China is a powerhouse economy offering immense potential for international businesses. Whether you're an entrepreneur, a growing startup, or a multinational enterprise, understanding the process of
company formation in China is essential. Below are frequently asked questions to help guide you through company incorporation in China, from legal structures to foreign ownership rules.
1. What is the process for company formation in China?
The process involves choosing a legal structure (like WFOE, JV, or Representative Office), preparing the required documents, registering with local authorities, obtaining a business license, and setting up tax and bank accounts. Each step must comply with Chinese regulatory standards.
2. What's the difference between company incorporation in China and company registration in China?
They both refer to the process of legally setting up a business in China. "Incorporation" often emphasizes the legal creation of the entity, while "registration" includes the practical steps of getting it approved and licensed.
3. How can I register a company in China as a foreigner?
Foreign investors can register a Wholly Foreign-Owned Enterprise (WFOE), Joint Venture (JV), or a Representative Office depending on their goals. The process includes name approval, document submission, capital verification, business license application, and tax registration.
4. What are the requirements for foreign company registration in China?
Requirements include a legal business name, a registered office address in China, business scope definition, investor details, articles of association, and minimum registered capital (varies by industry and region). Foreign owners must also comply with specific sector restrictions.
5. How long does company registration in China take?
Typically, it takes 6–10 weeks, depending on the structure, location, and completeness of documentation. Delays can occur if paperwork is accurate or local policies are stricter in certain regions.
6. What is the cost to register a company in China?
Costs vary by business type and region, but generally include government fees, notary and translation services, and possible office rent or capital requirements. Using a professional service like
Enterslice can help clarify the total cost upfront.
7. How to open a company in China without visiting?
While some steps may be done remotely, certain processes like opening a bank account may require physical presence or local representation. Enterslice offers local support and representation services to simplify remote incorporation.
8. Can I own 100% of my business through company incorporation in China?
Yes, through a Wholly Foreign-Owned Enterprise (WFOE), foreign investors can have full ownership in most industries. However, some sectors may require joint ventures or have restrictions based on Chinese foreign investment laws.
