Legal analysis: First, the company's foreign investment is no longer limited by the investment quota, and the company can invest according to its own actual situation, regardless of the net assets. Second, the investment target has expanded. The company's foreign investment targets have also expanded from limited liability companies and joint stock limited companies stipulated in the old law to enterprises. Third, it is clear that the decision-making body for foreign investment is the shareholders' meeting or the board of directors. The company's foreign investment is a very important business activity and must abide by the rules. The new "Company Law" promotes capital contribution as a necessary clause in the articles of association. As long as investment is involved, regardless of the amount, it must be decided by the shareholders' meeting or the board of directors. As for the resolution procedure and effective conditions, it can be stipulated in the articles of association according to actual needs, or a resolution can be made separately. Fourth, shareholders can stipulate in the articles of association that different decision-making bodies exercise different decision-making powers. The limit of foreign investment can also be stipulated in the articles of association. Fifth, the limited liability of the company's foreign investment is clarified. The company only bears limited liability for the capital contribution of the invested enterprises. It is not allowed to become a joint and several liability person for the debt of the investment target enterprise through the arrangement of contracts and agreements.
Legal basis: People's Republic of China (PRC) Company Law.
Fifteenth companies can invest in other enterprises; However, unless otherwise provided by law, investors shall not be jointly and severally liable for the debts of the invested enterprises.
Article 16 The company's investment in other enterprises or providing guarantee for others shall be decided by the board of directors or shareholders' meeting in accordance with the provisions of the company's articles of association; Where the articles of association stipulate limits on the total amount of investment or guarantee and the amount of individual investment or guarantee, it shall not exceed the prescribed limits.