Five Things To Consider Before Setup WOFE

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The world is a village where you can find people who are working in a company as an employee or those who want to open their own business. Some people do business where they were born and bred or some who goes to foreign countries to do business. They might have a big business so they want to expand their business to foreign land. There is a provision in CHINA which allows to establish WOFE there. WOFE (WHOLLY OWNED FOREIGN ENTERPRISE) is a mode of business in which a foreign entity can do business in China and still have the ownership of it without any partners from China. But before that , we need to see what are the things to consider before thinking how to setup a Wofe in China .

Business Type

Firstly, you need to think that what type of business do you want to open in China. China is a developed country with business for every field but these days’ people from the tech world is gaining more business and momentum there. So, you can think likewise or of your liking that what type of business you can work in China which will flourish.

Location

China has much cities which has the potential for business but mostly shanghai, Beijing are the cities preferable by the business owners. So you need to think like, which city is good for your business, where employment is cheap and so on.

Taxes

China is giving you lots of favors in this regard then of course they will ask you for taxes which could be high. So are you able to or willing to pay them. Do you have enough capital to establish and flourish your business and still pay the taxes? City to City the taxes change, so you need to think for that too for your benefit.

Compliance With The Law

Every country has law, exactly like that China has some laws which directly affect business owners. Specially, the one who are foreigners and unaware of Chinese laws. SO before opening a WOFE in China you need to see that, can you comply with the law of China? You can take the help from local lawyers, auditors and so on in your business to help you out against any law breaking if there could be any. But, if you can obey the laws effectively then you could get lots of business there being a WOFE owner.

When And Whom To Hire

Of course, you can`t import employees to China so, you need to hire local people. Now before opening think that where you can hire the best people in the cheapest price. It can be any city of the country and until you think that, you can`t think of business in China. Because, without employees there is not business. Specially for WOFE in China you will have people from multiple ethnicity to language to religion to work for you, so you need to think about them before hand.

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