What Are the Different Types of Small Business Opportunities?

Small and micro enterprises are collectively referred to as small enterprises, micro enterprises, and home-style enterprises. In 2015, China implemented a policy of levying income points for small and micro enterprises and individual industrial and commercial households, as well as a half-tax reduction policy on income tax for small and small-profit enterprises.

Small and micro enterprises

Small and micro enterprises are collectively referred to as small enterprises, micro enterprises, and home-style enterprises. In 2015, China implemented a policy of levying income points for small and micro enterprises and individual industrial and commercial households, as well as a half-tax reduction policy on income tax for small and small-profit enterprises.

On March 15, 2019, Premier Li Keqiang of the State Council stated at the Second Session of the Thirteenth National People's Congress of the Great Hall of the People that the financing cost of small and micro enterprises will be reduced by another percentage point on the basis of last year ^[1]

1. These Regulations are formulated in accordance with the Law of the People's Republic of China on the Promotion of SMEs and the State Council's Several Opinions on Further Promoting the Development of SMEs (Guo Fa [2009] No. 36). ^[2]

(1) Agriculture, forestry, animal husbandry and fishery

Small and medium-sized enterprises are the ones with operating income below 200 million yuan. Among them, those with operating income of 5 million yuan and above are medium-sized enterprises, those with operating income of 500,000 yuan and above are small enterprises, and those with operating income below 500,000 yuan are micro-enterprises.

(Two) industry

Small and medium-sized enterprises are those with less than 1,000 employees or operating income of less than 400 million yuan. Among them, those with 300 or more employees and operating income of 20 million yuan or more are medium-sized enterprises; those with 20 or more employees and operating income of 3 million yuan or more are small enterprises; those with 20 or less employees or operating income Those under 3 million yuan are micro-enterprises.

(3) Construction industry

Small and medium-sized enterprises are those with operating income below 80 million yuan or total assets below 80 million yuan. Among them, those with operating income of 60 million yuan and above, with total assets of 50 million yuan and above are medium-sized enterprises; those with operating income of 3 million yuan and above, and total assets of 3 million yuan and above are small enterprises; operating income below 3 million Or if the total assets are less than 3 million yuan, they are micro enterprises.

(4) Wholesale Business

Small and medium-sized enterprises are those with less than 200 employees or operating income of less than 400 million yuan. Among them, those with 20 or more employees and operating income of 50 million yuan or more are medium-sized enterprises; those with 5 or more employees and operating income of 10 million yuan or more are small enterprises; 5 or less employees or operating income Those under 10 million yuan are micro-enterprises.

(V) Retail

Small and medium-sized enterprises are those with less than 300 employees or operating income of less than 200 million yuan. Among them, those with 50 employees or more and operating income of 5 million yuan or more are medium-sized enterprises; those with 10 or more employees and operating income of 1 million yuan or more are small enterprises; those with less than 10 employees or operating income Micro enterprises are under 1 million yuan.

(6) Transportation

Small and medium-sized enterprises are those with less than 1,000 employees or operating income of less than 300 million yuan. Among them, those with 300 or more employees and operating income of 30 million yuan or more are medium-sized enterprises; those with 20 or more employees and operating income of 2 million yuan or more are small enterprises; those with 20 or less employees or operating income Micro enterprises are under 2 million yuan.

(7) Warehousing Industry

Small and medium-sized enterprises are those with less than 200 employees or operating income of less than 300 million yuan. Among them, those with 100 or more employees and operating income of 10 million yuan or more are medium-sized enterprises; those with 20 or more employees and operating income of 1 million yuan or more are small enterprises; those with 20 or less employees or operating income Micro enterprises are under 1 million yuan.

(8) Postal Industry

Small and medium-sized enterprises are those with less than 1,000 employees or operating income of less than 300 million yuan. Among them, those with 300 or more employees and operating income of 20 million yuan or more are medium-sized enterprises; those with 20 or more employees and operating income of 1 million yuan or more are small enterprises; those with 20 or less employees or operating income Micro enterprises are under 1 million yuan.

(9) Accommodation industry

Small and medium-sized enterprises are those with less than 300 employees or operating income of less than 100 million yuan. Among them, those with 100 employees or more and operating income of 20 million yuan or more are medium-sized enterprises; those with 10 or more employees and operating income of 1 million yuan or more are small enterprises; those with less than 10 employees or operating income Micro enterprises are under 1 million yuan.

