Company formation in China

The entity type, registered capital and business scope you choose now determine your tax position, approval difficulty and exit options later. We set the company up with that in mind.

Entity types

Four common vehicles compared

TypeLiabilityTax treatmentSuited to
Limited liability company有限责任公司Limited to capital contributedEnterprise income tax 25% (5%–10% for qualifying small firms), dividends 20%Most trading, service and cross-border businesses
Individual business个体工商户Unlimited personal liabilityIndividual income tax on business income, 5%–35%Sole traders, small retail, testing a market
Partnership合伙企业General partners unlimited; limited partners cappedPass-through to partnersProfessional firms, funds, holding platforms
Branch分公司Parent company liableNot a separate taxpayer; consolidated at parent levelExisting companies expanding into Guangzhou

Small-profit and small-scale taxpayer thresholds change annually; the applicable rate is confirmed for each case.

Process

From name to first invoice

Name & structure

Name check, shareholder and capital structure, registered address confirmed as compliant for the intended business.

Registration

Business scope drafted to match actual operations; licence submitted; business licence issued.

Seals & accounts

Official seals carved and recorded; bank account opened; tax and social insurance onboarding.

Go live

Invoice issuance set up, bookkeeping started, first filing calendar agreed.

What we need from you

Documents for a standard formation

  • Shareholder identity documents and shareholding proportions
  • Three to five proposed company names in order of preference
  • Registered address documents (lease or provider agreement)
  • Business scope in plain language
  • Legal representative and supervisor appointments
  • Registered capital figure and contribution timeline

Understand the problem before you commit

Tell us how you trade, where you sell and how the group is held. You get a written list of issues and realistic options — the first conversation is free.