Entity setup · Structure · First-year compliance

Setting up in China: pick the structure, then survive the first year

The structure you choose decides your tax rate, what you can invoice, how much capital you must lock up, and how hard the annual filings are. We are accountants, not incorporation agents — we tell you what each option costs you afterwards, and we handle everything from the bank account onwards.

  • Structure compared on numbers — capital, tax rate, invoicing range and annual filing load, side by side
  • Bank account and tax registration — the two steps that actually hold up a new entity
  • Books opened correctly from day one — chart of accounts, VAT status, and the first filings set up
  • One contact through the whole setup — we coordinate with your incorporation agent so you do not have to

Timing

What the timeline really looks like

The licence is the fast part. Banking and tax registration are where foreign investors lose weeks.

Structure decision — 1 week

WFOE, joint venture or representative office, compared against what you will actually trade and invoice.

Incorporation — 4 to 8 weeks

Name approval, MOFCOM/SAMR filing, business licence, and company seals. Handled by your incorporation agent; we prepare the numbers they need.

Bank and tax — 2 to 4 weeks

Capital account opening, tax registration, VAT status and invoice quota. This is where most delays happen, and where we do the work.

First filing cycle — ongoing

Monthly or quarterly VAT, IIT withholding, and the first annual audit and CIT settlement. We hand you a calendar so nothing is missed.

Scope of services

What the work actually covers

Written out in detail on purpose. If you are comparing firms, this is the list to put side by side with theirs.

Deliverables

What lands on your desk

Structure memo

One page comparing the three options against your facts, with our recommendation and why.

Setup document pack

What the bank, SAMR and the tax bureau will ask for, in the order they ask for it.

Opened books

Chart of accounts, opening balances and the first month closed.

First-year calendar

Every filing date for the next twelve months, with who does what.

Process

From first email to finished work

01  You send the basics

Entity type, what has been requested, and when it is due. One email is enough to start.

02  Scope and fixed fee

We come back within one business day with a written scope, a fixed fee and dates.

03  Documents and fieldwork

One document request list. We work from it, and visit site only where the work genuinely needs it.

04  Delivery and follow-through

Signed output in English or bilingual, plus support through whatever filing follows.

Fees

How we price it

Fixed, in writing, before fieldwork starts. The drivers below are the ones that actually move the number — we tell you which of them apply to you in the first reply, not after you have signed.

  • Entity size, number of bank accounts and transaction volume
  • Whether prior-year figures are audited or management-prepared
  • Reporting language: English, Chinese, or bilingual
  • Whether group reporting requires a GAAP reconciliation
  • How much of the bookkeeping we have to rebuild first

FAQ

Questions about setting up in China

Can I set up without visiting China?

Usually yes. The legal representative may need to appear for bank account opening, depending on the bank, but the rest can be done under a power of attorney. We will tell you which steps genuinely need you in the country.

How long until the bank account actually works?

Typically two to four weeks after the licence is issued, and longer if the bank wants to see the capital arrive first. Plan the whole setup at three to six months.

What is the minimum registered capital?

For most sectors there is no statutory minimum. The practical minimum is set by how much the entity needs to fund its first months, and by what looks credible to the bank.

WFOE, JV or representative office?

If you need to invoice customers in RMB and sign contracts in your own name, you generally need a WFOE. A representative office cannot invoice and cannot employ staff directly, but it is cheap and simple for liaison work. A joint venture is worth it only when you need a local partner's licences or relationships.

Do you incorporate the company yourself?

No. Incorporation agency work is not part of our licensed practice, and we say so plainly. We work alongside your agent, and we handle the capital verification, tax registration, bookkeeping and filings that follow.

Tell us what the entity will actually do.

Send the business scope, the capital you are planning, and your timetable. We will tell you which structure costs you least over three years, not just at setup.