How to Register a Company in China as a Foreigner - ProFin Solutions

A step-by-step guide to setting up a WFOE (Wholly Foreign-Owned Enterprise), including timelines, documents, and common mistakes to avoid.

Thinking about starting a business in China? For many foreign entrepreneurs, the first step is setting up a Wholly Foreign-Owned Enterprise (WFOE). This structure offers full control, legal protection, and access to China’s massive market—but the process can seem complex without the right guidance.

Step-by-Step Guide to WFOE Registration:

1. Choose Your Business Scope & Name\
Decide on your company’s business activities and ensure your proposed name complies with local naming rules. The name must include your industry, location, and the word “Limited.”

2. Secure a Registered Address\
A physical address in China is required. This can be your actual office or a virtual address (often provided by business service firms like ours).

3. Prepare Application Documents\
You’ll need:

Passport copies of shareholders/directors
Legalized certificate of incorporation (for corporate investors)
Lease agreement for the registered address
Articles of association
Feasibility study (simple business plan)

4. Submit to Local Government for Approval\
Depending on the business type, this involves the local Administration for Market Regulation (AMR) and possibly industry-specific regulators.

5. Obtain Business License\
Once approved, you’ll receive your business license. This document legally establishes your WFOE in China.

6. Post-License Registrations\
After licensing, you must complete:

Company stamp (chops)
Tax bureau registration
Foreign exchange registration
Opening a corporate bank account
Social insurance and housing fund setup

Timeline:

The full process typically takes 6–10 weeks, depending on city and business type.

Common Mistakes to Avoid:

Choosing the wrong business scope (it affects taxation and permitted activities)
Missing deadlines for tax or annual reporting
Using non-compliant virtual addresses
Trying to register without Chinese-speaking support

Final Tip:

Working with a local professional service provider can save time, avoid rejections, and ensure full compliance from day one.

👉 Need help setting up your company in China? Contact us for a free consultation.