What are the processes and procedures for the initial establishment of the reserve fund?

The company is established by the following procedures: 1. The promoters shall subscribe for the shares in full in written form, pay the capital contribution, and prepare the prospectus and articles of association; 2. The promoters shall sign relevant agreements with securities institutions and banks according to law, and issue shares after being approved by the securities department; 3. Public offering of shares, announcement of prospectus, and production of subscription; 4. The board of directors shall apply to the industrial and commercial department for registration of establishment.

legal ground

Article 83 of the Company Law of People's Republic of China (PRC) Where a joint stock limited company is established by way of sponsorship, the promoters shall subscribe for the shares specified in the articles of association in full 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.