How to check a Chinese company's business license?

By Yaurapulse

If you are about to send money to a Chinese supplier you have never met, you need to read this first.

A business license is the most basic proof that a Chinese company legally exists. It tells you the company's registered name, legal representative, address, business scope, and establishment date. But most buyers never actually check it. They see a PDF copy sent over chat, assume it is real, and wire their deposit.

That is a mistake. A business license copy can be Photoshopped. A company name can be real but inactive. A business scope can say "trading" when the supplier claims to be a factory. And the entity on the license may not even be the same entity that receives your payment.

In this guide, you will learn how to verify a Chinese company's business license step by step, what each field on the license actually means, and what a business license can and cannot tell you.

Table of Contents

• What a Chinese Business License Actually Shows
• Step 1: Get the License and Find the Unified Social Credit Code
• Step 2: Search China's National Enterprise Credit Information Publicity System (GSXT)
• Step 3: Compare Every Field Carefully
• What the Business Scope Tells You (and What It Does Not)
• Why Registered Capital Is a Weak Signal
• Step 4: Map Every Company in the Transaction
• Step 5: Cross-Check with Import Records
• Step 6: Verify Product Certificates Separately
• What a Business License Cannot Prove
• FAQ: Common Buyer Questions
• Final Checklist: Your Business License Verification Plan

What a Chinese Business License Actually Shows

A Chinese business license is issued by the local Administration for Market Regulation. It contains several key fields:

• Company name (Chinese and English): The full legal name of the registered entity
• Unified Social Credit Code: An 18-character unique identifier assigned to every registered business in China
• Legal representative: The person legally responsible for the company
• Registered address: The official address on file with the government
• Establishment date: When the company was originally registered
• Business scope: The list of activities the company is legally permitted to conduct
• Registered capital: The stated capital amount

These fields are the starting point for verification. But they are only the starting point. A business license tells you a company exists. It does not tell you whether that company is reliable, capable, or honest.

Step 1: Get the License and Find the Unified Social Credit Code

Ask the supplier for a clear copy of their Chinese business license. Do not accept a PDF sent over chat as self-authenticating. Anyone can edit a PDF.

The most important field on the license is the Unified Social Credit Code, an 18-character alphanumeric string. This code is the company's national ID number. You will use it to search government databases.

Also record the exact Chinese company name. Not the English name on their Alibaba profile. The Chinese name on the license. These two names do not always match, and the Chinese name is what the government database uses.

Step 2: Search China's National Enterprise Credit Information Publicity System (GSXT)

China maintains a public database called the National Enterprise Credit Information Publicity System, commonly known as GSXT. You can search it online by entering the Chinese company name or the 18-character Unified Social Credit Code.

This is the official government source. If the company is registered, active, and legitimate, it will appear here. If it does not appear, or if the registration status shows "revoked" or "deregistered," you have a problem.

The GSXT database is free to use. The interface is in Chinese, but you can use browser translation tools to navigate it.

Step 3: Compare Every Field Carefully

Once you find the company in GSXT, compare every field against the license copy the supplier gave you:

• Exact Chinese company name: Does it match the license? Does it match the Alibaba profile?
• Unified Social Credit Code: Does it match the 18-character code on the license?
• Registration status: Is the company currently active? Or is it revoked, suspended, or deregistered?
• Legal representative: Does the name match?
• Registered address: Does it match the address on the license and the Alibaba profile?
• Establishment date: How long has the company been operating? Prefer 5+ years.

If any field does not match, ask the supplier to explain. There can be legitimate reasons for discrepancies (a recent address change, a company restructuring), but you need to understand why.

What the Business Scope Tells You (and What It Does Not)

The business scope field is one of the most useful fields on the license, but it is also one of the most misunderstood.

If the business scope includes manufacturing or processing language, that supports the supplier's claim to be a factory. If the scope only includes trading language, the company is registered as a trading company.

But here is the catch. Manufacturing language in the business scope does not prove that the company currently operates machinery or will make your order at that address. A company registered for manufacturing may subcontract all production. A legitimate factory may use an affiliated export company registered only for trading.

Business scope tells you what the company is legally permitted to do. It does not tell you what the company actually does.

Why Registered Capital Is a Weak Signal

Many buyers see a high registered capital number (say, 10 million RMB) and assume the company is large and well-funded. That is a dangerous assumption.

Registered capital is not the same as paid-in cash, equipment value, revenue, or current capacity. In China's registered capital system, the stated amount can include pledged or unpaid contributions. A company can register 10 million RMB in capital and have a fraction of that in actual assets.

Use registered capital as a very rough reference point, not as a measure of the company's real financial strength. A factory with 2 million RMB registered capital may have 20 million RMB worth of equipment on the floor. A trading company with 10 million RMB registered capital may have a rented office and two employees.

Step 4: Map Every Company in the Transaction

This is where most buyers get lost. In international trade, the company on the business license may not be the only entity involved in your transaction.

