How to have a completely remote business in Vietnam

Buy/Sell company, Employer of Record, Hiring & Employment, New incorporation, Operations, Tax/Accounting/Payroll

How to have a completely remote business in Vietnam

How can I start a remote business in Vietnam?

What business can I do remotely in Vietnam?

How do companies work remotely in Vietnam?

How can you make a remote business successful in Vietnam?

IF the above questions concern you, read further to find the answers below.

Doing Business Remotely – The new reality in Vietnam

The outbreak of Covid 19 has brought our world into a new era of travel restrictions, border closures, and limited physical contact and communication. We have entered a new reality in which businesses must learn to adapt, survive, and then hope to thrive again in the face of all of these constraints.

There is a legitimate need and growing demand for remote business setup and management solutions. Many people had their businesses in multiple locations around the world prior to the pandemic. However, due to the travel ban, they are unable to visit these bases and must operate them remotely.

This fact has also put a lot of pressure on a lot of investors who want to start new businesses in other countries. Aside from the business opportunity itself, investors must now assess the possibilities and resources available in the chosen market, to determine whether they can assist them in setting up and running the business remotely. The investment decision will be made only after the feasibility has been confirmed.

This article will provide you with an analysis of the possibilities that Vietnam, as a potential regional economy, can support a completely remote business setup.

Remote business ideas in Vietnam

There are numerous remote business ideas open to investors worldwide. In Vietnam, you can name some popular businesses which can be done remotely as below:

Accounting/payroll services
Subscription business
Dropshipping
E-commerce
Internet marketing company
IT (Outsourcing, software development)
Online training/tutoring
Content writing
Consulting
Social media and Advertising
Trading
Virtual assistant business

The list could go on and on. In theory, any business that does not need to be attached to a specific physical location can be converted into a remote mode, as long as adequate resources for remote business are available.
The good news is that all of the resources required for remote business setup and management are available in Vietnam, and are also provided by VNBG.

How to set up a remote business in Vietnam

Obtaining a business entity in Vietnam remotely

Starting a remote business in Vietnam always begins with having a business entity under your name. There are two ways to do so, you can either create a new company or buy an existing business and transfer its ownership. Each approach has pros and cons. Depending on what business line you are targeting, each way will give you a better solution. Contact VNBG for more details.

Open a new company remotely in Vietnam

Company establishment in Vietnam without your physical presence in the country is entirely possible, as long as the necessary business setup conditions are met. The minimum two conditions for business registration for most business lines are:

Obtaining a business address
Having a legal representative who lives in Vietnam

Don’t worry if you’re not in the country to set up these two conditions. VNBV can offer solutions in this regard.
To begin, many business lines do not require a physical office address for registration, so Virtual Office, which VNBG can arrange, can be accepted.

Second, the legal representative condition can be met through a nominee role arrangement. The legal representative is not the company’s owner, and the investor can terminate this position at any time.
The combination of these two conditions will allow the company to be established without the investor’s presence in Vietnam.

Buy a business remotely in Vietnam

Similar to Opening a new company in Vietnam, buying a company here can also be done remotely if the above two conditions are well arranged (Business address and legal representative).

With the above conditions, a serviced company can assist you in drafting the documents for your signature and submission to the authority. After a few weeks, the business licenses will be obtained and forwarded to you. It means you’ve established yourself as a business owner in Vietnam.

Remote business bank account opening in Vietnam

A remote business in Vietnam would need a bank account to start its business. Opening a bank account should be the next step to do before you sign your first contract.
You can open a bank account in either a local or an international bank. The VNBG team will guide you through the entire process, from filling out bank forms to submitting them to the bank on your behalf and assisting you in setting up your internet banking system.
Finally, you can access and manage your bank accounts in Vietnam from anywhere.

Internet banking in Vietnam is pretty convenient and works very fast for domestic transactions. For international transactions that may take some time for paperwork, the VNBG tax/accounting service already includes the service to facilitate transactions with the bank for these international transactions.

How to run a remote business in Vietnam

Building a remote team in Vietnam

How to recruit your team in Vietnam remotely
After establishing a business entity in Vietnam, you must look for employees to run that business. You can post your job openings on a variety of online recruitment platforms, such as Vietnamworks.com or Linkedin. In Vietnam, Facebook is also used for effective recruitment.

