1. Companies not operating after registration are under investigation

Recently, the Exit-Entry Administration Bureau in Shanghai is closely investigating the cases of company registration without actually operating. Generally speaking, it is to get a work visa as an investor of the company or an entrepreneurship visa.

Now, the police will verify the registered address on the business license by visiting in person. If the company is not operating in that address, there will be a risk of cancelation of business license and residence permit.

The above action will be recorded in the Service system for foreigners working in China once discovered, and the record will affect your future applications for Visa to China.

2. How to avoid cancelation of business license 

To avoid this situation, please be sure to update the address in the Service System for Foreigners Working in China to the actual office address in time with the lease contract. So that when you scan the QR code on your work permit card, the address appears will be your actual office address. 

3. Work permit can be extended for 2 years now 

Foreign Professionals (Category B) may be granted a Foreigner’s Work Permit with a maximum validity period of two years based on their contract period and their employer’s license.

For those through a commitment to four times of salary, the valid period of their first work permit shall not exceed one year. Their application for extension shall be granted when their tax payment certificates are verified and approved. Otherwise, their work permits may be canceled, and this will be included in the credit management system.

If they have already twice handled their Foreigner’s Work Permit(one application and one extension) without changing their employers, when they again apply for an extension, i.e., the third time, the valid period of their Foreigner’s Work Permit may be extended to two years based on the contract period.