Hainan may fit when
- You need a mainland entity for contracts, fapiao, staff or RMB collections.
- China sales, sourcing or trading will be managed through the Hainan company.
- You can support genuine operations, records and decision-making in Hainan.
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Malaysia → Hainan · China company setup
Set Up a Hainan Company from Malaysia
A Malaysian founder or company can establish a foreign-invested limited company in Hainan, subject to the activity and foreign-investment rules. Decide the shareholder, documents and operating model before planning banking or cross-border trade.
For individual founders and Malaysian Sdn. Bhd. shareholders · One-hour time difference
Shareholder
You or your companyCompare control, funding and documents.
Preparation
Begin from MalaysiaConfirm bank attendance before travelling.
Budget
Formation + annual costsRegistered capital is separate.
Ready to operate
More than a licencePlan banking, tax and permissions.
01 / Start with the business
Is Hainan the right China base?
Hainan can work as the mainland operating company for China sales, sourcing and cross-border services. Choose it because the customers, team and transaction flow fit—not because a tax or customs benefit is assumed.
Compare Hainan and the Greater Bay Area →Check the plan first when
- Most staff, suppliers and customers will be concentrated in another Chinese city.
- The plan depends on an automatic 15% income-tax rate or zero-tariff treatment.
- The company needs manufacturing premises or a licence tied to another location.
02 / Choose your shareholder
Invest personally or through a Malaysian company?
The better route depends on funding, governance, future investors and the document chain. A wholly foreign-owned structure is commonly called a WFOE, while the entity is registered as a foreign-invested limited liability company.
| Decision | Individual shareholder | Malaysian Sdn. Bhd. shareholder |
|---|---|---|
| Typical fit | A founder building a standalone China business. | An established business creating a China subsidiary. |
| Investor evidence | Passport or accepted identity document and the required verification route. | Current SSM company profile and constitutional documents, board approval, authorised signatory details, directors, shareholders and ultimate beneficial owners. |
| Control & funding | Direct personal ownership and contribution obligations. | Group ownership, corporate approvals and documented funding. |
| Review before choosing | Nationality, future partners, succession and personal tax position. | Ownership chain, governance, funding and cross-border tax treatment. |
03 / Build the full budget
What should you budget for?
Include formation work, document costs, premises and permissions, then the first year of accounting and compliance. We quote after checking the activity and shareholder route.
| Cost component | What to budget for | What changes the cost |
|---|---|---|
| Formation support | Ownership and scope review, filing preparation, registration coordination and agreed post-licence tasks. | The activity, shareholder route and included deliverables. |
| Documents & third parties | Notarisation or legalisation where required, translation, courier, seals and bank charges. | The investor type, document route and receiving authority. |
| Premises & permissions | Registered address, operating premises and any customs, product or industry permissions. | The real location, activity, goods and licence conditions. |
| Annual running costs | Bookkeeping, tax filings, annual reporting, address renewal, payroll and audit work where applicable. | Transactions, staffing and the agreed compliance scope. |
Registered capital is company funding, not a service fee. For a new limited company, the general contribution deadline is five years from establishment, subject to special rules. Set a realistic amount and schedule.
04 / Plan the sequence
How does the setup work?
Treat the licence, bank account, tax setup and permissions as separate milestones.
Will you need to travel?
Planning and document work can begin overseas. Electronic verification may be available in some cases, but a bank can request attendance, video verification or a premises check.
- 01
Confirm the setup route
You: Describe the activity, customers, team, shareholder, funding and goods flow.
Our team: We screen ownership, business scope, location and licence dependencies.
Outcome: a workable structure before documents are ordered.
- 02
Prepare the overseas documents
You: Provide current identity or corporate records and approve the Chinese filing documents.
Our team: We confirm signing, translation and the accepted authentication route.
Outcome: a filing-ready document pack.
- 03
Register the Hainan company
You: Confirm the scope, registered-capital schedule and company appointments.
Our team: We coordinate the registration filing and respond to authority queries.
Outcome: the business licence and company records.
- 04
Set up banking and tax
You: Provide beneficial-owner, source-of-funds and business evidence; attend verification if required.
Our team: We coordinate seals, tax, invoicing and bank-application preparation.
Bank KYC and premises checks have separate timelines.
- 05
Prepare to trade
You: Keep contracts, invoices and operational evidence and report material changes.
Our team: We coordinate agreed customs, licence, bookkeeping and recurring compliance work.
Outcome: an operating plan beyond incorporation.
05 / Prepare the right documents
What should you prepare in Malaysia?
We confirm the filing pack and authentication route before anything is notarised, legalised or translated.
Individual investor
Identity & company plan
- Passport or other accepted identity document.
- Nationality, address and contact details.
- Shareholding and registered-capital schedule.
- Company appointments, activities, staff and Hainan address.
Corporate shareholder
Company & ownership chain
Current SSM company profile and constitutional documents, board approval, authorised signatory details, directors, shareholders and ultimate beneficial owners.
Current document route
Confirm before you certify.
Malaysia is not currently a party to the Apostille Convention. Malaysian documents used in China may require notarisation, Malaysian Ministry of Foreign Affairs attestation, Chinese consular legalisation and Chinese translation. Confirm the exact chain before signing or paying for certification.
