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Opening a Corporate Bank Account in China: A Practical Guide for Foreign Founders

A practical walkthrough for foreign founders on opening a corporate bank account in mainland China — documents, KYC, choosing a bank, timelines, common pitfalls and how to stay compliant. General information only, not legal or tax advice.

For most foreign founders setting up in mainland China, the corporate bank account is the step that turns a registered company into a working business. You cannot invoice customers, pay staff, remit capital or file taxes properly without one. It is also the step where newcomers most often lose weeks to paperwork and back-and-forth with bank staff. This guide walks through what to expect, what to prepare and where the friction usually comes from.

This article is general information only. It is not legal, tax or financial advice. Banking rules and bank practices change, and requirements can differ by city, bank and even branch. Confirm specifics with your bank and with a qualified local professional before you act.

Why the corporate account matters more than you think

In China, the company's bank account is tied tightly to the company's legal identity and to the tax system. The account is used for capital contributions, day-to-day operations, payroll, tax payments and foreign exchange. Chinese banks operate under strict know-your-customer (KYC) and anti-money-laundering (AML) rules, and they are accountable to regulators for the accounts they open. That is why the process feels heavier than in many home markets: the bank is not just opening an account, it is taking on a compliance relationship with your company and its people.

Two account types matter most at the start. The basic deposit account (基本存款账户) is the company's main operating account and is normally required before you can open others or handle payroll and tax deductions. General deposit accounts (一般存款账户) can be opened later for specific purposes, and many companies also open a foreign currency account for cross-border receipts and payments. Your bank will guide you on which combination fits your business.

When to start, and what has to happen first

You cannot open the corporate account until the company legally exists. In practice that means the business licence has been issued and the company's legal representative, registered address and scope of business are settled. The sequence usually looks like this:

• Complete company registration and receive the business licence.
• Have the company seal set made (official seal, financial seal, legal representative seal, contract seal, and often an invoice seal). Seal usage varies by bank and city, but expect seals to be part of the process.
• Choose a bank and branch, and book an appointment.
• Submit KYC documents and complete the account opening review.
• Activate the account and set up online banking.

Start talking to banks before registration is finished. Relationship managers can tell you what their branch will ask for, and early conversations help you avoid choosing a bank whose requirements you cannot meet. For example, some branches are more comfortable than others with foreign-invested companies whose legal representative is not resident in China.

Documents you will typically be asked for

Requirements differ by bank, branch and city, and they can change. Treat the list below as a starting point, not a checklist you can rely on without confirmation.

Company documents

• Business licence (original and copies, often with the official seal).
• Articles of association and, for foreign-invested companies, incorporation and approval or filing documents.
• Company seals, including the official seal and financial seal.
• Registered address documents, such as a lease or proof of address.
• Shareholder structure information, including ultimate beneficial owner (UBO) details.

People documents

• Passport or ID of the legal representative.
• Passport or ID of authorised signatories and, where relevant, the person physically handling the account opening.
• Proof of address for key individuals, which may be requested.
• Board resolution or power of attorney authorising the account opening and signatories, in the form the bank requires.

Business substance documents

Banks increasingly want to understand what the company actually does. Be ready to explain your business model, main customers and suppliers, expected transaction volumes and countries, and the source of funds. Contracts, invoices, a business plan or a parent company's documents can help. Vague answers slow the process down.

What the account opening visit involves

Most banks require at least one in-person visit, and many require the legal representative to appear in person, sometimes for a short interview or video verification. Expect identity checks, seal verification, signing of account agreements and online banking forms, and questions about your business. Some banks conduct an on-site visit to the registered address, particularly for newly established companies or where the address is a shared or virtual office arrangement. If your registered address cannot be visited or does not look like a real operating presence, expect questions.

After submission, approval is not instant. Timelines vary widely by bank, branch, city and the completeness of your file. Some accounts are activated within days; others take several weeks, especially where foreign ownership, non-resident signatories or unusual business models require extra review. Build this into your launch plan rather than assuming the account will be ready the week you need it.

Common reasons applications stall

• Legal representative not present in China. Some banks accept a representative acting under a notarised power of attorney; others are reluctant. Ask before you commit to a bank.
• Weak business substance. A newly registered company with no contracts, no staff and a virtual address invites more scrutiny.
• Unclear ownership. Complex offshore holding structures need clean UBO documentation.
• Document mismatches. Names, addresses and company details that differ across documents cause delays.
• Language and process gaps. Bank forms are usually in Chinese. Bring a competent translator or a local adviser if you are not fluent.

Practical tips for a smoother process

Talk to two or three banks, including at least one with experience serving foreign-invested companies. Ask specific questions: what documents do you need for a company like mine, does the legal representative have to attend, do you visit the registered address, and roughly how long does approval take? Keep a single, consistent set of company documents and use the same details everywhere. Prepare a short written summary of your business, ownership and expected transactions in Chinese. Keep your seals secure and know who is authorised to use them. Once the account is open, set up online banking carefully, understand the approval limits for payments, and keep records that match your tax filings.

A final word on compliance

Chinese banks take account monitoring seriously. Unusual or unexplained flows can lead to requests for supporting documents or restrictions on the account. Keep contracts, invoices and customs or shipping documents for cross-border transactions, and make sure the purpose of each payment is clear. If your business involves foreign exchange, capital contributions or intercompany payments, get advice from a qualified professional on the current rules rather than relying on general guidance. The corporate bank account is a gateway, not a formality — treat it as part of your compliance foundation from day one.