company?

3.How many employees does the company currently have?

4.Who are the company’s shareholders? What are their capital shares?

5.Why do you want to open a bank account?

Process flow for opening a foreign currency capital account :(for reference only - please refer to the individual requirements of each bank)

List of documents required for applying for FDI :(for reference only - please refer to the individual requirements of each bank)

1.Original business license;

2.Original office leasing agreement and proof;

3.Original and photocopy of the passport of the legal representative (whether he or she needs to be at the bank in person depends on the bank’s requirements);

4.Original and photocopy of the account-opening permit;

5.Company’s official seal, financial seal, and legal representative’s personal seal;

6.Original receipt of acknowledgement of record-filing for registration of foreign-invested enterprises;

7.Original record-filing declaration form for registration of foreign-invested enterprises;

8.Original corporate charter;

9.Original personal identification card of application representative;

10.Photocopy of business license of domestic enterprise shareholders stamped with the official seal (required for Chinese-foreign joint venture enterprises);

11.Photocopies of passports of foreign natural person shareholders;

List of documents required for opening a foreign currency capital account :(for reference only - please refer to the individual requirements of each bank)

1.Original business license;

2.Original office leasing agreement and proof;

3.Original trust agreement for company office in Qianhai (required for enterprises in the Qianhai Free Trade Zone)

4.The legal representative needs to attend the application in person at the bank, and have his or her picture taken by the bank employee;

5.Original and photocopy of the passport of the legal representative;

6.Company’s official seal, financial seal, and legal representative’s personal seal;

7.Original and photocopy of the passport of the payment contact person;

8.Original receipt of acknowledgement of record-filing for registration of foreign-invested enterprises;

9.Original record-filing declaration form for registration of foreign-invested enterprises;

10.Original corporate charter;

11.Original personal identification card of application representative;

12.Original business registration certificate.

Foreign exchange settlement in a foreign currency capital account:

Incoming transactions for a capital account include: Foreign currency capital or subscribed capital remitted by foreign investors, and its interest.

Outgoing transactions for a capital account include: Financial exchange settlement for business operations, debited payments due to reduction or withdrawal of capital by foreign investors, payment for goods and services to suppliers, wages, withdrawal of capital reserves (the total amount withdrawn monthly by a company from its capital reserves must not exceed the equivalent of $100,000 USD.)

How are payments for goods or services made from a capital account?

Any direct payment for goods or services to suppliers from a capital account can only be made by the bank after the account holder has submitted relevant documents to the bank counter.

1.Service trading. To submit documents such as the service agreement and invoices;

Goods trading. To submit documents such as agreements, invoices, and customs bills of payment.

Question answer

Q
What are the special points for attention before preparing to open a basic bank account for a foreign-funded enterprise?
A
Both the legal representative and the online banking administrator need to apply for a mainland mobile phone number to keep in touch with the bank, receive verification codes, and so on.
Q
After the completion of the engraving, what time do you need to complete the opening of the basic bank account of the foreign-funded enterprise (the first account of the company)?
A
There is no specific requirement for the opening time of the corporate bank account, and the enterprise can arrange the time according to its actual operation. If there is no business in the near future, you can not open a basic bank account. It takes about 1-2 months to process basic households and foreign exchange capital households, which is subject to the actual situation of each bank.
Q
What are the currencies of the foreign exchange capital account? What is the difference between accounts in different currencies?
A
The currency of the foreign exchange capital account can be overseas RMB or other foreign currency (mainly US dollars). No matter which currency the foreign exchange capital account is used, there is not much difference. In the application process time, the overseas RMB capital account will be longer, and the bank will increase the RMB compliance review. Obtain source and legality for review.
Q
When applying for bank account opening, the legal representative must go to the bank counter, and the legal representative must go to the bank to receive the signature card and the account opening permit.Is it handled at the counter?
A
n addition to the legal representative on the day of the application, the collection link can authorize the company's employees to go to the bank counter.
Q
How many corporate online banking U shields? how to use?
A
2-3. The functions of the two online banking U shields are (manufacturing, review). Under normal circumstances, the online financial U shield with the legal representative holds the review function, and the enterprise financial personnel hold the online banking U shield with the function of the single order. When paying with the online banking U Shield, it cannot be operated by one person. At least two people need to operate (manufacturing and review) to ensure the safety of the company's funds.
Q
After the opening of the corporate bank account, is it not necessary to manage?
A
Banks and enterprises need to reconcile monthly/quarterly, and enterprises can log in through online banking U shield. If it is not possible to reconcile in time, it will most likely be listed by the bank as a long-term deposit, and the bank account will be frozen. Once it is listed as a long-term deposit, it needs to be thawed and then reopened. The process is cumbersome and time consuming.

Subsidy for high-level foreign talent in Shenzhen

Category A :

RMB 3 million

Category B :

RMB 2 million

Category C :

RMB1.6 million

Income tax subsidy for high-level foreign talent and talent in urgent demand in Qianhai District of Shenzhen