Distribution Services Company

Specific Arrangements for CEPA

Hong Kong and Macau service suppliers are permitted to establish wholly-owned operations and joint ventures in the Mainland to provide commission agents’ services and wholesale trade services (excluding salt and tobacco) or engage in retailing services, publication distribution, and foreign trade.

Requirements for Service Suppliers

Registered capital no less than RMB30,000
Registered capital no less than 70% of total investment if the total investment is below USD3 million
Registered capital no less than 50% of total investment if the total investment is USD3 million to USD10 million
Registered capital no be than 40% of total investment if the total investment is USD10 million to USD30 million
Registered capital no less than one-thirds of total investment if the total investment is USD30 million or above
No operating more than 30 years (generally no more than 40 years in central and western regions)

Required Documents

Application for incorporation
Feasibility study report
Contracts, articles of association and schedules thereof
Bank reference letters, certificates of registration, and certificate of legal representative of investors
Latest year’s audit report audited by a Certified Public Accountants firm
Assets evaluation report under the circumstance that the assets to be invested include state-owned assets of China
Catalog of import and export commodities of the enterprise to be established
Letters of appointment of members of the Board and directors of the investors
Enterprise Name Approval in Advance Notice
Certificate for registered place and occupancy of business ground
Certificates of service suppliers