Private Affairs Residence Permit (Entrepreneurship)

China's Private Affairs Residence Permit (Entrepreneurship) allows foreign nationals to reside in China while establishing innovative businesses or engaging in entrepreneurial activities. Issued under the Exit and Entry Administration Law of the PRC and the Regulations on Administration of the Entry and Exit of Foreigners (State Council Order No. 637), the permit carries an endorsement of "entrepreneurship" within the private affairs residence permit framework. First piloted in Shanghai in 2018 (Changning and Yangpu districts), it has since become a standing national-level pathway available in Beijing, Shenzhen, and other major cities. It uniquely permits holders to conduct pre-company-registration activities — market research, staff recruitment, and office space procurement — before a business is formally established.

Eligible applicant categories:

1. Recent graduates from internationally renowned universities — foreign nationals who graduated within the past 2 years, intending to start a business in China
2. Foreign investors and entrepreneurs — foreign nationals planning to invest in or establish innovative enterprises in China
3. Outstanding graduates from key Chinese universities — within 2 years of graduation, engaged in innovation and entrepreneurship
4. Innovation and entrepreneurship team members — foreign members of teams operating in key national development fields
5. Foreign nationals of Chinese origin — engaged in entrepreneurial activity in key development fields (Beijing)

General requirements:

• Valid passport and entry visa (S1 or other)
• Business plan or innovation/entrepreneurship certificates from competent authorities
• Medical examination certificate (valid within 6 months, required for ages 18–70)
• Accommodation registration
• Category-specific financial or qualification documents

• Valid passport
• Completed visa/residence permit application form with 2-inch colour photo
• Temporary accommodation registration form
• Medical examination certificate
• For investor/entrepreneur category: business plan, domestic bank deposit certificate (CNY 50,000+ in Beijing), investment certificates, and intellectual property or patent certificates if available
• For graduate categories: university graduation certificate, innovation/entrepreneurship certificate from a recognized incubator, science park, or maker space
• For team members: endorsement letter from relevant authorities or science park administration

Permit validity varies by applicant category:

• Up to 2 years for recent graduates from internationally renowned universities (applying within 2 years of graduation)
• 2–5 years for graduates of key Chinese universities engaged in entrepreneurship
• Up to 5 years for innovation/entrepreneurship team members
• 1 year (extendable, max 1 year per extension) for startup-phase work permits in incubators

Extension applications must be submitted before expiry. For startup-phase permits, the incubator or park must conduct an entrepreneurial assessment and submit the extension request at least 30 days before expiration. Processing takes 7 working days in Shanghai and Beijing.

Residence permit fees: CNY 400 (up to 1 year), CNY 800 (1–3 years), CNY 1,000 (3–5 years). Entry visa fees vary by nationality.

Spouses, parents, children under 18, and parents-in-law of the main applicant may apply for private affairs residence permits under family reunion provisions. Dependants must provide proof of kinship (marriage or birth certificates), the main applicant's residence permit, and standard application materials. The validity of dependants' permits cannot exceed that of the main applicant.

Individuals present in China for 183 days or more in a tax year are considered tax residents and are subject to individual income tax on worldwide income under the Individual Income Tax Law of the PRC. China has double taxation treaties with many countries that may reduce liability.

1. Obtain an S1 visa or other valid entry document at a Chinese embassy or consulate abroad.
2. Within 30 days of entering China, apply for the residence permit at the local public security bureau exit-entry administration office in your intended place of residence.
3. Submit all required documents. The decision is issued within 7 working days in Shanghai and Beijing.
4. Within 24 hours of arriving at your accommodation, register with the local police station (hotels register guests automatically).

For those already in China on a valid visa or permit, a change of status may be possible upon approval by the exit-entry administration. Under the National Immigration Administration's nationwide "one-stop acceptance, parallel approval" mechanism, a foreign work permit and the work-category residence permit can be processed together, and applicants for residence permits on investment or entrepreneurship grounds are now exempt from surrendering their passport during processing.

Application locations: Shanghai: 28 Minsheng Road, Pudong, and district branch offices. Beijing: 17 district-level service centres.

Note on overstays: under Article 78 of the Exit and Entry Administration Law, foreigners residing in China illegally (including overstaying a permit) are first given a warning; in serious cases they may be fined CNY 500 per day up to a maximum of CNY 10,000, or detained for 5 to 15 days, and may face entry bans.

The permit allows pre-registration entrepreneurial activities in designated science and technology parks, incubators, and maker spaces. In Shanghai, eligible districts include Changning and Yangpu. Beijing requires recommendation letters from the Zhongguancun Science Park Administrative Commission or municipal/district commerce bureaus for the foreign talent category.

The permit does not authorize employment with a Chinese employer — establishing a Wholly Foreign-Owned Enterprise (WFOE) and then applying for a work permit is a separate process. Startup-phase work permits for incubator-based entrepreneurs are limited to teams of up to 5 people, and non-Chinese documents must include certified Chinese translations sealed by the incubator or park.

Prospective applicants should also be aware of China's K Visa (effective 1 October 2025, State Council Order No. 814), a national pathway for young STEM talent that permits entrepreneurship and business activities without requiring a domestic employer or inviting entity — complementing, but not replacing, this entrepreneurship residence permit.

Holders who meet investment and operational criteria over time may eventually apply for permanent residence under the Chinese Green Card program.