JV Formation Service Overview
Global Eastern Investment provides one‑stop advisory and agency service for Sino‑foreign joint‑venture company registration across major cities of China.We assist overseas investors to set‑up joint‑venture entities with local Chinese partners. Our service covers equity‑structure consultation, legal contract drafting, registered‑address compliance vetting, lease contract review, initial foreign‑investment information report submission, foreign‑exchange registration, tax registration and corporate banking setup.Our professional team designs tailor‑made shareholding frameworks, negotiates rights and obligations between shareholders, and mitigates compliance risks during cooperation.
What is a Joint‑Venture Company
A Sino‑foreign joint‑venture enterprise is a limited liability company jointly funded by foreign investors and Chinese domestic shareholders, regulated under the Foreign Investment Law of the People’s Republic of China.Two parties contribute capital, equipment, technology or market resources as agreed in contractual terms. Profits, operational risks and liabilities are allocated proportionally according to agreed equity ratio.
Under current Chinese regulations, equity percentages can be freely negotiated for most industries outside the Negative List for Foreign‑investment Access. Joint‑venture entities possess independent legal‑person status and are entitled to conduct trading, manufacturing, import‑export business and official invoicing within approved business scopes.
Benefits of Sino‑Foreign Joint Venture
Industry‑access facilitation
Certain restricted sectors listed on the Foreign‑investment Negative List only permit joint‑venture structures instead of wholly‑foreign‑owned enterprises. A reliable local Chinese partner helps obtain industry‑specific licences and operational permits efficiently.
Regional policy incentives
Joint‑venture projects in manufacturing, trading and high‑tech sectors are eligible to apply for preferential tax rebates, industrial subsidies and land‑related incentives in industrial parks across Guangdong and Yangtze‑River Delta regions.
Enterprises with foreign equity above 25% can obtain special financial, foreign‑exchange and policy‑related privileges.
Shared investment risks
Capital investment, operating expenses and market risks are shared by both contracting parties. Compared with wholly‑owned foreign enterprises, joint‑venture mode disperses standalone investment pressure.
Local‑resource integration
Chinese partners provide mature sales channels, industrial supply‑chain resources, factory premises, office premises and local policy information. It greatly shortens market adaptation period for overseas investors.
Required Document Checklist
Documents submitted by foreign corporate shareholder
1.Certified overseas enterprise registration certificate and articles of association, authenticated by Chinese embassy or consulate.
2.Board resolution approving investment in China and appointment of authorised representative.
Documents submitted by foreign individual investor
1.Passport copy. Original passport needs to be presented for onsite verification if the investor stays in China, copy is retained for filing only. Notarisation is required if the investor is overseas and cannot attend onsite verification.
Documents for key appointed personnel
1. Chinese‑national appointees: copies of identity cards, original ID cards are required for real‑name verification.
2.Foreign‑national appointees: copies of passports, original passports shall be presented for onsite inspection.
3.Official appointment resolutions for legal representative, directors, supervisors and liaison officer.
Documents submitted by Chinese partner
1.Stamped copy of Chinese investor’s business licence.
2.Shareholders’ resolution approving joint‑venture cooperation project.
3.Registered‑address materials: property ownership certificate and signed commercial‑purpose office lease contract.
Note:The lease contract must specify commercial‑use property, lease term shall not be less than 12 months.
Jointly executed legal documents
1.Sino‑foreign joint‑venture cooperation contract signed by both parties.
2.Articles of association of the newly‑established joint‑venture firm.
3.Business‑scope application and equity‑shareholding agreement.
Standard Incorporation Procedure
Step 1 Preliminary planning, equity consultation and address vetting
We confirm equity ratio, management structure, profit‑distribution mechanism and business scope. We examine whether the property can be used for company registration, review and revise the office lease contract, check the lease term and property‑use qualification. Meanwhile we collect identity documents of management staff and prepare appointment papers, then draft joint‑venture contract and articles of association.
Step 2 Enterprise name pre‑approval
Submit 3‑5 alternative Chinese‑English enterprise names for verification with local market supervision bureau, which normally takes 2‑3 working days.
Step 3 Business licence issuance
Submit full application materials including lease contract, shareholder qualification documents and personnel identity certificates for industrial‑and‑commercial registration. The unified business licence for foreign‑invested enterprise will be issued within 3‑5 working days.
Step 4 Foreign‑investment information report submission
After business licence issuance, we complete the initial foreign‑investment information report online via official government system. This is a post‑registration information declaration, not a pre‑approval procedure.
Step 5 Post‑registration formalities
Complete company seal engraving, tax registration, foreign‑exchange registration for capital injection, corporate bank account opening, and customs registration if import‑export trading is required.The whole procedure generally takes 25‑35 working days.
Related Services
Accounting & Tax Services
Provide compliant bookkeeping, tax filing, and auditing services in strict accordance with Chinese accounting standards.
China Legal Services
Deliver comprehensive legal support including commercial contract review, compliance consulting, and dispute resolution.
Work Visa Application
Handle the entire process of work permit and residence permit applications to simplify complex administrative procedures.
Frequently Asked Questions
Yes. Foreign investors can establish a Wholly Foreign-Owned Enterprise (WFOE) in most industries and maintain 100% ownership without a Chinese partner.
No. Most industries allow full foreign ownership. However, a few restricted sectors may still require Chinese participation.
The WFOE (Wholly Foreign-Owned Enterprise) is the most popular structure because it gives investors full operational control.
Most companies can be established within 4–8 weeks, depending on the city and business scope.
The required documents may vary depending on the company structure and location. In most cases, foreign investors will need to prepare:
- Valid passport (original passport or notarized/authenticated documents may be required)
- Proposed company name
- Business scope
- Shareholder and director information
- Registered business address in China
In many cases, yes. Most incorporation procedures can be completed remotely through authorized service providers.
China now uses a subscribed capital system. Capital does not always need to be paid immediately.
Yes. A registered company can legally recruit Chinese staff and contribute to social insurance.
Yes. After tax registration, companies can issue official VAT invoices (Fapiao).
Yes. After incorporation, the company can apply for corporate bank accounts with Chinese banks.
A Free Trade Zone is a special economic area that offers streamlined administrative procedures and policies designed to facilitate international business and investment.
The Shanghai Free Trade Zone is one of China’s most established FTZs and remains a preferred choice for multinational corporations, international traders, and financial services companies.
Benefits may include:
- Simplified registration procedures
- Easier customs clearance
- Enhanced cross-border trade support
- Access to pilot policy programs
- Greater operational flexibility