Registration Process of a WFOE in China

Update time:2016-02-24  source:

The application process to create a company in China generally takes three to six months. The establishment process varies based on the WFOE form and the planned business scope.

For example, a Manufacturing WFOE will require an environmental evaluation report, and Trading WFOEs will need to undergo customs/commodity inspection registration.

The application process can be divided into two parts:

1.Pre-registration – what happens before the company formally exists

2.Post-registration – what happens after the company formally exists



1.Name registration

The company name can be translated from English by meaning and/or phonetically. Verification of feasibility of the proposed name by the AIC will take a few working days.

Only the Chinese name will be legally binding – the English name is not legally relevant for Chinese authorities.

Note that the words “China” and “International” cannot be freely included in the Chinese name, and are subject to further requirements.

2.Issuance of approval certificate and temporary business license

The authorities will issue the approval certificate and temporary business license after assessing the following documentation:

From the investor:

1.Business license (certificate of incorporation – depending upon locations, this may need to be notarized in the investor country of origin, and then translated into Chinese);

2.Bank statement to demonstrate credit worthiness (from relevant bank in country of origin and translated into Chinese);

3.Photocopy of passport of the legal representative of the investor company.


From the new company:

1.About the new business – Name of the company, business scope, registered capital, business term, lease contract;

2.About the legal representative – Photocopy of passport and passport-size photos;

3.About the directors – CVs, photocopies of passports, and passport-size photos;

4.Feasibility study report – Outlining the estimated cash flow for the next three years;

5.Articles of association;

6.Environmental protection evaluation report (if applicable).

The approval certificate will be issued by the local office of the MOFCOM.

Upon issuance, there is a 30-day limit for registering the company with the AIC, which then issues the temporary business license.



Following the issuance of the temporary business license, the WFOE would need to perform a number of formal registrations at various Chinese government entities, including applying for carving various seals (or chops) in order to authorize documents on behalf of the company, as well as opening an RMB account for managing daily operating expenses and a foreign capital account for receiving foreign currency.

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