NO.

Item

LLC

RO

1

Separate Legal Entity

Yes

No

2

Liabilities

The company bears its own liabilities.

Parent company bears liabilities.

3

Business Activities

Can engage in any registered business activities that are not prohibited by local laws.

Not allowed to conduct any profit-making business activities. Can only serve as a liaison office of its parent company to conduct market research activities and so on.

4

License Validity  

No restrictions, but the maximum term of the investment project of a foreign invested company is usually 50 years.

License is usually valid for 5 years and can be renewed upon expiration.

5

Registered Capital

The registered capital must be paid up within 90 days upon the issuance of the enterprise registration certificate.

No requirement for registered capital.

6

Tax Obligations

Must declare and pay corporate income tax, value-added tax, and other corporate related taxes on time.

Not subject to corporate income tax and other corporate related tax liabilities. However, it is responsible for declaring and paying personal income tax on behalf of its employees.

7

Annual Operation Report

No requirement.

Must submit an annual report on its operations of the previous year to the Department of Industry and Trade before January 30 of each year.