A 12-year-old girl from central China has captured the attention of internet users across the country with her impressive business skills. Using the red envelope money (lai see) she received during the Spring Festival, she purchased a stationery shop and even employed her own mother, paying her a monthly salary of 3,000 yuan (about US$440). This bold move has triggered a lively online debate, with some applauding her maturity and others worried that such responsibilities may distract her from her education.

The young entrepreneur, named Li Yue, hails from Jiangxi province. Over the Lunar New Year holiday, she received more than 44,000 yuan (around US$6,400) in red envelopes. Rather than simply saving the money in a bank account, where the interest rates are low, she decided to invest it. She believed that keeping the money idle would not help it grow, especially with inflation, and that starting a business would be a wiser choice.

While visiting a bank, Li noticed a stationery store was up for sale. Seizing the moment, she decided to buy it. Although her mother advised caution, warning about possible financial losses, Li remained resolute and used all her holiday gift money to acquire the business.

During the school break, Li took charge of the shop’s operations. She restocked inventory, managed day-to-day tasks, and prepared the business for success. Once classes resumed in March, she found a creative way to manage both school and work—by hiring her mother. For a monthly wage of 3,000 yuan, her mother helped run the store while Li focused on her studies.

Li assumed key responsibilities such as negotiating with suppliers, setting prices, and adjusting marketing strategies. Her mother supported her by handling daily operations. Li kept a tight schedule: opening the shop each morning, checking supplies, attending school, doing homework at the store after classes, and assisting with business tasks until 8:30 p.m. To streamline operations, she even taught herself AI tools for accounting and developed a visual ledger system, demonstrating her adaptability and initiative.

Last week, Li encountered her first significant hurdle when sales sharply declined. Instead of becoming anxious, she acted swiftly. She reduced prices and explained her reasoning to her mother: “If we obsess over sunk costs, our goods won’t sell and we risk running into cash flow problems.”

Her strategy proved effective. By pricing select items at just one yuan to draw in students and cutting prices on premium products by half to appeal to budget-conscious parents, she successfully attracted more customers. While she hasn’t revealed exact profits, Li confirmed that she has already recovered her initial investment.

Despite her early success, Li’s mother remains watchful. A family education consultant herself, she emphasized that she would shut down the business if it started interfering with Li Yue’s academic performance. Recently, Li made another strategic pivot—shifting the store’s focus from stationery to food. She purchased new equipment and began selling snacks like sausages, orange juice, and cold drinks, while phasing out leftover stationery items. “I want to be an ethical business owner,” she said. “I personally taste everything to make sure it’s safe and delicious before putting it on the shelves.”

Li’s mother sees this venture as a form of real-world financial education. She believes it offers more value than forcing her daughter into extracurricular classes she doesn’t enjoy. “It’s like giving her a personal business school,” she told Jimu News.

Online reactions have been mixed. Many social media users admire Li’s confidence, execution, and sharp business instincts. Comments include praise like, “She shows wisdom far beyond her age. She’s destined for great things.” Others, however, express concern: “Children shouldn’t take on entrepreneurship so young. At 12, she should be enjoying her childhood and concentrating on school.”

Regardless of differing opinions, Li Yue’s story highlights the importance of teaching financial literacy to children. It demonstrates how hands-on experience can offer lessons that go far beyond classroom learning—and opens up a broader conversation about finding the right balance between education, youth, and ambition.