What's the difference between a wholly foreign-owned company and a foreign-funded company? 1. Investors of foreign-funded enterprises may be foreign enterprises or other economic organizations, or non-China citizens, including foreigners and stateless persons; The establishment of a foreign-funded enterprise must be conducive to the development of China's national economy, adopt advanced technology and equipment, or export all or most of its products. The application for the establishment of a foreign-capital enterprise shall be examined and approved by the foreign economic relations and trade department of the State Council or the authority authorized by the State Council. After the application for the establishment of a foreign-capital enterprise is approved, the foreign investor may apply to the administrative department for industry and commerce for registration and obtain a business license with the approval documents. However, the conditions for the establishment of a sole proprietorship enterprise are quite relaxed and the procedures for its establishment are relatively simple. As long as there is a legal enterprise name, the investment declared by investors, a fixed production and business premises, necessary production and business conditions and necessary employees, the enterprise registration authority shall register it within the statutory time limit. Except that the business to be engaged by a sole proprietorship enterprise is one that must be approved by relevant departments according to laws and administrative regulations, it is not necessary to submit approval documents to the registration authority. What's the difference between a wholly foreign-owned company and a foreign-funded company? 3. The property of a sole proprietorship enterprise is inseparable from the property of the investor, and it cannot bear the debts of the enterprise independently, and its debts are borne by the personal property of the investor. Therefore, all sole proprietorship enterprises do not have legal personality. According to the provisions of the Law on Enterprises with Foreign Investment, foreign-funded enterprises meet the requirements of China laws for legal person conditions and can obtain the legal person status of China according to law. A wholly foreign-owned enterprise, as a kind of foreign-funded enterprise, can also obtain the legal person status of China. What's the difference between a wholly foreign-owned company and a foreign-funded company? Wholly foreign-owned enterprises can be divided into two categories, one is enterprises invested and established by foreign enterprises or other economic organizations in China according to the laws of China, and the other is enterprises invested and established by non-China citizens (foreign natural persons or stateless persons) in China according to the laws of China.