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Representative Office In China Setup For Guangdong, Beijing, Hainan & Shanghai

Your complete China representative office setup service

What Is A Representative Office In China?

A China representative office, or rep office for short, is a local presence in China for a foreign company.

A rep office exists to allow a foreign parent company conduct business meetings, perform quality control, promotion of products or services, and market research.

It is not a company which is legally allowed to issue invoices or trade. For these purposes you would need to open a WFOE or Joint Venture.

It is a cost centre, which is funded by the foreign investor (the parent company), and acts as their foreign arm allowing them to perform activities within China which might benefit their overall business.

A rep office, due to not being a legal entity which is allowed to trade within China, is fairly straightforward and fast to set up. Hongda will usually have a rep office registered and ready to run within around 2 weeks.

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Hongda Open Your China Representative Office With A Convenient Service

Hongda's China business experts will assist you to open your rep office rapidly and in full compliance with local law in Guangdong province (Guangzhou, Shenzhen, and other major cities), or Shanghai.

As long as your overseas company has been in operation for more than 2 years, you will be able to open a China rep office.

This includes:

  • Assist you to locate an office space
  • Deal with labor contract sign withloca staff
  • Working permit apply forforeign staff
  • Monthly bookkeeping
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Hongda set up your representative office for you, giving you peace of mind and more time to focus on your business.

Advantages Of A China Rep Office

Foreign companies may have many dealings with China or Chinese suppliers.

In the case of a company which, for whatever reason, does not need to do business directly in China, a representative office will be beneficial. In this case Hongda assist you by setting up a Guangdong, Shanghai, or Shenzhen rep office for your business.

For instance, if an American company needs to meet with Chinese suppliers in Shenzhen, a representative needs to fly in and conduct this meeting or vice versa. If this is a very common occurrence a rep office will be helpful, as a company representative from the American company can be based in Shenzhen to conduct meetings at any time and it will also a give a physical location for local business contacts to visit which would enhance your company's professionalism.

Furthermore, a rep office will offer:

  • A real presence in China (in fact, renting an office space is one of the stipulations which must happen before your rep office can even be registered)
  • Enhanced brand-building capabilities by being where the customers are (assuming that the foreign company is selling within China)
  • Ability to share technology and ideas with local contacts
  • Ease of conducting local market research
  • Coordinate the foreign parent company’s activities ‘on the ground’ in China, be they market, distribution, etc
  • Liaise with local contacts more easily and efficiently, which is especially useful for foreign manufacturers being supplied from China
  • A rep office may open a corporate bank account in China (but only to receive operating funds from the overseas parent company)
  • Rep offices may employ foreign and local staff, however not directly. They must use FESCO, a 3rd party HR agency, to hire their staff (Hongda will help you deal with FESCO and make sure that hiring staff through them goes smoothly)
  • No registered capital is required to set up a rep office in China

Disadvantages Of A China Representative Office

A rep office is merely a base of operations on China for a foreign company, and as such may not:

Furthermore, a rep office will offer:

  • Do business of any kind which results in profit
  • Finalise deals and sign business contracts for the parent company
  • Represent other companies
  • Buy property in China
  • Import equipment into China
  • Invoice local businesses or collect payments of any kind
  • Warehouse any product

If your business needs within China include any of the above, then Hongda Business Services can help you by opening a WFOE or joint venture company instead.

Read more about rep office pros and cons.

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Remember: A rep office CAN help you build your brand in China or deal more effectively with local contacts, but can’t do business for profit

China Representative Office Setup Service

Don't put yourself through the complexity and trouble of setting up your own rep office in China. Our experts will do it for you, saving you time, hassle, and worry that the process is done efficiently and complies with Chinese law.

Hongda offers a functioning and compliant Rep office set up for you in just over 2 weeks. Typically, we suggest that our clients who are opening rep offices choose the following services:

  • Representative office in China setup
  • Assistance to sign labor contract with local staff and buy social insurance

  • One Year Bookkeeping Contract (Includes: Journal entries, Cash reconciliation, Balance sheet, Expense summary, Monthly bank account reconciliation schedule, Staff individual income tax, Monthly & quarterly tax form completion, Annual check on last financial year, License renewal)

    We are not only set up your rep office but also be your out source HR and accountant . if you prefer, you use Hongda service assure that your company is financially compliant are the optimal ways to set up and run a new rep office. *(Charged seperately)

    If this is something that you're interested in, please hit the button below to speak to a consultant for free about getting your rep office started:
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