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Joint Venture setup in China

As China’s leading administrative specialist, Horizons supports foreign corporations to incorporate a Joint Venture in China.
Joint Venture companies (JV) are a form of foreign-invested enterprise, resulting from the merger between a local entity and a foreign entity.
Together, they decide to share the profits and losses as well as the management of the China entity

We support for your growth in China

Fast & compliant setup
Horizons’ legal team supports in the incorporation process onsite. This can be done remotely from abroad.
Bookkeeping & accounting
Dedicated accounting team to make your company’s monthly compliance activities and government liabilities.
Local HR department
Your expert in country-specific knowledge to employ a local & foreign workforce – NH as your trusted onsite HR partner.

Hire and pay talents
with Horizons in
180+ countries

Hire and pay talents
with Horizons in
180+ countries.

Incorporation

General Setup

Horizons offers company incorporation in China for all types of foreign-invested enterprises. JVs are the most difficult forms of organization, due to the administrative complexities involved in the partnership between a foreign company and a Chinese company. We provide assistance with both the administrative incorporation procedure and the relationship with the local Chinese partner company. Our legal department will act as your China advisory in all rounds of negotiations in order to ensure all documentation compliance, the full understanding of the terms and responsibilities for the future JV, as well as the roles and scope of activity repartition. Horizons provides an exclusive in-country assistance in all major cities for joint-venture partnership, with a special focus on HR, profit sharing, and intellectual property issues.

Requirements

Horizons can deal with all your Joint-Ventures incorporation requirements. In practice, our legal department will ensure take care of a series of legal procedure with the Chinese Municipal Commission of Commerce, the Chinese Administration for Industry and Commerce, as well as the Chinese Administration of Foreign Exchange & Tax Bureau regarding the company bank information and fapiao, to be updated in the government system in compliance with the respective officers of each jurisdiction.

We will apply for any licence to the relevant department only after Horizons has incorporated the new entity.

Horizons will ensure your company provide the exact requirements in order to establish a JV in China:

  • Resolutions of the shareholders’ meeting of the invested company;
  • Amended M&A;
  • Capital increase agreement;
  • Notarized/authenticated documents of the new shareholder’s identity;
  • Credit certification documents of the new shareholder (issued by banks);
  • Description of the subject company;
  • Employee allocation plan of the company;
  • Audited financial reports of the company for the recent year;
  • Appraisal report of the company;
  • Documents related to connected parties, various application forms, etc;
  • Any additional documents required by the government authorities.

Horizons will ensure that all documents are provided in Chinese or with the translation version in Chinese certified by the local Chinese embassy. 

Benefits & features

Prior incorporating a joint-venture, your company will define with Horizons all the objectives and benefits to result from this project. By doing so, our legal department will be able to ensure your strategy will be successful through the definition of the terms of cooperation for the joint venture.

In practice, Horizons assist foreign companies with the incorporation of a Joint-Venture if seeking to bring the one of 4 below features to their China operations:

  • Market Penetration your company is seeking partnership with a local company in order to make the most of their existing local facilities, business channels, networks, as well as the Chinese labor force.
  • Accessing a China-owned Industry some sectors of activities are highly regulated by the Chinese government and strictly restricted to foreign businesses. Your company is looking to form a Joint-Venture with a local stakeholder in order to access one of these China-restricted industries.
  • Navigating the Chinese Administration administrative procedures are very complex and time-consuming for non-experienced businesses in China. While most companies collaborate with payroll and tax compliance providers, or HR partners, the establishment a Joint-Venture would allow your company to benefit directly from a Chinese counterpart in order to manage bureaucratic complexities and government relationships.
  • Combining Strategic Assets & Objectives China has been often described as a singular market widely open to western products and services, while run by national behemoths which understand better its consumer base; on the other hand, a joint-venture would directly benefit your company thanks to your Chinese counterpart’s different commercial interests, as well as the strength of sharing resources, management and technologies.

