Below are the most frequently asked questions by our clients and foreign investors who are interested in the Vietnam market and the answers from VNBG.
Can a foreigner own 100% of a business in Vietnam?
Many business lines, such as consulting, trading, information technology, and retailing, are open to 100 percent foreign ownership. Whereas, other businesses, such as logistics, advertising, and media, limit the percentage of foreign ownership. If you are not sure if your intended business allows 100% foreign ownership, contact our consultant for free consultancy.
Can joint ventures make incorporation easier?
In fact, the distinction is clear only between a 100 % local company and a 100% foreign-invested enterprise (FIE). The procedure actually remains the same for the company which is having only 1% of foreign ownership or that having 100% foreign investment. Therefore, a joint venture cannot help speed up the company registration process. One should form a joint venture only when the nature of your business requires so, not to save time.
Is the capital investment dead money?
By the law, the capital investment is accessible and can be spent for the benefit of the company. As the result, the injected capital can be used to pay for company rent, employee hiring, and other operational expenses. If you have spent all of your capital and want to inject more, you must first amend your business license (which takes some time).
Do I have to commit the capital upfront?
In brief, NO. You will only inject capital after the company has been established successfully. Eventually, you’ve got three months to do it. However, keep in mind that if you miss the deadline for this capital contribution, the company will be forced to close or you will face a significant penalty if you request an extension.
What is a minimum capital investment?
Generally, many businesses do not have a minimum capital requirement, so you can put any number you want. But, if you want to use the company to sponsor your investor visa, you should have a substantial amount of capital. Some specialized businesses do necessitate capital. Therefore, before making a decision, you can consult with us.
How long does it take to open a company?
A typical timeline for successfully establishing a company is 1-2 months. However, a number of business lines may take less or more time depending on whether they are conditional or unconditional. Besides, some cities also provide a quicker paper processing timeline than others (such as doing things in Ho Chi Minh city is known to be faster than in other places like Hanoi, Danang, ect.)
I am not in Vietnam, can I open a company remotely?
In theory, the answer is YES. There are two prerequisites for forming a company: a business address and a representative in Vietnam. If you can arrange these two conditions, the company can be established without your presence in Vietnam.
What can be the costs for opening a company?
Opening a company is a serious investment, there are costs involved, below are the major ones:
- State fees
- Business address arrangement
- Resident Representative (optional)
- Service fee for the agency (optional)
- Admin fee (translation + notarization)
- Capital investment (depending on the business)
- Post-establishment expense (bank account opening, stamp making, tax/accounting,ect.)
What is VNBG’s refund policy?
YES, we do. In theory, all un-done work tasks will be subject to refund policy if the delay or cancellation of services is
resulted from VNBG’s mistakes, not from the Client’s inability to provide sufficient information to VNBG in a timeline manner.
Where is VNBG based?
Our Head Office is situated in the heart of Ho Chi Minh City, Vietnam. We also have our presence in other cities which makes our services available all over the country.
Contact us NOW if you want to open an entity in Vietnam. Talk to our consultant to know what you need to prepare for business incorporation in Vietnam.
