What are the policies for migrant workers to return home to start a business?

China has a large group of migrant workers, and more and more migrant workers returning home are trying to put their entrepreneurial dreams into reality. At the same time, employment is the foundation of people's livelihood. Vigorously promoting entrepreneurship to promote employment, focusing on resolving the contradiction between labor supply and demand and the structural contradiction of employment is an important way to maintain social harmony and stability. Let's take a look at the policies of migrant workers returning home to start a business.

The government supports migrant workers to return home to start their own businesses.

The executive meeting of the State Council pointed out that supporting migrant workers, college students, and retired soldiers to return home to start their own businesses, so that vast villages and towns can prosper through mass entrepreneurship and innovation, can promote employment and increase income, and open up a new situation of coordinated development of industrialization and agricultural modernization, urbanization and new rural construction. The meeting decided that, first, it is necessary to simplify the registration procedures of entrepreneurial places and promote reforms such as "multiple photos of one address" and cluster registration. The second is to implement targeted tax cuts and universal fee reduction measures for migrant workers and other personnel to return to their hometown to start businesses, and discount interest should be given to the finance of business guarantee loans in accordance with the regulations. The third is to explore the issuance of collective bonds of small and medium-sized enterprises in areas where entrepreneurship is more concentrated, and encourage banks to increase credit support and services. Fourth, relying on the existing development zones and agricultural industrial parks to develop returning entrepreneurial parks and incubation bases. Encourage the sinking of e-commerce trading platform channels to promote online entrepreneurship. Fifth, strengthen entrepreneurial training, integrate returning entrepreneurial migrant workers into the social security, housing, education, medical and other public service systems, and use government purchase services and other mechanisms to help returning entrepreneurs improve their business and open up the market.

Preferential policies for migrant workers to return to their hometown to start a business

Migrant workers can equally enjoy all the preferential policies of attracting investment issued by the national and provincial governments at all levels when they return home to start a business. For enterprises founded by migrant workers returning home, whose main business is the industrial projects specified in the catalogue of encouraged Industries in the Western region, and whose main business income accounts for more than 70% of the total enterprise income in that year, the enterprise income tax shall be levied at a reduced rate of 15%, and those identified as high-tech enterprises shall be levied at a reduced rate of 15% in accordance with the relevant provisions.

Guarantee loan for migrant workers to return to their hometown to start a business

Entrepreneurial guarantee loan is a special loan issued to meet the needs of entrepreneurship. At present, the objects of policy support include urban registered unemployed persons who meet the prescribed conditions, persons with employment difficulties (generally refers to older age, disability, enjoy minimum living security, continuous unemployment for more than one year, and people who are difficult to achieve employment due to the loss of land and other reasons) And the labor-intensive small enterprises with more than 30% of the existing employees (more than 15% of the enterprises with more than 100 employees) newly recruited in that year who meet the requirements for applying for entrepreneurial guarantee loans and who have signed labor contracts for more than one year. Loan individual entrepreneurship projects must be low-profit projects, specifically referring to projects other than high-profit industries such as advertising, sauna, massage, Internet cafes and oxygen bars, as well as industries not encouraged by industrial policies of other countries.

Application procedures for start-up guarantee loans

Qualified loan applicants may apply to the local village (community) and submit the relevant application materials, which shall be submitted to the local township government (subdistrict office) for examination and approval. After examination, the township government (subdistrict office) recommends it to the human resources and social security departments at the county level for examination, and the human resources and social security departments to guarantee institutions and financial institutions after examination. The guarantee institution shall undertake to provide guarantee after examination and approval, and each financial institution shall go through the loan formalities after examination and approval in accordance with its own investigation, review, examination and approval requirements and procedures, and the financial department shall discount interest in accordance with the relevant provisions.

Expansion: the policy of migrant workers returning to their hometown to start a business

In June 2015, the General Office of the State Council issued the "opinions on supporting migrant Workers and other personnel to return home to start businesses" to promote migrant workers and other personnel to return home to start businesses.

The "opinion" points out that supporting migrant workers, college students, retired soldiers, and other personnel to return to their hometowns to start businesses, and to prosper vast villages and towns through mass entrepreneurship and innovation can promote employment and increase income. we will open up a new situation of coordinated development of a new type of industrialization and agricultural modernization, urbanization and new rural construction. It is necessary to strengthen overall planning, improve systems and mechanisms, integrate entrepreneurial resources, improve support policies, optimize the entrepreneurial environment, comprehensively stimulate the enthusiasm of migrant workers and other personnel to return home to start businesses, and comprehensively integrate into the upsurge of mass entrepreneurship and innovation, speed up the cultivation of new driving forces for economic and social development, and give birth to new momentum for the improvement of people's livelihood, economic restructuring, and social harmony and stability.

The "opinion" points out that we should adhere to the combination of universal and supportive policies, invigorate the stock and create increments at the same time, adhere to the coordination of government guidance and market leadership, and adhere to the linkage of the development of input and output. By promoting industrial transfer, promoting the upgrading of export industries, encouraging the grafting of export resources into the input market, guiding the integrated development of primary, secondary and tertiary industries, supporting the development of new agricultural operators and other channels to promote the return home to start a business.

The "opinion" emphasizes the need to improve infrastructure and entrepreneurial service systems, strengthen the construction of online and offline infrastructure for grass-roots service platforms and Internet entrepreneurship, develop entrepreneurial parks for migrant workers returning home based on the integration of existing resources, strengthen entrepreneurship training for migrant workers returning home, improve public services for migrant workers and other personnel returning to their hometowns to start businesses, improve intermediary services for returning entrepreneurial markets, and guide returning entrepreneurs to dock with innovation by thousands of people.

The "opinion" puts forward five policy measures to support returning home to start a business: the first is to lower the threshold for returning home to start a business. The second is to implement the policy of targeted tax reduction and universal fee reduction. Those who meet the conditions stipulated in the policy can enjoy tax reduction and fee reduction policies such as reduction of enterprise income tax, exemption of value-added tax and business tax. The third is to increase financial support. Enterprises and personnel who meet the requirements shall be given social security subsidies in accordance with the regulations, and those who have the conditions stipulated in the policies for supporting agriculture and benefiting farmers and small and micro enterprises shall be included in the scope of support, and employees of online businesses registered for industry and commerce shall equally enjoy various employment and entrepreneurship support policies, and those who have not been registered for industry and commerce can equally enjoy flexible employment support policies. The fourth is to strengthen financial services for returning home to start a business. We will use venture capital funds to support migrant workers and other personnel to return home to start businesses, speed up the development of village banks, rural credit cooperatives and micro-loan companies, and encourage banking financial institutions to develop targeted financial products and financial services. we will increase credit support and services for entrepreneurs who return home, and provide guaranteed loans to those who meet the requirements. The fifth is to improve the support policy of the returning Entrepreneurship Park.

The opinion also calls for the implementation of the outline of the three-year Action Plan to encourage migrant Workers and other personnel to return home to start their own businesses (2015-2017), and to build a number of demonstration bases for entrepreneurship in national traditional industries and a number of demonstration bases for Internet entrepreneurship at the county level.