To setup wfoe in Guangzhou

According to the WFOE rules, I need to invest $140,000 over the first year of my business. It is a problem for me to come up with this sort of money in one lumpsum, But I can do this over few year. Also I don't want captial sitting in a bank account, when I can use that money to buy things from China for Export and make some money?

Can I bring this money as cash or it got to be through bank transfer to China to satisfy the government. Can I transfer money in to my personal account bank of China? And then transfer into the capital account $10,000 at a time? still do the Export from China and use the money from capital account as well or that money stay in the account untill it make upto $140,000. Also how much reg of wfoe cost? Any kind of advice will be much appreciated thank you very much in advance.

1) Since you read the rules, the answer to your question whether you can do it over a few years is obviously no. But, you do not need to invest $140,000 if you are just setting up a consulting company.


2) You have to wire your money from overseas to a capital account of WFOE.


3) You cannot do trading unless you business licence allows you to do trading.


4) You may convert the money in the capital account at any time to rmbs. However, once you export something, money must come back into your trading account, not your capital account. It is not counted as capital investment. I repeat not counted as capital investment.


You can use the control panel to write to me for further enquiries. But, put it this way. No matter how many times you ask. The answer will still be the same.

Some added pointers:

You can spend your money the minute you put it into the bank, just make sure you keep the receipt of the deposit given to you by the bank so you can prove you have deposited the money.


If the 140,000 is the complete necessary registered capital, you only need to deposit 15% of that in the first 3 months and the rest within a year.

Hi, I am a Chinese lawyer who specialize in helping foreigners to set up WOFE, rep office and Joint venture. If you have any questions, Please feel free to contact me at lanyunzh@hotmail.com


Regards,

Julia