Children are cooling off with ice cream while exploring the market in Chongqing. (Photo/Xinhua)

Chongqing - Chongqing has been using policy innovations from easing financing to targeted services to help the city's individual businesses, whose total number has now exceeded 2.55 million. 

From traditional noodle shops to livestream e-commerce operations, individual businesses contribute significantly to economic growth and job creation. They serve as a barometer of economic dynamism and public welfare, said an official from the Chongqing Administration for Market Regulation.

However, these small businesses face severe survival pressures. Data shows individual businesses operate for only 3.2 years on average, with financing costs 3-5 percentage points higher than enterprises, and digital transformation rates below 15%. 

Rising raw material prices, soaring rents, and intensifying competition continue to squeeze their operating space.

To cut costs, the city now lets qualifying shops set up temporary sales points and expand outdoor operations in designated areas, with related fees waived.

One beneficiary is a noodle restaurant in Jiaochangkou, Yuzhong District. Owner Du Jian opens at 5 a.m. daily. Previously, "long waiting times during peak hours led to a 30% customer loss rate," he said. Now, policies allow outdoor seating extensions. 

Pointing to 20 new table sets, he explained: "Outdoor seating accommodates 50 more customers, boosting daily revenue from 8,000 to 12,000 yuan." The policy also waives sanitation management fees for outdoor areas, saving him over 20,000 yuan annually.

The city has lowered startup costs by allowing entrepreneurs to register businesses through incubator or maker-space rentals, which are much cheaper than storefronts. E-commerce operators can also use their online store URLs as business addresses.

To address financing difficulties, Chongqing has innovated financial services through data integration. Liang Yuan, who owns a fresh food supermarket in Shapingba District, obtained a 100,000 yuan loan through an online platform using only daily transaction records. "It's as convenient as turning on a tap," he described the experience.

"Financing difficulties stem from information asymmetry and risk assessment challenges," said an official from the People's Bank of China Chongqing Branch. Chongqing has integrated data from 12 departments, including taxation, electricity, and logistics, to create precise credit profiles for individual businesses. 

Banks built specialized assessment models incorporating key indicators like merchant tenure, warehouse area, and inventory. As of August 2025, financial institutions have issued 14.3 billion yuan through specialized products, benefiting 52,000 individual businesses.

Chongqing has established a classification system for targeted services. Individual businesses are categorized into survival-type, growth-type, and development-type, with premium businesses selected for focused cultivation based on reputation, uniqueness, quality, and innovation potential.

A pastry shop in Fuling District belongs to the development-type category, with staff recommending trademark applications. This three-generation family business now generates 40% of sales online after e-commerce training. "We assign a growth mentor to each qualified business," said Zhang Jun, Director of the Fuling District Administration for Market Regulation. 

Service groups bring together staff from market supervision, taxation, and finance departments, along with e-commerce and branding experts.

Chongqing is also integrating individual businesses into major enterprise supply chains—17 hardware businesses have become secondary suppliers to Changan Automobile.