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Set up factory in China?


Dose anyone know how to set up small factory in China? I mean, for foreigners.

Also what is the minimum investment amount and terms.

Thank you an advance for advice.

As a foreigner you cannot set up a factory in China you can only partner with a Chinese national. It would be between you two how much you have to invest.

better off finding an existing factory and have them do the work for you.

Need a lot more information to answer this question. What are you looking to produce, how small, and needs. All depends on situation.
China has all kinds of ways to set something up like this.
If your product is all ready being produced or is something that is modified from something else, in China you can find operations that are looking for export to the US all over the place, even with unique products.
Also, if you want to do anything in China you will need to find someone (a representative) that knows China, that you can trust. This is not as easy as it seems. The nice thing is even if you pay someone in China a respectable salary, it is inexpensive. In China a person making 60k is considered very wealthy.

With more information I may be able to provide you with more data.

DONT DO IT!! I set up some of my manufacturing division in China. They messed everything up, they work hard, they dont talk while they work. But when its time to go home, or time for lunch, its yabba dabba doo, and they leave, even if the work is not done. Like I said, they work hard but they cant grasp a lot of things, like simple problem solving, or fallowing directions. If you have someone there to babysit every day things might turn out different. But high school kids work just as hard for less.

The normal steps include:
1. to rent a workshop matched your business plan;
2. to apply for WFOE permission from the Foreign Investment Administration Department;
3. to register the WFOE to the Registration Bureau, Tax Bureau;
4. to open bank account, engage the employee and operate the factory.

The minimum investment is 100,000RMB about 13,000USD for registering a WFOE .
WFOE鈥斺€攚holly foreign owned enterprise, refer to the foreign investors possess 100% shares of the enterprise.
For more details, pls contact with me锛歮ar06.assistant@yahoo.com.cn

Mar is correct.. Only do WFOS (Wholly Owned) joint ventures can be a nightmare and will require you and your staff to constantly monitor and perform QA, the opnly downside to WFOS is Sarbanes Oxly Act..

What kind of factory, products you will be making largely determines what your startup costs are going to be..

If you don't have relationships in the area where you are setting up a factory, you had best start making some.. It will take about 6months to a year to find the right people and network to facilitate a good startup..

Don't go in their thinking you will be setup overnight.. no matter how much money you have to do this..

Good luck..

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