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Business / Economy

Business registration to go into effect in October

By WANG ZHUOQIONG (China Daily) Updated: 2015-07-04 11:17

Entrepreneurs who want to start their own businesses are expected to find it easier and quicker to register and obtain approval for them once the country's new registration system takes effect on Oct 1.

The new system, which reduces three business registration certificates into one license, is aimed at making business creation easier, according to a briefing at the State Council Information Office on Friday in Beijing.

The State Council has issued a new circular to speed up the reform nationwide.

Previously, applicants seeking to set up businesses had to apply for an organization code certificate from the Administration of Quality Supervision; an inspection, quarantine and taxation registration certificate from the taxation department; and an operational certificate from the State Administration for Industry and Commerce.

Under the new registration system, applicants are required to fill out one form and submit it to one department. If approved, they will receive an operation license with a single identification code.

The goal of the new registration system is to simplify procedures, shorten application times and offer greater convenience, Liu Yuting, deputy head of the State Administration for Industry and Commerce, said at the briefing.

"According to data from the regions that have tested the new system, the average time necessary to set up a business entity has been reduced from a month to three working days," Liu said.

The measures will also play an important role in encouraging investment and entrepreneurship, and in furthering the government's simplification procedures, Liu said.

With the three certificates combined into one license, business entities will only need the single identification code to be supervised and monitored, which is a step toward a better social credit system, Liu said.

China has said its social credit system, an effort to assess individuals and government agencies, has lagged behind the economy.

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