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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
This Document sets out each step in the approval process and the documents required for each step in setting up of a food and
beverage operation (WFOE) and establishment of a branch in Shanghai. We also give an estimate of the time frame for each step.
We recommend collating many documents as possible however the application process can be commenced as soon as we have
received the documents required in Steps One and Two.
STEP 1       PRE-REGISTRATION ACTIVITIES
STEP 1.1: AUTHORITY TO ACT
These powers of attorney are signed to indicate to the authorities that we, RHK Legal and the sponsoring agent that we appoint to lodge the
documents and liaise with the authorities are authorised to act on your behalf. If the Chairman of the Investor is not available, also consider
signing a power of attorney to someone else able to sign documents on behalf of the investor.



      Doc.         Type of Document                            Responsibility                   Task               Language           Number of
      No.                                                                                       Status             Requirements       Documents

 A             Power of Attorney authorising RHK Legal         RHK Legal draft                              Chinese and English   2 originals in each
               to act in relation to the incorporation;                                                                           language

 B             Service Agreement between Agent and                 RHK Legal to                             Chinese               1 original
               RHK Legal (on your behalf).                         negotiate on your
                                                                   behalf

 C             Power of Attorney authorising sponsoring            RHK Legal draft                          Chinese               2 Originals
               agent to lodge application and deal with
               authorities on your behalf


STEP 1.2: LEASE NEGOTIATION
One of the documents required in Step 3 is a lease or agreement to lease. This means that premises for your WFOE must already be secured.
We can assist you to locate appropriate space if require.

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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes


STEP 2: NAME APPROVAL PROCESS IN RESPECT OF FOOD AND BEVERAGE CONSULTING BUSINESS
Before your formal application can be lodged, the official name registration certificate must be obtained from the Shanghai Municipal
People’s Government Administration of Industry and Commerce (SAIC) , or its branch at the district level . This takes between 1 and 5
days. Names must be chosen to confirm with PRC on naming of companies which is:
[name of investor] [industry] [location] Co Ltd. Or [name of investor] [location] [industry] Co Ltd
For Example: XXX Trading (Shanghai) Co Ltd, XXX International Trading (Shanghai) Co Ltd, XXXX (Shanghai) International Trading Co
Ltd.
Inclusion of “China” in the name or removal of the location from the name requires a much higher level of registered capital. Let us know if
you require more information regarding name options
Government Fee upon name approval is RMB300



Doc        Type of Document                                           Responsibility            Task          Language       Number of
No.                                                                                             Status        Requirements   Documents

D      Application Form for WFOE name.                                    RHK Legal                             Chinese        1 original

       (We can sign this on your behalf under the power of
       attorney)

       Three to five Chinese names for the WFOE, in order of              Investor                              Chinese        1 copy
       preference, and in accordance with PRC company                     suggest
       name rules




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
     STEP 3: APPROVAL PROCESS IN RESPECT OF FOOD AND BEVERAGE CONSULTING BUSINESS
This is the real approval process at the end of which you obtain your certificate of approval and business licence. The application is submitted
first to the Shanghai Municipal People’s Government, Shanghai Commerce Committee (SCC), Department of Project Approval. It can take up
to 30 days for SCC to approve the application, calculated from the day all the documents are submitted to SCC in their final form.
Finally, within 1 month of receiving the Approval certificate, the Investor returns to SCC, Enterprise Registration Department, Foreign
Investment Division and applies for a business licence. The business licence application may take up to 2 weeks and then a further 5 days for
the printing of the licence. Government Fees are 0.08% of your registered capital amount.



      Doc.        Type of Document                                Responsibility                 Task          Language        Number of
      No.                                                                                        Status        Requirements    Documents

 E            A letter from an authorised representative of           RHK Legal draft                      We can draft this   5 Original
              the Investor (preferably the Chairman or                                                     letter for you.
              General Manager) stating the Investor wishes            Investor sign
              to establish a wholly foreign owned
              commercial enterprise, summarising the
              scope of business and proposed investment
              and stating that any difference between the
              total investment and registered capital will be
              contributed when needed.

