SAIC Publishes Catalogue of Registration Matters Subject to Ex-ante Approval
Recently, the State Administration for Industry and Commerce ("SAIC") has promulgated the Circular on Strictly Implementing the Reform of ‘Business License Prior To Operating Permit’ and Strict Limitation of Business Registration Matters Subject to Ex-ante Approval (the "Circular"). As an important measure of the Reform, SAIC has made and published the catalogue of business registration matters subject to ex-ante approval (the "Catalogue").
When making company registration, change, and closing recordation at AIC, only those items that falls in the Catalogue are required to be approved beforehand by authorities concerned, which involve mainly the business of finance, post, publishing, explosion, security and some other special sector, as well as the approval of MOFCOM (foreign investment approval authority) in relation to foreign-invested companies.
The business items not listed in the Catalogue, including those that are subject to ex-ante approvals before the Circular, such as restaurant, food production and distribution, medical devices, training etc., are not required to get relevant permit before AIC registration, instead, they are reformed to ‘Business License Prior To Operating Permit’. Their business licenses will bear remarks of “the items that are subject to approval according to law can be carried out only after such approval is obtained”, and after a company obtains the necessary permit, it shall publish the permit by itself via the Enterprise Information Publication Database so that it is subject to the law-enforcement authorities and the public.