The owner of a mobile phone store in Shandong recently completed a "personal to enterprise" transformation. After the transformation, his company not only obtained the "national subsidy" qualification, but also doubled its transaction volume compared to the same period last year. He also applied for loans to expand his business as an enterprise and is planning to open a new chain store. Recently, the State Administration for Market Regulation and nine other departments released the "Guiding Opinions on Promoting the Efficient Transformation of Individual Industrial and Commercial Households into Enterprises and Increasing Cultivation and Assistance Efforts" (hereinafter referred to as the "Guiding Opinions"), which clarifies the optimization of the "individual to enterprise" conversion process and reduces conversion costs. [Comment] Why is it that individual businesses have ushered in a Xintiandi of development after their transformation into enterprises? Because 'individual to enterprise' is not only a change in the 'name' of individual businesses, but also a transformation of internal governance structure, which will bring more 'real' changes. This series of changes will help individual businesses grow and strengthen, enhance market competitiveness, expand development space, and further stimulate the vitality of the private economy. The private economy in our country originated from individual businesses. In 1980, Wenzhou, Zhejiang issued the first individual business license in China. Afterwards, the phenomenon of "sole proprietorship" swept across the country, opening restaurants, selling clothing, repairing bicycles... The seeds of contemporary Chinese private economy were thus sown. Nowadays, there are 127 million individual industrial and commercial households in China, making it the largest number of business entities and an important component of the private economy. However, the development of individual industrial and commercial households also faces competitive disadvantages such as lack of legal person status, inability to bid for land, and difficulty in obtaining financing and loans. Moreover, compared to enterprises, they lack comparative advantages in terms of business field, brand effect, and competitiveness. Therefore, in the process of economic development, upgrading some powerful individual businesses to enterprises can better enhance their management level and competitiveness. At the beginning of their entrepreneurship, some well-known enterprises were also "sole proprietors". As their business expanded, they gradually transformed into enterprises and eventually broke into a new world. The concept of 'individual to enterprise transformation' has long existed, and the introduction of the 'Guiding Opinions' is aimed at increasing efforts to cultivate and assist, simplifying procedures, and improving efficiency. Individual industrial and commercial households can be converted into enterprises through direct changes, which not only allows them to retain their business elements such as their business name in accordance with the law, but also enables them to handle related matters such as taxation, social security, and housing provident fund simultaneously. Eligible administrative licenses can also be extended. This is equivalent to opening up a more convenient "upward channel" for a large number of business entities, which can enable individual industrial and commercial households to share the achievements of the national unified market construction more conveniently. 'Individual to enterprise transformation' is a pivot that leverages market vitality. When we talk about industrial upgrading, we may first think of the transformation and upgrading of the primary and secondary industries. In fact, the service industry, which is very close to the lives of ordinary people, is constantly iterating and upgrading. 90% of individual industrial and commercial households are concentrated in the service industry, with wholesale and retail, accommodation and catering, and resident services as the main formats. The better these individual industrial and commercial households develop, the smoother the "capillaries" of the market economy will be, the more sensitive the "nerve endings" will be, the more abundant the "reservoir" of employment and entrepreneurship for ordinary people will be, and the "fireworks" on the streets and alleys will be more brilliant. It is worth noting that "individual to enterprise" can help individual businesses grow better, but it does not mean that we should encourage them. The most crucial thing is to fully respect their own choices of business models. Some "growth oriented", "development oriented" and "famous, excellent and new" individual industrial and commercial households, if willing to transform into enterprises, relevant departments can provide them with gradient cultivation, strengthen policy support, increase vocational skills training tilt, and help them. We should also be wary of setting indicators related to the number, growth rate, or proportion of "individual to enterprise" conversions in some places, forcing or inducing individual businesses to transform into enterprises, and engaging in formalism. The "procedure" of "individual to enterprise conversion" cannot generate economic benefits. Only by allowing the operating entities to develop better through "individual to enterprise conversion" can greater economic benefits be created. Some individual businesses choose to take the path of "small and beautiful", and various regions need to find ways to optimize their business environment. Individual businesses are the "incubators" and "reserve forces" of private enterprises. Smooth the transition from individual businesses to enterprises, promote greater energy from individual industrial and commercial households, and further consolidate the foundation of China's sustained economic vitality. (New Society)