What is an Alien Corporation?

Foreign companies are called relative to domestic companies. A foreign company is an organization that is not established in accordance with the national laws of the host country (host country) and is not registered in the host country, but is permitted to conduct business activities in the host country with the permission of the host government.

foreign company

Foreign companies are called relative to domestic companies. A foreign company is an organization that is not established in accordance with the national laws of the host country (host country) and is not registered in the host country, but is permitted to conduct business activities in the host country with the permission of the host government.

Foreign companies are established by foreign head companies in other countries

Entry of foreign companies: China's "Company Law" stipulates that in order for foreign companies to be allowed to engage in commercial activities in China, they must have the following elements:

An application must be submitted to the Chinese competent authority, and after approval, registration with the company registration authority in accordance with law is required to obtain a business license. A representative or agent responsible for the branch must be designated in China. The nationality of the foreign company and the form of responsibility must be stated in the name. Branches of foreign companies in China do not have Chinese legal personality. When a branch of a foreign company engages in business activities within China, it must abide by Chinese laws.

Foreign companies are relative to domestic companies. The key to distinguishing between the two is the determination of the company's nationality.

The establishment of a branch of a foreign company refers to a legal act in which the foreign company obtains operating qualifications for its branch in the host country in accordance with the permit conditions and procedures stipulated in the host country company law.

(I) Application and Permit for the Establishment of a Branch of a Foreign Company 1. Application for the Establishment of a Branch of a Foreign Company

Article 200 of China's "Company Law" stipulates that foreign companies establishing branches in China must submit an application to the Chinese competent authority and submit relevant documents such as the company's articles of association and the company registration certificate of the country of origin. Foreign companies applying to establish branches must meet certain conditions. According to the relevant provisions of the Chinese Company Law, the requirements for foreign companies to establish branches in China mainly include:

A foreign company must allocate to the branch in China a

(1) Purpose of Supervising the Business Activities of Branches of Foreign Companies The supervision and management of the business activities of branches of foreign companies (hereinafter referred to as "supervision") is the embodiment of the principle of state sovereignty and the state's exercise of its economy in accordance with the law

(1) Withdrawal of a branch of a foreign company The withdrawal of a branch of a foreign company refers to the elimination of the established branch of a foreign company in accordance with the law and the termination of its production and operation activities in China. According to China's relevant laws, regulations and world regulations, there are the following situations for the withdrawal of branches of foreign companies:

The foreign company was dissolved according to law.

A branch of a foreign company is a component of a foreign company. When a foreign company is declared bankrupt according to law, forced to dissolve by an administrative order or court decision in the country where it is located, or due to the expiration of the operating period, the realization of business purposes, the resolution of the shareholders' meeting, and force majeure When a company suffers losses and other reasons and cannot be dissolved, or when a foreign company is destroyed due to merger or division, the branch of the foreign company is of course dissolved.

The approval certificate for the foreign company to apply to the Chinese competent authority to establish a branch was revoked.

The approval certificate of the competent authority is the legal basis for the establishment of a branch by a foreign company. When the approval certificate is revoked, the branch established in accordance with the approval certificate subsequently loses the existing legal basis. The administration for industry and commerce may revoke the notice of the approval authority The foreign company's branch of the "People's Republic of China Business Principles" and ordered its cancellation.

The branch of a foreign company was cancelled due to illegal operations.

If a branch of a foreign company violates China's customs, industrial and commercial administration, finance, taxation, foreign exchange, environmental protection and other laws and regulations, if the circumstances are serious, the relevant competent authority has the right to order it to suspend business and revoke its "People's Republic of China Business License" .

Branches of foreign companies closed for no reason.

Foreign companies cancel their branches by themselves.

A foreign company's branch is applied for establishment by a foreign company. Of course, a foreign company can also revoke its established branch, but just like setting up a branch, the cancellation of the branch also requires an application to the Chinese competent authority, which can be cancelled only after approval. Article 205 of the Chinese Company Law states: "When a foreign company revokes its branch in China, it must pay off its debts in accordance with the law, and liquidate in accordance with the provisions of this law on the company's liquidation procedures. Before its debts are not settled, its branches must not be Of property outside China ?? "

(2) Liquidation of branches of foreign companies The withdrawal of branches of foreign companies shall be carried out in accordance with the provisions of the Chinese Company Law on the procedures for liquidation of companies. The liquidation of a branch of a foreign company shall establish a liquidation group according to law. After clearing the company's property, compiling assets and liabilities and property inventory, the liquidation team shall formulate a liquidation plan and submit it to the relevant Chinese competent authority for confirmation. During the liquidation period, a branch of a foreign company shall not dispose of its property for non-liquidation purposes. After the liquidation of a branch of a foreign company is completed, the liquidation team shall prepare a liquidation report and submit it to the relevant competent authority for confirmation.