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Service of Establishing a 100% Foreign Invested Company

Service of Establishing a 100% Foreign Invested Company

TinLaw – one of the leading brands in Vietnam operating in the field of legal consulting. With more than 10 years of experience, we are proud to be an expert in the field of consulting establishment of companies for foreign investors, 100% foreign invested company, joint venture company, merged companies…. TinLaw has completed more than 2,630 applications for establishment of 100% foreign invested companies in Vietnam. We commit to satisfy every customer, even the most demanding foreign investor.

Characteristics of 100% foreign invested companies:

  • Being a foreign organization or individual investing capital to establish a company in Vietnam to carry out its business activities
  • Having legal status in accordance with the laws of Vietnam, subject to government by the laws of Vietnam, enjoying the same rights and interests as other enterprises in all economic sectors
  • Established in the type of a limited liability company, with liability limited to the capital invested in its business
  • The assets of a 100% foreign owned enterprise are owned by one or more foreign organizations or individuals

Vietnam always encourages foreign investors to make investments in Vietnam, so all companies established with 100% foreign capital will receive more incentives than domestic ones. According to current regulations, foreign investors will be exempted or reduced corporate income tax (CIT) in the following cases:

  1. Vietnamese residing overseas when returning home to establish a company will enjoy a 20% CIT reduction.
  2. CIT Exemption applied to the value of patents, technological processes, services, know-how of investors
  3. CIT Exemption for foreign investors transferring capital contribution to state-owned companies or companies with shares held by the state
  4. CIT shall be refunded to foreign investors using income for reinvestment in the encouraged investment domain.

However, the procedure for foreign investors to set up a 100% foreign owned company is still quite complicated, even they are evaluated as “cumbersome” despite the fact that the State has adopted many open policies in conducting the procedures. The process of preparation of dossiers and procedures are always public and clear. However, this still causes a lot of troubles for foreigners who intend to invest in Vietnam.

That is why foreign investors and enterprises need the service of establishment of 100% foreign owned companies of TinLaw.

Establishing a 100% foreign owned companies
Establishing a 100% foreign owned companies

The process of establishment of 100% foreign owned companies of TinLaw

Step 1: Applying for granting investment registration certificate

The investor is an individual

  • A written request for permission for execution of the investment project
  • An investment proposal
  •  Copies of ID card or passport of the investor notarized and legalized by a Vietnamese diplomatic mission abroad
  • Confirmation of the account balance of the investor equaling to the expected capital in Vietnam
  • The head office lease contract including the land use right certificate, the building permit, the enterprise registration certificate with the function of real estate business of the lessor

The investor is an organization

  • A written request for permission for execution of the investment project
  • Proposal of the investment project An investment proposal
  • A copy of the Certificate of incorporation or other equivalent document that certifies the legal status of the investor (a notarized and legalized copy by a Vietnamese diplomatic mission abroad)
  • A copy of one of the following documents: Confirmation of the bank account balance of the investor equaling to the expected investment capital in Vietnam, financial statements in the last two years of the investor; commitment of financial support by the financial institution; commitment of the parent company to provide financial support; guarantee for investor’s financial capacity;
  •  The head office lease contract including the land use right certificate, the building permit, the business registration certificate with the real estate business function of the lessor
  • If the project uses the technology, the company must attach a written explanation on the use of the technology including: name of the technology, the origin of the technology, the technology process diagram; main specifications, use status of machinery, equipment and main technological line.

Step 2: Applying for granting Enterprise Registration Certificate

  • Investment Registration Certificate
  • Application for enterprise registration
  • Company charter
  • List of members/list of founding shareholders
  • Copies of the following documents: ID card/passport (if the member is an individual); decision on establishment, enterprise registration certificate or other equivalent document of the organization and letter of authorization; citizen identification card, identity card, passport or other lawful personal identification of the authorized representative ( if the member is  an organization);

Step 3: Posting the announcement of enterprise establishment

After being granted the enterprise registration certificate, the enterprise must publicly announce it on the national information portal on enterprise registration.

Step 4: Engraving corporate seal

After obtaining the enterprise registration certificate and the enterprise establishment announcement has been made on the national information portal on enterprise registration, the enterprise carries out seal engraving and announces the seal specimen of the enterprise on the national information portal on enterprise registration.

If the investors want to be advised on issues related to company establishment, want to be assisted, want us to act on your behalf to work with state agencies in the process of performing the company establishment procedure … please contact us now at 0918 888 726.  

Satisfaction is what customers need; prestige and dedication in providing the service of 100% foreign-owned companies establishment is our objective. TinLaw – ready to accompany you to success.

TinLaw

TinLaw

TinLaw với mong muốn nâng cao nhận thức về tầm quan trọng của Pháp lý & Kế toán trong kinh doanh, luôn đồng hành và đưa ra các giải pháp hiệu quả, tối ưu chi phí để giúp cho doanh nghiệp SMEs vận hành đúng luật và phát triển bền vững.