Home>News Center>China
       
 

Amendment allows single-person firms
By Hu Cong (China Daily)
Updated: 2005-02-26 01:57

Owning a limited company in China may not be the exclusive domain of wealthy investors for much longer if an amendment to the corporation law is passed.

The amendment, handed to the Standing Committee of National People's Congress (NPC) on Friday for a first read, sets the minimum registered capital for limited companies at 30,000 yuan (US$3,628), compared to the current 100,000 yuan (US$12,092) minimum.

Another key aspect of the amendment is that individuals will be allowed to create single-person companies under a special registered capital criterion.

The current law requires there be at least two founders of a limited company, whereas one-person businesses are subject to unlimited liability and an exclusion from bankruptcy protection.

"The current threshold for the establishment of companies is too high to satisfy demand," Cao Kangtai, director of the State Council Legislative Affairs Office, said when explaining the draft amendment to the standing committee on Friday. His office wrote the draft.

Other problems with the existing law include lacklustre corporate governance rules, insufficient protection for small shareholders and weak public company supervision measures, according to Cao.

The corporation law, effective in 1994, was a cornerstone of China's market reform. But sentiment for its revision has been gathering pace as the country further embraces a market economy.

In last year's NPC full session, some 601 deputies moved for a revision of the law, accounting for about a fifth of all congress deputies.

The draft amendment eases some of the current code's limitations, such as a 20 per cent ceiling on the share of intangible property in overall investment, and a 50 per cent limit on the ratio of external investment to net assets.

It also brings to the table stricter articles on the operations of boards of directors and boards of supervisors, as well as corporate mergers, separation and liquidation.

"I think the revision highlights a change of mindset, from the tight control of companies to perfecting market rules and fostering business," said Wang Xinxin, a professor of law at the Renmin University of China.

The amendment will not affect foreign investors in China, as there are several special sections on foreign-funded businesses, Wang noted.

It usually takes three rounds of review by the two-monthly NPC Standing Committee before a draft act goes to the vote.

During the current session which began on Monday, members of the committee will also review a draft amendment to the criminal law and a proposed law on renewable energy sources.

This year's full NPC session starts next Saturday. Information about the annual session is available at the NPC website, www.npc.gov.cn, which opened formally on Friday after a year's trial.



 
  Today's Top News     Top China News
 

Beijing moves to expand co-operation with Taiwan

 

   
 

EU trade commissioner criticizes arms ban

 

   
 

Amendment allows single-person firms

 

   
 

Crisis countermeasures drawn up

 

   
 

Top US general sees lasting Iraq insurgency

 

   
 

Tel Aviv suicide bombing kills up to five

 

   
  Beijing moves to expand co-operation with Taiwan
   
  Amendment allows single-person firms
   
  New Henan health checks prove controversial
   
  Crisis countermeasures drawn up
   
  Guangxi taking steps to ward off bird flu
   
  Co-operation across Taiwan Straits to be strengthened
   
 
  Go to Another Section  
 
 
  Story Tools  
   
  News Talk  
  It is time to prepare for Beijing - 2008  
Advertisement
         
主站蜘蛛池模板: 99在线热视频| 久久天天躁狠狠躁夜夜躁2020| 美女脱得一二净无内裤全身的照片| 国产深夜福利在线观看网站| 97影院在线午夜| 女人张开腿等男人桶免费视频 | 欧美视频第一页| 免费国产在线观看老王影院| √在线天堂中文最新版网| 日本三级网站在线线观看| 九九在线精品视频| 欧美另类第一页| 亚洲欧美日韩综合久久久| 男女一进一出猛进式抽搐视频| 嗯好湿用力的啊c进来动态图| 青青草原综合久久大伊人| 国产日韩精品欧美一区喷水| yy22.tv夜月直播| 成人毛片免费播放| 亚洲欧洲精品成人久久曰| 男女一边摸一边做爽爽| 午夜国产在线观看| 美女露内裤扒开腿让男生桶| 国产精品国产国产aⅴ| 99精品视频在线观看免费| 好妈妈5韩国电影高清中字| 一级毛片完整版免费播放一区| 桃子视频在线官网观看免费| 免费无遮挡无码永久在线观看视频| 老头一天弄了校花4次| 国产三级日产三级韩国三级 | jizz日本免费| 小仙女app2021版最新| 一级毛片无遮挡免费全部| 成人免费无码大片A毛片抽搐| 中文字幕丰满乱孑伦无码专区| 无码熟妇αⅴ人妻又粗又大| 久久99国产精品久久99果冻传媒| 精品亚洲A∨无码一区二区三区| 日韩欧美一区二区三区在线| 亚洲欧美日韩精品专区卡通|