Can foreigners register a business in Vietnam

12POSTS

11 years ago

Hi everyone

I am foreigner and had married a Vietnamese woman.聽 I had built a business under her name as the Vietnam Law at that time do not allow foreigners to register a business.聽 My wife is now filing for a divorce through the court here and wants take the business, properties and children.聽 I am now exploring the possibility of starting a business again but this time under my own name rather than under anyone else's name.聽 I know that the Vietnam Law has changed but not sure if foreigner can now register a business.聽 The information from the government websites are not clear and address mainly to Viet Kieus.聽 They do not address specifically about foreigners registering a business.

Any recommendation of a lawyer on this aspect would also be very helpful.

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ghengis212 Member

15POSTS

11 years ago

I'm not a lawyer but I had advice on this.聽 If you have聽 US$300,000 to spare you can register a foreign owned company, otherwise you're stuck with 49% for you and 51% for a Vietnamese partner/s.

There are companies that will provide the partners for you and charge you a fee (around $1200 a year for the partner and another $1200 a year for the accountant they provide). There was an upfront fee of around $2,500 if I remember correctly.

Hope this helps and good luck.

MegaMettle Member

12POSTS

11 years ago

Thanks for the info.聽 Looks like I have to partner with someone.聽 But any experience as to whether these partners are reliable or they will end up giving you problems as well.聽 I do not want to jump from the frying pan into the fire.

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spajcte Guest

0POSTS

11 years ago

Yes, you can.
There are 2 ways:
- Register a business under your own name as 100% investment from not-Vietnam citizen. The registration duration is about 45 - 60 days (or less for me) and you have to wait until you have business license to start business. You have only one license containing all information.
- Open a corporation or JS company with Vietnam citizen. The company establishing registration duration is about 10 days (or less) and you can launch your business right after the corporation/JS established. However, you have to do one more step is to register for investment license which takes about 45 - 60 days more to finish in order to withdraw your share or you won't be able to do that with only company establishment registration. You'll have 2 papers to keep.

The investment depends on business section you want to register. With these, you can have 1 years visa.

You can contact me for any further information.

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MegaMettle Member

12POSTS

11 years ago

Thanks for the info.

What is the investment required if it is a trading company in industrial products under my own name?

spajcte Guest

0POSTS

11 years ago

Use a HS registration with a VNese partner who hasn't the least bit of interest on the business. Pay them $200 or so a year to keep in touch. (For paperwork).

If you ever involve a best friend/wife/etc ALWAYS GET A WATERTIGHT PARTNERSHIP AGREEMENT DRAWN UP.

Even if your wife divorces you, you are entitled to you money you put in before marriage and 50% thereafter. Business split is as per ownership interest.

I also keep my funds overseas!

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MegaMettle Member

12POSTS

11 years ago

Thanks for the advice.

Excuse my ignorance, but what is a HS registration?

saigonlolo Active member

29POSTS

11 years ago

Each type/class of product that you intend to trade is assigned something called a "HS Code". This determines the amount of duties that you'll need to pay on them. You can look it up: https://www.dfat.gov.au/fta/aanzfta/annexes/aanzfta_annex1_vietnam_tariffschedule.pdf At the moment, I would be more concerned about actually getting the business up and running. Perhaps Jaitch is referring to a CPC registration? This is basically the "code" for the line of business in which you intend to operate. Among other things, it will let you know whether you can own the business alone (as a 100% foreign-owned company) or whether you must partner up with a Vietnamese partner (joint stock). Drop me message if you need any help.

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Anna2711 Member

3POSTS

11 years ago

#10

Well, sorry to hear about that. Actually the business could be under Vietnamese name or under other name as long as they have mutual agreement documentation. It s still valid. If your wife reject to transfer the name for you, it was very unfortunately to say that you lost the business.

To register 100% under your name, yes you must submit business and financial plan proposal to government and WAIT till get approved. Some of criterias including how much is your initial investment, because gov must make sure you have a strong financial fundamental to step inside the market. For a small business, I sugest you just find a local to hold a name as a shareholder 49/51 or 50/50 together with one more agreement paper attached to prove that you are shareholder or this business is under your name. Because under Vietnamese law, foreigners cannot register for a small business, but CAN BUY a business. Hope it might help!

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hannah.le Member

3POSTS

11 years ago

#11

Hi MegaMettle,

I am sorry to hear that.
You can register the company under your own name. I can arrange a meeting for you with my experienced lawyer partner and give you free consulting before you decide the next steps. Plz feel free to contact me if you need any further information.

