In the form of a trading presence, several international traders have gained access to the Vietnamese market. The method of establishing overseas commerce branches in Vietnam is very noteworthy.

Hong Bang Law Firm would like to send Clients advice on procedures for applying for a license to establish a branch of a foreign trader as follows:

Legal basis

• Decree No. 07/2016/ND-CP detailed regulations on establishment of representative offices or branches of foreign traders in VietNam under laws on commerce;
• Circular No. 11/2016/TT-BCT on forms prescribed in decree no. 07/2016/ND-CP dated January 25, 2016 of the Government on guildelines for the law on commerce in terms of representative offices and branches of foreign traders in VietNam.

Conditions for grant of licenses to establish branches of foreign traders in Vietnam

• The foreign trader is incorporated and registers for doing business in accordance with provisions of laws of countries or territories being parties to treaties to which Vietnam is a signatory or is recognized by the aforesaid countries or territories;
• The foreign trader has come into operation for at least 05 years from the date of establishment or registration;
• The Certificate of Business registration or equivalent document is valid for at least 01 more years from the date of submission of the application;
• The scope of operation of the branch is conformable with Vietnam’s Commitments to market access stipulated in treaties to which Vietnam is a signatory shall be consistent with lines of business of the foreign trader;
• Where the businesses of the representative office is inconsistent with Vietnam’s Commitments or the foreign trader is not located in one of countries or territories being parties to treaties to which Vietnam is a signatory, the representative office can be established only if they obtain a prior consent of the relevant Minister for establishment of the representative office.

Dossier

• An application form for license for establishment of the branch using the form promulgated by the Ministry of Industry and Trade and signed by a competent representative of the foreign trader.
• Copies of the Certificate of Business Registration or equivalent documents of the foreign trader;
• A letter of appointment of the head of the branch;
• Copies of audited financial statements or certificates of fulfillment of tax liabilities or financial obligations of the last fiscal year or equivalent documents as proof of existence and operation of the foreign trader issued or certified by competent authorities where such foreign trader is established;
• Copies of the branch charter;

• Copies of the passport or ID card (for Vietnamese) or copies of the passport (for foreigners) of the head of the branch;
• Documents on the expected location of the branch including:

• • Copies of memorandum of understanding (MOU) or leasing agreements or documents as proof of the right to use a location as the branch;
  • Copies of documents on the expected location of the branch under Article 28 hereof and provision of related laws.

Competent authority and time of implemetation

Competent authority: Department of Planning – Ministry of Industry and Trade

Time: 07 working days from the date of receipt of a complete valid dossier

Services of Hong Bang Law Firm

• Advise on the appropriate type of business for clients;
• Draft, prepare and check the validity of the dossier;
• Work with state authorities;
• On behalf of the customer to receive the results;
• Hand over the results to the customer.

If you need more detailed advice and answers as well as how to access this service, please contact directly our Lawyer Nhat Nam via hotline: 0912.35.65.75, 0912.35.53.53 or call the toll free legal consultation hotline 1900.6575 or send a service request via email: lienheluathongbang@gmail.com

Wishing you and your family good health, peace and success!

Best regards!