The State Administration for Industry and Commerce defines the concept of broker in the Measures for the Administration of Brokers as follows: Brokers refer to citizens, legal persons and other economic organizations that engage in brokerage business such as brokerage, brokerage and agency in economic activities for the purpose of collecting commissions in accordance with the provisions of these Measures.
Persons who meet the following conditions can apply for brokerage activities only after being approved by the administrative department for industry and commerce and obtaining the brokerage qualification certificate: (1) They have full capacity for civil conduct; (2) Having the knowledge and skills required for engaging in brokerage activities; (3) Having a fixed residence; (4) Master relevant national laws, regulations and policies; (5) No crime or economic violation for more than three consecutive years before applying for brokerage qualification.
In addition, those who engage in brokerage business in special industries with special provisions in countries such as finance, insurance, securities and futures should also have corresponding professional brokerage qualification certificates.
Only those who have a fixed business place, a certain amount of funds, a brokerage qualification certificate, a certain amount of work experience and meet other provisions of the Provisional Regulations on the Administration of Urban and Rural Individual Industrial and Commercial Households can apply for a business license of individual industrial and commercial households and become individual brokers.
Individual brokers engage in brokerage activities in their own names and bear unlimited liability with all their personal property.