Chinese New Year, also known as Lunar New Year, celebrates the beginning of a new year according to the traditional lunisolar Chinese calendar. It is the biggest celebration of the year for countries with large ethnic Chinese or Sinophone populations, such as China, Hong Kong, Cambodia, Vietnam, Singapore, Malaysia and Indonesia. It is also synonymous with Korean New Year and Tết.
Some businesses would only close for 1 to 2 days, while others close for the entire week. With that said, it is important for your business to understand how Chinese New Year operations might affect you and what are the foreign business customs to bear in mind.
Here are our main recommendations.
Settle Outstanding Payments Before The New Year
As per customary beliefs, unsettled debts in the past year bring bad luck. It is inauspicious to leave existing debts unsettled. This reflects the symbolic wish to “close the book” from the past year. Part of bringing good fortune is starting the new year afresh.
Likewise, businesses that act as suppliers are encouraged to be proactive and remind partners to make their outstanding payments before the turn of the new year.
Who are your partners overseas? If you are a global business with operations in international marketplaces, clear your outstanding payments before the turn of Chinese New Year. You can use Wallex, our global business solution that offers an easy way to transfer or collect money internationally. It is also affordable and quick to use Wallex. We even have a Chinese New Year promo, with more information below.
Do take note of Chinese New Year payment cut-off dates as well, whereby businesses tend to only be operating for half-day on Chinese New Year eve. This may affect the processing time of transactions.
Manage Your Inventory
The Chinese New Year season not only causes manufacturing slowdown to factories in countries such as China, Vietnam, Cambodia, but also causes a slowdown in shipping and distribution processes.
With that in mind, it is important to ensure you have enough supply prepared. Buffer for delays when it comes to import and export timelines around the holiday. Respect that it may take up to a few weeks for these operations to return to full capacity after the holiday period. Where possible, communicate with your suppliers early on.
Send Virtual Ang Paos To Employees Overseas
Among giving and receiving Ang Paos during the Chinese New Year season, there is an Angpao known as the “开工红包” which directly translates as “Start Work Angpao”.
If your employees celebrate Chinese New Year, it is a wonderful gesture to honour their customs by following this practice. In Singapore, giving Ang Pao to employees is one of the top Chinese New Year traditions practised by businesses. It is typically distributed to each employee on the first working day after Chinese New Year.
The Ang Pao represents good luck and fortune to both the company and its employees. It also serves as a symbol of gratitude for all the hard work from your team over the past year, and further encourages them to stay motivated during the new year.
If your employees are based overseas, you can send Ang Paos virtually through Wallex. Through our platform, you can send money to both individuals and companies.
By using Wallex, you can easily transfer money internationally to over 120 countries and 40 currencies. Moreover, gifting ang paos are not taxable as long as they are generally available to all staff.
Send Chinese New Year Greetings
There are several phrases in Chinese that can be used to greet others and to wish a year full of happiness, success and good health. While 新年快了(Happy New Year) and 恭喜发财 (Gong Xi Fa Cai) are generally used, here are some others you may use to wish fellow businesses:
- 大吉大利 (Da Ji Da Li): May you have great luck and profit
- 生意兴隆 (Sheng Yi Xing Long): May your business flourish
- 事业有成 (Shi Ye You Cheng): May you have great success in your career
- 马到成功 (Ma Dao Cheng Gong): May you have instant success
- 万事胜意 (Wan Shi Sheng Yi): May you achieve success in all that you do
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Settle your foreign business payments during our Chinese New Year promo period and have your transfer fees waived. We make it easy, cheap and quick for you to transfer money internationally. Sign up at: https://accounts.wallex.asia/
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