Legal analysis: 1. Formal private financing companies must have articles of association that meet the requirements. 2. Formal private financing companies must have promoters or investors who meet the prescribed conditions. 3. Formal private financing companies are prohibited from absorbing other people's funds and lending. 4. The interest of a formal private financing company shall not exceed the upper limit set by the state (four times the loan interest rate of the bank during the same period), and the excess shall be invalid. 5. Formal private financing companies must have legitimate purposes and may not provide loans for others to engage in illegal activities. The financier knows that the borrower borrows money for illegal activities, such as illegally providing gambling funds, smuggling funds, providing escape funds for criminal suspects, etc. , its lending relationship is not protected; If both parties illegally borrow money, their property may be confiscated, fined or detained; Anyone suspected of committing a crime shall be investigated for criminal responsibility according to law.
Legal basis: Article 6 of the Company Law of People's Republic of China (PRC) shall apply to the company registration authority for registration of establishment. Those that meet the conditions for establishment as stipulated in this Law shall be registered as limited liability companies or joint stock limited companies respectively by the company registration authority; Those who do not meet the conditions for establishment as stipulated in this Law shall not be registered as a limited liability company or a joint stock limited company. Where laws and administrative regulations stipulate that the establishment of a company must be approved, the approval procedures shall be handled according to law before the company is registered. The public may apply to the company registration authority to inquire about the registered items of the company, and the company registration authority shall provide inquiry services.