 F            SCC Application Form                                    RHK Legal                                Chinese         1 Original
                                                                      prepare Investor
                                                                      sign




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

G            Board resolution from the investing company             RHK Legal can                            English and   5 Originals
             approving the establishment of the WFOE,                prepare draft                            Chinese
             the WFOE’s name, approving the
             appointment of authorised consultants and
             signatories and approving the appointments
             to the Board and the Chairman.

H            Information from you so that we can prepare             RHK Legal will                           English       1 original
             the Feasibility Report , Application Form and           provide template
             Articles of Association                                 of information
                                                                     required

I            Feasibility Report                                      RHK Legal will                           Chinese       5 Original
                                                                     prepare first draft
                                                                     and provide to
                                                                     you for review
                                                                     and expansion.




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

J            Bank account confirmation letter from                   RHK Legal                                Chinese or         2 originals
             investor’s foreign bankers issued within 6              provide sample                           English
             months of the date of application form
                                                                                                              (If the original
                                                                                                              is in English
                                                                                                              we can
                                                                                                              provide a
                                                                                                              translation, or
                                                                                                              ask your
                                                                                                              bankers to
                                                                                                              provide a
                                                                                                              bilingual
                                                                                                              letter.)

K            Certificate of incorporation of the Investor            Investor provide                         Chinese or         1 copy chopped
                                                                     copy                                     English
             If the company is an offshore company (BVI,
             Cayman, NOT HK), need to provide the
             articles of association for both the investing
             company and the parent company.

L            The Consolidated Financial Statements and               Investor Provide                         English or         1 copy chopped by
             audit report for the most recent year, audited                                                   Chinese            investor
             by an accounting firm




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

M            An agreement to lease or final lease                    Investor provide                         Chinese   3 originals leases
             agreement for registered office premises.

              Copy of property certificate of landlord to be
             attached with the original landlord’s chop on
             the certificate

N            List of items that will be imported/exported (if        Investor to                              Chinese   1 original, signed by
             any)                                                    provide                                            the Chairman or
                                                                                                                        authorized person
                                                                     RHK Legal                                          of the investing
                                                                     translate                                          company.



O            Articles of Association for the WFOE                    RHK Legal will                           Chinese   5 originals
                                                                     draft based on
                                                                     information from
                                                                     Investor.




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

P            List setting out details of each board member           Investor provide                         Chinese   5 originals

             Letters of appointment or other instrument of           RHK Legal
             appointment for each director.                          translate

             NOTE: Letter of Appointment for the person
             to be appointed as Chairman must identify
             that Director as Chairman

             Letter of Appointment appointing the General
                                                                                                                        2 Originals
             Manager and, if applicable, the Deputy
             General Manager of the WFOE



     Q           Passport of WFOE Chairman – copy of                 Investor provide                               -   3 copy, signed by
                 details page                                                                                           passport holder

     Q           Passport of each WFOE Board member –                Investor provide                               -   3 copy for each
                 copies of details pages                                                                                Board member,
                                                                                                                        signed by each
                                                                                                                        member

     Q           Passport of WFOE General Manager –                  Investor provide                               -   3 copy, signed by
                 copy of details page                                                                                   passport holder

     Q           *Passport of WFOE Deputy General                    Investor provide                               -   3 copy, signed by
                 Manager – copy of details page (if                                                                     passport holder
                 applicable)




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

 R           Passport size photos of WFOE Chairman               Investor provide                                  -    4 photos, sign back
                                                                                                                        of each photo

 R           Passport size photos of each WFOE                   Investor provide                                  -    4 photos for each
             Board member                                                                                               Board Member,
                                                                                                                        sign the back of
                                                                                                                        each photo

 R           Passport size photos of WFOE General                Investor provide                                  -    4 photos, sign the
             Manager                                                                                                    back of each photo

 R           *Passport size photos of WFOE Deputy                Investor provide                                  -    4 photos
             General Manager (if applicable)

