In China, registered capital refers to the total capital
contribution and form to be paid-in by shareholders. Registered
capital is publicly disclosed on the company's business license
and related government databases. However, registered capital is
not the paid-in capital of a company, it is the capital declared by
shareholders in the Articles of Association ('AoA') and
registered at the Administration of Industry and Commerce
('AIC').
There is no required minimum amount for the registered capital
to establish a limited liability company in China, although special
industries may specify such as finance, securities, and
insurance.
For those doing business in China, understanding registered
capital and its procedure is crucial to the company structure and
incorporation. Administrative challenges can occur without
declaring the amount, form, and date of registered capital properly
- especially during a capital alteration.