(10) Catering industry

Small and medium-sized enterprises are those with less than 300 employees or operating income of less than 100 million yuan. Among them, those with 100 employees or more and operating income of 20 million yuan or more are medium-sized enterprises; those with 10 or more employees and operating income of 1 million yuan or more are small enterprises; those with less than 10 employees or operating income Micro enterprises are under 1 million yuan.

(11) Information Transmission Industry

Small and medium-sized enterprises are those with less than 2,000 employees or operating income of less than 100 million yuan. Among them, those with 100 employees or more and operating income of 10 million yuan or more are medium-sized enterprises; those with 10 or more employees and operating income of 1 million yuan or more are small enterprises; those with less than 10 employees or operating income Micro enterprises are under 1 million yuan.

(12) Software and Information Technology Services

Small and medium-sized enterprises are those with less than 300 employees or operating income of less than 100 million yuan. Among them, those with 100 or more employees and operating income of 10 million yuan or more are medium-sized enterprises; those with 10 or more employees and operating income of 500,000 yuan or more are small enterprises; those with less than 10 employees or operating income Those under 500,000 yuan are micro-enterprises.

(13) Real estate development and operation

Small and medium-sized enterprises are those with an operating income of less than 200 million yuan or a total asset of less than 100 million yuan. Among them, those with operating income of 10 million yuan and above and total assets of 50 million yuan and above are medium-sized enterprises; those with operating income of 1 million yuan and above and total assets of 20 million yuan and above are small enterprises; operating income of below 1 million Or if the total assets are less than 20 million yuan, they are micro enterprises.

(14) Property Management

Small and medium-sized enterprises are those with less than 1,000 employees or operating income of less than 50 million yuan. Among them, those with 300 or more employees and operating income of 10 million yuan or more are medium-sized enterprises; those with 100 or more employees and operating income of 5 million yuan or more are small enterprises; those with less than 100 employees or operating income Those under 5 million yuan are micro-enterprises.

(15) Leasing and Business Services

Small and medium-sized enterprises are those with less than 300 employees or total assets of less than 1.2 billion yuan. Among them, those with 100 or more employees and total assets of 80 million yuan and above are medium-sized enterprises; those with 10 or more employees and total assets of 1 million and above are small enterprises; 10 or less employees or total assets Micro enterprises are under 1 million yuan.

(16) Other unspecified industries

Small and medium-sized enterprises are those with less than 300 employees. Among them, those with 100 employees or more are medium-sized enterprises; those with 10 or more employees are small enterprises; those with 10 or less employees are micro-enterprises. ^[2]

In order to reduce the burden on small and micro enterprises and promote the healthy development of small and micro enterprises, in November 2011, the Ministry of Finance and the National Development and Reform Commission issued a notice, deciding to exempt small and micro enterprises from January 1, 2012 to December 31, 2014. Administrative and administrative fees, registration fees, and license fees include 22 types of fees, including enterprise registration fees, tax invoice costs, customs supervision fees, goods origin certification fees, and agricultural machinery supervision fees.

The notice pointed out that all relevant departments should urge relevant charging units in this system to strengthen the registration and filing management of small and micro enterprises enjoying preferential policies to ensure that eligible small and micro enterprises enjoy preferential policies for charging. Provinces, autonomous regions, and municipalities directly under the central government's finance and price departments should use a variety of news media to announce to society the various administrative and industrial fees exempted from small and micro enterprises, so that small and micro enterprises can fully understand and enjoy preferential policies for fees. At the same time, supervision and inspection shall be strengthened, and departments and units that fail to implement the policy of exempting administrative fees from administrative charges shall be punished in accordance with regulations and administrative responsibility of those responsible shall be investigated.

Approved by the State Council on April 9, 2014, the Ministry of Finance and the State Administration of Taxation issued today

The central budget will arrange 15 billion yuan, divided into five years; the fund is mainly used to guide local, venture capital institutions and other social funds to support small and micro enterprises in the initial stage.

A few days ago, the reporter learned from the relevant departments of the Ministry of Finance that the overall framework of the national SME development fund that has received much attention has been designed, and relevant departments are formulating implementation measures, which are expected to be launched before the end of the year.

"The policy orientation of the National Small and Medium Fund is mainly for emerging industries and ethnic characteristic industries (ethnic characteristic handicrafts, jewelry and jade, traditional Chinese medicine, and characteristic culture)."

With the introduction of a series of preferential policies for small and micro enterprises by the country and the imminent implementation of accounting standards for small enterprises from January 2013, the development of small and micro enterprises has attracted widespread attention from the government and society. At present, the scale of China's small and micro enterprises has reached nearly 50 million, which has solved a large number of employed people and nearly two-thirds of the income tax for the country, and has played an increasingly important role in supporting the national economy. However, due to the influence of funds, technology, and talents, the modernized management level of small and micro enterprises is generally low, and the enterprise informatization rate is less than 3%. They still face irregular management, difficult financing, low efficiency, and weak competitiveness. Problems have seriously restricted the development and growth of small and micro enterprises.

