Article 8 To establish a securities company, the conditions specified in the Company Law, Securities Law and these Regulations must be met, and must be approved by the securities regulatory authority of the State Council.

Article 9 Shareholders of a securities company shall contribute capital in currency or non-monetary assets necessary for the operation of the securities company. The total non-monetary property investment of shareholders of a securities company shall not exceed 30% of the registered capital of the securities company.

The capital contribution of shareholders of a securities company must be verified by an accounting firm with securities and futures-related business qualifications and a certificate issued; the non-monetary property in the capital contribution must be evaluated by an asset appraisal agency with securities-related business qualifications. .

During the operation of a securities company, creditors of a securities company who convert their claims into equity of the securities company are not subject to the restrictions set forth in paragraph 1 of this article.

Article 10 Any unit or individual under any of the following circumstances shall not become a shareholder or actual controller holding more than 5% of the equity of a securities company:

(1) Due to intentional crime The person was sentenced to a penalty and it has not been more than 3 years since the execution of the penalty;

(2) The net assets are less than 50% of the paid-in capital, or the contingent liabilities reach 50% of the net assets;

(3) Failure to repay due debts;

(4) Other circumstances determined by the securities regulatory authority of the State Council.

Other shareholders of a securities company shall comply with the relevant requirements of the securities regulatory authority of the State Council.

Article 11 A securities company shall have more than three senior managers who have served as senior managers in the securities industry for more than two years.

Article 12 When a securities company is established, its business scope shall be consistent with its financial status, internal control system, compliance system and human resources situation; during the operation of a securities company, upon its application, the State Council Securities regulatory agencies may adjust their business scope based on their financial status, internal control level, compliance level, senior management personnel's business management capabilities, and the number of professionals.