Why A China Company Credit Report Is Necessary When Doing Business in China?
As a foreign investor, the safety of your investment and transaction, as well as the veracity of your investment objective and counterparty, is a factor that you must consider while doing business in China.
Based on Hongda’s practices, main reasons for business failures and economic disputes between our foreign clients and Chinese enterprises include:
- The invested company or transaction counterparty lacks legal capacity or corporation qualification: bankruptcy or cancellation/withdrawal of Business License prior to contract signing.
- The transaction party does not have the business capability to perform contracts: failure to deliver goods, provide services or pay for contract prices.
- The transaction party has a bad reputation of credit history and lacks certificates of good standing: a greater possibility or potential of breaching contracts.
Consequently, Hongda assists you in business decision making by investigating your target company and issuing China Company Credit Report for you to lower your risk and avoid economic losses. Hongda’s China Company Credit Report contains basic company information, financial status, registration capital, shareholder information, management staff, and other key information you may concern.
Situations You May Need China Company Credit Report:
- Partner background auditing and investigation;
- Competitor background investigation;
- Investment decision making;
- Selection of suppliers;
- Project bidding selection;
- Sales on Credit;
- Loan taking between enterprises.
