What is the minimum capital investment for a business establishment in China?
All Foreign Invested Enterprises, including WOFEs and Joint Ventures, are required to declare their registered capital during registration. The registered capital provides its creditors verification of the company’s financial adequacy and should cover all the initial and immediate start up expenses including rents, salaries and setup costs. Although there is a theoretical guideline for minimum registered capital based on total investment, the Chinese government will consider and approve each registration on a case by case basis. More details about the minimum registered capital guideline can be found in our Information Guide – Establishing a Legal Entity in China. JLJ provides advice to companies on the declaration of an appropriate registered capital. Contact us at info@jljgroup.com for more information or to discuss your China projects.