Our website uses  cookies for statistical purposes.

  • 16F, Taiyangdao Bldg, 2020 Dongmen Road South, Luohu, Shenzhen, China
  • clients(at)lawyerschina.net
  • +8675582148419
Our Articles

Set Up a FMCG Company in China

Set Up a FMCG Company in China

Fast moving consumer goods (FMCG) enterprises in China are a type of company involved in selling goods quickly and at relatively low costs. The FMCG companies in China have witnessed a 70% sale growth in 2016, compared with 2015. Therefore, setting up a FMCG company in China can turn into a profitable business decision. FMCG companies in China address household purchases of specific product categories: cosmetics, food, beverages, household goods and toiletry. Our lawyers in China can give you extensive details about the legal aspects of setting up a FMCG company in this country.

How to set up a FMCG in China

In order to set up a FMCG company in China, there are a few steps to follow. These include the following:

•    Pick a location for your Chinese company – the households in the urban areas are the main customers of a FMCG company. If you operate the company in the major cities in China, you can access competitive prices and heavier promotion;
•    Choose an business form – the most common types of businesses in China are representative offices, joint ventures and wholly foreign owned enterprises;
•    Prepare the necessary documents – the articles of association, copies of the investor`s passport, the business purpose of the company, the registered capital and the office address in China. It is advisable to turn to the professional help of a law firm in China in order to avoid the bureaucratic hassle of registering a company in China;
•    Trademark your intellectual property – foreign investors in China usually face the problem of intellectual property violations;
•    Register the company for tax purposes and hire employees – you also have to register your employees with pension funds and health insurance.

Features of FMCG companies in China

The FMCG companies are very popular among Chinese customers and dominant throughout the Asian consumption market. Among the main features of this type of Chinese companies, these are the most relevant:

•    They have a purpose and play an active role in the society;
•    They promote innovation, but maintain the Chinese traditions in terms of goods and merchandise;
•    They are able to shift from manufacturing to brand level;
•    They conduct ongoing market research and try to stay connected with the customers` needs.

If you need more information regarding the local commercial legislation and legal advice in setting up a FMCG company, don`t hesitate to contact our attorneys in China.