China Consulting.

Setting up in mainland China
We assist clients to set up business establishments in Mainland China, such as representative office (RO), Wholly foreign owned enterprises (WFOE) or joint venture (JV). We also guide clients in the preparation of necessary documentation for government approval, business registration and licensing, and assist clients to understand the procedures and administration of payroll in compliance with local reporting and compliance requirements, and meet local social security and retirement scheme requirements.

Entry and business planning
Before a business is set up in Mainland China, we conduct feasibility studies for clients to determine whether RO, FIE or JV is most suitable to achieve their business objectives.

We assist clients to identify, screen and interview candidates with the skills, experience and aptitude to fit specific roles. During the probationary period, we monitor candidates’ performance to assess their compatibility and potential.

We assist clients in registering trademarks and patents in Mainland China, so as to protect their intellectual properties.

China tax, compliance and company maintenance
With a thorough understanding of accounting methods practiced in Mainland China and international markets, we set up and maintain efficient accounting systems for our clients’ China operations. This extends to preparing annual and periodic accounts, financial reports and consolidated accounts. We also provide consultations on local practices in China and offer training for mainland-based staff on the International Financial Reporting Standards and computerized accounting systems.

To ensure the smooth and lawful development of business in Mainland China, we help clients understand and comply with Mainland China’s customs and excise laws and regulations. These services entail on the supervision of customs clearance procedures, providing logistical support for trade and overseas exports, arranging customs inspections, managing insurance issues, and handling of banking and shipping documentation.

To ensure compliance and minimize bottom-line expenses, our experts offer China tax consultation and planning services with up-to-date changes in taxation laws, rules, regulations and practices. In this way, we can advise on every opportunity for savings in income tax, VAT, customers duty and individual income tax, as well as planning for global transfer pricing.

Transfer pricing compliance and review
We carry out detailed reviews on operation flow, nature of related parties transactions and pricing models of clients for assessing the potential transfer pricing risks and advising on the list of documents to be required by the China Tax Bureau. In addition, we also assist clients for preparing the transfer pricing reports and documentations and also the transfer pricing tax filings for compliance purpose.

Compliance and financial review
A thorough investigation of the business, legal and financial issues surrounding a commercial venture is necessary to identify areas for resolution. It is the only way to mitigate risk exposure, reduce the possibility of acquiring unseen liabilities, and ultimately make well-informed decisions.

Our planned and disciplined approach to due diligence or regular health check for the existing investments in Mainland China is cost-effective and thorough, involving a close examination of, but not limited to:

• The quality and sustainability of earnings and cash flow
• The reliability of financial information
• The condition and value of assets
•  Liabilities and potential liabilities
•  Accounting systems and controls
• Key operational processes and information systems
• The tax and other implications of deal or corporate structures
• Legal and regulatory compliance

Mergers and Acquisitions
In addition to assist clients to invest in Mainland China, we also assist Chinese clients to make outbound investments. The Chinese government has been encouraging domestic companies to “go global” as the economy grows increasingly more integrated with the world.

By identifying and evaluating potential candidates for merger, acquisition, strategic alliances or joint ventures or even going for IPO, we provide practical advice to create value for clients. This extends to a wide range of valuation service, including M&A strategy, planning, and analysis of the implications of proposed transactions for accounting and taxation purposes. We also assist in developing negotiating strategies, establishing an appropriate price and procedure to close deals.