12 steps to incorporating in China

Incorporation of a company in China and opening of a local corporate bank account constitutes a complex engagement. Our Firm will consequently need an average of six months to complete it. However, our Client will not have to travel to China, as all tasks will be completed by Healy Consultants Group PLC and our business incorporation agent. The typical procedures for China business incorporation are as follows:
China business incorporation procedures

Pre-incorporation steps

  1. Before we provide our Client with China incorporation services, our Client i) settles Healy Consultants Group PLC’s engagement fees ii) signs and returns our Client engagement letter iii) provides us all the required due diligence documents;
  2. Healy Consultants Group PLC drafts a detailed China project plan, mapping out by week each step to engagement completion, optimizing transparency of China business incorporation procedures and setting Client expectations;
  3. Before our Client can register a new company in China, they must secure a lease agreement for local premises. If requested, we will assist our Client with finding permanent premises for their company in China;
  4. It is compulsory for every China company to appoint a Supervisor. To minimize complexity, Healy Consultants Group PLC recommends our Client appoint one staff member already in China. If our Client is uncomfortable or unable to adopt this strategy, Healy Consultants Group PLC will be happy to provide nominee services. Our annual fee for the same is US$4,800 per nominee;

Incorporation steps

  1. Our team and the client reach an agreement on the optimum corporate structure;
  2. Healy Consultants Group PLC obtains the application for company name pre-approval from the local State Administration of Industry and Commerce (SAIC) website;
  3. Healy Consultants Group PLC prepares and applies to obtain a Business License from the State Administration of Industry and Commerce (SAIC). Thanks to a newly implemented Five-in-One system in China, which has combined multiple licenses into one license, the registration process has been significantly simplified;
  4. Healy Consultants Group PLC assists our Client to open a corporate bank account with a bank in China. On account approval, it is recommended that our client deposits 15% of the paid-up share capital (between US$15,000 to US$75,000) and supplies us with a certificate of deposit and bank statement as capital verification;
  5. Upon completion of the above, Healy Consultants Group PLC incorporates the company with the State Administration of Industry and Commerce (SAIC) and provides our Client with the certificate of incorporation and business license of the Chinese company;

Post-incorporation steps

  1. Post-incorporation registrations include: i) tax and VAT registrations and securing approval to print and purchase sales (“fapiao”) invoices from the State Administration of Taxation ii) recruitment registration and iii) Social Welfare Insurance Authority registration;
  2. If needed, we can assist our Clients to recruit local and expatriate staff by advertising recruitment campaigns in local publications, such as the South China Morning Post and the Beijing Bulletin;
  3. Following China engagement completion, Healy Consultants Group PLC couriers a full company kit to our Client, including original China corporate documents, unopened bank correspondence, and a Client feedback survey regarding the quality of Healy Consultants Group PLC’s China company incorporation services.

Documents required to incorporate a foreign invested company in China

Other than the standard personal and corporate due diligence documentation of our Clients, other documents required during the China company incorporation process include:

  • Notarized and legalized passport copies of the i) legal representative and ii) supervisor, who are not directors of the Chinese company and can be of any nationality and are not required to reside in China;
  • Power of Attorney granting powers to the legal representative to register the company on behalf of our Client;
  • Copy of the lease agreement for the physical office premises in the same province where the company is incorporated;
  • Detailed business plan or investment proposal for the Chinese company.

Contact us

For additional information on our incorporation services in China, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Ms. Chrissi Zamora, directly:
client relationship officer - Chrissi