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Examination and approval on application for setup of performance company
(06/01/2005)

Application formalities: (I) An "Application form" unified made by Administration on Culture, Radio, Film and Television of Shanghai;
(II)Constitution meeting regulated contents (tenet, name, residence, economic nature, sum source of registered capital, business scope, institutional framework and its authority, procedures of producing legal representatives and their authority, financial management and profit distribution system, labor and income distribution system, procedures of constitution amendment, of constitution termination and other items must be clearly indicated);
(III)Information and certificates on legal representatives and major persons in charge (including copies of their ID cards and documentation of academic credentials) as well as certificates on qualifications of professional personnel;
(IV) Copies of prior-approval on enterprise name and of business license issued by administration on industry and commerce;
(V) Certifications on assessment of capital issued by accountant firm;
(VI) Documents on certificate of ownership of the business ground or on housing lease contract put on record and certificate of ownership of the renter;
Transaction procedures:
(I) To accept the application:
Personnel at the Center of application accepting is to examine application materials from applicants, producing written document on accepting the application or not on the spot, submitting the materials to office of Administration of Culture, Radio, Film and Television of Shanghai within 24 hours, who is to send the materials to the Market Department to do verifications work.
(II) Examination and approval work:
1. Personnel handling the case at Market Department is to finish preliminary examination on the application materials within 5 working days, producing an opinion on whether to approve or not(if materials are not complete or not conform legal form, Market department is to notify Center of application accepting within 3 working days from the day when they receive the materials and the center is to inform the applicants within 5 working days to get ready the rest materials. During applicants supplement their application materials, examination and approval procedures are paused);
2. Deputy director in charge of the work is to do reviewing work within 2 working days after getting opinions from preliminary examination, then producing opinion from reviewing work;
3. Director is to produce an opinion from the examination and approval within 3 working days after getting opinion from reviewing work from deputy director;
4. Leader at the Administration in charge of the work is to make a decision on whether to approve the application or not within 5 working days after getting opinion from the director;
5. Office of the Administration is to send the decision to Market Department, and personnel at the Market Department is to notify the Center of application accepting about decision from examination and approval work within 1 working day: those being approved are to be issued a "Permit on Profit-making Performance" by the center and those not approved are to be issued a notice by Market Department and sent the notice by Center of application accepting.
กก(III) To issue the Permit (or to inform):
Center of application accepting is to issue "Permit on Profit-making Performance" to applicants within 5 working days from the day when they get notification from Market Department.
(IV)Annual inspection
(I) Annual inspection is done on "Permit on Profit-making Performance" once a year;
(II)Administration on Culture, Radio, Film and Television of Shanghai is to do verification work on the Permit at fourth quarter of each year and issue notice on annual inspection at 1 month in advance, publicizing requirements on annual inspection;
(III)By following the notified requirements on annual inspection, units submit report on annual inspection, relevant materials and unified annual inspection form to administrative departments on culture;
(IV)Annual inspection procedures are done in accordance with those for examination and approval;
(V) Administration on Culture, Radio, Film and Television of Shanghai is to finish annual inspection work within 10 working days from the day when they receive materials for annual inspection.

The transaction is based on: (I) "Regulations on Administration of Profit-making Performance" (Decree 229 from the State Council issued on August 1st, 1997);
(II)"Detailed Rules on Implementing Regulations on Administration of Profit-making Performance"(Decree 25 from Ministry of Culture issued on July 26th, 2002);
(III) "Regulations on Agent Management of Shanghai" (passed on 20th meeting of Standing Committee of 11th Shanghai People's Congress on December 15th, 2000).

Applicant qualifications: (I) Having name, institutional framework and constitution of the applicant unit;
(II) Having fixed address and business scope;
(III)Having a registered capital of more than 1million RMB;
(IV) Having more than 5 personnel with qualifications for acting as a performance agent;
(V) Having more than 2 personnel with Band IV certificates for English majors or with the same educational level;
(VI) Having personnel with certificates for financial management and enterprise management.