Expansion Into China?
Your business is successful in Singapore and the surrounding region, and you are thinking of expanding your business into China.
There are a couple of things you would need to know before you would want to step foot into this country, which makes up 1/5 of the world’s population.
First of all, China is a currency-controlled country. Money cannot flow freely into and out of the country without doing something.
Secondly, China is a Socialist Economy. It simply means the welfare of the workers would come first. It is easy to hire, but very difficult, almost impossible, to fire. You need to be smart with your Employment Contract and HR Policies to “survive” any conflicts with your staff there.
Thirdly, Tax governance is a big thing in China. Fa Piao, VAT, Business Tax, Withholding Tax, Corporate Income Tax, Transfer Pricing and Advance Pricing Agreement ( APA ), Individual Income Tax, Worldwide Tax for Chief or Legal Representative…just to name a few…You just need to know about Taxes, the various Tax Submissions and Tax risks in China so as not to step on to any unexpected “Landmines”.
Above are just the major Due Diligence you need do before stepping foot into this place called “China”, for many investors have got “burnt” for being “naive.
Good luck in your expansion into China !
If you need help, feel free to contact us at :
(O) +65 63851011
(M) +65 90880669