 S           Short CV of WFOE Chairman                           Investor provide                         Chinese       1 copy, signed

 S           Short CV of each WFOE Board member                  Investor provide                         Chinese       1 copy, signed

 S           Short CV of WFOE General Manager                    Investor provide                         Chinese       1 copy, signed

 S           *Short CV of WFOE Deputy General                    Investor provide                         Chinese       1 copy, signed
             Manager (if applicable)

 T           Name Registration Certificate obtained              Investor provide                             Chinese   1 original executed
             from step two                                                                                              by legal
                                                                                                                        representative of
                                                                                                                        WFOE




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
STEP 4: POST REGISTRATION MATTERS IN RESPECT OF FOOD AND BEVERAGE CONSULTING COMPANY


During the post registration process we register the Investor with all relevant bodies and obtain items that are required for you to start
operating.




Post Registration Matters                                           Time                                      Cost (RMB)
Public announcement – official advertisement announcing             1 day                                     4000 – 16,000, depending on size
your establishment published in Jie Fang Daily newspaper,
organised by SAIC, Enterprise Registration Department
Obtain Company Chop and Financial Chop and Legal                    3 – 5 days                                300
Representative personal Chop from a chop firm licensed by
the Public Security Bureau.
Apply for Organisational Code from the Code Centre of the           2 – 3 days                                200
Shanghai Quality and Inspection Bureau and register with the
Quality and Supervision Bureau


Financial and Statistical Registration                              Up to 1 month for Financial               20 for Financial registration
                                                                    Registration and 1 day for
   •   Financial registration is at the District Financial
                                                                    statistical registration
       Bureau; and                                                                                            20 for statistical registration
   •   Statistical registration at the Registration Department
       of Shanghai Municipal Statistical Bureau




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
Foreign Exchange Registration at the Shanghai Branch of the         3 days                                    300
State Administration of Foreign Exchange, including Injecting
capital and obtaining capital contribution verification report.
   At this point, entity is able to commence business.
Opening Bank accounts at the investor’s bank of choice              1 week
Taxation Registration at Shanghai Municipal Taxation Bureau         10 days                                   100
Customs Registration at District level Customs Office               3 – 5 days (depends on goods)             300




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
Foreign Trading Rights Registration (if required) at the             Up to 1 month
Registration Department , ie MOFCOM or its local branch,
the specific registration process is listed as below:
1. Fill out the Foreign Trade Business Operators
   Registration Form, which can be downloaded from the
   official website of MOFCOM
2. Submit to the Registration Department the following
   documents:
    (1) Filled Registration Form as mentioned above;
    (2) Photocopy of business license;
    (3) Photocopy of organisational code certificate;
    (4) Approval certificate
    (5) Legally-notarised certificate of credibility and financial
        standing
3. The Registration Department will complete the
   registration examination within 5 days from the date of
   receipt of all the required documents and place an official
   chop on the Registration Form filled out by the company;
4. On the strength of the chopped Registration Form, go
   through the relevant procedures in respect of trading
   business with local customs, local inspection and
   quarantine department, local foreign exchange control
   authority and tax authority within 30 days from the date of
   chopped Registration Form



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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
STEP 5: POST REGISTRATION MATTERS
The above mentioned four steps specifically set out the approval procedure pertaining to establishment of a food and beravege consulting
company with the business scope of consulting services relating to catering or food and beverage business and precluding the phisical
operation of outlets. If the investors wish to expand the current business scope to include the physical operation of outlets, the investors
shall apply to for a branch license for physical operation of an outlet , which shall be subject to a multi-agency approval process involving
various license or permits. The specific steps are listed as below:


STEP 5.1 APPLICATION FOR APPROVAL FOR INCREASE OF BUSINESS SCOPE
This is the approval process at the end of which the investors will obtain the approval from SCC for expansion of business scope, increase
of the capital and establishment of a branch, the whole process will take up to 30 days calculated from the day all the documents are
submitted to SCC in their final form
Within 1 month of receiving the Approval, the Investor returns to SCC, Enterprise Registration Department, Foreign Investment Division and
applies for a branch business licence. The business licence application may take up to 2 weeks and then a further 5 days for the printing of
the licence.




