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Q: Register as a self employed...
Hi, I would like to know what is necessary to register as self-employed (work alone) in China? Information on residence, visa issues, taxes and some other peculiar needs that i might need to know to legalize this situation will be appreciated. In general, and as a new step in my life, all the information that you have and you think it might help me, i'll be gratefull. 
Thanks for all support...
11 years 47 weeks ago in Business & Jobs - China
Since I do not patronize anyone breaking any Laws or regulations, my answer will be strictly the proper legal way to become self employed. It will be a hard and long road depending on which one of the two you choose.
1.- One way will be with a Chinese partner where he or she will own at least 51 % of the shares and technically will be your boss. This way is easier for many reasons, since life is China is easier for locals, and the Chinese partner could get for you the necessary documents for you to request a work visa and obtain your FEC, and later on your work permit and residence permit to be self employed legally.
2.- The second way will be for you to be 100 % owner, and to do that you will have to form and register a wholly own foreign corporation, obtain all required permits, deposit the requested capital to finance the new corporation, get your FEC, and later your work visa, and upon arrival to China your work and residence permits.
And even if some may tell you to start your own business without a work visa, and related documentation needed, I will advise you not to do it. If anyone snitch on you, or the Police caught up with you, you will be forced to pay a fine, close your business and maybe even deported from China.
But again, it is your choice to select whichever way suits you, but be aware that local officials do not look with sympathy those who break local laws and regulations.
Hypnos:
Hello HappyExPat,
Thank you for you help. Let me clarify the situation then. I've not been told to do anything illegal. Nor i have been advised to start my company. This situation comes from the fact that my time in my current company is coming to an end, due to multiple reasons. I'm already working in China, in the Automotive Industry. I've already worked as self employed but associated to my home country. The problem is that at the moment it's financial impossible to go back to the same situation, due to the crisis that europe is currently having. A lot of people i work with only asked me why not a company in China? That is the reason for my question. I don't want anything illegal. I want to know my obligations towards society, if i decide to go ahead with this. What are the taxes, social security and so on... I know nothing of these issues in China. In case of option one (which seems to be the more logical one) what would it be necessary to do? What does a company of 3 or 4 people, even if the main share holder is a Chinese person, would pay in taxes, lawers, accountants... etc.. How does the invoicing works if, for example, being an employee of that company, i have to work way from China for one year? Things like that, is what i need to know. Any information you can provide me with will be helpful. Again i state, i want to do it by the book, or else, i would not be asking all these things. :) Thank you.
