Step-by-Step Guide: How to Open a Company in China
- Roman Verzin
- Jun 13
- 4 min read
Updated: Aug 31
If you’ve decided to register a company in China, you probably already know this is not just about paperwork.
A Chinese company means real operations, compliance — and planning ahead.
In this guide, we’ll walk through the full process step by step.
The structure is almost the same for WFOE, JV, and Rep Office.
The only difference: in a JV you do it together with a Chinese partner,
and in a Rep Office, some roles have different names and fewer documents are required.
Let’s go.
Step 1 — Define your structure
Before you start, answer a few key questions:
What will your company do?
(Business scope — see Part 2 of the series)
How does your money flow?
(Where do you earn? Where do you spend?)
Where will you open the company, and do you need a physical office?
What team do you need — local or foreign?
Who will be the shareholder?
(Foreign individual, foreign company, or joint venture?)
Who will be the legal representative — and can they travel to China?
And finally: does this setup actually make sense for China?
This is the time to sit down and map it out.
Talk to someone who understands the Chinese system: your partner, friend, or business consultant.
Step 2 — Legalize your documents
If your shareholder is an individual — it’s simple:
✅ Notarize and legalize their passport. That’s it.
If the shareholder is a foreign company — here’s what you need:
✅ Company registration certificate
✅ Company charter
✅ Legal rep passport
✅ Board resolution
✅ Foreign company seal
✅ Power of attorney
These documents must be translated, notarized, and legalized at the Chinese consulate in your country.
It can take several weeks. Start early.
Step 3 — Choose and approve the company name
Your Chinese name must be unique and follow this format:
City + Unique Name + Business Type + Co., Ltd.
Example: Shenzhen ABC Trade Co., Ltd. (深圳ABC商贸有限公司)
Common suffixes include:
商贸 — trade
咨询 — consulting
科技 — tech
国际贸易 — international trade
实业 — industrial and investment
制造 — manufacturing
物流 — logistics
You can also choose an official English name — it will appear on your bank account.
Step 4 — Lease an office
How do you sign a lease if your company doesn’t exist yet?
✅ The legal rep can sign and pay in person — the company will reimburse them later.
✅ Always check the lease certificate (红本) before signing.
Step 5 — Prepare and check full documentation
Time to prepare the full application package:
✅ Legalized shareholder documents
✅ Application form
✅ Company name approval
✅ Office lease agreement
✅ Board resolution
✅ Articles of Association
✅ Info about legal rep and key roles
✅ Bank reference letter (for corporate shareholder)
✅ Two powers of attorney
✅ Letter of commitment
Local AMR (Administration for Market Regulation) may request more — depends on your city.
Step 6 — Plan legal rep’s travel to China
In most cities, the legal representative must come in person:
✅ For face verification
✅ To collect the license
✅ To complete tax setup
And in the next step — to open a bank account.
So book the visa early.
Step 7 — Register with AMR
This is where your company becomes official.
✅ Submit your documents
✅ Wait for review — usually a few days
✅ Pick up your Business License
Then, you can make your company seal and continue with the next steps.
Step 8 — Register with tax authorities
This activates your tax account and gives you access to tax filing software.
✅ Bring your financial officer — they’ll be needed at the appointment.
Step 9 — Open a corporate bank account
The legal rep must come in person, together with your treasurer or accountant.
✅ Bring all company documents, seals, and office lease
If you’re from a “sensitive” country — this step can be tricky.
That’s why we recommend preparing in advance and opening the account in a specific branch, not just any bank.
We explain how Chinese banking works in Part 7 of this series.
Step 10 — Apply for other licenses (if needed)
Depending on your business scope, you might need:
Food or health permits
ICP license (for online services)
Approval for issuing Chinese VAT invoices (发票)
Customs registration (for import/export)
Social security registration
Statistics bureau registration
Foreign investment filing
Don’t worry — your consultants or accountants will help with this.
Step 11 — Start operations
✅ Sign contracts
✅ Hire team
✅ Receive and send money
✅ Operate legally
If you opened a Rep Office — you can now handle visas and expenses for foreign staff.
Final thoughts
Opening a company in China is not difficult — but making it work takes effort.
We’ve seen many founders open Chinese companies…
Only to shut them down a year later.
Why?
The bank account never worked
The team didn’t know how to manage taxes
The VAT refund process was confusing
Or the structure didn’t make sense from day one
The key is this: China requires real substance.
If you’re serious about China — invest in a proper setup.
Ask the right questions.
Plan every step.
And talk to people who know the system.
At United Suppliers Group, we’ve helped founders from over 20 countries set up in China — and avoid the usual mistakes.
In the next post, we’ll look at strategic industries in China — and how the government supports companies that work in these sectors.