Diterbitkeun · Sundanese

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, covering account types, documentation, the role of the basic deposit account, timelines, common friction points, and practical tips for a smoother onboarding process.

Opening a corporate bank account is one of those steps that looks administrative on paper but can quietly become the bottleneck in your China setup. You have your business licence, you have a plan, and then you discover that the bank wants to meet your legal representative in person, review your overseas documents, and understand exactly what your company will do and with whom. None of this is unusual, but knowing what to expect makes the process far less painful.

This article gives foreign founders a practical overview of how corporate banking works in mainland China, what documents banks typically ask for, and where the friction usually appears. It is general information, not legal or tax advice, and bank requirements vary by city, by branch and by the type of business you run. Always confirm specifics with your bank and your professional advisers.

First, understand the account landscape

Chinese banks generally separate corporate accounts into two broad categories: RMB basic deposit accounts (基本存款账户) and general deposit accounts (一般存款账户), plus specialised accounts for specific purposes. For a newly established foreign-invested company, the basic deposit account is the anchor.

The basic deposit account is the company's primary settlement account. It is where you handle day-to-day receipts and payments in RMB, and it is the account from which you can withdraw cash. A company can normally hold only one basic deposit account, and it must be opened before you can open general accounts for other purposes, such as dedicated project funds or payroll. General accounts can handle transfers and receipts but generally cannot handle cash withdrawals.

There is also the foreign currency account, which matters if you expect capital contributions, overseas payments or foreign-currency revenue. Many foreign-invested enterprises open both an RMB basic account and a foreign currency account, often at the same bank for convenience, though this is not mandatory.

What banks typically ask for

Document lists differ between banks and cities, but the core set for a new foreign-invested company usually includes:

• Business licence (营业执照), original and copy.
• Company seal set, typically the official company seal, the legal representative's personal seal, the finance seal and possibly a contract seal. Seal requirements vary, so ask the bank which ones it needs.
• Articles of association and, where relevant, the foreign investment information report or filing receipt.
• Identification of the legal representative — usually a passport for a foreign national — plus the authorised signatory's ID if different.
• Proof of registered address, such as a lease agreement, property certificate or a document from the registered address provider.
• Beneficial ownership information, including the ownership structure up to the ultimate beneficial owners, with supporting documents for overseas shareholders.
• Board resolution or shareholder resolution authorising the account opening and naming the authorised signatories.
• Overseas incorporation documents for the parent company, often notarised or legalised and, where required, translated into Chinese.

Banks increasingly apply enhanced due diligence. Expect questions about your business model, expected transaction volumes, main counterparties, countries you will trade with and the source of funds for your capital contribution. A clear, consistent explanation, ideally backed by contracts or a business plan, helps.

The in-person requirement and the legal representative

In most cases, the legal representative must appear at the branch in person for identity verification and to sign account-opening documents. Some banks allow a delegated representative with a notarised power of attorney, but this is less common for a brand-new company and depends on the bank's internal policy. If your legal representative is based abroad, plan a trip or check whether your chosen bank permits remote verification, which some banks now offer for certain client profiles but not as a universal rule.

Video verification and remote onboarding have expanded in recent years, particularly in freer trade zones and for certain account types, but availability is uneven. Do not assume it. Ask the specific branch, not just the bank's head office.

How long it takes

Timelines vary widely. Once all documents are complete and the legal representative is present, account opening itself can be completed in a few hours to a few days. The longer part is usually preparation: gathering and notarising overseas documents, translating them, and satisfying the bank's compliance review. For a straightforward wholly foreign-owned enterprise with a local legal representative and clean documentation, the whole process might take one to three weeks. More complex ownership structures, offshore shareholders in multiple jurisdictions, or businesses in sensitive sectors can take considerably longer.

The basic deposit account also requires a registration step with the local branch of the People's Bank of China, which the bank typically handles. You receive an account opening permit or registration confirmation, and the account becomes fully operational after that.

Practical friction points

Choice of bank

The big state-owned banks have broad networks and strong foreign currency capabilities, while joint-stock banks and city commercial banks may be more flexible and responsive for smaller companies. Foreign banks can be a good fit if your parent company already banks with them, but their local branch network may be limited. Compare on service quality, English-language support, digital banking, fees and the branch's willingness to work with your business model.

The registered address

Banks verify your registered address and may conduct an on-site visit or request photos. Virtual or shared addresses can raise questions, so confirm in advance that your address provider is acceptable to the bank. This is a common hiccup for early-stage founders using incubators or serviced offices.

Seals and signatures

China's seal-based system can confuse founders used to signature-based banking. Keep your seal set secure, document who holds each seal, and make sure the signatures on file match the authorised signatories exactly. Inconsistencies trigger rework.

Ongoing compliance

Account opening is not a one-off. Banks conduct periodic reviews and may ask for updated ownership information, transaction explanations or renewed identification documents. Respond promptly; unanswered queries can lead to restrictions on the account.

Tips for a smoother process

• Talk to the bank before you incorporate. A short conversation about your business model and ownership structure can reveal document requirements early.
• Prepare certified translations. Overseas corporate documents usually need Chinese translations, and some banks require them from approved translators.
• Keep your ownership chain simple and documented. Layered offshore structures invite more questions.
• Bring more documents than you think you need, including contracts, invoices and a business plan.
• Confirm the legal representative's availability and travel plans before booking the appointment.
• Open the foreign currency account at the same time if you expect capital contributions, to avoid a second onboarding round.
• Ask about digital banking setup, token devices and transaction limits, since these affect day-to-day operations.

A final word

Corporate banking in China is workable and, for most foreign founders, straightforward once the documentation is in order. The process rewards preparation and patience more than clever workarounds. Treat the bank as a partner in your compliance obligations rather than an obstacle, and keep your records consistent across the business licence, the articles, the seals and the signatories.

This article is general information only and does not constitute legal, tax or financial advice. Requirements change, and local practice varies. Confirm your specific situation with your bank, your corporate services provider and qualified professional advisers in China.