Set value thresholds
Routine documents, customer contracts, borrowing, guarantees, related-party payments and asset transfers should not all use the same approval level.
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Company seals · Tax · Banking · Operating controls
The business licence creates the legal entity. Its company chops, tax and invoicing setup, bank account, licences and internal controls determine whether it can operate safely.
Authority vault
01 / Know what each seal does
A Chinese company chop is not decoration. It connects a document or transaction to the company, but the effect still depends on the type of chop, the signer's authority, the document and the surrounding facts. Use the correct seal and preserve the approval evidence behind it.
| Chop | Typical use | Control priority |
|---|---|---|
| Official company chop 公章 | The broad corporate seal used on contracts, government filings, certificates and other documents issued in the company's name. | Highest. Keep with a named custodian, require documented approval and retain a copy of every stamped document. |
| Finance chop 财务专用章 | Banking, treasury and financial documents, often used together with the legal-representative chop under bank mandates. | Keep separate from online-banking maker and checker devices. A stamp must not be the only payment control. |
| Legal-representative chop 法定代表人名章 | A personal-name seal used where the registered legal representative's confirmation is required. | Treat as a controlled credential of the company process, not as an ordinary personal stamp. |
| Invoice chop 发票专用章 | Used in invoicing workflows where the applicable invoice format requires it. | Finance or tax team. Fully digital invoices may use electronic signature or platform validation instead of displaying a physical invoice chop. |
| Contract or customs chop | Optional specialist seals for contracts, customs declarations or another defined workflow. | Issue only where needed. Define scope in writing so staff and counterparties do not assume broader authority. |
A regulated electronic seal contains identity and certificate data and produces a reliable electronic signature. A scanned red circle has no equivalent security: it does not prove who applied it or whether the file was changed afterwards.
02 / Carving and public-security filing
The revised national rules for seal-carving businesses require the engraver to verify the supporting material and report the company, applicant, impression and supporting records to the county-level public-security authority after carving. Local “one-stop business opening” systems may transmit the initial order directly from the company-registration application.
Read the revised national seal-carving rules →Use the new business licence and the local identity and authorisation documents. Confirm who selected the engraver and exactly which chops were ordered.
Do not order a look-alike stamp from an online seller or unlicensed shop. The engraver should use the public-security seal system and submit the impression and required records.
Check the Chinese legal name and any Unified Social Credit Code, compare the impression to the company details and record who collected each item.
Keep the order, filing or registration record, impression card where issued, handover receipt and an inventory of physical and electronic seals. Banks and authorities may need this later.
03 / Internal authority
The most dangerous arrangement is not a missing policy. It is one employee or external accountant holding every way to bind and pay from the company. A four-column register creates a basic audit trail from the first transaction.
| Asset or action | Custody | Approval | Evidence retained |
|---|---|---|---|
| Official chop | Named internal custodian or controlled professional custodian | Director or authorised manager based on document type and value | Numbered request, approval, usage log and final stamped copy |
| Finance and legal-representative chops | Different custodian from payment initiation where practical | Finance lead plus authorised signatory under bank mandate | Payment support, approval and bank record |
| Online banking | Separate maker and checker devices or credentials | Threshold matrix and dual approval | Bank statement, payment pack and approver identity |
| Invoices and tax platform | Finance or tax team with named accounts | Contract, delivery and tax check | Invoice register, source documents and access log |
| Electronic seal and signing certificate | Credential vault with access restricted to a named role | Same substantive approval as the equivalent physical chop | Certificate, signature-validation data, final file and audit log |
Routine documents, customer contracts, borrowing, guarantees, related-party payments and asset transfers should not all use the same approval level.
Never stamp a blank sheet, incomplete contract or signature page detached from the final document. Match the version approved to the version sealed.
A register that nobody reviews is storage, not control. Reconcile it periodically to contracts, bank movements, invoices and government submissions.
04 / Lost, stolen or withheld chops
Local replacement requirements differ, but the control objective is consistent: stop reliance on the old chop, create evidence of loss or unauthorised retention, obtain corporate authority for replacement, follow the local invalidation and re-carving process, and warn institutions or counterparties exposed to misuse.
Change bank and platform credentials, recover the licence and remaining chops, preserve logs and identify documents recently sealed.
Document the loss, theft or refusal to return, the authority approving replacement and the people authorised to act.
Follow the local public notice, police report, old-chop cancellation and licensed re-carving requirements. Do not assume another city's checklist applies.
Banks, tax advisers, key customers, suppliers and platforms may need written notice and an updated specimen.