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spajcte Guest

0POSTS

11 years ago

#12

Oh, you do not know why he is getting divorced. Sounds like you just assume it is the vietnamese girls fault. My general聽 experience of expats is that they are the most self interested people you will ever meet and carry the delusion that they are 'giving something; to the host country. Most vietnamese girls experience of romance with foreigners is disappointment, pathologically lied to - all the while dating some slob 20 years older! A few exceptions of course..

spajcte Guest

0POSTS

11 years ago

#13

philip983 wrote:
Oh, you do not know why he is getting divorced. Sounds like you just assume it is the vietnamese girls fault. My general聽 experience of expats is that they are the most self interested people you will ever meet and carry the delusion that they are 'giving something; to the host country. Most vietnamese girls experience of romance with foreigners is disappointment, pathologically lied to - all the while dating some slob 20 years older! A few exceptions of course..

Great generalisation based little on reality. Obviously a man of little experience聽 or knowledge.

Self interested? Delusional? Pathological liars? Slobs 20 years older?

Ever heard of the Chinese proverb: "Point a finger at someone and three point back at you"? What you are saying says much more about you than other people.

I know a 'mixed' family where the VNese wife tragically died young leaving her Foreigner husband and three children as survivors. The dead woman's family offered unlimited support, and continue to do so, and the "self-interested, delusional, pathological liar" of a widower struggled to bring the children up in their late Mother's tradition. He also took Vietnamese citizenship so he couldn't be separated from his children.

Now, some eleven years later, his children have matured in to teenagers and the bond between them, their Father and the maternal family continues. He has never remarried, even though his extended Vietnamese family encouraged him to do so.

This is your "self-interested, delusional, pathological liar"?

I know several other older 'mixed' couples who are still happily together, in VietNam, in retirement.

As for the delusion that they are 'giving something' to the host country, my company employs over thirty females and my wife's (joint owned) hotels employ another eleven. All are paid well above the going rate, have all benefits paid by us and we also finance a visit by a dentist from HCM once every six months. Each and every month we pay taxes on the first business day of the month - well before they have calculated how much we owe. You will find that the tax authorities in most provinces like dealing with Foreigners as they pay on time and don't try to 'cook the books' too much.

The companies are run in accordance with Canadian practice as well as Vietnamese law.

I have two small enterprises in HCM as well as farming out assembly work to home-bound workers.

These endeavors do benefit the country and could be called 'giving something' to the host country. I, and my partners, provide instruction to local pupils at no cost, and we volunteer to help the minority groups where we live.

Vietnamese females are very non-discriminatory when it comes to age differentials regardless of the relationship.

So, I suggest you take your bitter, twisted, opinions back to England, I can't understand why you remain here - the Vietnamese are little different to any other culture other than their driving skills.

P.S. I wonder where in VN you live, or who you live with.

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spajcte Guest

0POSTS

11 years ago

#14

100% Foreign Owned Enterprise in the form of a Single Member LLC. "There is usually no minimum capital requirement for foreign investors that intend to establish an LLC in Vietnam."

MegaMettle Member

12POSTS

11 years ago

#15

Ms Hannah Le

Thank you for your offer to help.聽 I am still trying to get a grip on things and will contact with you when the time is right.

In the meantime, thanks to all for your comments.聽 In response to Jaitch, I think Ms Hannah is sorry not for me but the situation because she does not know the circumstances.聽 In any case, I believe that all of us has reasons for arriving at the situation we end up in.聽 It is difficult to generalize as the circumstances and the background are different in every situation.聽 I had started this thread to seek for advise and assistance, and not to gather support to say that I am聽 the "good guy".聽 There is then the point that there is many Vietnamese girls who are "good" and also many Vietnamese girls that are "bad".聽 But this also applies to any girls of any nationality.聽 Foreigners too.聽 There are many foreign men who are "good" and many foreign man who are "bad"; not "a few exceptions.....".聽 This applies to Vietnamese man too.聽 We are all adults.聽 The time when we can clearly say something is good" or "bad" as kids is over.聽 As we get older, "good" and "bad" becomes very subjective.聽 Generalizing may then become inappropriate.

In any case, I want to thank everyone for their comments and I will take note of all that is said.

