May be your business has been very successful in your country and you also have found the potential value of China’s market. But investing in a foreign country is another thing. So try to ask the following questions before you register a company in China, which will make your decision more scientific.

Question 1 Can I afford the cost of running a company?
When starting a business, no businesses will show their lacking of confidence. But establishing a presence in China is still a challenging experience for unwary organizations, you need know clearly about the cost you can afford to run business in China. This can promote your success in the long time.

Question 2 Where to invest in China?
Make sure for your target area in China. According to China’s opening door policy going on adopted in 1979, the opening zones with different orientations and functions have been extended down to various regions which include special economic zones, such as Shenzhen, Zhuhai, Xianmen, Shantou and New Area of Pudong in Shanghai. In China, there are many different zones, for example, national economic & technological development zones (ETDZ), national free trade zones (FTZ) and so on. You or your company may make a research and lock in a particular zone to test your choice.

Question 3 What to invest?
In China, some industries are included in the encouraged foreign investment industries. These industries refer to farming, forestry, mine, water resources, manufacturing, communication and transportation, retail trade , real estate and public health, education, culture and so on. For this part you will need to do a very strict survey.

What’s more, projects for new agricultural technology, new and high technology are always the encouraged industries.

Question 4 Who can be your business partners?
As we all known, friend is a very important part in people’s life, it is also the same to business. If you do business in China, it will be very useful to have some China business partners. They can help you deal with some complicate situations.

Question 5 How about the bidding?
Chinese mainland has reformed the procurement policy of its public sector and increased the transparency of its tendering and procurement procedures. On July 1, 2000, the State Development Planning Commission designated a professional website as the sole Internet platform for posting China's public tendering notices. Hong Kong Trade Development Council has co-operated with this website in providing the latter's contents and services on tdctrade.com.

Question 6 What are the investment forms?
What kind of investment forms is available in China? Which form is fit for you or your company? If you read carefully, you can make a right choice of it. In China, The absorption means of foreign capital are basically divided into direct investment, foreign Government Loans, UN organizations and other sources. The direct investment forms, which are popularly operated in China, include Chinese-foreign equity joint ventures, Chinese-foreign contractual joint ventures, wholly foreign-owned enterprises, joint exploitation, foreign-funded share holding companies, etc.

I want to invest in China