Establishing a foreign invested company in Vietnam? Do you want to run a foreign-invested company in Vietnam? According to Article 3, Clause 21 of the Investment Law, “Economic organization is an organization established and operated in accordance with the provisions of Vietnamese law, carrying out business activities as an enterprise, cooperative, cooperative, commune and business investment activities. Includes other organizations. .
“A foreign-invested economic organization is an economic organization whose members or shareholders are foreign investors” ( Article 3, Paragraph 22 of the Investment Law ) . However, many people do not fully understand this issue. To understand this issue more deeply, please read the following articles to learn about the management of foreign-invested enterprises according to the Quoc Bao method. Consult with us now!
100% foreign-invested company in Vietnam and learn the key points to keep in mind to succeed in this opportunistic business environment.
Begin your journey of discovery regarding investment procedures in Vietnam, where opportunities await and success is not far away !
Do you need advice or support on what you are looking for ? For help setting up a business in Vietnam, investing, applying for temporary residence cards and visas, entry permits and work permits, please contact Vietnam Contact Luật Quốc Bảo .
Please contact hotline /zalo : 0763387788 .
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Mục lục
What is a foreign invested company?
Although the 2020 Investment Law does not have any specific provisions regarding the definition of a foreign-invested company, the following definitions can be used to understand a foreign-invested company . According to Article 3, Clause 21 of the Investment Law, “Economic organization is an organization established and operated in accordance with the provisions of Vietnamese law, carrying out business activities as an enterprise, cooperative, cooperative, commune and business investment activities . Includes other organizations. . ”
On the other hand, a “foreign-invested economic organization is an economic organization whose members or shareholders are foreign investors.” ( Article 3 , Paragraph 22 of the Investment Law ) . Investment capital is money and other assets defined in the civil law and international treaties to which the Socialist Republic of Vietnam is a signatory for carrying out investment and business activities. (Article 3 , Paragraph 23 of the Investment Law ).
“Foreign investor means an individual of foreign nationality or an organization established under foreign law carrying out business investment activities in Vietnam” (Article 3, Paragraph 19 of the Law ) .
From the above definition, it can be understood that a foreign-invested enterprise is an enterprise established according to Vietnamese law and established or joined by an investor who is an individual or a foreign organization. We provide funds to carry out business activities in Vietnam.
Characteristics of foreign-affiliated companies.
About members, shareholders, and business owners
A foreign-invested enterprise (foreign-invested economic organization) is a company whose members or shareholders are foreign investors. A foreign investor of a foreign-invested enterprise is an individual with foreign nationality or an organization established under foreign law that carries out business investment activities in Vietnam.
Organizational form of foreign-invested enterprises
Foreign-invested enterprises in Vietnam must be organized in the form of enterprises in accordance with the provisions of Vietnamese law. Foreign investors have the right to choose the type of company that suits their needs to carry out business activities in Vietnam. Partnership ; single-member limited liability company. A limited liability company with two or more employees. and Ltd.
legal status
Foreign-invested companies in Vietnam may or may not have legal status, depending on the type of company established and registered under Vietnamese law. All foreign-invested enterprises established in the form of limited liability companies, joint stock companies, public companies, etc. have legal personality, unless the foreign investor chooses the type of private enterprise (which has no legal status). .
Capital ownership rate Foreign investors are allowed to own unlimited charter capital in economic entities.
However, the following cases are excluded. Percentage of ownership held by foreign investors in listed companies, public companies, securities exchange institutions, and securities investment funds based on securities laws. The ownership percentage of foreign investors in state-owned enterprises that are equitized or converted into other forms shall be in accordance with the law on equitization and transformation of state-owned enterprises. The ownership percentage of foreign investors that do not fall under the above two cases shall be subject to other provisions of relevant laws and international treaties to which the Socialist Republic of Vietnam is a party.
investment registration certificate
Before establishing a foreign-invested enterprise, foreign investors must implement an investment project and complete the procedures for issuance of an investment registration certificate in accordance with Article 38 of the Investment Law of 2020 . company If there is foreign investment capital and the company registration information, which is also investment registration information, is changed, the investment registration information recorded in the investment registration certificate must also be adjusted at the same time.
work
Foreign-invested enterprises are not permitted to carry out business investment activities in the industries and trades specified in Article 6 of the Investment Law and Schedules 1 , 2 , and 3 . For service sectors and sub-sectors that are not yet committed to or designated in Vietnam’s Schedule of Commitments in the WTO and other international treaties on investment, Vietnamese law already provides investment conditions . For foreign investors, the provisions of Vietnamese law shall apply.
the WTO are subject to the same investment terms and conditions as provided for investors from WTO member countries and regions, unless otherwise provided by law or international treaty. have the right to receive Between Vietnam and that country or region.
