Minimum Investment and Capital Contribution Schedule
Minimum Capital Requirements
Chinese foreign investment law sets minimum Registered Capital requirements at 30,000 RMB (about US$ 4,000) for LLCs, which include Joint Ventures and Wholly Foreign Owned Enterprises (in practice, higher amounts are generally needed to secure approval), and minimum Registered Capital is RMB 5,000,000 (about US$600,000) for a Foreign Invested Company Limited by Shares. Note that industry-specific regulations may raise these requirements for certain types of businesses in the insurance and securities industries, for example, minimum Registered Capital requirements are much higher.
Capital Contribution Schedule
There is currently a conflict between the Ministry of Commerce (MOFCOM) and the State Administration of Industry & Commerce (SAIC) as to which law is applicable in this area.
SAICs requirements:
20% of Registered Capital initially; remainder to be paid within 2 years of the establishment date set forth on the FIEs Business License
MOFCOMs requirements:
Either 15% of the total Registered Capital, or an amount equal to the minimum...
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