Doc        Type of Document                                 Responsibility           Task       Language        Number of Documents
No.                                                                                  Status     Requirements

A      A letter from legal representative stating               WFOE                                Chinese         1 original executed by the
       WFOE wishes to expanse its business scope ,              provide                                             legal representative
       increase the registered capital and set up a
       branch

       (We can sign this on your behalf under the
       power of attorney)


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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

B      Board resolution in respect of the above                 Investor                            Chinese   1 original executed by the
       mentioned issues                                         provide                                       legal representative



C      Application form in respect of amendment to              Investor                            Chinese   1 copy executed by the
       Article of Associations                                  provide                                       legal representative



D      Restated or amended Article of Associations              Investor                            Chinese   1 original executed by the
                                                                                                              legal representative
                                                                provide

E      Original Article of Associations                         Investor                            Chinese   1 original and 1 copy
                                                                                                              executed by the legal
                                                                provide                                       representative

F      Feasibility study report in respect of                   Investor                            Chinese   1 original
       establishment of a branch and expansion of
       business scope                                           provide

G      Lease agreement in respect of F&B outlet                 Investor                            Chinese   1 original
       premises for the operation of the branch
                                                                provide

H      Copy of property certificate of landlord                 Investor                                      1 original

                                                                provide




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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes

  I          Capital verification report in respect of capital        Investor                            Chinese            1 original
             increase (if any)
                                                                      provide

  J          Business license of WFOE                                 Investor                                               original

                                                                      provide

  J          Approval certificate of WFOE                             Investor                                               original

                                                                      provide


STEP 5.2 POST REGISTRATION MATTERS IN RESPECT OF THE BRANCH F&B OUTLET
  During the post registration, the branch needs to apply for the below listed licenses or permits with different competent authorities
for physical operation of the branch.


         License or permits                                               Time                   Competent              Cost (RMB)
                                                                                                  Authority
      Food hygiene permit                                                 20 business         Shanghai Food and         10
                                                                          days                Drug Administration
                                                                                              Bureau or its branch at
                                                                                              district level
      Public hygiene certificate                                          20 business         Shanghai Hygiene          10
                                                                          days                Bureau or its branch at
                                                                                              district leval
      Construction and fire-control design verification report            20-30 business        Shanghai Fire
                                                                          days                  Control Bureau


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COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes
Special license to sell spirits and alcohol                         20-30 business        Shanghai Wine
                                                                    days                  Monoply
                                                                                          Administration
                                                                                          Bureau
Environmental impact evaluation opinion                             20 business days      Shanghai
                                                                                          Environment
                                                                                          Protection Bureau
Organisational code certificate                                     2-3 business          Code Centre of the       200
                                                                    days                  Shanghai Quality and
                                                                                          Inspection Bureau
Taxation Registration Certificate                                   10 days               Shanghai Municipal       100
                                                                                          Taxation Bureau or
                                                                                          its branch at district
                                                                                          level




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Food And Beverage Wfoe Approval & Licensing Process