National agency that controls foreign investment
State agencies that control foreign investment include:
–Vietnamese Government The Vietnamese government carries out unified national management of investment throughout the country. The Government provides for the issuance of investment certificates by the Ministry of Planning and Investment, decides to decentralize the issuance of investment licenses to the People’s Committees of provinces and centrally run municipalities, and provides for the issuance of investment certificates. In export processing zones and industrial parks.
–Ministry of Planning and Investment The Ministry of Planning and Investment is the national governing body for foreign investment and is responsible for the government’s control over investment activities.
-The Ministry of Planning and Investment has the following tasks and powers : It has the main responsibility of formulating strategies and master plans for attracting foreign investment capital and submitting them to the government, and drafting legal projects on foreign investment; Adjust with. Institutions at the level of managing foreign investment activities shall guide the People’s Committees of provinces and centrally run municipalities in implementing foreign investment laws and policies.
Preparation of comprehensive list of investment projects, guidance of investment procedures, national management and consulting activities of foreign investment promotion. It receives investment projects, evaluates them under its authority, and has the main responsibility for granting investment licenses. It serves as a focal point for solving problems that arise during the formation, implementation and implementation of foreign investment projects. Investigate and inspect the implementation of foreign investment activities.
– Ministries, ministerial-level agencies, agencies attached to government ministries, ministerial-level agencies, and agencies attached to the government shall exercise state control of foreign investment according to their functions and powers, including: Developing laws, policies and plans related to foreign investment. Develop a list of plans and projects to attract foreign investment capital for the industry. Participate in the evaluation of investment projects. Guidance and processing of procedures related to the implementation and execution of investment projects. Inspect and inspect the operations of projects granted investment licenses in their field of responsibility.
– People’s Committees of provinces and centrally run municipalities According to their functions and powers, the People’s Committees of provinces and centrally run municipalities shall exercise state control over foreign investment in areas including:
Follow approved socio-economic development plans. Create and publish a list of projects that will attract foreign investment locally. Organize investment mobilization and promotion. Participate in the evaluation of foreign investment projects locally.
Based on government decentralization, it accepts investment projects, evaluates local projects, and grants investment licenses. Under its authority it handles administrative procedures related to the formation, implementation and implementation of investment projects. State control of the business activities of foreign-invested enterprises and business partners.
Investigate and inspect the business status of foreign-invested enterprises and those who have concluded business cooperation contracts.
Foreign invested company establishment service At Quoc Bao Law Office
Quoc Bao Law specializes in foreign investment services
Quoc Bao Law Office is proud to be a leading unit in foreign company establishment consulting services, always ensuring that all legal issues are resolved.
Quoc Bao Law determines that it is not capable of guaranteeing the customer, the project will not be accepted. We always quote package prices and guarantee that there will be no cost to you. Customers who use Quoc Bao Law ‘s services rarely need to travel (from consultation, quotation, contract, document collection, document signing).
Quoc Bao Law has a dedicated support and on-site service team. Providing your profile is very easy. Quoc Bao Law will draft all documents related to foreign-invested enterprise establishment services on behalf of customers, and our dedicated staff will always guide the implementation in accordance with the law, and provide documents at a reasonable and economical cost for businesses. Masu.
FAQ
How do foreign investors invest in Vietnam ?
According to the provisions of the Investment Law, foreign investors may invest in Vietnam in the following forms: Investment in establishing a new company. Investment in equity, acquisition of shares, acquisition of contributed capital. implementation of investment projects ; investments in the form of BCC contracts; New forms of investment and economic organizations subject to government regulation.
Can foreign investors invest 100 %?
Depending on the industry in which the investor operates in Vietnam, the law may stipulate the investor’s capital ownership percentage.
, such as construction, trade, and management consulting, where foreign investors can own 100% of the capital, there are also many fields where foreign investors can only invest a certain percentage of the capital, or where there are partnerships . Advertising, tourism, logistics, transportation, …
The above is information regarding the management of foreign-invested companies. We hope that the information provided by Quoc Bao method will be helpful in answering your questions regarding the above issues. If you need assistance, please feel free to contact Quoc Bao Law Firm . Get quick support. Quoc Bao Law is committed to helping our clients have the best possible experience with the services we provide. We are always legally with you.
Start your quest to set up a 100% foreign-invested company in Vietnam and learn the key points to keep in mind to succeed in this opportunistic business environment .
Begin your journey of discovery regarding investment procedures in Vietnam, where opportunities await and success is not far away !
Do you need advice or support on what you are looking for ? For help setting up a business in Vietnam, investing, applying for temporary residence cards and visas, entry permits and work permits, please contact Vietnam Contact Luật Quốc Bảo .
Please contact hotline /zalo : 0763387788 .
Address : 528 Le Van Sy , District 14 , District 3 , Ho Chi Minh City
Facebook fan page : https://www.facebook.com