Alternatively, the company can consider a recruitment service or using headhunting agencies. These agencies will search for candidates and give you the shortlists for selection. The recruitment services in Vietnam usually charge the fee based on the successful result. Therefore, you can engage multiple agencies at the same time until you find the candidate you want and only pay for that. Contact VNBG to learn more about recruitment practices in Vietnam.

Remote hiring in Vietnam

Once the recruitment process is completed, the company can sign the labor contract and enroll the candidate into its payroll. This process is subject to the Labor Code of Vietnam and the Law of Insurances of Vietnam.

Furthermore, the labor contract needs to be properly drafted. The company is also subject to a number of Employment reports every year and few other HR compliance responsibilities. You can find support from many serviced companies which provide Payroll and HR support services in Vietnam. Contact VNBG to get a free consultancy on this topic and price quotes for mentioned services.

Remote workforce management in Vietnam

As Vietnam has also implemented varying degrees of lockdowns to tackle the global coronavirus outbreak, the employees in Vietnam are getting acclimated to business-wide remote work arrangements, video conferences, and virtual collaborations. According to a recent survey, about 8 in 11 professionals in Vietnam reflect being satisfied with their current remote working arrangements, with more than 7 out of 11 noting a similar or increased level of productivity while at home.
Resultantly, more than 4 in 9 professionals want more work-from-home arrangements in the future, and this may become an increasingly important factor in determining employee job satisfaction or when they choose a new role.

Furthermore, leading at distance is definitely not an easy thing to do. Due to the lack of physical contact, many business managers found it difficult to keep the team’s productivity and efficiency at the expected level. Remote business environment development has become a significant challenge.

Luckily, with the support from technology, the problem can be solved via using the app, software for work tracking. The companies can consider using local HR support services such as co-working space arrangement with attendance check, admin assistance, employer branding service to help manage your teams without being physically present.

Business compliance while running a business remotely

A company in Vietnam has a number of reporting compliances that need to be met within the year. The most important one is Tax reporting compliance.
Even if the company has no revenue, it must submit periodic tax reports at least once a quarter. These tax reports have strict deadlines, and any late or non-submission will result in a large penalty or, worse, a tax code block.
Fortunately, tax forms can be submitted online (via the e-tax system) and tax payments can be made through internet banking. It is critical that the company is kept up to date on the deadlines for its tax reports.
Aside from tax reports, the company has a variety of other reports, including employment reports, operations reports, investment progress reports, and so on. These reports must be submitted once or twice a year. The reports are only available in Vietnamese. As a result, it is recommended that the company has the local staff capable of preparing and submitting the documents, or that it use an outsourced service.

VNBG’s solutions for remote business in Vietnam

VNBG is a one-stop-shop for foreign investors interested in doing business in Vietnam. We offer a variety of services that enable business registration and management at distance. VNBG provides remote business solutions in Vietnam as follows:

Remote Company registration: We assist our client in opening a new company remotely, including the arrangement of a Business Address and Nominee roles if needed.
Remote Company purchase: VNBG offers a complete package service for transferring ownership of an existing company to a new investor. The process is made as simple as possible for the investors. You only need to sign the documents we prepare; the rest will be handled by a VNBG specialist.
Remote Recruitment service: VNBG assists clients in finding and sourcing the best candidates in Vietnam. We represent the client’s business values and brand on the field, acting as an extension of your talent acquisition team. VNBG will not bill the service fee until the recruitment is successful.
Remote HR support service: We collaborate with businesses to assist them with HR issues such as labor contract drafting, employment reporting compliance, labor code, and employment practice and culture consulting.
Employer of Record: Employer of Record is another BPO service available to foreign companies that want to hire Vietnamese without establishing their own subsidiaries in the country. This approach to outsourcing employment works best for those who need to engage in Vietnam’s manpower as soon as possible.
Tax – Accounting – Bookkeeping: Our tax and accounting experts are available to assist businesses in preparing tax returns. We can also serve as your serviced accountants to ensure that your company is fully compliant with local tax laws. We can also offer tax and accounting advice and consultation.

With all of the aforementioned services available, VNBG is unquestionably a station from which to launch your remote business in Vietnam. For more information, please contact us.

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