  • 1. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes This Document sets out each step in the approval process and the documents required for each step in setting up of a food and beverage operation (WFOE) and establishment of a branch in Shanghai. We also give an estimate of the time frame for each step. We recommend collating many documents as possible however the application process can be commenced as soon as we have received the documents required in Steps One and Two. STEP 1 PRE-REGISTRATION ACTIVITIES STEP 1.1: AUTHORITY TO ACT These powers of attorney are signed to indicate to the authorities that we, RHK Legal and the sponsoring agent that we appoint to lodge the documents and liaise with the authorities are authorised to act on your behalf. If the Chairman of the Investor is not available, also consider signing a power of attorney to someone else able to sign documents on behalf of the investor. Doc. Type of Document Responsibility Task Language Number of No. Status Requirements Documents A Power of Attorney authorising RHK Legal RHK Legal draft Chinese and English 2 originals in each to act in relation to the incorporation; language B Service Agreement between Agent and RHK Legal to Chinese 1 original RHK Legal (on your behalf). negotiate on your behalf C Power of Attorney authorising sponsoring RHK Legal draft Chinese 2 Originals agent to lodge application and deal with authorities on your behalf STEP 1.2: LEASE NEGOTIATION One of the documents required in Step 3 is a lease or agreement to lease. This means that premises for your WFOE must already be secured. We can assist you to locate appropriate space if require. /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 1 of 15
  • 2. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes STEP 2: NAME APPROVAL PROCESS IN RESPECT OF FOOD AND BEVERAGE CONSULTING BUSINESS Before your formal application can be lodged, the official name registration certificate must be obtained from the Shanghai Municipal People’s Government Administration of Industry and Commerce (SAIC) , or its branch at the district level . This takes between 1 and 5 days. Names must be chosen to confirm with PRC on naming of companies which is: [name of investor] [industry] [location] Co Ltd. Or [name of investor] [location] [industry] Co Ltd For Example: XXX Trading (Shanghai) Co Ltd, XXX International Trading (Shanghai) Co Ltd, XXXX (Shanghai) International Trading Co Ltd. Inclusion of “China” in the name or removal of the location from the name requires a much higher level of registered capital. Let us know if you require more information regarding name options Government Fee upon name approval is RMB300 Doc Type of Document Responsibility Task Language Number of No. Status Requirements Documents D Application Form for WFOE name. RHK Legal Chinese 1 original (We can sign this on your behalf under the power of attorney) Three to five Chinese names for the WFOE, in order of Investor Chinese 1 copy preference, and in accordance with PRC company suggest name rules /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 2 of 15
  • 3. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes STEP 3: APPROVAL PROCESS IN RESPECT OF FOOD AND BEVERAGE CONSULTING BUSINESS This is the real approval process at the end of which you obtain your certificate of approval and business licence. The application is submitted first to the Shanghai Municipal People’s Government, Shanghai Commerce Committee (SCC), Department of Project Approval. It can take up to 30 days for SCC to approve the application, calculated from the day all the documents are submitted to SCC in their final form. Finally, within 1 month of receiving the Approval certificate, the Investor returns to SCC, Enterprise Registration Department, Foreign Investment Division and applies for a business licence. The business licence application may take up to 2 weeks and then a further 5 days for the printing of the licence. Government Fees are 0.08% of your registered capital amount. Doc. Type of Document Responsibility Task Language Number of No. Status Requirements Documents E A letter from an authorised representative of RHK Legal draft We can draft this 5 Original the Investor (preferably the Chairman or letter for you. General Manager) stating the Investor wishes Investor sign to establish a wholly foreign owned commercial enterprise, summarising the scope of business and proposed investment and stating that any difference between the total investment and registered capital will be contributed when needed. F SCC Application Form RHK Legal Chinese 1 Original prepare Investor sign /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 3 of 15
  • 4. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes G Board resolution from the investing company RHK Legal can English and 5 Originals approving the establishment of the WFOE, prepare draft Chinese the WFOE’s name, approving the appointment of authorised consultants and signatories and approving the appointments to the Board and the Chairman. H Information from you so that we can prepare RHK Legal will English 1 original the Feasibility Report , Application Form and provide template Articles of Association of information required I Feasibility Report RHK Legal will Chinese 5 Original prepare first draft and provide to you for review and expansion. /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 4 of 15
