New Regulation for Company Chops in Shenzhen

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SHENZHEN, Mar. 11 – For companies in Shenzhen that are looking to change or report the loss of their company chop, legal representatives are now required to appear and file the application in person.

In the past, this could be done through power of attorney. Prior to notifying authorities about the loss of the documents and the company chop, the company’s legal representative should come to China.

The procedure for company chops has not changed in Beijing where the representative office is only required to report the lost with local Public Securities Bureau (PSB) and make a public announcement with municipal newspapers. Afterwards, the company must find an agent to make a new set of chops with the legal representative not required to go to the PSB.

The procedure is similar in Shanghai wherein the company will need to make an announcement in the newspaper and then pass the application to the police station. The required documents for process include:  original copy of newspaper announcement, original business license and the power of attorney chop.

What is called a company chop in China or the company seal or stamp in the West is a requirement to set-up business in the country. A signature alone is not valid and a document is only legally binding if it shows the company chop.

The chop will often be a piece of solid plastic with the company’s  name carved Chinese characters. A wholly foreign owned enterprise will need three basic chops; company, legal representative and financial. To apply for the chops one will need the following: a) submit a business license from the SAIC, b) register with the local PSB and c) PSB approval to receive chops from an appointed chop company.

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