What does a non-financing guarantee company mean?

Legal analysis: Non-financing guarantee refers to an institution legally established within the administrative area of People's Republic of China (PRC), but actually providing guarantee business for legal persons and natural persons without obtaining the Business License of People's Republic of China (PRC) Financing Guarantee Institution. Non-financing guarantee companies can engage in private lending, entrusted loans or equity investment, financing guarantee business, other part-time businesses and other guarantee businesses.

Legal basis: Interim Measures for the Administration of Financing Guarantee Companies

Article 20 A financing guarantee company may provide re-guarantee for the guarantee liabilities of other financing guarantee companies and handle the bond issuance guarantee business, but it shall meet the following conditions at the same time:

(1) It has no record of bad laws and regulations in the past two years.

(2) Other prudential conditions stipulated by the regulatory authorities.

A financing guarantee company engaged in re-guarantee business shall not only meet the conditions stipulated in the preceding paragraph, but also have a registered capital of not less than 6,543.8 billion yuan and have been in business for more than two years.

Article 73 Whoever instigates, lures or deceives others to take or inject drugs shall be detained for not less than 10 days but not more than 15 days and fined not less than 500 yuan but not more than 2,000 yuan.