  • 5. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes J Bank account confirmation letter from RHK Legal Chinese or 2 originals investor’s foreign bankers issued within 6 provide sample English months of the date of application form (If the original is in English we can provide a translation, or ask your bankers to provide a bilingual letter.) K Certificate of incorporation of the Investor Investor provide Chinese or 1 copy chopped copy English If the company is an offshore company (BVI, Cayman, NOT HK), need to provide the articles of association for both the investing company and the parent company. L The Consolidated Financial Statements and Investor Provide English or 1 copy chopped by audit report for the most recent year, audited Chinese investor by an accounting firm /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 5 of 15
  • 6. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes M An agreement to lease or final lease Investor provide Chinese 3 originals leases agreement for registered office premises. Copy of property certificate of landlord to be attached with the original landlord’s chop on the certificate N List of items that will be imported/exported (if Investor to Chinese 1 original, signed by any) provide the Chairman or authorized person RHK Legal of the investing translate company. O Articles of Association for the WFOE RHK Legal will Chinese 5 originals draft based on information from Investor. /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 6 of 15
  • 7. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes P List setting out details of each board member Investor provide Chinese 5 originals Letters of appointment or other instrument of RHK Legal appointment for each director. translate NOTE: Letter of Appointment for the person to be appointed as Chairman must identify that Director as Chairman Letter of Appointment appointing the General 2 Originals Manager and, if applicable, the Deputy General Manager of the WFOE Q Passport of WFOE Chairman – copy of Investor provide - 3 copy, signed by details page passport holder Q Passport of each WFOE Board member – Investor provide - 3 copy for each copies of details pages Board member, signed by each member Q Passport of WFOE General Manager – Investor provide - 3 copy, signed by copy of details page passport holder Q *Passport of WFOE Deputy General Investor provide - 3 copy, signed by Manager – copy of details page (if passport holder applicable) /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 7 of 15
  • 8. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes R Passport size photos of WFOE Chairman Investor provide - 4 photos, sign back of each photo R Passport size photos of each WFOE Investor provide - 4 photos for each Board member Board Member, sign the back of each photo R Passport size photos of WFOE General Investor provide - 4 photos, sign the Manager back of each photo R *Passport size photos of WFOE Deputy Investor provide - 4 photos General Manager (if applicable) S Short CV of WFOE Chairman Investor provide Chinese 1 copy, signed S Short CV of each WFOE Board member Investor provide Chinese 1 copy, signed S Short CV of WFOE General Manager Investor provide Chinese 1 copy, signed S *Short CV of WFOE Deputy General Investor provide Chinese 1 copy, signed Manager (if applicable) T Name Registration Certificate obtained Investor provide Chinese 1 original executed from step two by legal representative of WFOE /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 8 of 15
  • 9. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes STEP 4: POST REGISTRATION MATTERS IN RESPECT OF FOOD AND BEVERAGE CONSULTING COMPANY During the post registration process we register the Investor with all relevant bodies and obtain items that are required for you to start operating. Post Registration Matters Time Cost (RMB) Public announcement – official advertisement announcing 1 day 4000 – 16,000, depending on size your establishment published in Jie Fang Daily newspaper, organised by SAIC, Enterprise Registration Department Obtain Company Chop and Financial Chop and Legal 3 – 5 days 300 Representative personal Chop from a chop firm licensed by the Public Security Bureau. Apply for Organisational Code from the Code Centre of the 2 – 3 days 200 Shanghai Quality and Inspection Bureau and register with the Quality and Supervision Bureau Financial and Statistical Registration Up to 1 month for Financial 20 for Financial registration Registration and 1 day for • Financial registration is at the District Financial statistical registration Bureau; and 20 for statistical registration • Statistical registration at the Registration Department of Shanghai Municipal Statistical Bureau /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 9 of 15
  • 10. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes Foreign Exchange Registration at the Shanghai Branch of the 3 days 300 State Administration of Foreign Exchange, including Injecting capital and obtaining capital contribution verification report. At this point, entity is able to commence business. Opening Bank accounts at the investor’s bank of choice 1 week Taxation Registration at Shanghai Municipal Taxation Bureau 10 days 100 Customs Registration at District level Customs Office 3 – 5 days (depends on goods) 300 /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 10 of 15
