Category: Regulatory and Compliance

Why foreign shareholders should understand the corporate veil in China?

The corporate veil or the corporate personality is a legal term used to describe the separation of the corporate entity from the shareholder for the purpose of litigation. Usually, the court renders the shareholder personally liable for the debts, negligence, or mismanagement of the business, and […]

Why good corporate governance is so important in China?

A major challenge for investors is maintaining proper governance of their Chinese foreign entity to generate a profitable business. Whilst there are significant improvements in the business environment, including regulatory reforms to streamline administrative procedures, investors, especially those residing abroad, face challenges in establishing the proper […]