operating in different places, that is, the registered place of the company is inconsistent with the actual business place.
enterprises operate in different places, and the actual business activities of enterprises are not in the place of registration, so the management department of the place of registration can't actually exercise its management authority, and the management department of the actual business place is not the management department under its law, so there is the problem of inconvenient management at both ends, so Chinese laws and regulations prohibit enterprises from engaging in business activities in different places.
out-of-scope operation refers to the behavior that the business entity engages in business activities beyond the business scope approved by the registration authority.
for example, the business scope approved by a pharmaceutical company's business license is the wholesale and retail of Chinese medicines and proprietary Chinese medicines, but the company not only wholesales and retails Chinese medicines and proprietary Chinese medicines, but also wholesales and retails western medicines and health care products, which is beyond the scope of business.
Extended information
Paragraph (4) of Article 63 of the Regulations of the People's Republic of China on the Administration of Registration of Enterprise as a Legal Person stipulates that those who engage in business activities beyond the approved business scope or mode of business registration shall be given a warning according to the seriousness of the case, their illegal income shall be confiscated and fined less than three times, but the maximum amount shall not exceed 31,111 yuan, and those who have no illegal income shall be fined less than 11,111 yuan.
those who violate other relevant state regulations and engage in illegal business operations at the same time shall be ordered to suspend business for rectification, and their illegal income shall be confiscated, and a fine of less than 3 times of the illegal income shall be imposed, but the maximum amount shall not exceed 31,111 yuan. If there is no illegal income, a fine of less than 1,111 yuan shall be imposed; If the circumstances are serious, the business license shall be revoked.
Baidu Encyclopedia-Regulations of the People's Republic of China on the Administration of Company Registration
Baidu Encyclopedia-Beyond Scope Management