To implement the plan of business expansion in Vietnam, foreign invested company (FIC) has to amend of its Investment Certificate in Vietnam authority.
Under Vietnam Law on Investment, in order to obtain License for expansion of business scope, foreign investor must also considered following factors:
– Business operation results from the most recent year must be positive. FIC having negative business operation results in many continuous years may be not licensed to expand its business scope in Vietnam;
– Foreign Investor must prove that it has sufficient financial ability to implement its plan of business scope expansion. The investment capital can be increased through one of two options:
+ Loans with a guarantee from a reputable Bank or
+ Increasing charter capital.
However, according to our experience, increase of charter capital shall be much favored.