Establishment Registration and Handling Procedures of
Foreign-funded Enterprises

(I)Legal basis

Law of the People's Republic of China on Chinese-Foreign Equity Joint Ventures and its detailed rules for implementation, Law of the People's Republic of China on Chinese-Foreign Contractual Joint Ventures and its detailed rules for implementation, Law of t he People's Republic of China on Foreign-funded Enterprises and its detailed rules for implementation, Company Law of the People's Republic of China and Regulation of the People's Republic of China on the Administration of Company Registration , Administrative Regulations of The People's Republic of China Governing the Registration of Legal Corporations and its detailed rules for implementation, and relevant laws, codes, regulations and normative documents.

(II) Conditions of Applications

1. The total amount of investment is within the limit of the investment examination and approval power as stipulated by the State Council and the source of capital of the Chinese parties has been ascertained ;

2. No additional allocations of raw materials by the State are required and the national balance of fuel, power, transportation and foreign trade export quotas, etc. is not affected.

3.It has been examined and approved by the Sichuan Provincial Department of Foreign Trade and Economic Cooperation.

(III)Submissions

1. Application Form for Registration of Foreign-funded Enterprise signed by the Chairman;

2.Application letter;

3.Approval certificate;

4.Contract, Articles of Association, and approval document issued by examination and approval departments (submission of contract is not required for solely foreign-funded enterprises)

5.List of members of the Board of Directors with names and addresses;

6.Appointment letter of director by Chinese party (not required for solely foreign-funded enterprises);

7.Appointment letter of director by foreign party;

8.Legal Representative Registration Form and a copy of identification paper;

9. Principal Identity Registration Form and a copy of identification paper;

10.Certificate explicating the usage of domicile of the enterprise (a copy of house rent contract and Certificate of Property Ownership);

11. Name Verification Letter ;

12.Project proposal or feasibility study report and the approval documents;

13.Legal business license of investor;

14.Credit certificate of investor;

15.Document and certificates required by registration departments.

(IV)Handling procedures and time limit

Procedures: 1. Acceptance; 2. Examination; 3. Approval; 4. Issuance

Time limit: 1. Legal time: 20 working days; 2. Time promised: 5 working days

(V)Charging standards for establishment registration of foreign-funded enterprises

1.It is stipulated in Article 26 of the Administrative Regulations of the People's Republic of China Governing the Registration of Legal Corporations that, ¡° An enterprise as a legal person shall pay registration and annual check-up fees according to the rules when it registers for starting operations and applies for making changes in its registration and when it receives the annual check-up. The fees to be charged on registration for starting operations shall be 0.1% of the sum of the enterprise's registered capital; in cases where the registered capital exceeds 10 million Yuan, the fees to be charged on the portion in excess of the said sum shall be 0.05% of it; in cases where the registered capital exceeds 100 million Yuan, no fees shall be charged on the portion in excess of the said sum. The minimum registration fee shall be 50 Yuan. Fees to be charged on making changes in the registration and conducting the annual check-up shall be prescribed by the State Administration for Industry and Commerce " .

2.In case where the registered capital is less than 10 million Yuan, the fees to be charged shall be 0.8¡ë of the registered capital; for the registered capital exceeds 10 million Yuan, the fees to be charged on the portion in excess of the said sum shall be 0.4¡ë of it; in case where the registered capital exceeds 100 million Yuan, no fees will be charged for the excess sum; the minimum amount for registration fee is 50 Yuan, and the copy fee of license will be charged additionally, cost fee for each one is 10 Yuan (State Planning Commission and Ministry of Finance, JJG <99> No.1707).
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