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spajcte Guest

0POSTS

11 years ago

#16

Hi Jaitch. I only just say YOUR reply. I actually said MOST men and I actually defended Vietnamese girls who have relationships with foreigners. On many a blog here, MANY foreigners have said TERRIBLE things about vietnamese women, basically saying they are ALL money grabbing liars. Fair play to the foreign men YOU know who have had good and long term relationships with vietnamese women. If. on reading my reply, you still think I should sod off back to England then you can sod off too! BTW, I am a qualified teacher (the degree and teaching qualification). Anyway, good luck to you!

jennyphamau1111 Member

19POSTS

10 years ago

#17

Take consideration to share business with wife, girlfriends...business is business and let emotion be a separate part....Get help from lawyers in Vietnam and they could assist to advise best business structure, ownership and others. Cheers, Jenny

spajcte Guest

0POSTS

10 years ago

#18

The laws in Viet Nam are very weak and even weaker when it comes to a foreigner. Dont invest what you cant afford to lose.

charmavietnam ViP

2841POSTS

10 years ago

#19

This thread is too old聽

jennyphamau1111 will be the top poster of the day!
Yeah, even Vietnamese thinking about closing business here because of complicated red tapes.

colinoscapee wrote:
The laws in Viet Nam are very weak and even weaker when it comes to a foreigner. Dont invest what you cant afford to lose.

bluenz Member

1933POSTS

10 years ago

#20

charmavietnam wrote:
This thread is too old聽
jennyphamau1111 will be the top poster of the day!
Yeah, even Vietnamese thinking about closing business here because of complicated red tapes.
colinoscapee wrote:
The laws in Viet Nam are very weak and even weaker when it comes to a foreigner. Dont invest what you cant afford to lose.

Top poster for suggesting to see a VN lawyer????.
Complicated red tape?? Tell me why then, when there are already several businesses doing the same type of business in the same street, that yet ANOTHER business doing EXACTLY the same will also open????,聽 I've just seen the same thing happen here in the last 3 months with restaurants, and 2 of them had already gone bust in that time.

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oyinlami Active member

38POSTS

10 years ago

#21

wow this thread got me thinking. I wanted to come into Vietnam to do business but am not sure any sure anymore. I am thankful for all聽 contribution. Olawale

Sophie in HCM Member

18POSTS

9 years ago

#22

Hello, I have the same question whether a foreigner can apply a 100% foreign-owned company in Hochiminh, if you already have that experience, hope you can help me. Thank you so much.

tranus Serial expat

545POSTS

9 years ago

#23

Sophie in HCM wrote:
Hello, I have the same question whether a foreigner can apply a 100% foreign-owned company in Hochiminh, if you already have that experience, hope you can help me. Thank you so much.

Yes you can, I did it 1.5 years ago.
It's a 100% foreign investor LLC (limited liability company).
Depending on your business field, you'll have to inject a certain amount of capital. From what I heard, between 5000 usd and 100 000 usd.
I can recommend you a reliable vietnamese lawyer who works with a lot of foreigners.

connextions New member

4POSTS

9 years ago

#24

Moderated by Christine 9 years ago
Reason : off topic + please post useful information on the forum

chiavetta Active member

47POSTS

9 years ago

#25

thanks for this kind of info

hannacollberg Banned

2POSTS

9 years ago

#26

Moderated by kenjee 9 years ago
Reason : Off topic. Drop advert only in Classifieds section.

mickoh99 Member

2POSTS

9 years ago

#27

Can I have your contact details? Please

Priscilla ViP

42358POSTS

9 years ago

#28

@ mickoh99 > To whom are you talking to please?

Thanks,

笔谤颈蝉肠颈濒濒补听

annieways Member

1POSTS

9 years ago

#29

#tranus, Can you send me this person's contact?

Cuong Pham New member

8POSTS

9 years ago

#30

I know the topic is old, since 2014. But two year later then, so far Vietnam government already made many changes in the law on investment and enterprise, which encourage foreign investment to Vietnam. Although some limits for foreign business, I can see the effort and create opportunities for expats to do business in Vietnam.
Back to you guys query on whether a foreigner register 100% foreign owned business in Vietnam, I can say YES, but it is depend upon some factors that I list below.
There are some factors control the process of business set up in Vietnam:
+ Business fields (whether it is prohibited or required conditions to process, it is following WTO Commitment and Vietnam law on investment which declares 267 conditional business fields)
+ Product (whether it is prohibited or need any license to distribute in Vietnam)
+ Nationality of owner (Seldom)
+ Location (sometimes, for some industries, starting a business in Hanoi (capital) is easier than in other cities)
For any foreign owned business in Vietnam, the steps of setting up your business could be listed as:
a, Step 1: Obtaining Certificate of investment registration
It allows you to invest in Vietnam
b, Step 2: Obtaining Certificate of business registration
It allows you to open company in Vietnam
c, Step 3: Post license procedure
opening company bank account, company stamp, tax registration
d, Obtaining other licence
There are some conditional business fields that require foreign business to acquire before start business in Vietnam. Please send me your business plan, I will help you to check whether your business is prohibited or require any conditions.
xxx

Moderated by Bhavna 9 years ago
Reason : Please do not propose your own services on the forum. Register in the business directory. Thank you
We invite you to read the forum code of conduct

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Cuong Pham New member

8POSTS

9 years ago

#31

Sophie in HCM wrote:
Hello, I have the same question whether a foreigner can apply a 100% foreign-owned company in Hochiminh, if you already have that experience, hope you can help me. Thank you so much.