  • 11. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes Foreign Trading Rights Registration (if required) at the Up to 1 month Registration Department , ie MOFCOM or its local branch, the specific registration process is listed as below: 1. Fill out the Foreign Trade Business Operators Registration Form, which can be downloaded from the official website of MOFCOM 2. Submit to the Registration Department the following documents: (1) Filled Registration Form as mentioned above; (2) Photocopy of business license; (3) Photocopy of organisational code certificate; (4) Approval certificate (5) Legally-notarised certificate of credibility and financial standing 3. The Registration Department will complete the registration examination within 5 days from the date of receipt of all the required documents and place an official chop on the Registration Form filled out by the company; 4. On the strength of the chopped Registration Form, go through the relevant procedures in respect of trading business with local customs, local inspection and quarantine department, local foreign exchange control authority and tax authority within 30 days from the date of chopped Registration Form /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 11 of 15
  • 12. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes STEP 5: POST REGISTRATION MATTERS The above mentioned four steps specifically set out the approval procedure pertaining to establishment of a food and beravege consulting company with the business scope of consulting services relating to catering or food and beverage business and precluding the phisical operation of outlets. If the investors wish to expand the current business scope to include the physical operation of outlets, the investors shall apply to for a branch license for physical operation of an outlet , which shall be subject to a multi-agency approval process involving various license or permits. The specific steps are listed as below: STEP 5.1 APPLICATION FOR APPROVAL FOR INCREASE OF BUSINESS SCOPE This is the approval process at the end of which the investors will obtain the approval from SCC for expansion of business scope, increase of the capital and establishment of a branch, the whole process will take up to 30 days calculated from the day all the documents are submitted to SCC in their final form Within 1 month of receiving the Approval, the Investor returns to SCC, Enterprise Registration Department, Foreign Investment Division and applies for a branch business licence. The business licence application may take up to 2 weeks and then a further 5 days for the printing of the licence. Doc Type of Document Responsibility Task Language Number of Documents No. Status Requirements A A letter from legal representative stating WFOE Chinese 1 original executed by the WFOE wishes to expanse its business scope , provide legal representative increase the registered capital and set up a branch (We can sign this on your behalf under the power of attorney) /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 12 of 15
  • 13. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes B Board resolution in respect of the above Investor Chinese 1 original executed by the mentioned issues provide legal representative C Application form in respect of amendment to Investor Chinese 1 copy executed by the Article of Associations provide legal representative D Restated or amended Article of Associations Investor Chinese 1 original executed by the legal representative provide E Original Article of Associations Investor Chinese 1 original and 1 copy executed by the legal provide representative F Feasibility study report in respect of Investor Chinese 1 original establishment of a branch and expansion of business scope provide G Lease agreement in respect of F&B outlet Investor Chinese 1 original premises for the operation of the branch provide H Copy of property certificate of landlord Investor 1 original provide /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 13 of 15
  • 14. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes I Capital verification report in respect of capital Investor Chinese 1 original increase (if any) provide J Business license of WFOE Investor original provide J Approval certificate of WFOE Investor original provide STEP 5.2 POST REGISTRATION MATTERS IN RESPECT OF THE BRANCH F&B OUTLET During the post registration, the branch needs to apply for the below listed licenses or permits with different competent authorities for physical operation of the branch. License or permits Time Competent Cost (RMB) Authority Food hygiene permit 20 business Shanghai Food and 10 days Drug Administration Bureau or its branch at district level Public hygiene certificate 20 business Shanghai Hygiene 10 days Bureau or its branch at district leval Construction and fire-control design verification report 20-30 business Shanghai Fire days Control Bureau /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 14 of 15
  • 15. COMMERCIAL FOOD AND BEVERAGE WFOE – Required Documents, Approval Process and Timeframes Special license to sell spirits and alcohol 20-30 business Shanghai Wine days Monoply Administration Bureau Environmental impact evaluation opinion 20 business days Shanghai Environment Protection Bureau Organisational code certificate 2-3 business Code Centre of the 200 days Shanghai Quality and Inspection Bureau Taxation Registration Certificate 10 days Shanghai Municipal 100 Taxation Bureau or its branch at district level /home/pptfactory/temp/20100802031041/foodandbeveragewfoeapprovallicensingprocess-1280718592535-phpapp01.doc Page 15 of 15