China -  Chinese law firm

What is the difference between the terms registered capital and "total investment"?

In summary, registered capital is defined above as "the total amount of capital registered with the registration authority for establishing the joint venture." Total investment can be described as the sum of capital construction funds and the operating funds needed for the joint venture's production as stipulated in the joint venture contract. In practice the total investment is considered the aggregate of the sum of the registered capital and the sum of the loans obtained for the operation of the enterprise. Total investment can also be described as the sum of the enterprise's equity and debt.

RSS Feeds