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FORUM - Closer Economic Partnership Arrangement (CEPA)

HK Citizen opening Retail in Changzhou

21 Nov 2009 11:49

I'm a HK citizen with HK Passport and 3 star HKID Card and would like to open retail store in Changzhou; what are my options and requirements in setting up a company? thx
Post 1 of 10

01 Dec 2009 10:35

Being a HK citizen, the easiest way is to open an individual shop in changzhou. For more information, pls. visit http://www.5cgroup.net/index.php?pageid=5
Post 2 of 10

02 Dec 2009 10:11

Hi Laura, I did not find the correct information on your website; can you contact me directly at macc2t@hotmail.com as I would like to set up such company. Thx
Post 3 of 10

03 Dec 2009 17:03

According to TDC's CEPA 2009 Liberalisation Measures - Opportunities for Hong Kong, the individually-owned stores, provision under CEPA is a significant measure to promote entrepreneurship and relocation for Hong Kong people. The allowable scope for Hong Kong permanent residents' individually-owned stores on the mainland has considerably increased since CEPA was first implemented in 2004, when individually-owned stores were allowed to form in Guangdong to provide only retailing services with the exclusion of franchising operations.

With four new areas added under Supplement VI to CEPA, namely, solo clinic, economic and trade consulting services, company management consulting services, and selected wholesale services, CEPA allows Hong Kong permanent residents with Chinese citizenship to set up individually-owned stores on the Chinese mainland in a total of 27 areas, without being subject to the approval procedures applicable to foreign investments. Additionally, two other areas are also applicable to individually-owned stores set up in Guangdong, covering trade brokerage and commission agency services (excluding auctions),13 as well as renting and leasing services (excluding the renting and leasing of housing premises), both of which were introduced from January 2009 as a result of the Guangdong pilot measures. Given the widened scope of business that individually-owned stores can participate in, the investment opportunities and choices opened to Hong Kong individuals are substantial.

From January 2009, CEPA substantially eases the conditions for which outpatient clinics can be set up in Guangdong, with no requirement for any minimum investment amount or the ratio of capital investment for setting up outpatient clinic joint ventures. Yet, compared with outpatient clinics which are divided into several categories on the Chinese mainland, like “integrated outpatient clinics” and “specialist outpatient clinics”, each with their specific establishment requirements, it would appear relatively easier for Hong Kong medical practitioners to set up solo clinics, especially following the introduction of “accreditation” as a means of acquiring the mainland’s medical practitioner’s qualification certificate since January 2009.

Under CEPA, Hong Kong permanent residents who are legally eligible to practise in Hong Kong and have practised in Hong Kong for at least five years are allowed to open clinics on the mainland after obtaining the medical practitioner’s qualification certificate of the mainland, with matters on the application for opening and registration of clinics handled in accordance with mainland regulations. Thanks to Supplement VI to CEPA, solo clinics is included as a new area under individually owned stores, conceivably further streamlining the application procedures for setting up clinics on the mainland.

Please find more information on setting up individually owned stores in China under CEPA:
1) http://forum.hktdc.com/forum/Forum12/HTML/000425.html and

2) http://www.tid.gov.hk/english/cepa/tradeservices/ownedstores.html

Post 4 of 10

05 Dec 2009 11:22

Thanks for the info. However are HK citizen allow to open retail store in Changzhou area under this regulation? thx!
Post 5 of 10

07 Dec 2009 11:10

Thanks for all the information.  The article does mention details on setting up in Guangdong province but how about in Changzhou Jiangsu?  Also what would be the capital requirement to establish and what is this type of incorporation for HK citizen called?  Would I need to establish such company in Hongkong via a lawyer or in the area where I plan to do business in?
Post 6 of 10

07 Dec 2009 11:36

1) can set up individually owned stores in most provinces, cities and municipalities in the mainland without being suject to approval procedure applicable to foreign investment;

2) no capital requirement, similar to mainland private business;

3) no need to set up company in Hong Kong;

4) all details on application procedure are featured in trade and industry department of Hong Kong.

Post 7 of 10

10 Jul 2012 16:07

The 2012 CEPA Supplement expands the scope of services of individually owned stores set up by Hong Kong permanent residents with Chinese citizenship in the Mainland; lifts the restrictions on the number of persons engaged in the operation and the business area of individually owned stores set up by Hong Kong permanent residents with Chinese citizenship in the Mainland; and lifts the identity authentication requirements on Hong Kong permanent residents with Chinese citizenship to set up individually owned stores in Guangdong Province.

Post 8 of 10

15 Jan 2013 09:47

That's way more clever than I was exepcnitg. Thanks!

Post 9 of 10

29 Jun 2013 10:11

very useful information. thanks a lot for this.




Post 10 of 10
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