Article 14 Enterprise legal persons, natural persons and other economic organizations may invest in small loan companies. Fifteenth small loan companies to implement the system of entrusted investors. In principle, the main investors of microfinance companies should be private backbone enterprises with standardized management, excellent credit and strong strength in the province, with net assets of more than 30 million yuan, asset-liability ratio of less than 50%, continuous profits in the past three years and accumulated net profits of more than 6,543,800 yuan in the past three years. In addition, the corporate shareholders of major investors and other enterprises shall meet the following conditions:

(a) registered in the administrative department for Industry and commerce, with the qualification of legal representative of the enterprise;

(2) The legal representative of the enterprise has no criminal record;

(3) The enterprise has no bad credit record;

(4) It is in good financial condition and has been making profits continuously for the previous two years;

(5) Having strong financial strength.

Article 16 A natural person who invests in a small loan company shall meet the following conditions:

(1) Having full capacity for civil conduct;

(2) Having no criminal record and bad credit record;

(3) Having strong financial strength;

(4) Having certain economic and financial knowledge.

Article 17 The shareholding ratio of major investors of a microfinance company shall not exceed 35% in principle. The investment of the remaining individual investors shall not be less than 2 million yuan. Encourage small loan companies to hold relatively scattered shares.

Article 18 After the establishment of a small loan company, if it is necessary to increase capital and share, the plan for capital increase and share expansion shall be submitted to the local municipal government for review after preliminary examination by the local county-level government, and shall be registered with the local industrial and commercial department after being filed by the provincial finance office. After the capital increase, the shareholding ratio of major investors and other investors shall still comply with the provisions of Article 17. The capital contribution of the newly added single shareholder must be monetary capital, and the capital contribution shall be no less than RMB 2 million.

Article 19 The shares of a small loan company may be transferred according to law. However, the shares held by major investors shall not be transferred within three years from the date of establishment of the microfinance company, and other shareholders shall not be transferred within two years. The shares held by the directors, supervisors and senior managers of microfinance companies shall not be transferred during their term of office.

Article 20 The transfer of shares between the original shareholders of a small loan company, in which the main investor changes and the share transfer ratio exceeds 5%, can only be implemented after the local county-level government has made a preliminary examination, reported to the local district-level municipal government for review, and reported to the provincial financial office for the record.