We would like to provide legal advices on possibilities of formation of wholly foreign invested company in Ba Ria – Vung Tau Province, Vietnam (hereinafter referred to as “NewCo”) in field of exporting stones as follows:
I. BRIEF SUMMARY OF BACKGROUND
According to Vietnam Law on Investment and Vietnam WTO’s Commitments, it is possible to setup wholly foreign invested company operating the above mentioned field. Furthermore, we would like to note that during the licensing process, the competent authority may examine carefully some following points:
Location of NewCo: Investor is required to provide accurate address of location where the company is based. Also, competent authority shall require investor to provide physical lease contract of location and other related documents of the location such as: Certificate of land use rights of lessor or certificate of building ownership…
Charter capital of NewCo: Vietnam Law does not imply a minimum amount of investment capital to setup a company operating in the field of stones exporting. However, foreign investor must prove that amount of investment capital is sufficient to run NewCo.
According to our actual practice, the investment capital for stones exporting Company should be from 50,000 USD to 100,000 USD. In order to prove the sufficient financial capacity before setting up company, it is required investor to provide bank statement certifying balance in the bank.
After NewCo is setup, investor is required to transfer such amount to NewCo’s account. Investor may have no more than 3 months to fully transfer the registered charter capital applied to JSC and no more than 36 months to fully transfer registered charter capital applied to LLC
II. SERVICES TO BE PROVIDED BY S&B LAW
1. Licensing Procedures
S&B LAW is ready to provide package service to Client for the purpose of establishing foreign invested company in Vietnam as follows:
- Providingadvices on all legal aspects relating to procedures of obtaining Investment Certificate for the NewCo from competent authority;
- Preparing Application Dossiers (in both Vietnamese and English) for obtaining Investment Certificate for the NewCo;
- Representing Client to submit the Application Dossiers for obtaining License Investment Certificate for the NewCo;
- Working with provincial competence authority on behalf of Client to obtain the best support on reviewing and considering the application and providing explanation and/or supplementation of application dossiers per request;
- Updating information of the approving process to Client;
- Receive new Investment Certificate for establishment of foreign invested company from provincial competent authority and hand it over to Client.
2. Post-Licensing Procedures
For Post Licensing procedures, S&B Law shall assist NewCo to:
- Obtain the Seal and Certificate of Seal Sample Registration from City Police;
- Publish the company operation on 03 continuous editions of newspapers;
- Register the Tax code number of NewCo in Department of Tax;
- Open the bank account for NewCo.
III. TIMING
- Within 01 (one) working day from singing legal service contract between two parties, S&B Law shall deliver to Client checklist of information and necessary documents for establishment of wholly foreign invested company in Vietnam;
- Within 07 (seven) working days from full receipt of information and necessary documents delivered by your Company, S&B Law shall deliver Client application dossiers for reviewing and proceeding;
- Within 01 (one) working day from full receipt of signed document provided by Client, S&B Law shall submit application dossiers to provincial competent authority;
- Within 30~45 (thirty to forty) days from submission of dossier to provincial competent authority, S&B Law shall obtain Investment Certificate;
- Within 03 (three) working days from obtaining Investment Certificate, S&B Law shall register and obtain the Seal and Certificate of seal sample registration and deliver to Client.
- Within 05 (five) working days from obtaining the Seal and Certificate of seal sample registration , S&B Law shall register and obtain Tax code number in the Department of Tax.