Confirm the shareholder or board resolutions and amendment registration first. Replacement is possible in many locations without voluntary handover, but authorities and engravers may require resolutions, public loss notices, shareholder confirmations, identity evidence or a police record. If disputed documents may already exist, obtain legal advice on injunctions, notices and evidence preservation rather than relying only on a new seal.
05 / First operating month
This is a practical sequencing plan, not a claim that every item has one national 30-day statutory deadline. Timing depends on the tax profile, bank, staff, activity and city. Start before the first contract or payment creates an obligation.
Check the licence and electronic licence; collect formation records; order and record required chops; assign custodians.
Access the electronic tax bureau, confirm tax types, accounting system and responsible staff, and appoint the bookkeeping team.
Set digital-invoice access and approvals; prepare employment, social insurance and housing-fund registration where staff will be hired.
Complete corporate account KYC, report the bank account for tax, arrange capital and FX processes, and obtain operating permits.
The Unified Social Credit Code lets registration data flow to the tax authority. New-taxpayer packages typically combine information confirmation, accounting-system filing, tax-type review, bank-account reporting, tax-payment agreement and invoice access. Do not rely on an old checklist that treats tax registration as a separate paper certificate.
A general business licence does not authorise food, medical-device, education, travel, telecoms or other regulated operations. Obtain the sector permit before conducting the licensed activity, and align the permit holder, premises and business scope.
06 / Digital seals and recurring compliance
The national Electronic Seal Management Measures issued in 2025 state that a compliant electronic seal has the same legal effect as a physical seal, and an electronically sealed file has the same effect as its paper equivalent unless law or regulation excludes electronic use.
Read the Electronic Seal Management Measures →Post-registration FAQs
The questions founders ask after the licence arrives but before the company signs, invoices, hires or pays.
A company chop or seal is a controlled authority tool that connects a document or transaction to the Chinese company. Different chops serve different functions, and legal effect depends on the seal, the document, the user's authority and the surrounding facts. It should never be treated as office stationery.
A standard operating set often includes the official company chop, finance chop and legal-representative chop. An invoice chop may be used for applicable invoicing workflows. Contract, customs and other specialist chops are added only where the company actually needs them.
Company seals should be made by a qualified engraver through the local public-security seal system. Under the revised national seal-carving rules, the engraver verifies the supporting material and reports the company, applicant, impression and supporting records after carving. Keep the local filing or registration evidence with the company records.
No single formality answers every case. A contract may be concluded through an authorised signature, a company chop, a reliable electronic signature or other evidence of agreement, subject to the transaction and any special legal requirements. For risk control, verify the Chinese legal entity, the person's authority and the seal, and retain the complete final agreement.
That creates a serious control risk. Separate custody from approval and execution: for example, the person holding the finance chop should not also be the only online-banking maker and checker. Use named custodians, approval thresholds, dual control and a numbered usage log.
No. Do not stamp blank paper, an incomplete contract or a detached signature page. The custodian should compare the final approved document, apply the correct chop, record the use and retain a copy of exactly what was sealed.
Secure the remaining chops, licence, bank devices and platform credentials; document the incident and recent usage; obtain corporate authority for replacement; and follow the local invalidation, public-notice, police-report and licensed re-carving process. Requirements differ by city and by whether the chop was lost, stolen or damaged.
Preserve evidence of the refusal, confirm the resolutions and registration changes, secure all other credentials and obtain local advice on invalidation and replacement. Many locations allow replacement through documented corporate authority, public notice and licensed re-carving, but an active dispute may also require notices, court relief and evidence preservation.
Yes, when it complies with the applicable electronic-seal and reliable-electronic-signature rules. The 2025 national Electronic Seal Management Measures state that a compliant electronic seal has the same legal effect as a physical seal, except where law or regulation excludes electronic use. A pasted scan of a red chop is not the same thing.
Not necessarily. China's electronic-invoice systems can use electronic signatures and platform verification instead of displaying a physical invoice chop. The finance team should follow the format and validation rules for the invoice being issued rather than copying a red seal image onto the file.
Inventory the formation records and seals; confirm electronic tax-bureau access, tax types, accounting and invoice setup; open the corporate bank account and report it for tax where required; arrange payroll, social insurance and housing fund if hiring; and obtain customs, foreign-exchange and sector permits needed by the activity.
Tax filing can begin before the company earns revenue, including nil returns where required, so confirm the assigned tax types and first filing period immediately. The enterprise annual report for the previous year is submitted through the national publicity system from 1 January to 30 June, starting in the year after incorporation.
Related China company guides
Use the pillar guide to see how this topic connects to the complete company-registration process.
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Reviewed by Mingcheng Yin, Tax and Compliance Manager Last reviewed