Here are the questions are commonly asked when our clients want to incorporate a company in Vietnam, along with Iris International’s responses.
Can a foreigner owns 100% a business in Vietnam?
Certainly, numerous business sectors in Vietnam, such as consulting, trading, information technology, and retailing, permit full foreign ownership. However, it’s important to be aware that certain industries like logistics, advertising, and media may have restrictions on the extent of foreign ownership allowed.
If you have any doubts regarding whether your intended business qualifies for 100% foreign ownership, we encourage you to get in touch with our consultants for a complimentary consultation. They can provide you with valuable insights and information tailored to your specific business plans and help you along with the establishing a business in Vietnam.
Can Joint Venture makes incorporation easier?
The distinction in Vietnam’s business registration process is primarily between a 100% local company and a 100% foreign-invested enterprise (FIE). Interestingly, the procedure remains consistent whether the company has just 1% foreign ownership or is entirely foreign-owned (100% foreign investment). Therefore, forming a joint venture should not be seen as a means to expedite the company registration process. Instead, it should be considered only when the nature of your business necessitates such a structure, rather than as a time-saving measure.
Is the Capital the dead money?
According to the law, the invested capital is accessible and can be utilized for the company’s benefit. Consequently, the injected capital can be allocated to cover various operational expenses, including rent and employee salaries. However, if you have exhausted your initial capital and intend to inject additional funds, you will need to amend your business license, which can be a time-consuming process.
Do I have to pay the Capital upfront?
In summary, NO, you cannot inject capital before the company has been successfully established. You will have three months to make the capital injection after the company’s establishment. It’s crucial to note that missing this deadline could result in the closure of the company or significant penalties if you request an extension.
What is the minimum Capital investment
In most cases, many businesses do not have a minimum capital requirement, allowing you to choose any amount you deem suitable. However, if your intention is to utilize the company for sponsoring your investor visa, having a substantial capital amount is advisable. It’s important to note that certain specialized businesses may have specific capital requirements. Therefore, before making a decision, it’s a good idea to consult with us to ensure you meet the necessary criteria for your specific abroad business setup in Vietnam.
How long does it take to open a company in Vietnam
Generally, the typical timeline for successfully establishing a company in Vietnam ranges from 1 to 2 months. However, the duration may vary depending on whether the business falls into a conditional or unconditional category. Additionally, the processing timeline can be influenced by the specific city where you are conducting the registration. For instance, some cities, such as Ho Chi Minh City, are known for their faster processing times compared to others like Hanoi or Danang.
I am not in Vietnam, can I open a company remotely?
In theory, YES, it is possible to establish a company in Vietnam without your physical presence in the country. There are two essential prerequisites for forming a company: having a business address and appointing a representative in Vietnam. If you can satisfy these two conditions, it is feasible to establish the company without you being physically present in Vietnam.
What can be the cost for opening a company in Vietnam?
Setting up a company is indeed a significant investment, and there are several major costs involved in the process. These can include:
- 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 Iris International’s refund policy?
Yes, we do have a refund policy in place. In theory, any unfinished work tasks may be eligible for a refund if the delay or cancellation of services is a direct result of mistakes made by Iris International and not due to the client’s inability to provide necessary information within the specified timeline.
Where is Iris International based?
Our main office is centrally located in the heart of Ho Chi Minh City, Vietnam, and we also have offices in Hanoi and Hong Kong. Our services are accessible throughout Vietnam and several other countries in Asia, enabling us to provide comprehensive support to our clients across the region.
Contact us NOW if you want to open a business in Vietnam. Talk to our consultant to know what you need to prepare for company formation in Vietnam.
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