China Enterprise incorporation process

What does the typical enterprise incorporation process in China look like? Well, in the latest Foreign Investment Guide of the People’s Republic of China, they drew a schematic diagram as follows:

From the perspective of Chinese law, an enterprise will have the ability to carry out business when it has obtained a business license. Of course, from a practical point of view, an enterprise also needs to complete tax registration and bank account opening in addition to the business license, in order to really engage in business activities.

If an enterprise needs to engage in import and export business, it also needs to go through the registration formalities at customs and entry & exit bureau.

China implements administrative licenses for specific industries, e.g. the operation of food and drugs. If the company wants to engage in such business, it also needs to apply for the relevant administrative license in advance.

Useful tools: