This is something that all factory staff and the buyer can use as a «reference» in case of minor disagreement, delays, quality issues, etc. It will not be an iron agreement that will be respected until the discount, but it helps. I did it. But I think that sums up the business activities in China and how to see the agreements perfectly. I learned this by living full-time in China since 2014, administering 6 characters in my consulting company Source Find Asia, interviewing different Chinese experts in the made in China Podcast, surrounded by a community of more than 200 Chinese entrepreneurs, called Enter China – of which I am a partner now. The confidentiality agreement (also commonly known as a confidentiality agreement) is a fairly simple contract that lists two parties who wish to exchange private information – which should not be passed on to third parties. The Proforma invoice is the simplest and most common document you face in Chinese manufacturing. It is always provided by the supplier. Imagine THE I.P., as it is more affectionately called, as a «light of the sales contract». According to the judgment, the VAM agreement is valid if it is concluded between the investor and the controlling shareholder of the target undertaking, the investor and the target undertaking on the ground that the remuneration commitment made by the shareholder of the invested undertaking to the investor does not prejudice the interests of the invested undertaking or its creditors.

Nor is it contrary to laws or regulations. However, if the VAM agreement is concluded between the investor and the invested enterprise, it is not valid, as this agreement allows the investor to make firm profits that are not linked to the performance of the invested enterprise, which harms the interests of the invested enterprise and its creditors. Believe it or not, it`s a yes. Contracts are important, but certainly not in the way a typical contractual agreement would do in most countries outside of China. But make sure it`s in English and Chinese, get a Chinese lawyer who knows what they`re doing to adapt the deal, because each product is different and has different tolerances when it comes to violating the deal.