Taiwan Company Incorporation
Setup a Company in Taiwan

Setting up a company in Taiwan

Taiwan is a popular destination for foreign investors looking to establish a company due to its rapidly developing economy and large market potential. However, forming a company in Taiwan can be a complex process, with specific requirements and procedures that must be followed. The most common form of business entity in Taiwan is the Limited Liability Company (LLC). LLCs require a minimum of one shareholder and one director, and a minimum capital requirement of TWD 500,000. The shareholders are only liable for the company's debts to the extent of their capital contribution. LLCs are typically used for small and medium-sized companies. Another popular form of company in Taiwan is the Joint Venture (JV). JVs are formed when a foreign company partners with a Taiwanese company to establish a new business. JVs require a minimum of one foreign shareholder and one Taiwanese shareholder, and the minimum capital requirement varies depending on the nature of the business.

In order to form a company in Taiwan, several steps must be taken. These include:

  1. Choosing a company name: The company name must be unique and not in use by another company.
  2. Preparing the articles of association: This document sets out the company's purpose, share capital, and management structure.
  3. Opening a bank account: A bank account is required to deposit the share capital.
  4. Registering the company: The company must be registered with the relevant government authority, depending on the type of business entity and location.
  5. Obtaining a business license: This is required for all companies operating in Taiwan.
  6. Applying for a VAT number: This is required if the company will be conducting business in Taiwan.
  7. Registering for social security: All company employees must be registered for social security.
  8. Obtaining the necessary licenses and permits: Depending on the nature of the business, certain licenses and permits may be required.

Once the company is formed, it will be subject to Taiwanese corporate income tax, VAT, and other taxes. It is important to have the help of a professional advisor or lawyer to assist with the company formation process and ensure compliance with all legal requirements.

In conclusion, Taiwan is a popular destination for foreign investors looking to establish a company due to its rapidly developing economy and large market potential. The most common forms of business entities in Taiwan are Limited Liability Company (LLC) and Joint Venture (JV).

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Frequently asked questions (FAQ)

Everyone has questions forming a corporation or LLC. You are not the only one. Therefore we have put together this FAQ page to address the most important issues.

See below for the questions we hear the most, and read the answers you need to know. If you don’t see your question below, please call or email us.

What types of companies can be formed in Taiwan?
What are the requirements for forming a company in Taiwan?
How long does it take to form a company in Taiwan?

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