Opening a corporate bank account is one of the most underestimated steps in setting up a Chengdu company. Foreign founders often assume that once the business licence (营业执照) is issued, the bank account follows within days. In practice, the account opening is a compliance exercise in its own right, and in Chengdu — as across mainland China — banks treat it as part of their anti-money-laundering (AML) and know-your-customer (KYC) obligations rather than as a customer service task. This article explains what Chengdu banks actually ask for, how the process runs, and why applications stall.
First, understand which account you are opening
Chinese companies typically need more than one account, and mixing them up causes delays.
- Basic deposit account (基本存款账户): The primary account. It is the only account from which a company may withdraw cash, and it is normally required before you can pay salaries or set up social insurance contributions. A company can hold only one basic account.
- General deposit account (一般存款账户): For payments, receipts and transfers. You can open several, usually after the basic account exists.
- Foreign currency account: Needed if you expect inbound capital, overseas payments, or foreign-currency revenue. Often opened alongside or shortly after the RMB basic account, and sometimes at the same bank.
- Special-purpose accounts: For example, for capital verification or specific regulated purposes. Less common for a typical software or trading subsidiary.
Most Chengdu branches will insist on opening the basic account first. Plan your cash flow around this sequencing.
Preparation: documents and groundwork
The core document set
Requirements vary by bank and branch, but a Chengdu application for a basic account generally involves:
- Business licence original and copy (with the unified social credit code).
- Official company seal (公章), financial seal (财务章) and the legal representative's personal seal (法人章), where used.
- Articles of association (公司章程), often the version filed with the market regulator.
- Legal representative's ID: passport for a foreign legal representative, plus entry stamps or visa pages.
- If the legal representative cannot attend: a notarised power of attorney and the authorised signatory's ID. Banks differ sharply on whether they accept this for a basic account.
- Registered address proof: lease agreement and, frequently, a property ownership certificate or the landlord's documentation. Some branches also want a utility bill or photos of the premises.
- Beneficial owner information: shareholders holding (directly or indirectly) 25% or more, with passport copies and ownership structure charts for corporate shareholders.
- Business substance documents: contracts, invoices, a business plan, or a description of expected transaction flows, currencies and counterparties.
Practical groundwork before you walk into a branch
- Confirm the branch accepts foreign-invested enterprises. Not every sub-branch handles them; some refer you to a larger branch or a dedicated corporate banking desk.
- Book in advance. Corporate account opening is usually by appointment, and the relationship manager will pre-screen your documents.
- Check the registered address is "real" in the bank's eyes. Chengdu banks increasingly verify premises, sometimes through an on-site visit or a video call showing signage and the office interior.
- Prepare a plain-language explanation of your business model. For a gaming studio, software firm, or cross-border e-commerce operation, expect questions on revenue sources, platform settlements, and where customers and suppliers are located.
Legal representative attendance and identity checks
Chinese banks are required to verify the identity of the legal representative and the authorised signatory. In Chengdu, most branches expect the legal representative to attend in person for a basic account opening, at least for the identity verification and signing. If your legal representative is a foreign founder based abroad, this is a common bottleneck: a short trip to Chengdu is often the simplest solution.
Where attendance is impossible, some banks accept a notarised and, where required, legalised or apostilled power of attorney authorising a local representative. Acceptance is discretionary and branch-specific — confirm in writing before relying on it. Note also that the authorised signatory must usually be present for the account mandate and online banking setup, and may need to be a China-based employee rather than an overseas director.
Expect the bank to take photographs, verify passports against entry records, and ask the legal representative to sign a declaration about the company's ownership and expected transactions.
Due diligence: what the bank is really assessing
The account opening is a risk assessment. Chengdu branches, like their peers nationwide, focus on:
- Beneficial ownership: Who ultimately controls the company, and whether that person or entity appears on sanctions or PEP lists.
- Business substance: Does the company have real operations, staff, premises and contracts? A shell company with no local activity will struggle.
- Transaction profile: Expected volumes, currencies, counterparty countries and payment purposes. Vague answers ("we'll see") are a red flag.
- Source of funds: For registered capital and initial deposits, be ready to explain where the money came from.
- Sanctions and high-risk jurisdictions: Transactions connected to sanctioned countries or entities will trigger extra scrutiny or refusal.
Prepare a one-page business summary, a simple ownership chart, and a list of expected counterparties. This materially speeds up the conversation.
Foreign exchange: plan the plumbing early
If your Chengdu company will receive foreign capital or pay overseas suppliers, the foreign currency account and the associated foreign exchange (forex) registration matter. Key points:
- Capital account vs current account: Inbound equity investment goes through the capital account and requires foreign investment registration (often handled with the market regulator and the forex authority). Trade payments for goods and services go through the current account and are generally more straightforward, provided you have contracts, invoices and, where relevant, customs documentation.
- Convertibility: RMB is not freely convertible for capital transactions. Expect to document the purpose of conversions and outbound remittances.
- Bank choice: Some Chengdu banks have stronger forex desks and clearer processes for foreign-invested companies. Ask specifically about their experience with inbound capital and outbound service payments.
- Online banking limits: Forex transactions often require separate approval within the bank, and limits may be set conservatively at first.
Align your bank choice with your payment flows. A bank that is convenient for local RMB payroll may be weaker for cross-border settlements.
Common reasons applications stall in Chengdu
- Address problems: The registered address is a virtual office, shared desk, or an address the bank cannot verify. Many Chengdu branches reject or delay such applications. Use a real office or a compliant registered address provider the bank recognises.
- Legal representative unavailable: The founder is overseas, and the branch will not accept a power of attorney for the basic account.
- Thin business substance: No local staff, no contracts, no website, no clear revenue model. Prepare evidence of real activity.
- Unclear ownership: Corporate shareholders in multiple jurisdictions without a clean ownership chart, or missing documents for ultimate beneficial owners.
- Incomplete seal set: Missing company, finance or legal representative seals, or seals that do not match the filed records.
- Name or document mismatches: Passport names, company names in translation, and filed documents that do not line up exactly.
- Vague transaction profile: The bank cannot reconcile expected flows with the stated business, so it escalates internally.
- Sanctions or high-risk connections: Shareholders, directors or counterparties linked to restricted jurisdictions.
- Branch inexperience: A sub-branch unfamiliar with foreign-invested entities may sit on the file. Escalate or switch to a branch with a corporate desk.
Practical sequence for founders
- Secure a verifiable registered address before applying.
- Confirm the branch handles foreign-invested companies and book an appointment.
- Assemble the full document set, including beneficial ownership charts and substance documents.
- Arrange for the legal representative to attend, or obtain written confirmation that a notarised power of attorney is accepted.
- Prepare a clear business and transaction summary for the relationship manager.
- Open the basic RMB account, then the foreign currency and general accounts as needed.
- Follow up on online banking activation and forex permissions, which are often separate internal approvals.
Disclaimer: This article provides general information only and does not constitute legal, tax, accounting or financial advice. Banking requirements in China change and vary by bank and branch. Consult a qualified professional and confirm requirements directly with your chosen Chengdu bank before acting.