Investment forms in Vietnam

Investment forms in Vietnam


1. Investment in establishing representative offices:


Foreign service providers are allowed to establish representative offices in Vietnam, but representative offices are not allowed to engage in direct profit-making activities.
Representative offices are dependent units of foreign companies established under Vietnamese law to seek, promote opportunities for commercial and tourist activities but are not allowed to participate in lucrative activities.


(According to the schedule of Vietnam's trade and service commitments in WTO - World Trade Organization, October 27, 2006).


2. Investment in establishing a Branch:


Foreign traders are allowed to establish their own representative offices and branches in Vietnam according to Vietnam's commitments in international treaties to which Vietnam is a member.


A foreign trader may not establish more than one Representative Office or Branch with the same name within a province or city directly under the Central Government.


(According to Article 3 of Decree No. 07/2016 / ND-CP dated January 25, 2016 detailing the Commercial Law regarding representative offices and branches of foreign traders in Vietnam).


3. Investment in the form of business cooperation contracts:


Foreign businesses are allowed to establish a commercial presence in Vietnam in the form of business cooperation contracts. Business cooperation contract is a document signed between two or more parties (in which at least one right is a Vietnamese legal entity and the other is a foreign legal entity) to conduct investment and business activities in Vietnam, which defines the responsibilities and division of business results of each party without establishing a legal entity.


(According to the schedule of Vietnam's trade and service commitments in WTO - World Trade Organization, October 27, 2006).


4. Investment in setting up a company with 100% foreign capital in Vietnam:


Foreign enterprises are allowed to establish a commercial presence in Vietnam in the form of a 100% foreign-owned enterprise.


(According to the schedule of Vietnam's trade and service commitments in WTO - World Trade Organization, October 27, 2006).


Investors may establish companies in accordance with the laws of Vietnam. Before establishing a company, foreign investors must have an investment project, carry out procedures for issuance of an Investment Registration Certificate as stipulated in Article 37 of the Investment Law No. 67/2014 / QH13 dated 26 / November 2014 and must meet the following conditions:

  • Ratio of ownership of charter capital stipulated in Clause 3 Article 22 Investment Law No. 67/2014 / QH13 dated 26/11/2014.
  • Form of investment, scope of operation, Vietnamese partners participating in the implementation of investment activities and other conditions in accordance with the international treaties to which Vietnam is a member.


(According to Article 22 Investment Law No. 67/2014 / QH13 dated November 26, 2014).


Thus, you can refer to some provisions of Vietnamese law on foreign investment in Vietnam and apply accordingly.


Theo Do Minh Son