The Criteria of Setting Up Foreign-Invested Commercial Enterprise in Dongguan

Donnguan Economic and Trading Bureau has announced the criteria and business area for setting up foreign-invested commercial enterprises in Dougguan on 21 July 2005. Details as follows:

1. Business area
a) The foreign-invested commercial enterprises set up by foreign investors can participate in following businesses: Commission Agency, Wholesales, Retail and Franchise.
b) The foreign-invested non-commercial enterprises are allowed to expand the above-mentioned businesses in addition to their original scope of business. They are also allowed to set up a separate enterprise to carry out distribution sales for purchased goods.
c) Foreign-invested commercial enterprises set up outside Dongguan are allowed to set up branches in Dongguan.
d) Foreign investors purchase shares of Dongguan commercial enterprises

2. Application requirement
a) The minimum registered capital stated in "Company Ordinance" is RMB500,000 for wholesales companies and RMB300,000 for retail companies.
b) The business operation period of the foreign-invested commercial enterprises is limited to 30 years.
c) Foreign-invested commercial enterprises should also fulfill the below requirements in when opening store(s):
i) Fulfill the related stipulation of City Development of Dongguan City and City Commercial Development of Dongguan City if stores are opened at the time of setting up the foreign-invested commercial enterprise
ii) For additional stores, enterprise should equip to the following further requirement:
- Participate and pass the joint annual review of foreign-invested enterprises; and
- Paid-up all the registered capital.
d) Foreign investor should also fulfill the "Provisional Regulation for foreign enterprise to purchase domestic enterprise" when foreign investor purchases domestic commercial enterprises.
e) Other special industries should equip their own regulations

3. General procedures

Preparation of Document --> Examination and approval by Town Economics and Trading Department --> Examination and approval by City Economics and Trading Department --> Examination and approval by Economic and Trading Committee of Guangdong Province --> Dongguan Bureau of Foreign Trade and Economic Cooperation --> Department of Foreign Trade and Economic Cooperation of Guangdong Province --> Ministry of Commerce --> Obtain the approval document and certificate from Dongguan Bureau of Foreign Trade and Economic Cooperation

東莞市經貿局網站05年7月21日明確審批外商投資商業企業的範圍和條件，具體內容如下：

一、 受理範圍
（一） 外國投資者在東莞設立外商投資商業企業，可以從事：傭金代理、批發、零售、特許經營四種經營活動。
（二） 已設立的外商投資非商業企業可以增加傭金代理、批發、零售、特許經營等分銷經營範圍或新設立外商投資企業經營範圍可以包括非自產品分銷業務
（三） 東莞市以外的外商投資商業企業在東莞設立分支機搆
（四） 外國投資者收購東莞商業企業股份

二、 申辦條件
（一） 最低註冊資本符合《公司法》的有關規定，即以商品批發為主的公司人民幣50萬元，以商業零售為主的公司人民幣30萬元。
（二） 外商投資商業企業的經營期限不超過30年
（三） 外商投資商業企業開設店鋪還應當符合以下條件：
1． 在申請設立商業企業的同時申請開設店鋪的，須符合東莞市城市發展及城市商業發展的有關規定
2． 已批准設立的外商投資商業企業申請增設店鋪的，還須符合以下條件：
（1） 按時參加外商投資企業聯合年檢並年檢合格
（2） 企業的註冊資本全部繳清
（四） 外國投資者收購國內商業企業股份，還須符合《外國投資並購境內企業暫行規定》的相關要求
（五） 其他特殊行業應符合該行業特定的政策規定

三、程式

準備材料 --> 鎮經貿辦審批 --> 市經貿局審批 --> 廣東省經濟貿易委員會審批 --> 東莞市外經貿局--> 廣東省對外經濟貿易合作廳 --> 北京商務部 --> 東莞市外經貿局領取批文、批准證書