Published · Makassar

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, documents, bank selection, the role of authorized signatories, common friction points, and ongoing compliance.

Opening a corporate bank account is one of the first operational milestones for any foreign founder setting up in mainland China. It is also one of the most commonly underestimated. Unlike many jurisdictions where a company bank account can be opened online in a day, the Chinese process is document-heavy, bank-dependent and often requires a physical visit. This guide walks through what to expect, how to prepare, and where founders typically get stuck. It is general information only and is not legal, tax or financial advice; always confirm requirements with your bank, your lawyer and your accountant.

Why the bank account matters so early

In China, a company cannot realistically operate without a corporate account. It is needed to receive registered capital (for entities that use a subscribed-capital structure), pay staff, settle supplier invoices, remit taxes, and handle foreign exchange. Many service providers, landlords and platforms will only transact with a business account. For foreign-invested enterprises (FIEs), the bank account is also the channel through which cross-border capital movements are reported, so choosing the right bank and the right account structure early saves significant pain later.

Understand the account types before you apply

Chinese banks distinguish between several account categories, and foreign founders usually need more than one.

• Basic deposit account (基本存款账户): The company's primary account. A company can have only one basic account, and it is where the company's main cash operations, payroll and tax payments are handled. It requires a permit issued by the local branch of the People's Bank of China (PBOC) in practice, although procedures have been streamlined in recent years.
• General deposit account (一般存款账户): Additional accounts for specific purposes, such as loan repayment or project funds. A company can hold several.
• Special deposit account (专用存款账户): Used for ring-fenced funds such as capital contributions, housing provident fund or specific project money.
• Temporary deposit account (临时存款账户): For temporary needs such as a short-term project or an event.

For an FIE, the capital contribution account (a type of special account used for registered capital) and the basic account are the two that matter most at the outset. Ask the bank explicitly which account type you are opening and what it can and cannot do.

Choosing a bank: size, service and language

Foreign founders generally choose between the large state-owned banks (such as Bank of China, ICBC, China Construction Bank and Agricultural Bank of China), joint-stock commercial banks, and the China-based subsidiaries of foreign banks. Each has trade-offs.

• Large state-owned banks have broad branch networks and deep experience with foreign exchange and cross-border remittances. Service can be formal and queues long, but coverage is excellent.
• Joint-stock banks are often more responsive to smaller companies and may offer more flexible digital tools, though their international network is smaller.
• Foreign bank subsidiaries can be a good fit if your group already banks with them internationally, but they may have higher minimum balances or focus on larger clients.

Ask about English-language support, online banking for foreign users, the process for international remittances, and whether the branch has handled FIEs before. A branch that regularly onboards foreign-invested companies will usually be smoother than one that does not.

The documents you will typically need

Requirements vary by bank and city, and have tightened over the years under anti-money-laundering and “know your customer” rules. A typical list includes:

• Business licence (original and copies, often stamped with the company seal)
• Articles of association and, for FIEs, the foreign investment information report or filing receipt
• Legal representative's ID or passport, and the legal representative's presence or a notarised power of attorney if they cannot attend
• Company seals: official seal, financial seal, legal representative seal, and sometimes the invoice seal
• Proof of registered address (lease agreement and property certificate)
• Beneficial ownership information and shareholder documents, sometimes translated and notarised
• Board resolution or shareholder resolution authorising the account opening and appointing signatories
• For capital accounts, the capital contribution plan and foreign exchange registration where applicable

Expect the bank to ask for originals and to keep copies. Translations may need to be done by an approved translator. Do not assume a document accepted by one bank will be accepted by another.

The role of the legal representative and authorised signatories

In practice, the legal representative is central to the account-opening process. Many banks require the legal representative to appear in person at least once, or to provide a notarised and legalised power of attorney if they are abroad. If your legal representative is a foreign national based outside China, plan for this early: the notarisation and consular legalisation (or apostille, where applicable) process can add weeks.

The company should also decide who will be authorised to operate the account. Chinese banks commonly use a system of seals and signatures, and may require the financial seal plus a named signatory. Clarify whether online banking tokens, SMS verification and approval workflows can be configured for multiple users, and whether a foreign passport holder can be set up as an operator.

What the process actually looks like

The sequence usually runs as follows:

• Complete company registration and obtain the business licence.
• Choose a bank branch and request a pre-check of documents, often by phone or email.
• Book an appointment; some banks allow online pre-application but still require an in-person visit.
• Attend with originals and seals, complete forms and sign the account agreement.
• Wait for internal approval and, for the basic account, the PBOC permit process. Timelines vary widely by bank and city.
• Activate online banking, collect tokens and set up users.
• If needed, open the capital contribution account and complete foreign exchange registration with the bank.

Founders should budget for several weeks rather than several days, and should not sign commercial contracts that depend on funds arriving before the account is live.

Common friction points and how to reduce them

• Address verification: Banks may visit or verify the registered address. A virtual office or a shared address can cause problems; confirm with the bank before registering.
• Seal management: Bring all seals, and know which one the bank expects on which form. Losing or mixing up seals delays everything.
• Beneficial ownership: Be ready to explain the ownership chain up to ultimate beneficial owners, with supporting documents.
• Language: Forms are in Chinese. Bring a Chinese-speaking colleague or interpreter, and do not sign documents you cannot read.
• Bank appetite: Some branches are reluctant to onboard small FIEs. Ask peers or your advisor which branches have recent experience.

After the account is open: ongoing compliance

The account is not a one-off task. Expect periodic KYC refreshes, annual reporting obligations, and scrutiny of cross-border payments. Keep invoices, contracts and customs documents for foreign exchange transactions. If your company has foreign shareholders, ensure capital contributions and profit remittances are properly documented. Work with an accountant who understands FIE reporting, and review your banking setup as the business grows; a single account may not suit a company with multiple currencies and payment flows.

Final practical notes

Open the account as early as possible after registration, choose a branch with FIE experience, prepare documents in both Chinese and English where allowed, and keep your legal representative's availability in mind. Requirements differ by city and bank and change over time, so treat this article as a starting checklist rather than a fixed rulebook. Confirm every step with your bank and professional advisers before you commit to timelines or contracts.