In recent times Asia has emerged as the prime continent to conduct businesses in. Companies and investors from all across the world are now looking into Asian countries to invest in and start their own companies or to branch out. The Asian market is tremendous with great purchasing power among the consumers thereby making it ideal for all these companies.
Over the past couple of years, Vietnam has been making a fair amount of noise as the perfect place to do a business license in Vietnam. There are several factors which indicate that Vietnam could just be the country from which the Asian market can be captured. With that being said, one has to keep in mind that opening up a private limited company in Vietnam can be a difficult task if you are not familiar with the process and types of visa in Vietnam. There are several steps and requirements that need to be followed in order to successfully register your process of FDI in Vietnam. The steps are given out below.
Step 1: The very first step of registering your private limited company in Vietnam will require you to check your company name and see if it is valid or not. Company names are very important and you need to verify whether your proposed company is already in use by somebody else or not. Once that has been cleared you can move on to the business registration process. According to the Government Decree 78/2015/ND-CP enterprise registration of 14th September 2015, you will be required to submit certain documents. These are needed in order to file your enterprise for registration. Once all your documents are verified, your application will be transferred to the database of the Department General of Taxation which is under the control of the Ministry of Finance. After the transfer is completed, it takes two working days to issue an enterprise code number. The code number is unique for each individual business and will be your business registration code number as well as your tax code number. After the number is given out, you will be provided with a provisional business registration certificate. All these are done under the Business Registration Office of the Department of Planning & Investment.
Step 2: The second step involving the registration of a private limited company in Vietnam is to make a company seal. In order to carry out your business in Vietnam, a company needs to get a company seal made. This seal should contain the company name as well as the company code number. Once it is made, the sample seal should be sent over to the Business Registration Office. Once there, the Business Registration Office will publish the sealed sample in the National Business Registration Portal and send a receipt to the company. Once the receipt is received, the company may start using the seal.
Step 3: Conducting business registration in Vietnam requires opening a bank account for all private limited companies. The minimum deposit for such an account differs from bank to bank. So it is wise to do a thorough information check before deciding where you want to open the bank account. The requirement to open a business account will need the bank issued application form, the company seal, the registration certificate of the company as well as the authorized signature of the members of the board.
Step 4: Based on the Article 33, Law on Enterprise 2014 No. 68/2014/QH13, all companies or enterprises are required by law to announce their private limited company on the National Business Registration Portal. There is a fee of VND 300,000 to be paid within the 30 days of registration. The announcement made should include the details of all the founding shareholders as well as the foreign shareholders. It should also include the Certificate of Business Registration and other related information. The whole process will be done within 5 days.
Step 5: The registration of a private limited company in Vietnam also includes having to pay for the business license tax. It can be paid at any one of the commercial banks or the tax office itself. Such a tax is paid once every year, usually in the month when the company receives their tax registration certificates and codes. This basically ensures that the company in question is paying all their due taxes and is following the state law accordingly.
Step 6: The final step of registering the company requires you to register with the labor office. This is done to declare the use of labor for the purpose of running your business. Within 30 days of receiving your Certificate of Registration, it is expected of the company to register all the labors that are employed and state all their qualifications to the Labor Office. All these are done to ensure that the relationship between the employer and the employee are maintained based on the Labor Code. The Labor Code is also put in the contracts of the employee to protect labor rights.
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