Representative Office(RO) in Xiamen
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Representative Office(RO) in Xiamen
Representative Office(RO) in Xiamen is established by foreign companies to engage in business liaisons, quality control, product promotion, market research, exchange of technology and other permitted activities in China.
Representative Office(RO) in Xiamen is also called Xiamen Representative Office setup, Xiamen Representative Office formation, Xiamen Representative Office incorporation and Xiamen Representative Office establishment.
Representative Office(RO) in Xiamen-Procedures
Preparing all the needed documents→ fill out the application form→ sign the agreement with ATA→ pay for the services→ submit all the needed documents→ name reservation→ apply for the business license and work card→ go to the public security bureau for stamp-make→ apply for Organization Code License & card→ apply for Setup license of the Local & National Taxation Bureau.
Representative Office(RO) in Xiamen-The Functions
A Representative Office in Xiamen may only engage in non-profit making activities, it can carry out the following functions:
1. It can handle market research, sourcing, project investigation, quality control for parent company, liaison with customers and suppliers
2. It cannot enter into purchase/sales contracts and receive payment for services, issue invoices.
3. A RO can open bank accounts and employ staff for above- mentioned purposes.
4. Apply for work permit and residence permit.
5. A RO is still subject to tax liability, so monthly tax return should be carried out regularly.
6. If a RO is set up in Shanghai, it is qualified to get a car without entrance tax.
Representative Office(RO) in Xiamen-Advantages
Using a representative office as Xiamen entry form has the following advantages:
1. Affordable: no paid capital required, government and service fees are usually lower than what is needed for WFOEs.
2. Quicker Setup process (usually within one month or so), and easy to control than others business type in human resources or taxes issues
3. The quickest, relatively inexpensive and easy to set up.
Representative Office(RO) in Xiamen-Name
The Chinese government has a name format for anyone who wants to setup a representative office (RO) in China, the format is: country (area) + parent company name + Xiamen Representative Office.
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