The First Foreign Owned Training Institution Has Been set up in Shanghai Free Trade Zone

Tuesday, 25 October 2016 13:15

Recently, PRICEWATERHOUSECOOPERS CHINA HOLDING LIMITED set up its training institution in Shanghai Free Trade Zone and it became the first foreign-owned non-occupational career training institution in China.


Although in Year 2015, non-occupational career training was moved out of the negative list, it is hard for foreign investor to set up a non-occupational career training WOFE because there was a bad connection between the AIC (which to issue the business license) and the Human Resource and Security Bureau (which to issue the special license for non-occupational career training institution). Since April 2016, it was further approved that in Pudong New Area, it can firstly apply for the business license and then to apply for the special license. Then, it provides a solution to this dilemma. It is much amazing that the investor only takes 10 working days to get its business license and the company can devote itself to getting preparation for the application for special license. During the preparation period, the local officer will make instruction on the WOFE and once their training place, teacher, course as well as the guarantee money are get ready, the special approval will be given and the WOFE can start is formal business.


Dongjin comments:

As before, if the foreign investor wants to set up training institution, he/she need to find a Chinese school as the local partner for making the Joint Venture School. Otherwise, it can only set up a consulting company and to provide the normal consulting service. But now, the foreign investor can refer to the above case and thinks about the solution as the non-occupational training institution. As mentioned by the local officer, they have received some similar case application, for example, the skill training for home care services.


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