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Thanks to a new policy issued in Shanghai this February, foreign enterprises in the city looking to expand beyond their current district can now benefit from a streamlined process.

Sample Traders Shanghai Ltd, a foreign-invested company specializing in real estate leasing in Shanghai, was the first foreign enterprise to take advantage of this simplified procedure.

Earlier this year, when the company applied to establish branch offices in Pudong New Area and Changning district, it learned that it did not need to obtain separate business licenses for each location.

Instead, it simply had to file a record of its two new business premises, a process that was completed in a single day, on March 7.

On March 12, the company received an updated business license for its headquarters registered in Xuhui district, with a bracket stating "one license, multiple locations" added to the address. The newly added locations can be easily viewed by scanning a QR code on the license.

This innovative initiative to optimize the business environment is known as the "one license, multiple locations" cross-district filing system.

In the past, businesses were required to register each new operating location separately, tying them closely to their specific addresses.

Since November, however, this requirement has been gradually relaxed following the implementation of the Regulations of Shanghai Municipality on Optimizing the Business Environment.

Initially, the regulations allowed businesses to operate in multiple locations under a single business license, as long as the new location fell under the same registration authority as the headquarters.

In February, this policy was expanded further to enable cross-district filing under different registration authorities.

Under the 10 measures introduced by the Shanghai Municipal Administration for Market Regulation in February, enterprises conducting business activities away from their registered address – as long as they align with their approved business scope and do not involve administrative licensing – now have the flexibility to either apply for a branch business license or file for the "one license, multiple locations" registration.

Source: Shanghai Observer