How To Establish A Company In 2023

At the business registration office, the founding members of a company undergo an administrative procedure to officially initiate the business. NT International Law Firm provides insights and perspectives on the process of establishing a business in the present stage, including the necessary procedures and processes involved.

How To Establish A Company In 2023

Establishing a company in Vietnam is an exciting endeavor, offering access to a vibrant market and diverse opportunities. However, navigating the legal intricacies and procedures can be challenging for newcomers. This comprehensive guide provides a clear roadmap for establishing a company in Vietnam, outlining the essential steps, legal basis, and required documents involved in the process.

Legal Basis:

The legal framework surrounding company establishment in Vietnam is governed by two key documents:

• Enterprise Law 2020: This law lays the foundation for the establishment, operation, and dissolution of all enterprises in Vietnam, including foreign-owned companies. It defines company types, ownership structures, capital requirements, and operational regulations.
• Decree 01/2021/ND-CP: This decree provides detailed instructions and procedural guidelines for registering a business in Vietnam. It outlines the required documents, submission methods, processing times, and fees associated with the registration process.

Pre-registration Requirements:

Before embarking on the registration process, ensure you meet the following essential requirements:

• Legal Business Address: Secure a legal business address that can be owned, rented, or borrowed. Apartments are generally not permitted as registered business addresses, except in designated commercial areas with proper documentation.
• Business Information: Prepare comprehensive information about your intended business, including the proposed name, charter capital, legal representative, and chosen business lines.
• Business Name: The chosen name must be unique, legal, non-overlapping with existing businesses, and compliant with the Enterprise Law 2020.
• Charter Capital: Determine the initial capital investment for your business, adhering to minimum and maximum levels depending on the specific industry (some require legal capital, e.g., 20 billion VND for real estate).
• Legal Representative: Appoint a legal representative with full capacity for civil acts (minimum age 18) and relevant experience and management skills in the chosen field.
• Identification Documents: Gather all necessary identification documents for all members, shareholders, and the legal representative.
• Additional Paperwork: Depending on the specific business type, additional documentation may be required.

Registration of a company Procedure:

The registration process for establishing a company in Vietnam involves several key steps:

1. Pre-registration:

• Secure a legal business address.
• Prepare all required business information.
• Facilitate capital contribution from members.
• Have all legal representatives and members sign the necessary documents.

2. Application Submission:

• Choose your preferred application method:
  • Direct Submission: Submit documents directly to the Business Registration Office (BRO) at the provincial level (One-Stop Department) or district level (Finance and Planning Department).
  • Postal Service: Submit documents through an intermediary 25 days before the expected processing date.
  • Online Portal: Submit electronically formatted documents (doc, docx, or pdf) through the National Business Registration Portal.

3. Processing and Review:

• The designated BRO will meticulously review all submitted documents for accuracy, completeness, and compliance with legal regulations.
• Processing time typically takes three working days from the receipt of all valid documents.

4. Approval and Issuance:

• Upon successful review and approval, the BRO will issue a Business Registration Certificate (BRC), officially recognizing the establishment of the company.

5. Post-registration:

• Open a dedicated bank account for business operations.
• Obtain official seals and stamps for document authentication.
• Register for tax, social insurance, and healthcare for employees.
• Maintain ongoing legal compliance and fulfill reporting requirements.

Key Points to Remember:

• The online portal offers a convenient and free option for application submission.
• Ensure timely capital contribution within 90 days of receiving the BRC.
• Only individuals with full legal capacity can serve as legal representatives.
• Consider seeking professional legal guidance for customized advice and assistance.

By adhering to these guidelines and carefully navigating the legal framework, establishing a company in Vietnam can be a rewarding and successful venture. This comprehensive guide serves as a valuable resource for individuals and organizations embarking on this exciting journey.

NT International Law Firm has addressed the question of how to establish a company or open a business in 2023. If you have any further questions or concerns regarding corporate law, please contact our law firm immediately for expert legal advice.

If you require any legal assistance, please feel free to reach out to us via phone at 090 252 4567 or through email: info@ntpartnerlawfirm.com. At NT INTERNATIONAL LAW FIRM, our team is committed to offering you prompt and personalized advice.

You also might be interested in:

• The 2020 Law on Enterprises in English
• The 2005 Law on Commercial in English
• Decree 145/2020/ND-CP: Provides detailed regulations and instructions for implementing the 2020 Law on Enterprises, including specific provisions for LLCs.