Self-employed Germans looking to move to Taicang

Regardless of how small or big your business is, you would need proper licenses and registration in China. The most expensive one is import/export license or logistics license and of course manufacturing license. Cheapest and easier one would consultation license you could also go with FIPE, foreign invested partnership enterprise.

Other factor to consider is invoicing/billing: If you are going to invoice Chinese companies or German/international entities in China, you must have the proper license to invoice them in order to collect your money for rendered services. It's called (fapiao) in Chinese.

Taicang is not necessary cheap, basically the living expenses along the east coast are almost the same. Rental/leasing fee can be cheaper (same for warehousing/labour cost) if you choose to live in the suburbs. I'd suggest  Baoshan /nord jiading district. It's connected to Shanghai subway system and a short ride from Taicang. Same cost plus great convenience.

Hi ShanghaiDriver,

Thanks so much!

I reckon we'll have to get the more expensive license since our company is in entertainment electronics and will probably have to import parts from overseas and then mount them in China. Do you know roughly the cost of such a license? By far we haven't done any business outside of the EU and it's a little overwhelming trying to wrap our heads around this new adventure...

Yes I've heard about Jiading too. I had a look at the real estate prices in Taicang for both buying and renting and they seem to be just a fraction of what one will find in Shanghai. Jiading is an outer suburb but since it still is part of Shanghai I'm worried that the rent there might be eating away a big portion of whatever profit one might end up turning. Or am I mistaken about that?

Have a great day!

I can't be of much help in that department, the rules keep changing, although I know people in legal and payroll field.
Basically,  each province/city/district has they own list of requirements and benefits, more likely you have to visit several offices and of course location of your clients, warehouse/logistics center to be considered, outsourcing this part is probably best for small business so you don't have to deal with leasing contract, manpower and related headaches.

You should also consider getting in touch with german chamber of commerce: china.ahk.de
they have a team dedicated to helping companies and business people to find their way around, many info can be obtained free of charge, they organize cocktails ,networking or fun activities.
ANother fun fact about china is  people who know a thing or two or have more than two contacts on their wechat call themselves "agent" 

Thanks again ShanghaiDriver! We've already gotten in touch with AHK and they've given us some names. We'll take it from there.