Joint Venture setup in China

As China’s leading administrative specialist, Horizons supports foreign corporations to incorporate a Joint Venture in China.
Joint Venture companies (JV) are a form of foreign-invested enterprise, resulting from the merger between a local entity and a foreign entity.
Together, they decide to share the profits and losses as well as the management of the China entity

We support for your growth in China

Fast & compliant setup
Horizons’ legal team supports in the incorporation process onsite. This can be done remotely from abroad.
Bookkeeping & accounting
Dedicated accounting team to make your company’s monthly compliance activities and government liabilities.
Local HR department
Your expert in country-specific knowledge to employ a local & foreign workforce – NH as your trusted onsite HR partner.

Hire and pay talents
with Horizons in
180+ countries

Hire and pay talents
with Horizons in
180+ countries.

Incorporation

General Setup

Horizons offers company incorporation in China for all types of foreign-invested enterprises. JVs are the most difficult forms of organization, due to the administrative complexities involved in the partnership between a foreign company and a Chinese company. We provide assistance with both the administrative incorporation procedure and the relationship with the local Chinese partner company. Our legal department will act as your China advisory in all rounds of negotiations in order to ensure all documentation compliance, the full understanding of the terms and responsibilities for the future JV, as well as the roles and scope of activity repartition. Horizons provides an exclusive in-country assistance in all major cities for joint-venture partnership, with a special focus on HR, profit sharing, and intellectual property issues.

Requirements

Horizons can deal with all your Joint-Ventures incorporation requirements. In practice, our legal department will ensure take care of a series of legal procedure with the Chinese Municipal Commission of Commerce, the Chinese Administration for Industry and Commerce, as well as the Chinese Administration of Foreign Exchange & Tax Bureau regarding the company bank information and fapiao, to be updated in the government system in compliance with the respective officers of each jurisdiction.

We will apply for any licence to the relevant department only after Horizons has incorporated the new entity.

Horizons will ensure your company provide the exact requirements in order to establish a JV in China:

  • Resolutions of the shareholders’ meeting of the invested company;
  • Amended M&A;
  • Capital increase agreement;
  • Notarized/authenticated documents of the new shareholder’s identity;
  • Credit certification documents of the new shareholder (issued by banks);
  • Description of the subject company;
  • Employee allocation plan of the company;
  • Audited financial reports of the company for the recent year;
  • Appraisal report of the company;
  • Documents related to connected parties, various application forms, etc;
  • Any additional documents required by the government authorities.

Horizons will ensure that all documents are provided in Chinese or with the translation version in Chinese certified by the local Chinese embassy. 

Benefits & features

Prior incorporating a joint-venture, your company will define with Horizons all the objectives and benefits to result from this project. By doing so, our legal department will be able to ensure your strategy will be successful through the definition of the terms of cooperation for the joint venture.

In practice, Horizons assist foreign companies with the incorporation of a Joint-Venture if seeking to bring the one of 4 below features to their China operations:

  • Market Penetration your company is seeking partnership with a local company in order to make the most of their existing local facilities, business channels, networks, as well as the Chinese labor force.
  • Accessing a China-owned Industry some sectors of activities are highly regulated by the Chinese government and strictly restricted to foreign businesses. Your company is looking to form a Joint-Venture with a local stakeholder in order to access one of these China-restricted industries.
  • Navigating the Chinese Administration administrative procedures are very complex and time-consuming for non-experienced businesses in China. While most companies collaborate with payroll and tax compliance providers, or HR partners, the establishment a Joint-Venture would allow your company to benefit directly from a Chinese counterpart in order to manage bureaucratic complexities and government relationships.
  • Combining Strategic Assets & Objectives China has been often described as a singular market widely open to western products and services, while run by national behemoths which understand better its consumer base; on the other hand, a joint-venture would directly benefit your company thanks to your Chinese counterpart’s different commercial interests, as well as the strength of sharing resources, management and technologies.