Write down the name attached to each role:

The names do not always have to be identical. Group companies, Hong Kong sales entities, and licensed exporters are common and legitimate. But they need a coherent explanation supported by documents.

If the factory and seller are different, ask: Who owns or controls each entity? Why is that structure being used? Which company is responsible for quality and delivery? Which jurisdiction applies to the contract?

Pause immediately if the payee changes shortly before payment, the supplier requests an unrelated personal account, or no one can explain the relationship between the contracted seller, payment beneficiary, and factory.

Step 5: Cross-Check with Import Records

Shipment databases such as ImportYeti can show patterns in U.S. ocean-freight records. Search the legal English name, name variations, former names, related exporters, and address.

ImportYeti organizes over 70 million records from U.S. Customs and Border Protection. Entering a company name gives you shipment dates, quantities, suppliers, and destination information. If your supplier claims to export to major U.S. brands, you can verify whether those shipments actually exist.

But here is what import records cannot do. Do not treat a missing record as proof that the company has never exported. Public datasets do not cover every shipping mode or market. A record may name an exporter, freight forwarder, consolidator, or 3PL instead of the actual factory. Shipment history can support the supplier's story, but it rarely proves who manufactured the product.

Use import records as supporting evidence, not as conclusive proof.

Step 6: Verify Product Certificates Separately

A business license tells you about the company. It tells you nothing about the product. If the supplier claims CE, FCC, or other certifications, verify those documents independently.

Before relying on any certificate, check:

• Document or report number
• Issuing organization and its official verification channel
• Applicant and manufacturer names
• Factory address, if stated
• Product name and exact model
• Tested standard and edition
• Issue date and validity
• Whether the tested configuration matches the product you will buy

For FCC-related equipment, verify a claimed FCC ID through the FCC's official equipment-authorization resources. For CE-marked products, ask for the relevant EU Declaration of Conformity and supporting technical documents for the exact model.

If the document names a different applicant, manufacturer, model, or factory, do not immediately label it fake. Ask for the legal and production relationship, then confirm whether the document actually covers your configuration.

What a Business License Cannot Prove

This is the most important section in this article. A business license, even a verified one, cannot tell you:

• Whether the company currently operates the machinery it claims to have
• Whether your order will be produced in-house or subcontracted
• Whether the quality will meet your specifications
• Whether the supplier will deliver on time
• Whether the sample you approved will match the bulk order
• Whether the company is financially stable

A business license is a necessary starting point. It is not a finish line.

For orders over $10,000, combine the license check with an on-site factory audit. The audit checklist should verify the business license against the real address, check the number of staff, review production equipment and capacity, and examine the quality assurance system.

For orders under $10,000, at minimum do a video call walkthrough. Ask the supplier to show the building entrance, company name, production area, machinery, and sample room. Ask them to show an order-specific item that would be difficult to fake with recycled footage.

FAQ: Common Buyer Questions

Can I verify a Chinese business license without reading Chinese?

Yes. Use the 18-character Unified Social Credit Code to search GSXT. The code is alphanumeric and does not require Chinese to enter. Use browser translation tools to read the results. Alternatively, hire a sourcing agent or inspection company to verify the license for you.

What if the supplier refuses to provide their business license?

That is a red flag. A legitimate company has no reason to hide its business license. It is a public document in China. If the supplier refuses or delays, move on to another supplier.

What if the business license shows a different company name than the Alibaba profile?

This happens frequently. The Alibaba storefront may be operated by a trading company, while the factory is a separate legal entity. This is not necessarily a problem, but you need to understand the relationship. Ask who owns each entity and which company is responsible for production and quality.

Is a business license check enough before placing an order?

No. A business license check is the first step in a multi-step verification process. For small orders, combine it with a video call and sample evaluation. For large orders, add an on-site factory audit, certificate verification, and pre-shipment inspection.

Final Checklist: Your Business License Verification Plan

1. Request the license. Ask for a clear copy of the Chinese business license. Do not accept a chat PDF as self-authenticating.
2. Find the Unified Social Credit Code. Record the 18-character code and the exact Chinese company name.
3. Search GSXT. Look up the company in China's National Enterprise Credit Information Publicity System.
4. Compare every field. Match the company name, code, registration status, legal representative, address, and establishment date.
5. Check the business scope. Look for manufacturing language. Remember that scope does not prove current operations.
6. Ignore registered capital. Treat it as a rough reference, not a measure of financial strength.
7. Map the transaction. Write down every company in each role: storefront, license, contract, payment, production, export.
8. Cross-check import records. Use ImportYeti or similar databases as supporting evidence.
9. Verify product certificates. Check report numbers, issuers, product models, and validity independently.
10. Combine with deeper verification. For large orders, add a factory audit. For small orders, add a video call and sample test.

Checking a business license takes 10 minutes. It will not tell you everything. But it will expose contradictions before you spend money, and that alone can save you from a costly mistake. Verify first, pay second. Always.