Dear Ms. Sophie,
My answer is a foreigner can apply a 100% foreign-owned company in Vietnam.
But there are some factors control the process of business set up in Vietnam, and control the condition to own 100% company in Vietnam:
+ Business fields (whether it is prohibited or required conditions to process, it is following WTO Commitment and Vietnam law on investment which declares 267 conditional business fields)
+ Product (whether it is prohibited or need any license to distribute in Vietnam)
+ Nationality of owner (Seldom)
+ Location (sometimes, for some industries, starting a business in Hanoi (capital) is easier than in other cities)
May I know your business plan regarding my 04 factors above?

2 members reacted to this post

Cuong Pham New member

8POSTS

9 years ago

#32

oyinlami wrote:
wow this thread got me thinking. I wanted to come into Vietnam to do business but am not sure any sure anymore. I am thankful for all聽 contribution. Olawale

Dear Oyinlami,
There are some factors control the process of business set up in Vietnam, and control the condition to own 100% company in Vietnam:
+ Business fields (whether it is prohibited or required conditions to process, it is following WTO Commitment and Vietnam law on investment which declares 267 conditional business fields)
+ Product (whether it is prohibited or need any license to distribute in Vietnam)
+ Nationality of owner (Seldom)
+ Location (sometimes, for some industries, starting a business in Hanoi (capital) is easier than in other cities)
May I know your business plan regarding my 04 factors above? Then I will help some more instruction.

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safetywa Member

20POSTS

9 years ago

#33

Well said

ANDYESTER Member

3POSTS

8 years ago

#34

I want to start up a consultantancy business in Vietnam.I will use my laptop to do this and visit Vietnamese businesses and will have no office.Also I will use no money to conduct this business, solely use my experience in my specific field.Question is , in order to get a licence to do my business, will I have to have any capital? What kind of business will I have to form and how much will the legal costs be?

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DELAFON Serial expat

268POSTS

8 years ago

#35

Just registered my business.
100% ownership.
no wife, no partner.
6 weeks to get my business licence.
1700 $ for the lawyer.
Capital investment 15000 $.

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ANDYESTER Member

3POSTS

8 years ago

#36

Your legal costs was excessive. Vietnam must be the most expensive country in the world to set up a business.Sorry to say.I am sure you can setup a business in Vietnam not using attorneys.

spajcte Guest

0POSTS

8 years ago

#37

Go ahead and try. Can you read and write fluently in Vietnamese, as you will need that,and also know how to deal with money hungry officials. Good luck.

spajcte Guest

0POSTS

8 years ago

#38

@ ANDYESTER,
You will have to have a physical address to start a business and transfer the equivalent of $30,000 to a VNese bank. You can withdraw the money and send it back if you wish once you get your business license. This is the advice I got from my VNese lawyer. There are other options as well. Not sure how Delafon was able to have a capital investment of $1,500. As a footnote I did not think the legal costs or the capital costs were extreme here.聽 My attorney's firm is the law firm that brought the likes of Starbucks and many other big names to VN, so they know their stuff as it pertains to business law in VN. And the most honest attorney I have found in any country. Good luck

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spajcte Guest

0POSTS

8 years ago

#39

Vagabondone wrote:
@ ANDYESTER,
You will have to have a physical address to start a business and transfer the equivalent of $30,000 to a VNese bank. You can withdraw the money and send it back if you wish once you get your business license. This is the advice I got from my VNese lawyer. There are other options as well. Not sure how Delafon was able to have a capital investment of $1,500. As a footnote I did not think the legal costs or the capital costs were extreme here.聽 My attorney's firm is the law firm that brought the likes of Starbucks and many other big names to VN, so they know their stuff as it pertains to business law in VN. And the most honest attorney I have found in any country. Good luck

Delafon had 15000 usd capital.

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The Ho Chi Minh City expat guide

Comprehensive and free

Read it now

charmavietnam ViP

2841POSTS

8 years ago

#40

I just transferred 'my' company under my name which is a 500m VND investment company. If you are a foreigner registering new company and transferring company will cost a lot. My transferring fee was 23000K + GTGT = 25800K (when register new it was below 5M

). When transfer company need new investment bank account (for 500M )in BIDV (for locals, it can be in any bank and previous owner's was in Vietcombank) and we don't need to 'invest' that 500M.