The ultimate startup guide to Shanghai

The allure of starting a business in Shanghai is nothing short of captivating. From a pure numbers perspective, creating a solid footprint here can do wonders for your bottom line and make you look like an entrepreneurial genius.

Couple this with government efforts to boost entrepreneurship and homegrown startups, and you’re practically kicking yourself wondering why you haven’t already started a company here.

But the truth is Shanghai isn’t for everyone. And if you come here without a plan, you could definitely be left hurting. So, our team at Loop put together this handy guide not only to help you decide if Shanghai is right for you, but also who to look for and what to do to maximize your entrepreneurial efforts in the city.

If a New York minute is a Hong Kong second, then a Hong Kong second is a Shanghai millisecond

Things in Shanghai move fast. How fast? It’s estimated that every 13 minutes there’s a unicorn built in Shanghai. Okay, you got me that’s a totally made up statistic, but you believed me for a second, admit it.

That being said, the pace at which things move in Shanghai can, at times, be nauseating. However, most of the time it provides numerous opportunities for the people that are hungry enough to move swiftly with purpose.

Within the Shanghai startup ecosystem there are a lot of people who are trying to get things done in innovative ways across a number of different industries. So if you’re in the right place at the right time, you could get more than a few at bats.

Because China moves fast, this aspect helps those who are keen on trying out new things and experimenting with original ideas.

What is different about Shanghai’s startup ecosystem when compared to other cities, is that the movers and shakers have created a very accepting and supportive environment that’s conducive to getting your ideas off the ground. This lets you access higher level people with more experience and expertise.

Because China moves fast, this aspect helps those who are keen on trying out new things and experimenting with original ideas. It’s fair to say that this is not ideal for those OK with chilling on the sidelines waiting to see how things will shake out. At the end of the day, the pace can help you learn quickly, move fast, and, ultimately, save a lot of valuable time.

On another more pragmatic note, Shanghai has a pretty good standard of living even for people working on a startup salary. Things are cheaper, so you can still afford a fairly enjoyable lifestyle while grinding away at starting your business.

Without getting into Shanghai’s expansive nightlife and plethora of extracurricular activities, just know that Shanghai has a very active startup community. Numerous events and meet ups are held, which are sure to keep you constantly engaged with the pulse of innovation.

It’s not all cupcakes and roses

Don’t get me wrong, I personally love Shanghai, but at the same time I don’t work for the Shanghai tourism board—didn’t have the requisite three to five years working experience.

The Shanghai startup ecosystem does have its downsides, and you have to be cut from a certain cloth to be able to handle what, at times, can seem like a barrage telling you the universe hates your guts.

Shanghai’s startup ecosystem