Ａ．Sino-foreign Equity Joint Venture;

　　Ｂ．Sino-foreign Cooperative Enterprise;

　　Ｃ．Enterprise with Sole-Foreign Investment;

　　Ｄ．Cooperative Developerment Enterprise;

　　Ｅ．Compensation Trade;

　　Ｆ．Processing and Assembling;

　　Ｇ．International Leasing;

　　Ｈ．Technology Transfer;

　　Ｉ．Creditand Loan;

　　Ｊ．Deposit in Chinese Bank;

　　Ｋ．BOT Form.

☆　Joint ventures are set up by foreign companies, enterprises, other economic entities or individuals within the territory of People’s Republic of China with Chinese companies, enterprises or other economic entities. The joint ventures own the status as Chinese legal person and are subject to the protection of Chinese laws and shall take the form of limited liability company. The profits, risks and losses of the joint venture shall be shared by the parties of the venture in proportion to their contributions to the investment. In the joint venture, the proportion of the investment contributed by the foreign participant(s) shall in general not be less than 25 percent.

☆　These Sino-foreign cooperative enterprises are set up by foreign enterprises and other economic entities or individuals within Chinese territory together with enterprises or other economic entities of the People’s Republic of China. They are enterprises of contractual form. All the provisions on items such as profits distribution, rights and liabilities of the cooperative enterprises, share of risks, losses and loans, method of business management and the ownership of property by the expiry date of the contract shall be prescribed in the cooperative enterprise contract.

☆　The sole foreign investment enterprises are set up by foreign companies, enterprises and other economic entities or individuals with their own capital within Chinese territory in accordance with Chinese laws. They are Chinese legal persons and shall take the form of limited liability company. The sole foreign investment enterprise itself will be responsible for the risks, losses and profits.

☆　A form of foreign investment through which Chinese enterprises purchase technology, equipment or raw materials from foreign investors on terms of credit sales and with loans arranged by foreign investors, and pay off the principal and interest of the purchased by installment or on deferred terms with the products produced instead of cash. The compensation can either be direct or indirect, in other words, the products used for compensation should in principle be the products produced directly with the imported technology and equipment. However, other products may be used for payment if both parties agree.

☆　Foreign firms will provide raw materials, parts, accessories or drawings with or according to which the Chinese enterprises process or assemble final products, and the products are sent back to foreign firms may provide machines and equipment which may either be appraised or not appraised to the Chinese enterprises. If appraised, Chinese enterprises are to compensate with the processing and assembling costs by installment.

☆　Three forms of international leasing are adopted: financial leasing, operational leasing and comprehensive leasing.

Financial leasing is the most important form through which a leasing company purchases the equipment chosen by user and leases it to the user. Neither the lessor nor the lessee is allowed to wantonly suspend the contract within the leasing duration. The lessor reserves the ownership to the equipment while the lessee owns the right of use and takes charge of maintenance of the leased equipment. The principal and interest of equipment and commission are to be charged, in the form of rental, by the lessor from the lessee for the leasing duration.

Operational leasing is another form through which leasing company provides user with required equipment and takes care of its maintenance. The user pays the rental in compliance with leasing agreement and returns the leased equipment when the lease expires.

Comprehensive leasing is a form of leasing integrated with equity investment. However, such kind of leasing should not be included in the registered capital of the equity or contractual joint ventures.

☆　BOT is the abbreviation of Build-Operate-Transfer. It refers to the situation when private-owned organizations participate in governmental projects. I. e. the development and operation of infrastructure facilities and public engineering items. A relation of partnership between the governmental institution and private enterprise will be formed, according to which the resources, risks and profits concerning the plan and implementation of the project will be distributed on the basis of mutual benefit, commercial effect and social effect. First, the government should decide which infrastructure project is to adopt BOT, and should invite some private enterprises(generally consortiums) for bidding. If a consortium gets the bid, it is entitled with a special right, which will allow it to prepare capital for the design and construction of the project. The consortium can operate the project in the valid term of the special right and make profit through collecting fees. Then by the end of the valid term of the special right, the project will be handed over to the government.