A simplified registration route does not remove the bank’s separate KYC checks.
06 / Connect registration to operations
Build the Malaysia–China trade flow around the entity.
Company registration is only the first layer. A trading model also needs the right contracting party, invoicing chain, customs registrations and evidence for each movement of goods.
China sales & sourcing
Decide whether the Hainan company buys from Chinese suppliers, sells to Chinese customers, imports Malaysian goods or combines these activities. The registered scope must follow the real flow.
Read the related guide →Export VAT treatment
An export rebate is not created by incorporation. Product classification, exporter status, supplier fapiao, payment and customs documents must align.
Read the related guide →Location decision
Compare Hainan with the Greater Bay Area when supplier density, warehousing, manufacturing support or proximity to a mainland team matters more than an FTP policy.
Read the related guide →07 / Plan beyond incorporation
Tax, banking and cross-border payments.
Only when the company qualifies
The preferential corporate income-tax rate requires qualifying encouraged-industry activity and substantive operations in Hainan. Registration alone is not enough.
Bank readiness
Plan KYC early.
Expect questions about ownership, source of funds, customers, suppliers, transactions and actual premises. The bank decides the verification and approval requirements.
Bank-account guide →Profit distributions
Build the evidence from day one.
Dividends require distributable profits, corporate approval, tax procedures and bank review. Treaty treatment is not automatic and should be checked for the shareholder.
Profit-repatriation guide →Can a Malaysian own 100% of a Hainan company?
Often, yes. A Malaysian individual or company may own all the shares when the proposed activity permits full foreign ownership. Restricted or licensed activities need a separate review.
Should I invest personally or through a Malaysian Sdn. Bhd.?
Personal ownership may involve a shorter corporate-document chain. A Sdn. Bhd. shareholder may better fit an established group, formal funding and future expansion. Compare governance, tax and document requirements first.
Do Malaysian company documents use an Apostille?
Not currently. Malaysia is not a party to the Apostille Convention. Depending on the document and receiving authority, notarisation, Malaysian foreign-affairs attestation, Chinese consular legalisation and translation may be required.
Can I register without travelling to China?
The review and much of the document and registration work can begin from Malaysia. Identity verification and bank KYC are separate; a bank may request an in-person meeting, video verification or premises visit.
How long does the setup take?
Plan separate periods for Malaysian document preparation, company registration, tax and bank setup, and any customs or industry permissions. We provide a planning range after reviewing the activity and shareholder.
Can the Hainan company issue fapiao and receive RMB?
Once properly registered and its tax and banking setup is complete, the company can transact within its approved scope, receive RMB and issue the applicable invoices.
Can the company import from or export to Malaysia?
Potentially, but company registration alone is not enough. Customs and foreign-trade registrations, product approvals and consistent contracts, invoices, payment and shipping records may be required.
Does every Hainan company receive the 15% corporate income-tax rate?
No. The company must meet the encouraged-industry and substantive-operation conditions in force. A Hainan address or business licence by itself does not qualify.
How can profits be sent back to Malaysia?
Normally through a documented dividend or another lawful cross-border payment after accounting, tax and corporate requirements are met. The bank reviews the documents; assess the Malaysian tax position separately.
What should I send for an initial assessment?
Send a short business description, the proposed individual or Sdn. Bhd. shareholder, expected China customers or suppliers, whether goods cross the border, and your target date. Do not send passport scans initially.
Your next step
Get a practical Malaysia–Hainan setup plan.
Tell us the activity, shareholder, customers, staff, goods flow and target date.
- Recommended shareholder and registration route.
- Initial document and permission list.
- Planning timeline and itemised quotation.
Tell us about your planned Hainan company.
A short business description is enough. Please do not send a passport initially.
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Practical reading
Applying for a China work visa from Malaysia?
If you hold a foreign passport and are applying while in Malaysia, check your Malaysian stay status and employer documents separately from the company-registration pack.
Applying for a China Z Visa from Malaysia as a Foreign Resident
For foreign passport holders applying from Malaysia: check local stay status and documents from each issuing country.
Official references
Policy sources & review date.
Reviewed on . Official texts govern; document, bank, product and filing requirements should be reconfirmed before action.
Malaysian document attestation ↗
Ministry of Foreign Affairs Malaysia · attestation of official and commercial documents.
Chinese consular legalisation in Malaysia ↗
Embassy of China in Malaysia · current legalisation procedure.
Apostille Convention status ↗
HCCH official status table; Malaysia is not listed as a contracting party.
Hainan foreign investment negative list ↗
NDRC / MOFCOM · Hainan FTP list; read with later national and sector measures.
National foreign investment negative list ↗
NDRC / MOFCOM · 2024 edition, effective 1 November 2024.
Company Law: registered capital ↗
NPC · revised Company Law, effective 1 July 2024; Article 47 covers contributions for new limited companies.
Hainan corporate income-tax policy ↗
MOF / STA · eligibility rules, read with the official extension through 2027.
Corporate income-tax extension ↗
MOF / STA · Cai Shui [2025] No. 3, extending the policy through 31 December 2027.
Substantive-operation rules ↗
Hainan authorities · 2025 criteria for substantive operations through 31 December 2027.