Labor Law is a relatively new phenomenon in China, with the first comprehensive law passed

in 1994. The new law, adopted by the National People’s Congress (NPC) on 29th June 2007,

looked to redress some of the poor working conditions found in China, particularly for the

average worker. Prior to the passage of this law, most Chinese employee’s in small-medium sized

firms lacked employment contracts. Morever, they were short-term, giving employers the flexibility to

frequently bring in a new, often cheaper hires whenever they saw fit.

It is amazing how a year can vanish with a blink of an eye! It has been a roller-coaster year and we are happy to report that ChinaInvest.biz has completed its first year of publications and we are happy to announce that we will be continuing in the coming year.

In this edition we would like our readers to be aware that it is that time of the year again where management reports need to be compiled and completed for the end-of-year audits and deadlines need to be reached for the headquarters. We aim to provide our readers with the requirements and policies in China to handle this as well as to provide guidance on internal control issues that could be potentially placed for the coming year should problems have arisen over the course of 2010. We hope this edition is informative for everyone.

Should there be any topics that our readers wish to receive information on for 2011, please do let our publication team know so that we can cater to your needs.

We wish you all a very Merry Christmas prosperous and enjoyable start to the New Year!

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End of Year Audits and Internal Controls

By Klaus Koehler, Managing Director, Klako Group

Setting up a business in China involves extensive documentation, knowledge of regulations and their constant changes and regular contact with the local government, as anyone who has already been through this experience will know. However, this is only the beginning. Maintaining the legal entity that has been established starts from the moment you receive your business license. There is no dormant status for companies in China, once alive they are required to prepare accounts, complete annual audits and file for taxes, even if zero filing when loss making. Additionally, because companies are required to have a registered office address and receipts to support, they have transactions from day one even if only expenses. Complying to the rules and regulations with a new entity in China can be a daunting task therefore to any new business.

To read full article, please click here to view magazine (PDF file)

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All information in this report is verified to the best of our ability and is assumed to be correct at time of release; however, Klako Group does not accept responsibility for any losses arising from reliance on the information provided within.

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Interview with Haroon Sheikh, the President of HEYS USA

Founded in 1986, Heys USA has grown into the travel goods brand synonymous with ultra-lightweight, fashion-fresh, and a leader in innovation. Nearly a quarter century later, and an unparalleled success with the 'World's Lightest Luggage', the Heys USA design team still brings edgy creativity, setting the highest standards for product performance and popularity. Pushing the limits of design and imagination without barriers to create sophisticated luxurious styles to suit every lifestyle, Heys delivers with... The Art of Modern Luggage.

To read full interview, please click here to view magazine (PDF file)