What is a limited liability company?

A limited liability company is a legal person composed of capital contributions made by shareholders, who are liable to the company to the extent of their capital contributions, and the company and all its assets are liable to the company's debts. A limited liability company established in accordance with relevant laws must indicate the words limited liability company or limited company in its name.

A limited liability company is an economic organization established by the contribution of less than 50 shareholders. Each shareholder shall bear limited liability to the company to the extent of the capital contribution subscribed by him, and the company as a legal person shall bear full liability for the company's debts with all its assets. Limited liability companies include wholly state-owned companies and other limited liability companies.

Company registration process:

1. Prepare more than five company names for verification by the Industrial and Commercial Bureau;

2. A set of seals engraved by the seal engraving factory is divided into official seal, financial seal, legal person seal and contract seal. At the same time, open a capital verification account in the bank and deposit investment funds;

3. Sort out the information and apply for a business license at the Industrial and Commercial Bureau;

4. Organize the data to the Bureau of Quality and Technical Supervision for the company's organization code certificate;

5, organize the information to the IRS accreditation office for the national tax certificate;

6, the organization to apply for local tax information to the local tax bureau;

7. Open a company basic account in the bank or other bank where the capital verification account is opened;

8. The company accountant collates the information and goes to the State Taxation Bureau to handle the company filing and tax return.

To sum up, the principle of establishing a limited liability company mainly adopts the principle of normalization, that is, unless the laws and regulations clearly stipulate that it must be approved, as long as the conditions for establishing a limited liability company are met, it can be directly registered with the company registration authority.

Legal basis:

Article 6 of People's Republic of China (PRC) Company Law

To establish a company, it shall apply to the company registration authority for registration of establishment according to law. Those that meet the conditions for establishment as stipulated in this Law shall be registered as limited liability companies or joint stock limited companies respectively by the company registration authority; Those who do not meet the conditions for establishment as stipulated in this Law shall not be registered as a limited liability company or a joint stock limited company.

Where laws and administrative regulations stipulate that the establishment of a company must be approved, the approval procedures shall be handled according to law before the company is registered.