Two, the enterprise must withdraw the statutory surplus reserve fund according to a certain proportion of the after-tax profit of the year. When the statutory surplus reserve fund has reached 50% of the registered capital, it can no longer be withdrawn.
Three, before the withdrawal of surplus reserve fund, not to distribute profits to investors.
Four, the enterprise losses that year, in principle, shall not distribute profits to investors.
Legal basis: Article 34 of the Company Law of People's Republic of China (PRC), shareholders receive dividends in proportion to their paid-in capital contribution; When the company increases its capital, shareholders have the priority to subscribe for the capital contribution in proportion to the paid-in capital contribution. Except that all shareholders agree not to pay dividends according to the proportion of capital contribution or not to subscribe for capital contribution in priority.
Article 166 When distributing the after-tax profits of the current year, the company shall allocate 10% of the profits to the company's statutory reserve fund. If the accumulated amount of the statutory common reserve fund of the company is more than 50% of the registered capital of the company, it may not be withdrawn.