Guides
China WFOE Capital Requirements
How minimum capital rules for Wholly Foreign-Owned Enterprises changed after 2014, and why cities, zones, and sector regulators may still expect a certain capital level.
WFOE companies used to have fixed capital requirements. These were fixed amounts and a requirement for all WFOEs; however, this changed in 2014, allowing WFOE companies to be established without any minimum capital requirements.
Although there is now no fixed requirement, other factors may still require a WFOE to plan for a certain level of capital. For example, depending on where the WFOE is registered, a capital expectation can be set by the city or by the place of business, such as a free trade zone or industrial park.
Some industries and heavily regulated sectors may also set capital requirements across the board or even on a case-by-case basis.