European SMEs exporting goods and services to or investing in China often wonder whether it would bring any advantage to their business model or their company ownership structure if they include a third jurisdiction (Hong Kong or Singapore for example) “in between” their home country and Mainland China.
Advantages commonly associated with such a structure include lower costs, beneficial tax treatment, smooth payment procedures, a stable business environment and “verifiable and reachable” business partners. If these actually materialise, however, depends on a large number of factors.
Watch our recorded webinar to learn more about the advantages and disadvantages of using this approach to doing business in China, including examples from Hong Kong and other commonly used third jurisdictions:
- advantages and disadvantages of setting up a holding company in a third jurisdiction for investment in Mainland China;
- company establishment procedures, costs, operational issues, legal and administrative compliance, taxes, and payments procedures;
- third jurisdictions as a base for exporting goods or providing services to Mainland China;
- benefits resulting from special agreements like CEPA;
- case studies for illustration.
About the speaker
Kristina Koehler–Coluccia has worked in the Chinese legal and accounting industry since 2003, when she joined Klako Group as its China Director. Kristina advises and represents foreign (mainly European) companies when they decide to start and develop their business in China. She has worked on numerous complex transactions involving structuring businesses via third jurisdictions or company mergers and acquisitions and frequently advises on and represents foreign clients in tax, accounting and trade-related matters. She regularly gives presentations and trainings on issues related to investment and foreign trade in China.
You can find the recorded video on Youtube: