Before registration, the enterprise should check its name (if it’s allowed). The foreign-funded enterprise in China has different name inquiry regulations with those of foreign enterprise.
The regulations for foreign-funded enterprise in China are as follows,
I. Foreign-funded Enterprise Name Constitution
Usually, enterprise name consists of four parts: Administrative district, name features, industry characteristics, organizational forms, or, name+ (Shanghai) + industry characteristics+ organizational forms.
1. The “Administrative district” should be a place above the county level.
2. Legal representatives who meet the following requirements can put the administrative district after its name features and before organizational forms:
① Use the name features in its share-controlling enterprise’s name
② 100% foreign-owned enterprise using its foreign investing company’s name features can put “(China)” in its name.
II. Name Features for Foreign-funded Enterprise
The name feature should have at least 2 Chinese words, administrative district can not be used as name feature, except the name of this place has a special meaning. Name feature can also be of the natural investor’s name.
III. Enterprise’s Industry Characteristics
1. The industry characteristics should be in accordance with its business scope. If the enterprise operates cross industry business, it should choose its name features in the industry that his/her business mainly operates.
2. Enterprises do not use economic sector terms should meet the following requirements:
① Enterprise’s economic activities fall into more than 5 major categories of national industries.
② Enterprise’s registered capital should be more than RMB 100 million or a parent company of a corporation.
③ Have different name features with industrial and commercial administrative organization of the same level and with registered enterprises.
3. The enterprise can use place name (country, area or a place above the county level). Such place name is not regarded as administrative district in the enterprise name.
4. There should not be features in the enterprise name implying business beyond its business scope.
IV. Organizational Form of Foreign Companies
For those applications based on "Company Law of the People's Republic of China", "Law of The People’s Republic of China on Chinese-Foreign Equity Joint Ventures ", "Law of the People's Republic of China on Chinese-Foreign Contractual Joint Ventures", "Law of the People's Republic of China on Foreign-Capital Enterprises", the organizational form is Company Limited (limited liability company) or company limited by shares; for those applications based on other laws and regulations, the organizational form should not be Company Limited (limited liability company) or company limited by shares, and for non-corporate organizations, the organizational form can be "Manufacturer", "Store", " Department", "Center".
V. Jurisdiction Limits for Name Inquiry
Different departments are responsible for registry applications of different levels.
State Administration of Industry & Commerce of the People’s Republic of China is for:
1. Entitled with “China”, “Chinese”, and “National”, “State”, “International”;
2. Names with “China”, “Chinese”, “National”, “State”, etc;
3. Enterprises names without administrative district.
Municipal Administration of Industry & Commerce is for:
1. Enterprise approved by Municipal People’s Government, or enterprises set up by various government departments with approval from supervising industrial management department;
2. Enterprise group;
3. Enterprise specializing in the import and export business, labor export business, external contract engineering, verification organizations, audit institutions, pawn institutions, SME credit guarantee institutions, industrial and commercial registered agent, professional brokerage organizations, private immigration agency, overseas employment agency, talent agency, credit agencies;
4. Company limited by shares;
5. State-owned company;
6. Limited liability company with registered capital over 30 million (inclusive) RMB;
7. Individual-owned enterprises with capital over 30 million (inclusive) RMB;
8. Foreign-invested enterprises.
Administration of Industry & Commerce of district and county level is for the enterprises other than the above ones, branch of domestic enterprises and individual business registration. Administration of Industry & Commerce of district and county level will examine the case in accordance to the municipal administration’s comments.
VI. Approval Process
Process for name pre-approval registration:
1. Filling in an application form of Approval Notification of Enterprise Name, write (Power of Attorney,) and prepare relevant documents;
2. Hand in the documents for name registration, receive notice of name registration and wait for the result;
3. Pick the Approval Notification of Enterprise Name on the date shown on the note.
We offer agency service for foreign-funded enterprise registration, including various procedures from name inquiry, approval in Shanghai Municipal Commission of Commerce, and registration with industrial and commercial administration authorities to opening of the enterprise.