Investment in the beauty product or Cosmetic economy

张露 JANE ZHANG 竞天公诚律师事务所 合伙人 Partner Jingtian Gongcheng

In the Hierarchical Management of Medical Cosmetic Services 醫學美容中心 Cosmetic procedures are divided into four categories , based on the technical difficulty, likelihood of medical accidents and the degree of risk. Investors could refer to the practice license of an institution to determine the types of medical procedures they may be involved in and help them understand the capabilities.

Unfortunately, learning about each medical product is not an easy task of searching it out in the applicable laws and regulations. investors frequently have to make their own minds about whether the company is operating outside the scope of its authority.

We suggest that investors get acquainted with the particular procedures to determine whether the devices and instruments required for the procedure have been registered and all necessary filings have been made; and also to determine whether the procedures fall within the category of physical or invasive cosmetic treatments that involves medical devices, medicine or surgical procedures, depending on the way the devices and instruments are employed.


Regarding pricing, medical facilities that are not governmental can adopt market regulations for price – that is independent pricing. However, public medical institutions have to submit to the appropriate authority to announce prices. Medical cosmetics institutions have to publically display its doctors products and prices at the location of its establishment, so that customers are able to make an accurate price comparison.

It is important to note that the cosmetic industry is plagued by numerous price frauds, including “falsified initial price” and “inconsistent charges”. Regulators across the country have made numerous efforts to curb the problematic price of cosmetics in recent times.

Medical cosmetology is a medical treatment as well as a consumer product. Medical cosmetic establishments can only release advertisements once they have received an Examination Certificate for Medical Advertisements. They are also forbidden from presenting advertisements in the shape of news or features or making any deceitful publicity.

In line with current trend in the media, several medical cosmetics companies have decided to use video streaming live and short videos as their new channels, which include an influencer’s demonstration of the whole procedure as well as live Q&A discussions with a physician. Most of the time the programs are private inventions that are only in name and are actually coordinated with institutions, with the aim of generating sales and traffic for users.

To improve regulation and oversight for medical cosmetology advertisements The State Administration for Market Regulation released the Guidelines for the Implementation of Medical Cosmetology Adverts on November 2. The nature or content, this subtle promotions may be recognized by regulators as disguised advertising. No matter how novel, companies must always adhere to the rules and laws regarding advertising when they promote their products. This includes avoiding ads which promote “appearance anxiety” or disguised as health Public Service Announcements (PSA) interviews, and news stories.

Medical and Medical Devices

Medical devices and medicine that are used 香港醫美  in the treatment of medical cosmetics are cosmetic medical products that are only operated by a certified physician who has relevant knowledge in a medical cosmetics institution. In addition to the qualifications required Investors should also be aware whether the products they use have been legally obtained.

Medical cosmetic institutions should purchase legally registered/filed medicines as well as medical equipment from businesses that have the production andJane Zhang operating certificates. They should also set up an internal inspection process for all new products they receive and avoid purchasing anything that is not of a known origin or contains via social media, online or other cross-border channels.

In the case of the injection of hyaluronic acids widely used as a 醫學美容 facial cosmetic treatments investors could check the NMPA website to find out whether the registration Certificate to use a Medical Device or the authorization for sale in the United States, has been obtained for the national or foreign brand of hyaluronic acid, or.

The industry of medical cosmetics is in a crucial juncture and is undergoing a heightened regulatory environment and an increase in capital flow. The reduction of investment risk and the compliance with the complicated regulations are top priorities when it comes to joining medical cosmetic companies and markets for capital in a safe and efficient manner.

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