Back in Town and Back to Building Companies

By Michael Cole On February 26, 2008 · 1 Comment

Returned to Shanghai more than a week ago now, so it’s time to get back to the blog as well — the world needs to know about the fun of starting up a new media company in Shanghai.

Already had one exciting development this week – unfortunately, it was thrilling only in the area of adding a new layer of frustration. This very expensive new thrill came from finding out that we need one more document for our WOFE company before our application can be processed, a verification from the Chinese government authorities in our offshore company’s home jurisdiction (that’s Samoa for us) that our company is a real corporation. I thought that the incorporation certificate issued by the Samoan government accomplished this, but apparently since December 2007, you also need a notarised letter from a Chinese consulate or embassy.

We should get this letter within a month (ouch) and then we can get back on the road to receiving the all important chops. Oh, and it costs US$425/copy of the letter and one copy each is needed for the Administrative Bureau and the Foreign Capital Registration Office. Anyway, there is no struggle on this one. Agent should have told us about this document earlier, but now we just add another month onto our project calendars and shake this one off. Doesn’t hurt a bit.Â Nope. We’re bound to be a huge success, so wasting a month of our time makes no difference to us, you bet.

Other bureaucratic news:

Decided at the last minute to register my new company in Xuhui District, rather than Songjiang District. According to my agent, the Shanghai government is beginning to crack down on companies registering in outer districts and special economic zones that are not really based there.

Xuhui district is good though. Former French concession, lots of trees. Maybe there’s less spitting.

The other major task is trying out web development companies. This week am meeting with five different web development shops to see who can help us make a fantastic site for the US$1.50 budget that we are working with. (Budget jokes aren’t really that funny, are they)? Here’s a few of the shops on this week’s list:

They all seem experienced but it’s a group of companies that ranges from 4 employees to over 1,000, so there is a wide variety of factors to consider. Readers who have experience with any of these shops are encouraged to comment here, and thanks to Jerry Lin, Calvin Wu and Justin Chaffey for introducing me to these companies.

Am expecting my first project proposal from one of these companies tomorrow. Will let you know how it goes.