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China Guide

Saturday
Nov 08th
Home arrow China Business arrow Beijing Investment arrow Beijing Investment Cooperation Way
Beijing Investment Cooperation Way
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Chinese-foreign joint venture management enterprise

Is by the foreign corporation, the enterprise and other economic organizations or individual, with China's company, the enterprise or other economic organizations, invests, manages, the sharing profit together together within the boundaries of China, altogether takes on the risk the stockholder's rights type limited liability company, investment all quarters (stockholder's rights) shares the profit according to the registration capital investment ratio and shares the risk and the loss.

Chinese and foreign cooperative joint venture

Is by the foreign enterprise, other economic organizations or individual, with China's enterprise or other economic organizations, the contract type enterprise which conducts within the boundaries of China. The cooperation all quarters cooperation condition, the income assignment, the risk and the loss share, the investment recycles and manages when the management way and the cooperation termination the surplus property ownership and so on, agrees in the contract. Chinese and foreign cooperative joint venture and the chinese-foreign joint venture management enterprise most main difference is, the cooperation all quarters investment or the cooperation condition may not convert the stockholder's rights, or although converts the stockholder's rights, when the income assignment, the risk undertake, the debt shares and the enterprise termination the surplus property assignment and so on, but did not decide according to the investment stockholder's rights condition, the investment recovery mode and the management management way also may be different with the joint capital enterprise, has a bigger flexibility.

Foreign capital enterprise

Is by the foreign enterprise, other economic organization or individual, the complete capital which sets up within the boundaries of China the enterprise which invests by the foreign investor, also calls the foreign sole-source investment enterprise. The enterprise attains the profit completely to belong to the foreign investor to possess.

Foreign investment limited liability company

Is the complete capital by and so on the volume stock constitution, the shareholder by the stock which its subscribes to the company undertakes the responsibility, the company undertakes the responsibility by the complete property to the corporate debt, foreign shareholder purchases the stock which and has to account for the company registration capital above 25%. The company may adopt initiates the way or collects the way establishment.

Foreign capital financial organ

Is refers to the foreign country financial organ to invest the establishment within the boundaries of China to be engaged in the financial service the branch office and has the China status of legal person foreign merchant sole ownership financial organ, the chinese-foreign joint venture financial organ. Already the foreign capital financial organ which sets up in China has the foreign capital bank, the foreign capital finance company and the foreign capital insurance company. At present the foreign capital bank and the foreign capital finance company the service which develops within the boundaries of our country only is restricted in the foreign exchange finance service. The application establishment foreign capital financial organ foreign country financial organ, the total property must achieve the certain scale, its must have strict financial supervising and managing in the country, and sets up in China on behalf of the organization amounts to above for two years. The establishment foreign capital financial organ must according to the relevant law laws and regulations application, the newspaper authorize by the national finance controlling organization.

BOT way

BOT is the BUILD - OPERATE - TRANSFER abbreviation, namely "construction - management - reassignment". The typical BOT form, is the government with operates privately the department (displays in our country for foreign investment) the project company to sign the contract, finances by the project company with the construction infrastructure project. The project company has, the operation in the agreement time and maintains this item of facility, and through charges the working cost or the service expense, the return on investment and obtains the reasonable profit. After agreement expiration, this item of facility property rights free reassignment for government. The BOT way mainly uses in to develop the charge road, the power plant, the railroad, the waste water processes infrastructure project and so on the facility and city subway.

Compensation trade

Provides the equipment and the technology by the foreign merchant, simultaneously undertakes purchases the Chinese certain quantity to export the product, the equipment and the technical cost may amortize. Consults unanimously after Chinese and foreign both sides, the purchase import equipment technology loan, besides by the authorization to be allowed repays using the import equipment and product of the technical direct production, but also may repay by other products.

Foreign processing assembly

Expects, in the processing with provided samples and the document received assembly the outside provides the technology, the equipment, the spare part as well as the original auxiliary material, the product buy-backs by the outside, China charges the working expenses. The outside provides the equipment like fixes a price, China uses the working expenses to amortize.

Rents

Obtains the overseas advanced equipment through the payment rent the right of use, is one kind special finances the way. The rent according to rents the contract the stipulation payment. After rents the expiration, the enterprise may the equipment which rents purchase. The outside or the lessor also may provide the technical service, the raw material, the fuel and the components and so on.

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