Ding Xiduan (center) and his son Ding Gang (right) receive their new business license. [Photo/WeChat account: fuyangfabu]

The Fuyang district of Hangzhou — capital of East China's Zhejiang province — issued the first direct business license within the province on July 15 for transforming a sole proprietorship into a limited liability company, local media outlets reported.

The milestone license — issued under China's newly implemented Regulations on Individual Business Registration — went to Ding Xiduan and his son Ding Gang, founders of the time-honored brand Fuchunjiang Instrument Factory.

Established in 1989, the factory specializes in precision instruments and holds multiple patents and industry standards.

Previously, sole proprietorships like theirs faced obstacles in financing and other areas due to their limited legal status. Transforming into a company meant shutting down operations and losing brand continuity.

The new regulation, effective July 15, now allows a seamless transition without disrupting the business identity — retaining the company name, licenses, credit codes and even founding date.

The breakthrough offers legacy brands a path to modernization while preserving their heritage. Fuyang officials say it sets a precedent for fostering century-old brands and nurturing future industry champions.

An exterior view of the Fuchunjiang Instrument Factory. [Photo/WeChat account: fuyangfabu]