What to check？
So, during company check China, what do foreign companies need to check and confirm？
Information for checking
For company check China, foreign businessmen need to check the information below:
- Social Credit Code
- Company name
- Legal representative
- Registered capital
- Date of establishment, start operations and end operations.
- Registering Bureau
- Inspection date
- Operating status: but in operation is not displayed on the business license.
- Address the company
- Business scope
Moreover, this information will be on the company’s business license.
At the same time, when checking the information, foreign businessmen should also pay attention to whether the following aspects are legal:
- Information about shareholders and their ownership
- Paid-in capital
- Management information
- History of registration changes
- Penalties and instructions for compliance with the law
Documents needed to be check
Business license or its copies
The business license states that this company is legal in China.
Foreign businessmen can verify the information based on the inspection of the content mentioned above.
Business card or its copies
In addition, foreign businessmen can also keep a copy of the company’s business card or a business card. The business card has company information like its website, phone number, trademark, etc. Moreover, the information on the business card needs to be the same as the information on the business license.
The company seal is a must for a legal company in China.
And the Seals have legal effect.
So, foreign businessmen can check whether the information on the seal is the same as the information on the business license. And that can ensure the legality of the company.
A copy of bank account and foreign account
Legal Chinese companies generally have copies of bank accounts and foreign accounts. Because the exchange of RMB is not completely free. Moreover, the Chinese bureau has strict regulations on exchange. Therefore, these copies confirm the actual payment steps of the Chinese company. This will ensure that you receive your payments, Instead of listening to explanations or other excuses to delay.
The Chinese Customs Registration Certificate and the Foreign Trade Business Registration
The Customs Registration Certificate and Foreign Trade Registration Certificate is for the import company. These can ensure your rights. With these certificates, even if there are problems in business activities, foreign businessmen also hold accountable to the trading company when necessary.
Company’s records of Chinese Entry-Exit Quarantine
Since the global epidemic is very serious now, Chinese companies can only operate normally after quarantining. Therefore, the company’s epidemic inspection records can also show the company’s legitimacy.
The business culture and differences in Chinese and foreign business cultures, when doing transactions with Chinese companies, you must sign a contract and confirm the information inside.
Specifically, when Chinese people do business, they usually like to determine certain things through conversation.
Correspondingly, when foreigners do business, they will state-specific matters in the contract.
Therefore, when foreign businessmen do business with Chinese companies, things that are confirmed in the conversation may not be implemented. In this situation, some companies may not implement things well. Moreover, it doesn’t have law protection if they are not stated in the contract.
Therefore, when there are changes in the transaction, foreign businessmen should write them in the contract in time. In this way, the law can guarantee the rights and interests of foreign businessmen.
Moreover, if there are problems with these matters, foreign businessmen have the right to hold Chinese companies accountable.