How to open up a restaurant or café in China

How to open up a restaurant or café in China, COFFEE, CHINESE MARKET, FOOD AND DRINK, CHINESE BUSINESS, CHINESE CITIZENS

How to open up a restaurant or café in China

Chinese Portal Many expats in China at one point or another have dreamed about opening up their own restaurant, café, or other sort of food and beverage operation.

The largest in the world, China’s food service market offers many exciting opportunities for foodies and savvy business people alike, but foreigners can be daunted by the often bureaucratic process of establishing a business in China.

Step 1: Finding the Right Location

The first article of business is to find the location for the food and beverage operation. This can be particularly tricky, as the investor must lease the restaurant premises before starting the registration process for the food and beverage business.

Step 2: Licensing and Registration of the Food Business

Before applying for any licenses and permits, it is necessary to apply to register the business name at the local AIC. 

After obtaining a company business license, investors then face the task of health and food safety inspections for their food and beverage operations.

Step 3: Establishing the WFOE or JV Entity

The steps for establishing the business entity will ultimately depend on how the food business is being registered. In China, foreigners are not allowed to be the sole owners of the restaurant or food business, but they are able to open it as a limited-liability Wholly Foreign Owned Enterprise (WFOE) or through a Joint Venture (JV) with a Chinese citizen as a business partner.

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