Where a joint stock limited company is established by means of sponsorship, the promoters shall subscribe for the shares specified in the articles of association in full in writing and pay their capital contributions in accordance with the provisions of the articles of association. Where non-monetary property is used as capital contribution, the formalities for the transfer of property rights shall be handled according to law. If the promoters fail to make capital contributions in accordance with the provisions of the preceding paragraph, they shall be liable for breach of contract in accordance with the promoters' agreement. After the promoters have fully subscribed the capital contribution stipulated in the articles of association, they shall elect the board of directors and the board of supervisors, and the board of directors shall submit other documents stipulated in the articles of association and laws and administrative regulations to the company registration authority to apply for establishment registration.
Legal basis: People's Republic of China (PRC) Company Law.
Article 28 Shareholders shall pay their respective subscribed capital contributions in full and on time in accordance with the Articles of Association. Where the shareholders make capital contributions in cash, they shall deposit their capital contributions in full into the account opened by the limited liability company in the bank; Where non-monetary property is used as capital contribution, the formalities for the transfer of property rights shall be handled according to law.
Where a shareholder fails to pay the capital contribution in accordance with the provisions of the preceding paragraph, he shall be liable for breach of contract to the shareholder who has paid the capital contribution in full and on time.
Article 83 Where a joint stock limited company is established by means of sponsorship, the promoters shall fully subscribe to the shares stipulated in the articles of association in writing and pay the capital contribution in accordance with the provisions of the articles of association. Where non-monetary property is used as capital contribution, the formalities for the transfer of property rights shall be handled according to law.
If the promoters fail to make capital contributions in accordance with the provisions of the preceding paragraph, they shall be liable for breach of contract in accordance with the promoters' agreement.
After the promoters have fully subscribed the capital contribution stipulated in the articles of association, they shall elect the board of directors and the board of supervisors, and the board of directors shall submit other documents stipulated in the articles of association and laws and administrative regulations to the company registration authority to apply for establishment registration.