Investment to set up company in Vietnam is encouraged An individual with foreign nationality or an organization established under foreign law could register investment and conduct business activities in Vietnam. Foreign investors are permitted to engage in any legal business, however, there are some specific industries that investors must meet the required conditions to be able to register investment. Some few areas that foreign investors are not permitted to conduct business in Vietnam for the reason for national security or state monopoly. Read more: https://antlawyers.vn/update/quick-tips-for-foreigners-to-set-up-company-in-vietnam-and-comply.html

1. QUICK TIPS FOR FOREIGNERS TO SET UP
COMPANY IN VIETNAM AND COMPLY
HTTPS://ANTLAWYERS.VN/

2. 2022
Company
FEEL CHALLENGING TO SET UP COMPANY IN
VIETNAM?
For a foreigner to a country like Vietnam which
opportunities avail for business, it is attempting to
create a business to operate and snatch the chance.
But after the first eagerness feeling of potential
business to generate, after settling in, the
entrepreneur might wonder, how difficult it is to set
up company in Vietnam

3. 2022
Company
FEEL CHALLENGING TO SET UP COMPANY IN
VIETNAM?
or how challenging the business environment in
Vietnam for operating and doing business when
dealing with administrative procedures from
registering investment, setting up the company,
complying with periodical reporting and tax
declarations… If you are reading this and feeling so,
you are not alone.

4. 2022
Company
FEEL CHALLENGING TO SET UP COMPANY IN
VIETNAM?
As a place with a favorable geographical position and
plentiful labor resources, and growing consumer
market, Vietnam is increasingly developing strongly,
becoming a country attracting global investment
among Southeast Asia countries.

5. 2022
Company
FEEL CHALLENGING TO SET UP COMPANY IN
VIETNAM?
In order to carry out effective investment activities,
foreign investors need to undertake research about
the policies, investment incentives, legal
requirements as well as the process and procedures
for establishing a business in Vietnam. This will
provide some quick tips for the fundamental
considerations that international investors should
consider if they have any ideas to chose Vietnam to
make investment.

6. INVESTMENT TO SET UP
COMPANY IN VIETNAM
IS ENCOURAGED
A n i n d i v i d u a l w i t h f o r e i g n n a t i o n a l i t y o r a n o r g a n i z a t i o n
e s t a b l i s h e d u n d e r f o r e i g n l a w c o u l d r e g i s t e r i n v e s t m e n t
a n d c o n d u c t b u s i n e s s a c t i v i t i e s i n V i e t n a m . F o r e i g n
i n v e s t o r s a r e p e r m i t t e d t o e n g a g e i n a n y l e g a l b u s i n e s s ,
h o w e v e r , t h e r e a r e s o m e s p e c i f i c i n d u s t r i e s t h a t i n v e s t o r s
m u s t m e e t t h e r e q u i r e d c o n d i t i o n s t o b e a b l e t o r e g i s t e r
i n v e s t m e n t . S o m e f e w a r e a s t h a t f o r e i g n i n v e s t o r s a r e n o t
p e r m i t t e d t o c o n d u c t b u s i n e s s i n V i e t n a m f o r t h e r e a s o n
f o r n a t i o n a l s e c u r i t y o r s t a t e m o n o p o l y .

7. WHAT LICENSE IS REQUIRED TO SET UP
COMPANY IN VIETNAM?
According to Vietnam law, an investor whom wishes to establish a company
in Vietnam must obtain an investment registration certificate from an
authorization agency.

8. WHAT LICENSE IS REQUIRED TO SET UP
COMPANY IN VIETNAM?
The normal time limit for issuance of the Investment Registration Certificate
(IRC) will be 15 days from the date of submission of valid dossier for an
investment project. But it is important to build in the time for preparing the
proper documents i.e. application, financial report, bank balance, personal
documents and many of such documents require apostille, or notarization and
legalization and translation into Vietnamese before being submitted.

9. WHAT LICENSE IS REQUIRED TO SET UP
COMPANY IN VIETNAM?
Vietnam law does not require a minimum capital to set up a business, except
for conditional investment or business lines. But investors are obliged to
contribute capital according to the schedule stated in the IRC and that the
government authority has the right to request the investor to explain the
business plan to their satisfaction based on the proposed investment capital.

10. WHAT LICENSE IS REQUIRED TO SET UP
COMPANY IN VIETNAM?
In case the investor cannot contribute enough capital according to the committed
time limit, the competent authority may apply sanctions, including revocation of
the IRC or the investor has to adjust the IRC to reflect the actual contribution of
investment. Once having the IRC, the investor then request to obtain Enterprise
Registration Certificate (IRC) which takes 5 days from the date of submission of
valid dossier for business establishment to complete the business setting up
process.

11. AFTER LICENSING, WHAT TO DO TO COMPLY?
Now, after have a business set up in Vietnam, the
enterprise starts to conduct business i.e. sign
contract to lease space officially, hire people, enter
into business transactions to buy and sell services or
products.
To make it legally bound, the documents needs to be
signed and sealed. Then the question is how to have
a seal? Back in the past, it was more challenging to
have the seal made for an enterprise after being
established because it was managed by the Public
Security authority.

12. AFTER LICENSING, WHAT TO DO TO COMPLY?
There has been a discussion between legislators and
business experts about totally removing the seal
being stamped on the legal documents in Vietnam
because the signature of the legal representative is
most important. Over the time, the once strict law
governing the seal issuance has been loosen up. But
in Vietnam the seal is still very important that
together with the legal representative signature it
show the official notice i.e. a decision by the legal
representative of the business to terminate a labour
contract; or an obvious approval of an entity to a
transaction it enters to hire a construction company
for building a factory.

13. AFTER LICENSING, WHAT TO DO TO COMPLY?
Depending on the terms in the company’s charter, the
investor has the right to make more than one seal to
use. The enterprise must send a notice to the
business registration office where its head office is
located for publication on the National Business
Registration Portal before using, altering, destroying,
or changing the number of seals. The seal can be
used starting on the day the notification process has
been finished and the seal sample has been uploaded
on the National Business Registration Portal for
verification purpose.

14. REMEMBER TO DECLARE AND PAY TAXES IN
VIETNAM
During the operation of the business after being
started, the investor needs to pay attention to tax
obligations, which is very important in most
jurisdictions except in tax heaven countries. But
Vietnam is not on the exemption list. Every company
needs to submit tax declaration.

15. REMEMBER TO DECLARE AND PAY TAXES IN
VIETNAM
Every year, the business will need to pay a number of
different taxes and fees such as license fees (based
on registered charter capital); Corporate Income Tax
(CIT) when the company makes profit; declare and
pay Value Added Tax (VAT) for sold goods or
services, on behalf of individual declare and pay
Personal Income Tax (PIT), or in some cases export
tax and import tax, tax on lands.

16. REMEMBER TO SUBMIT MANDATORY REPORTS
IN VIETNAM
In addition, foreign investor also needs to fully
comply with the investment project reporting regime
in accordance with the law. These reports will be
made periodically (monthly, quarterly or annually) on
such contents as: implemented investment capital,
business investment results, information on labor,
employed foreign workers, reports on environmental
protection…

17. REMEMBER TO SUBMIT MANDATORY REPORTS
IN VIETNAM
Complying with the implementation of tax payment
obligations and periodically reporting to ensure
timely implementation as prescribed will help the
company avoid unnecessary risks such as
administrative sanctions, business suspension,
penalties that could impact the business.

18. THANK YOU
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