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

A practical, plain-English guide for foreign founders on opening a corporate bank account in mainland China: account types, KYC documents, the role of the onshore bank account, remote versus in-person opening, timelines, common pitfalls, and how to keep your account healthy after launch. General information only, not legal or tax advice.

For many foreign founders, opening a corporate bank account in mainland China feels like the last mile of company setup — and the one most likely to trip you up. You can have your business licence in hand and still spend weeks gathering documents, answering compliance questions and waiting for a bank's internal review. This guide walks through what the process actually involves, what banks tend to ask for, and where founders commonly lose time. It is general information, not legal or tax advice; your bank, your accountant and a local adviser will have the final word on your specific case.

Why the bank account matters more than you might expect

In China, a company's onshore bank account is not just a place to park cash. It is tied to how the business operates day to day: paying staff salaries and social insurance, settling with local suppliers, paying rent and taxes, and receiving money from Chinese customers. Several routine tasks — signing certain service contracts, invoicing customers, registering with tax and customs systems — assume you have a functioning corporate account. Plan for the bank step early rather than treating it as an afterthought once the licence is issued.

The two accounts you will likely need

The basic deposit account (基本存款账户)

This is the company's primary account and the one most founders mean when they say "the corporate account." It is used for everyday operating expenses and payroll, and a company generally has one basic deposit account. It is opened with the bank where you choose to bank, and it is the account that tax authorities and other systems will typically reference.

The general deposit account (一般存款账户)

Companies can open additional general deposit accounts for specific purposes — for example, a separate account for a particular project or for receiving certain types of funds. These are usually opened after the basic account exists. Many small foreign-invested companies start with just the basic account and add others later if needed.

You may also hear about foreign currency accounts. If your business receives or pays in currencies other than RMB, ask your bank about a foreign currency account alongside your RMB account. Not every branch handles foreign exchange the same way, so confirm capabilities up front.

Who can open the account — and who has to be there

In most cases the account is opened in the company's name, and the bank will want to see the legal representative and/or an authorised signatory. Requirements vary by bank and branch. Some banks expect the legal representative to appear in person at least once; others may accept a properly authorised representative with a power of attorney. Increasingly, banks offer preliminary review by video or through a relationship manager before an in-person visit, but a physical visit to the branch is still common for the account opening itself. Ask your bank specifically what it requires — do not assume a fully remote process is available.

Documents banks typically request

Expect a checklist, and expect it to be checked carefully. Typical items include:

• Business licence (original and copies) and the company chop/seal set.
• Legal representative's ID — passport for a foreign legal representative, plus any residence permit or visa pages the bank asks for.
• Articles of association and incorporation documents, sometimes translated.
• Proof of registered address — lease agreement, property certificate or similar.
• Shareholder information, including ownership structure and, where relevant, ultimate beneficial owner details.
• Authorisation documents if someone other than the legal representative will sign or open the account.
• Business background materials — a short description of what the company does, expected transaction volumes, main counterparties and source of funds.

Banks are subject to anti-money-laundering and know-your-customer rules, so the questions about ownership, business purpose and expected flows are normal. Answer them consistently and in writing where possible; inconsistencies between documents are a common cause of delay.

How long it takes, realistically

Timelines vary widely by city, bank and the complexity of your ownership structure. A straightforward company with clean documents and a cooperative branch may move through review in a few weeks. Structures with offshore holding companies, multiple layers of ownership or unusual business models can take longer, because the bank's compliance team will want more explanation. Build buffer time into your plans for paying rent, hiring and invoicing — do not assume the account will be live the week your licence arrives.

Choosing a bank and a branch

The big state-owned banks, joint-stock banks and some foreign banks all serve foreign-invested companies, but their appetites and processes differ. Practical selection criteria include:

• Whether the branch regularly handles foreign-invested companies and has English-capable staff.
• Online banking usability for someone who may not read Chinese fluently — ask for a demo or screenshots.
• Foreign exchange and cross-border payment capability, if you will move money in and out of China.
• Proximity to your registered address or office, since branch visits may be required.
• Fees and minimum balance requirements, which vary and should be confirmed in writing.

A relationship manager who understands your business can make the process smoother. It is reasonable to speak with two or three banks before committing.

Common pitfalls to avoid

• Mismatched documents. Names, addresses and shareholding details should match across the licence, articles and bank forms.
• Vague business descriptions. "Consulting" with no detail invites more questions. Be specific about services, customers and expected payment flows.
• Assuming remote opening is standard. Confirm in-person requirements before you book travel.
• Ignoring the foreign exchange angle. If you plan cross-border transactions, raise it at opening, not afterwards.
• Letting the account sit idle. Banks monitor activity; dormant accounts can attract review. Keep records of transactions and respond promptly to bank queries.

After the account is open

Opening the account is the start, not the end. Keep your company information with the bank up to date — changes in legal representative, address or ownership usually need to be reported. Maintain clear bookkeeping and retain supporting documents for transactions, since banks may request them during periodic reviews. If you use the account for payroll, make sure the relevant tax and social insurance registrations are in place so payments go through smoothly.

A final note

Banking rules and branch practices in China change, and they can differ from city to city. Treat this article as a starting map, not a set of instructions: confirm requirements directly with your chosen bank and get local professional advice on your structure, tax and foreign exchange position before you commit. Founders who prepare documents thoroughly and communicate clearly with their bank tend to spend less time in the waiting room — and more time building the business.