The First Steps To Setting Up A Business In China

up a business in China, be it for importing or exporting,as well as ensuring everything is made inline with
can be a tricky thing. Not only do you have to contendChinese inspection standards. Are you confident to
with different laws, there are also the culturalperform these yourself, or do you have someone to
differences and language barriers. Add into the mixdo it for you? One of the worst things that can
product standards in different countries and a task,happen is that you have a great product idea, but it
that may have appeared pretty simple at first,isn't made correctly or inline with industry standards.
suddenly becomes incredibly complicatedDue Diligence: Due diligence is essentially an audit or
So what do you need to do to ensure your business ischecklist of an investment - be it a product or service.
not only setup properly, but all products and servicesPerforming due diligence means that you're ensuring
adhere to laws and standards, both locally and in thewhatever product you're working on is being made
country you're setting up business in? And how do youcorrectly and safely. It is often a legal requirement that
ensure that the products get from A to B in one piecedue diligence is performed, so it's a good idea to
if you're importing or exporting them?employ a due diligence consultant to ensure everything
No matter what your product or service is, theruns as smoothly as possible for the entirity of the
following steps are essential when conducting businessoperation.
in China:Crisit Management: What happens if something goes
Factory Sourcing: The first crucial step when setting upwrong? The simplest problem can often snowball into
a business in China is finding a factory to get youran impossible hurdle if not dealt with correctly when it
products made. Not all factories are created equal, soarises. It's essential that you not only know how to
it's essential that the factory can create your product,identify potential and arising problems, but also how to
is reputable and will create a quality product that you'lldeal with them if and when they occur.
be able to sell. Factory sourcing takes time, but it'sThe above recommendations only form the first steps
essential that this first step is done right to avoid bigto setting up a business in China. Once the above
headaches later down the track.have been looked at it's also essential to pay attention
Inspections: Inspections don't only cover the inspectionto areas such as document handling, trade fairs,
of the product - they include factory inspections,factory setup and project management.
production inspections, loading, safety and compliance,