Set up and run your company in mainland China

01 · ChinaMNC

Why mainland China for Greek companies

Greek companies often approach China first as a sourcing market, then discover that selling there or managing suppliers directly requires a local presence. A mainland entity lets you contract with Chinese customers and partners in your own name, invoice in renminbi, hire staff and hold the licences needed for regulated activities.

For sectors where Greece has recognised strengths, such as shipping services, food and beverage, olive oil and specialty foods, industrial equipment, architecture and design, a local company can support distribution, quality control and after-sales work that is hard to run from Athens or Thessaloniki. Consumer-facing brands also benefit from being able to register trademarks and manage e-commerce and retail relationships locally.

• Market access: a local entity can trade, invoice and employ inside China.
• Control: direct oversight of suppliers, quality and logistics.
• Relationships: Chinese partners generally prefer a registered counterparty.
• Long horizon: suitable if China is a strategic market, not a one-off shipment.

The trade-off is real: compliance, accounting and staffing obligations apply from day one, so the decision should follow a clear commercial plan rather than curiosity alone.

02 · ChinaMNC

WFOE, joint venture or representative office

The three structures most Greek companies consider differ mainly in what they are allowed to do and how much control they give up.

Wholly foreign-owned enterprise (WFOE) is the default for companies that want to trade, manufacture or provide services independently. It is fully owned by the foreign investor, can generate revenue and hire staff, and requires registered capital, a registered address and a defined business scope. Most service, trading and consulting activities are open, though some sectors remain on the negative list and need extra approval.

Joint venture (JV) pairs you with a Chinese partner, usually for sectors with ownership restrictions, local licensing requirements or strong distribution needs. A JV can open doors quickly, but governance, profit sharing and exit terms must be negotiated carefully in the shareholders' agreement and articles.

Representative office (RO) is a liaison office. It cannot earn revenue directly and is limited to market research, coordination and contact work. It is lighter to run, but it is not a vehicle for invoicing customers or employing staff for productive work in most cases.

• Choose a WFOE if you want full control and revenue-generating activity.
• Consider a JV where local licensing or partners are essential.
• Use an RO only for liaison and research, not for sales.

03 · ChinaMNC

The five-step registration process

Registration in mainland China follows a fairly standard sequence, though timing and extra permits vary by city and business activity. Treat the steps below as the backbone of the project plan.

• 1. Feasibility and structure. Confirm the activity, check whether it is restricted, decide between WFOE, JV and RO, and agree registered capital and shareholder structure.
• 2. Name approval and documents. Reserve a Chinese company name with the market regulator and prepare notarised and legalised corporate documents from Greece, with Chinese translations where required.
• 3. Business licence. Submit the application to the local SAMR office to obtain the business licence, which is the company's legal birth certificate.
• 4. Post-licence registrations. Arrange company seals, the bank account, tax registration, foreign exchange registration and, where relevant, customs and sector-specific permits.
• 5. Operational readiness. Set up accounting, payroll, invoicing systems, work permits for foreign staff and the lease or serviced office that supports your registered address.

Each step depends on the previous one, and document problems in step two are the most common cause of delay. Building in buffer time is more realistic than assuming a fixed schedule.

04 · ChinaMNC

Documents Greek companies need to prepare

Chinese authorities require foreign corporate documents to be notarised in Greece and then legalised for use in China. Since Greece and China are both part of the Hague Apostille Convention, an apostille is generally the route used instead of consular legalisation, but the accepting office in China should confirm the format it expects.

• Certificate of incorporation and good standing of the Greek parent company.
• Articles of association and, where relevant, board resolutions approving the China investment.
• Passport copies of directors, legal representative and shareholders.
• Proof of the registered address in China, such as a lease or serviced office agreement.
• Bank reference or proof of funds for registered capital, if requested.
• Chinese translations of foreign-language documents, prepared by a recognised translation provider.

Names and addresses must match exactly across documents; small inconsistencies are a frequent source of rejection. Keep original signed copies and plan for the time needed to obtain apostilles and translations before submission. For regulated activities, additional licences may require sector-specific evidence of experience or qualifications.

05 · ChinaMNC

Registered address, business scope and capital

The registered address is the company's official location and must be a real, documented premises in the city of registration, usually evidenced by a lease. Many early-stage foreign companies use serviced offices or incubators that are approved to host registered addresses; confirm this in writing before signing.

The business scope defines the activities the company may legally carry out. It is written in standard Chinese categories, so it pays to match your intended revenue streams precisely, including planned e-commerce, consulting or import-export activity, rather than relying on a generic description. Amending the scope later is possible but adds administrative work.

Registered capital is the amount shareholders commit to contribute. China generally allows subscribed capital with contribution deadlines, but the figure still signals credibility to banks, landlords and partners, and some sectors or cities set minimums. Choose an amount you can realistically fund and document, and keep the capital account and payment records consistent with the filings.

• Verify the landlord can support company registration.
• Draft the business scope around actual planned revenue.
• Set registered capital you can fund and explain.

06 · ChinaMNC

Banking, tax and visas in practice

Opening a corporate bank account in China usually requires the business licence, company seals, the legal representative's identification and supporting documents, and banks apply their own onboarding checks. Some banks expect the legal representative to attend in person, so plan a trip rather than assuming remote opening. Once the account is active, foreign exchange registration allows capital and trade payments to move through the proper channels.

On tax, a China-resident company is generally subject to corporate income tax and VAT, with invoicing through the official system, monthly or quarterly filings and annual reporting. Rates and incentives depend on activity, location and status, so confirm the treatment that applies to you with a qualified local accountant rather than relying on general figures.

For staff, foreign employees need a work permit and a residence permit, typically supported by a degree, relevant experience and a clean criminal record check. Greek citizens should also check current visa and entry requirements with the Chinese embassy before travel. Payroll, social insurance and individual income tax obligations begin as soon as you hire.

• Expect in-person bank onboarding.
• Set up invoicing and accounting before first revenue.
• Start work permit applications early.

07 · ChinaMNC

Common mistakes to avoid

Most problems Greek companies encounter in China are predictable and avoidable with preparation.

• Choosing the structure too quickly. An RO or a JV chosen for convenience can block the sales model you actually need.
• Underestimating documentation. Apostilles, translations and exact name matching take time and cause most early delays.
• Ignoring the business scope. A vague scope can prevent you from invoicing for planned activities.
• Assuming remote banking. Bank onboarding often needs the legal representative present in China.
• No local accounting from day one. Filing deadlines and invoicing rules apply even in a quiet first year.
• Treating China as one market. City-level rules, landlords and incentives differ, so the registration city matters.
• Weak partner agreements. In JVs, governance, deadlock and exit terms deserve as much attention as commercial terms.

A realistic budget, a clear commercial plan and local professional support reduce the risk of costly restructuring later.