In 2015, 96% of the newly registered enterprises in China belonged to small and micro enterprises. Statistics in the fourth quarter of 2015 showed that the annual opening rate of newly established small and micro enterprises reached 70.1% last year, that is, 70% of the newly established small and micro enterprises started operations in the fourth quarter of 2014 one year later. At the same time, 78.7% of these already operating companies have revenues, accounting for 0.5 and 4.1 percentage points higher than the second and third quarters, respectively.

Analyze the reasons why nearly 30% of enterprises have only obtained a license and have not opened a business. First, the enterprise has obtained a business license, but there are still some items that require administrative approval. The enterprise may not meet the threshold or the administrative approval procedures are slow and unable to open. Second, the economic situation is complex and changeable, and some enterprises have encountered some new difficulties, such as problems in recruitment and financing, so they have not opened. Third, there are indeed some cases of blind registration. ^[8]

The rapid development of information technology has changed China's traditional economic structure and social order. Enterprises are no longer in the past material economic environment, but instead take the network as the medium and the customer as the center. The company's organizational structure, technology research and development, manufacturing,

Since the reform and opening up, the rapid development of the private economy of small and micro enterprises in China has become an important part of the socialist market economy and an important force to promote the development of social productive forces. Small and micro-private enterprises have seen a trend of accelerated expansion and gradual improvement in quality. Small and micro-enterprises have continued to grow larger and stronger. Undoubtedly, in the process of continuous development of small and micro private enterprises, there are also many problems. The difficulty of financing is one of the outstanding problems.

How to help companies solve the difficult problem of financing? ^[11]

On September 17, 2014, Premier Li Keqiang of the State Council presided over an executive meeting of the State Council, deployed to further support the development of small and micro enterprises, promoted mass innovation, and decided to comprehensively establish a temporary assistance system to help the needy.

The meeting pointed out that small and micro enterprises are a vital force for development, a main channel for employment, and an important source of innovation. After the promotion of simplified administration and decentralization, especially after the implementation of reforms such as the commercial system, the number of new enterprises has increased significantly. Increasing support for small and micro enterprises, and individual industrial and commercial households, especially newcomers who have "snapped in the ground" during the reform, and let them fight and grow in fair competition, which can form a demonstration effect, promote mass entrepreneurship and innovation, and increase social vitality and Develop endogenous power to promote stable economic growth and improvement of people's livelihood. The meeting determined that while continuing to implement the existing support policies for small and micro enterprises, the following new policies will be focused on: First, to further simplify administration and delegate power. Accelerate the clearance of unnecessary licenses, certifications and qualifications, and reduce the threshold and obstacles for small and micro enterprises. The second is to increase tax support. On the basis of the current exemption of VAT and business tax on small and micro enterprises, individual industrial and commercial households and other individuals with monthly sales not exceeding 20,000 yuan, from October 1, 2014 to the end of 2015, monthly sales will be 2 30,000 yuan is also included in the scope of temporary tax exemption. Duties are exempted for small and micro enterprises that engage in state-encouraged projects and import advanced equipment that is for personal use and cannot be produced domestically. The third is to increase financing support. Adopt measures such as business subsidies and incremental business incentives to guide guarantee, financial and foreign trade integrated services institutions to provide financing services for small and micro enterprises. Encourage banking financial institutions to separate small and micro enterprise credit plans, and encourage large banks to set up specialized institutions that serve small and micro enterprises. Promote private capital to initiate the establishment of small and medium-sized banks and other financial institutions in accordance with the law to achieve substantial progress. Fourth, increase financial support. Social insurance subsidies will be given to small and micro enterprises that employ people with employment difficulties. The government provides services such as skills training and market development for small and micro enterprises for free by purchasing services. University graduates find employment in small and micro enterprises, and the municipal and county public employment personnel service agencies keep the files free of charge. Fifth, increase the special funds for small and medium-sized enterprises to support small and micro-enterprise entrepreneurial bases, and encourage local small and medium-sized enterprises to support funds to include small and micro-enterprises in the support scope. Sixth, we will increase the construction of information systems serving small and micro enterprises, make it easier for enterprises to obtain policy information, and use technologies such as big data and cloud computing to provide more effective services. The meeting requested that all localities and departments should ensure that policies are implemented as soon as possible and further measures are proposed in a timely manner to help small and micro enterprises win the "big future." ^[13]

2018 year

State Council Executive Meeting on March 28

1. Determine measures to deepen VAT reform to support the development of the real economy such as manufacturing, small and micro enterprises

2. Decided to establish a national financing guarantee fund to promote alleviation of financing difficulties such as small and micro enterprises and agriculture, rural areas and farmers

State Council Executive Meeting on April 25

1. Decided to launch another 7 tax reduction measures to support entrepreneurial innovation and the development of small and micro enterprises

2. Deploy supervision and assessment of inclusive financial services for banks to enable inclusive finance to help small and micro enterprises develop and overcome poverty.

