Client Background

The client, Mr. H was born in Foshan, Guangdong Province in 1954. After graduating from high school, Mr. H completed an apprenticeship at the state-ownedGuangzhou Metal & Engineering Co., Ltd. After working within various state-owned machinery enterprises, he secured his technical diploma at the age of 17.

During that time, he also met his wife in Foshan. Together, they have raised two children:

His son currently serves as a Production & Marketing Manager in the family enterprise. His son as well (grandson of Mr. H), has also joined as a trainee.

His daughter is completing a graduate degree in Marketing and Business Management at New South Wales University in Sydney, Australia.

Business Background

In the early 80s, Mr. H established a major production facility in Foshan, south of Guangzhou. Since its inception twenty-nine years ago, the company has produced a wide variety of elevator units to meet any need or client (building). These include: passenger elevators, freight/cargo elevators, escalators/moving walkways, in-home elevators, elevators for laboratories and healthcare centers, to name a few. Annually, it is estimated the plant produces up to 10,000 elevator units.

Not only does Mr. H’s enterprise serve as a production facility: it also provides elevator installations, modification and maintenance services, all approved by the General Administration of Quality Supervision, Inspection and Quarantine of the People’s Republic of China. Their attention for detail and high quality services have received multiple accolades and recognition by quality assurance agencies, the China Construction Bank, to name a few

Adopting techniques from Japan and Germany, has enabled the production facility to ensure high-quality units are always produced. The company also has a well-established after-sales service, with a vast network of dealers, agents, and maintenance departments located all across China. In addition, the company serves a great number of clients outside of China; in Southeast Asia, Saudi Arabia, India, South America, Africa, and more.

Source of Wealth Background

Mr. H’s primary source of wealth is through his production enterprise, serving as an OEM (original parts manufacturer) for international brands such as OTIS, Mitsubishi Electric, and Schindler for the Chinese market. Eventually, Mr. H expanded his enterprise to become a localized parts manufacturer for these brands.

As of now, Mr. H has accumulated up to RMB280mio (USD40mio) in assets.

Mr. H’s next planned source of wealth is through listing his enterprise as an IPO in the Shenzhen Stock Exchange.

Financial Goals

明懿 assisted with Mr. H’s proposed financial beneficiary plan, that would ensure successors of his business would have enough capital to sustain any future business developments they made when the enterprise was passed onto them.

Mr. H also requested 明懿’s consultancy to assist with the management of his financial assets: both inshore and offshore.

明懿 provided advice on how to list his company as an IPO on both the Shenzhen & Hong Kong Stock Exchange respectively, allowing his business to become monetized publicly.

As for his assets offshore, specifically those through his daughter based in Australia that include  real estate, property holdings, insurance plans, and offshore trusts; Axiom provided an asset protection plan under a family trust and insurance ‘wrapper’ for Mr. H’s investments abroad. This ensured his offshore investments would be protected by existing tax regulations and be included in his wealth succession (beneficiary) plans.