Launch Your China Company for Just CNY 16,000

Expanding into Mainland China remains a significant strategic decision for international businesses. While the opportunity is substantial, the incorporation process is highly regulated and requires careful planning from the outset. Structure, compliance, tax positioning, governance, and operational readiness must all be addressed before a company can trade effectively.

With more than four decades of experience supporting inbound investment into China and Hong Kong, Woodburn Accountants & Advisors provides end-to-end incorporation and market-entry support, combining advisory insight with on-the-ground execution.

Key Decisions Before Incorporation

Foreign investors must resolve four foundational questions before proceeding:

1. Legal structure: Selecting the appropriate entity type affects tax exposure, liability, governance obligations, and future scalability.

2. Capital and financial planning: Registered capital requirements, funding timelines, and long-term cash planning should be assessed not only for launch, but for five- and ten-year growth scenarios.

3. People and governance: Chinese company law mandates defined governance roles, including the appointment of a qualified Finance Manager who can liaise directly with the tax authorities in Chinese.

4. Location: The registered address determines regulatory oversight, tax treatment, incentive eligibility, and operational flexibility. Location decisions should consider district-level policies, relocation implications, access to talent, and proximity to markets and logistics channels.

Company naming also requires particular care. Chinese company names are closely linked to brand perception, trademark strategy, and online presence. Early alignment between naming, trademark registration, and domain strategy avoids later disputes and rebranding costs.

Regulatory and Documentation Requirements

China’s incorporation framework requires extensive disclosure. Apostilled and notarised documentation relating to shareholders, directors, and senior management is mandatory. While filings are submitted in Chinese, bilingual Chinese-English documents are strongly recommended to ensure clarity and legal certainty.

Execution formalities are prescriptive, including signing conventions and ink requirements. These details, while procedural, are closely scrutinised by authorities.

The Incorporation Process in Practice

Woodburn manages the full incorporation lifecycle on behalf of investors, including:

Registered address and lease coordination

A compliant legal address is required for registration. Where a physical office is not yet in place, a compliant virtual office solution may be arranged, subject to local rules.

Information structuring and advisory

Guidance is provided on business scope definition, Chinese and English company names, registered capital, governance appointments, and director responsibilities under Chinese law.

Application with the Administration for Market Regulation (AMR)

All incorporation filings are prepared and submitted to the AMR, including advance consultations where required to confirm business scope approval.

Document drafting and execution

This includes Articles of Association, appointment letters, AMR application forms, and related statutory documents, prepared bilingually for execution.

Business licence issuance

Once approved, the Business Licence is issued and the entity is legally established.

Bank account opening and capital contribution

Both basic and capital accounts are opened, followed by capital injection. Once funds are converted and settled, the company can begin operations, subject to any sector-specific licensing.

Post-registration formalities

These include official company stamp carving, tax registration, foreign exchange registration, and import-export licences where applicable. In some districts, the legal representative may be required to attend the tax office in person for identity verification.

Typical Timeframe

Incorporation typically takes approximately three months, assuming timely provision of investor documents. Bank account opening and capital contribution generally require an additional one month.

Woodburn prepares all incorporation documentation in both Chinese and English, with the exception of the investor’s home-country corporate registration certificate, which must be provided by the investor.

Incorporation Fees and Scope

To support cost certainty, Woodburn offers a fixed incorporation fee rather than pure time-based billing.

China company incorporation fee: CNY ¥8,000

This includes:

• Registered address coordination with landlord and authorities

• Market-entry and preliminary advisory

• Application document preparation and translations

• Company name search and reservation

• Appointment of a Woodburn-provided Finance Manager

• Government filings and approvals

• Issuance of the integrated “5-in-1” e-Business Licence

• Company chop carving permits and official seals

Optional post-incorporation support

Where Woodburn continues as Finance Manager, post-incorporation services are available for an additional CNY ¥8,000, covering:

• Bank account opening support

• Tax and VAT registration

• Foreign exchange registration

• Social insurance and housing fund setup

• Customs registration and electronic port cards for trading or manufacturing entities

Costs Not Included

The following are excluded from service fees:

• Chinese VAT and surtax

• Administration fee of 10 percent

• Government disbursements of CNY ¥3,000

• Out-of-pocket disbursements of CNY ¥1,500

• Special licences, quoted separately once identified

• Registered office lease costs, payable directly to providers

Ongoing Compliance Obligations

After incorporation, companies must comply with monthly accounting and tax filings, VAT reporting, annual audits, and statutory returns. These services are addressed under a separate corporate services engagement.

Working with Woodburn

Establishing a China entity is often the most critical phase of a market entry strategy. Early decisions shape compliance risk, tax efficiency, and operational resilience for years to come.

Woodburn’s approach focuses on getting the foundation right, avoiding structural errors that are costly to correct later, and building a compliant platform that supports long-term growth.

For businesses planning expansion into China, careful incorporation is not an administrative task. It is a strategic investment.

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Woodburn Accountants & Advisors is one of China and Hong Kong’s most trusted business setup advisory firms.

Woodburn Accountants & Advisors is specialized in inbound investment to China and Hong Kong. We focus on eliminating the complexities of corporate services and compliance administration. We help clients with services ranging from trademark registration and company incorporation to the full outsourcing solution for accounting, tax, and human resource services. Our advisory services can be tailor-made based on the companies’ objectives, goals and needs which vary depending on the stage they are at on their journey.

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