State Council executive meeting on June 20

Deployment further alleviates financing difficulties for small and micro enterprises

State Council Executive Meeting on July 23

Deploy better use of fiscal and financial policies, and implement policies such as supporting small re-loans, small and micro-enterprises, and individual industrial and commercial households' loan exemption from value-added tax.

State Council Executive Meeting on August 16

Deploy a smooth financial service transmission mechanism for the real economy and adopt methods such as establishing a loan risk compensation mechanism to alleviate the difficulty of financing for small and micro enterprises and private enterprises, and take multiple measures to reduce corporate costs.

State Council Executive Meeting on August 22

Deployment to further promote the ease of financing for small and micro enterprises

State Council Executive Meeting on August 30

In order to encourage the increase of loans for small and micro enterprises, it is decided to increase the upper limit of the credit limit for single-family credit exemption for interest income on loans to eligible small and micro enterprises and individual industrial and commercial households from September 1, 2018 to the end of 2020.

State Council executive meeting on September 18

Determine to further reduce the cost of import and export enterprises, encourage financial institutions to increase export credit insurance policy financing and pledge financing of export tax rebate accounts, and increase credit to foreign trade enterprises, especially small and medium-sized enterprises

From September 27th to 28th, Premier Li Keqiang visited Zhejiang and hosted a business seminar

The Prime Minister pointed out at the corporate forum that it is necessary to adhere to the "two unwavering", support the development of enterprises of all types of ownership, and give special preference to small and micro enterprises.

State Council Executive Meeting on October 8

Determine measures to improve export tax rebate policies to speed up the progress of tax rebates, maintain a stable growth in foreign trade for enterprises to reduce their burdens, and encourage comprehensive foreign trade service companies to provide tax rebate services for SMEs

State Council Executive Meeting on October 22

Decided to establish a private enterprise bond financing support tool, increase refinancing and rediscount support for small and medium financial institutions with market demand, and improve the ability and level of financial services for small and micro enterprises and private enterprises

On November 8, Premier Li Keqiang hosted a forum on economic situation experts and entrepreneurs

The Prime Minister pointed out that the various tax and fee reduction measures have been fully implemented, and efforts have been made to solve the problem of difficult financing and expensive financing.

State Council Executive Meeting on November 9

1. Require more financial support to ease the financing of private enterprises, especially small and micro enterprises.

2. Deploy the government financing guarantee effectively to support the development of small and micro enterprises and agriculture, rural areas and farmers

November 29-30, Premier Li Keqiang inspects Jiangsu

When he came to the Bank of Jiangsu Nantong Chongchuan Sub-branch to inspect the situation of small and micro enterprises in financial services, the Prime Minister pointed out that to implement the various policies to support the development of small and micro enterprises in private enterprises, to help small and micro enterprises today

State Council Executive Meeting on December 24

Deployment increases support for the private economy and SMEs

2019

On January 4th, Premier Li Keqiang visited Bank of China, Industrial and Commercial Bank of China, China Construction Bank and hosted a forum at the China Banking and Insurance Regulatory Commission

1. The Prime Minister successively went to the Bank of China Business Office and the Inclusive Finance Division of ICBC and CCB to understand the scale, cost and convenience of small and micro enterprise loans

2. At the symposium, it was pointed out that inclusive tax reductions and structural tax reductions should be implemented, and policy tools such as comprehensive reductions, targeted reductions, reloans, and rediscounts should be used in a timely manner to increase the real economy, especially the Micro Enterprise Support

State Council executive meeting on January 9

Decided to launch another batch of inclusive tax reduction measures for small and micro enterprises. The adjusted preferential policy will cover more than 95% of taxpaying enterprises, of which 98% are private enterprises.

State Council Executive Meeting on January 30

Hearing the report on the work of clearing the arrears of SMEs in arrears to private enterprises, requiring the efforts to clear the arrears and improve the long-term mechanism ^[19]