Business registration reform is being credited with China's startup boom.
By the end of November, newly registered enterprises in China stood at 3.9 million, up 19 percent year on year, according to data from the State Administration for Industry and Commerce.
This means 11,700 new companies registered every day. Specifically, startups in the service industry accounted for 80.7 percent of all newly registered enterprises, reflecting the ongoing structural change in the overall economy.
The surge was partly boosted by business registration reform since March 2014 to cut red tape and lower entry barriers for enterprises including lifting restrictions on minimum registered capital and down payment ratios and simplifying administrative approval process.