Malaysia Hotline: +603- 2141 8908
Introduction of WFOE
The Wholly Foreign Owned Enterprise (WFOE) is a
limited liability company wholly owned by the foreign investor(s). In China,
WFOEs were originally conceived for encouraged manufacturing activities that
were either export orientated or introduced advanced technology. However, with
China's entry into the WTO, these conditions were gradually abolished and the
WFOE is increasingly being used for service providers such as a variety of
consulting and management services, software development and trading as well.
The registered capital of a Wholly Foreign Owned
Enterprise (WFOE) should be subscribed and contributed solely by the foreign
investor(s). A WFOE does not include branches established in China by foreign
enterprises and other foreign economic organizations. The Chinese Laws on WFOE
do not have a clear definition of the term of "branches". The term of
"branches" should include both the branch companies engaged in
operational activities and representative offices, which are generally not
engaged in direct business activities. Therefore, branches and representative
offices set up by foreign enterprises are not WFOE.
Different types of WFOE
- There are many businesses for WFOEs. The
following are frequently chosen by our clients:
- If the WFOE manufacture here, it is called Manufacturing
WFOE.
- If the WFOE is allowed to do Consultancy or
Service, it is called Consultancy (or Service) WFOE.
- If the WFOE is allowed to do trading, wholesale,
retail or franchising in China, it is called a Trading WFOE or Foreign-Invested
Commercial Enterprise (FICE).
Contact us
If you have further queries, please contact Tannet
24 hours Malaysia hotline：603-21418908;
24 hours Hong Kong hotline：852-27837818;
24 hours Hong Kong hotline：86-755- 36990589;
Email: mytannet@gmail.com
TANNET GROUP : http://www.tannet-group.net, http://en.tannet.com.my