If you're doing business in Greater China, you've likely heard of a "company chop." But what exactly is it, and how important is it for your business?

This guide explains what a company chop is, when it's used, and its role in Hong Kong and mainland China.

A company chop is essentially a rubber stamp that serves as a business’s official signature. In Hong Kong, company chops typically feature the company name in English and/or Chinese and are stamped using blue or red ink.

While not mandatory, some chops may also include the business registration number. The most common shape is round, but some companies use rectangular ones, often referred to as "signing chops." These rectangular versions usually include text such as:

• "For and on behalf of"

• "Authorised Signature"

• A space for a physical signature

The term “chop” dates back to 17th-century colonial India and is still used in various common law jurisdictions like Singapore and Australia.

A company chop is used to validate official documents, much like a signature. 

In Hong Kong, it is not legally required in most cases, but it can still be useful for making documents appear more official. Common uses include:

• Signing contracts and agreements

• Authenticating invoices and receipts

• Stamping internal company documents

However, in certain situations - such as opening a business bank account or applying for an employment visa - a company chop may be required.

For official transactions, the rectangular signing chop is typically used alongside a signature to clearly indicate that the signatory is acting on behalf of the company, reducing the risk of personal liability.

A common seal, or company seal, is a metal stamp engraved with the company’s name. It is used for certifying official documents such as:

• Share certificates

• Deeds and legal contracts

Since 2014, using a common seal is no longer mandatory in Hong Kong, but some companies still choose to use one for added legitimacy. If you decide to use a common seal, it must comply with Section 127(2) of the Companies Ordinance and align with your company’s Articles of Association.

For businesses that opt not to use a common seal, documents executed as deeds must follow the rules outlined in Section 127(3) of the Companies Ordinance.

In Hong Kong, a company chop is not legally required for most transactions. Your signature is usually enough.

However, having a chop can be beneficial, particularly when dealing with businesses in mainland China.

Unlike Hong Kong, company chops in China carry significant legal weight and are registered with government authorities.

If you operate in China or deal with Chinese companies, having a company chop can help you avoid unnecessary complications when validating documents and contracts.

In mainland China, businesses often use multiple types of chops, each serving a distinct purpose. Below are some of the most common:

• Required for all important company documents

• Has the broadest legal authority

• Used for banking and financial transactions

• Required for opening a bank account and processing tax documents

• Must be registered with the Public Security Bureau (PSB)

• Commonly used for employment contracts and business agreements

• Not legally required but can replace the company chop in contracts

• Mandatory for issuing official invoices (fapiao)

• Essential for businesses that need to declare expenses

• Required for businesses engaged in import/export activities

• Used to validate customs declarations

• A digital version of the traditional chop

• Used for online contracts, financial transactions, and other digital processes

• Subject to evolving regulations, so businesses must stay updated on compliance requirements

Getting a company chop is straightforward. Many providers offer custom chops that can be designed to include your preferred details. The process usually takes just a few days.

As part of our company incorporation services, you can easily add a company chop to your setup package when using our app to generate a custom quote.

Obtaining a company chop in China is more regulated. The chop must be officially registered with the Public Security Bureau (PSB) to be legally valid. 

It’s advisable to work with a corporate service provider to ensure you meet all legal requirements.

At Blynq, we make setting up your business in Hong Kong simple. 

We also assist with:

✅ Company registration in Hong Kong

✅ Business compliance and documentation

✅ Guidance on using company chops for transactions and contracts

Whether you're launching a new company or expanding your operations, Blynq provides expert support at every step.