Shanghai, China, February 12, 2014 --(PR.com
)-- A new online service allows businesses to verify Chinese companies quickly and affordably. ‘China Checkup’ is the brain-child of Matt Slater, an Australian entrepreneur based in Shanghai, and makes official registration checks on Chinese companies accessible to businesses around the world.
As China is such a major import and export destination worldwide, making such checks is more important than ever for companies all over the world. Background information is a crucial step in making informed decisions and doing business safely with Chinese companies, in order to avoid becoming a part of China’s booming fraud industry [Dan Harris, Harris & Moure Pllc, http://www.chinalawblog.com/2013/10/china-fraud-season.html].
Matt Slater set up his China business consulting company two years ago, and he is doing things a little differently than the rest. ‘China Checkup’ lets customers order Chinese company verifications online from just 49 USD (around 55 AUD), with everything taking place through a secure online payments system. The new service has already received a highly positive response from the market.
“There needs to be a streamlined, affordable way to get hold of this information, which more and more companies require, and that’s what we hope to provide through China Checkup,” Mr Slater commented.
Mr Slater also gave his recommendations for avoiding problems when doing business with Chinese companies:
Have a contract, and have it translated into Chinese. The value of a clear contract isn’t just to have something to fall back on if disputes arise. It also ensures that both parties are on the same page, no pun intended.
Make it clear that you’re serious about the relationship. Demonstrating commitment to the deal and its outcomes from the start will serve to put off potential low-quality companies, and give high-quality companies the confidence to move forwards with you. Make it clear that you will be carrying out background checks, audits and quality inspections from the start.
Take responsibility for quality. Don’t make the mistake of assuming that the other party will ‘fill in the gaps’ or handle any oversights not fully specified in the deal. Assume that it’s your responsibility to make your expectations clear and complete.
Be wary of documents you are shown. Documents can be and are faked, and in no small quantity. Take the view that documentation you are shown is meaningless until you can independently verify it through background checks and confirmations with the issuing authority.
Remember that you get what you pay for. Some people doing business with Chinese companies seem to think that the usual relationship between cost and quality doesn’t apply in China, leading to deals going bad. China may be cheaper in general, but there is a limit to this. Recognise that the other party needs to make a reasonable profit too; if you drive prices down too far, quality will inevitably be affected.
Matt Slater is the Managing Director of Senlinx Enterprise Management, the company providing the new service. He first started business in China in 2011, and recently launched China Checkup at www.chinacheckup.com.