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Business setup · China

China company formation: set up a WFOE or foreign-invested company with a team on the ground

Registering in mainland China is more involved than in the US or UK. We guide you from checking your business scope to opening your bank account, with English and Chinese support and one point of contact.

  • 3–6 mo typical start to finish
  • WFOE JV, rep office, HK
  • EN · 中文 support
  • 1 team from licence to bank
WFOEWholly foreign-owned enterpriseAuthorised signatureYour set-upBusiness scope checkedRegistered addressBusiness licence + chopsBank, tax & FX set-upRemote-friendlysign documentsfrom anywhereMainland China · Foreign investment filingHandled with partners
China WFOE formation
What we handle

Every step of a China company set-up

Structure and scope advice

WFOE, joint venture, representative office or a Hong Kong company, and a check of your business scope against the national negative lists.

Registration and licences

Application to the market regulator (SAMR), any industry licences, and your business licence.

Chops, bank and capital

Official company chops, RMB basic account and foreign-currency capital account, with FX registration through the bank.

Ongoing accounting and compliance

Monthly bookkeeping, tax returns, annual reports and audit coordination through a licensed local accountant.

Shanghai skyline representing a company in China
Setting up a company in China
Is a China company right for you?

A mainland company makes sense when you operate in China, not only buy from it

Many overseas sellers only need a sourcing partner or a Hong Kong company. We tell you honestly if a mainland entity is overkill.

China is a good fit if you…

  • sell to customers in mainland China or employ staff there
  • run sourcing, quality control or fulfilment operations in China
  • need to invoice in RMB and issue Chinese tax invoices (fapiao)
  • plan to export from your own Chinese entity

Consider something else if you…

  • only buy from Chinese factories (a sourcing agent or Hong Kong company may be enough)
  • want a quick, light company (a UK or US company is far simpler)
  • cannot commit to local accounting, tax and annual compliance

Key facts (checked October 2026)

Corporate income tax: 25% standard rateCapital: no statutory minimum in most sectors, but subscribed capital must be paid within five yearsBusiness licence issued in days once documents are completeWhole process typically 3 to 6 months
How a WFOE is set up

From scope check to a trading company

Registration can be quick; the time goes into the address, documents and the bank and tax steps after the licence.

1Scope checkNegative list,licences2AddressCommerciallease or premises3RegisterSAMR filing,business licence4Chops & bankCompany chops,bank + capital5Tax & filingsTax, FX, socialinsurance, reports
The usual sequence for a foreign-owned company in mainland China.
Choosing a structure

WFOE, joint venture, representative office or Hong Kong?

The right structure depends on what you sell, where your customers are and how long you plan to stay.

StructureCan it earn revenue?Best forGood to know
WFOE (wholly foreign-owned enterprise)YesTrading, services, sourcing, e-commerce operations, manufacturing100% foreign ownership where the sector allows. Needs a real commercial address and local compliance.
Joint ventureYesRestricted sectors or when a local partner is requiredShared ownership and control; more negotiation.
Representative officeNoLiaison, quality control and market research onlyCannot invoice or earn revenue; taxed on expenses.
Hong Kong company (alternative)Yes (outside the mainland)International trading, holding and invoicing in HKD or USDA separate legal system from the mainland. It does not by itself allow you to operate in the mainland.
How it works

Your China company in five steps

You will need a legal representative and, at some stage, someone available in China to sign and open the bank account.

  1. 01

    Consultation

    Business plan, sector and the right structure. We say if you do not need a mainland entity.

  2. 02

    Preparation

    Name, address, registered capital plan and authenticated shareholder documents.

  3. 03

    Registration

    Filing and business licence.

  4. 04

    Chops, bank and tax

    Company chops, bank accounts, capital, tax and FX registration.

  5. 05

    Operate and comply

    Accounting, tax returns, annual reports and the foreign investment information report.

Dr. Kashif Ashiq, founder of Kashif eVentures
Next step

Planning a China company?

Tell us what you will sell, where your customers are and your timeline. We reply with a recommended structure and a clear quote.

FAQ

China company formation questions

What is a WFOE?

A wholly foreign-owned enterprise: a Chinese limited company that is 100% owned by foreign investors, where the sector allows it.

Is there a minimum registered capital?

There is no statutory minimum in most sectors, but under the 2024 Company Law the subscribed capital must be paid within five years of establishment, and the schedule is set out in your Articles. Regulated sectors such as finance have their own rules.

How long does it take?

Registration itself can take days once documents are complete, but the whole process, including bank, tax and other registrations, typically takes three to six months.

Can I use a virtual office as my address?

The registered address must be a commercial property approved for business use. Residential addresses are not allowed; virtual offices are accepted only in some zones. We check what works for your city.

Do I need to be in China?

The legal representative usually has to be present to open the bank account. Many other steps can be done remotely with authenticated documents and powers of attorney.

Do I need a mainland company to sell to China from outside?

Not always. Cross-border e-commerce, sourcing agents and Hong Kong structures can be alternatives. We help you compare.

What taxes apply?

Corporate income tax is 25% at the standard rate, plus VAT (general taxpayer or small-scale status), and employee social insurance. Free-trade-zone incentives may apply.

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Important: Kashif eVentures coordinates company formation with registered agents, accountants and local licensed providers. We are not a law firm or an accountancy firm, and this page is general information, not legal or tax advice. Fees, deadlines and rules change; we confirm the current position for your case before you pay for anything. Facts on this page were checked in October 2026.