Document Name

Shareholder loan agreement
Standard for financing a subsidiary in the People’s Republic of China



Language and length

5 pages – English
4 pages – Chinese

Document Description

Financing a company in China is a specific operation. The foreign shareholder may, under specific circumstances, lend some money to its subsidiary in China.

This operation requires a shareholder loan agreement in Chinese to be submitted to the Chinese authorities for registration before the lending can be actually completed. Failing to comply with this requirement, the loan will not be possible and may trigger some financial and tax consequences.

You also need to anticipate procedures before paying the facility amount to the borrower of 5 to 7 weeks from the filing the document with relevant authorities.

If you want to know more about this operation and the procedure for the registration of such loan, please feel free to contact us at

Please check to ensure that you are using the most up-to-date version of this document.


While reasonable care is taken to ensure the accuracy and completeness of this document, LEAF does not make any representations or warranties, express or implied, that the publication is free from errors or omissions. This document is based upon LEAF experience only, and should be used for general reference purposes only.

For more information, please check or contact

Specific and detailed professional advice should always be obtained in relation to any proposed legal agreement. This document should not be relied upon as a substitute for legal or other professional advice.

Release Date

September 1, 2018




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