A representative office of a foreigner in Vietnam

Reference situation:

Shinichi company is based in Japan. The company specializes in food distribution and importation. Before officially breaking into Vietnam’s market, the company would like to establish a representative office to do market surveys to grasp the demands and tastes of food of consumers in Vietnam. The representative office also plays the role of searching Vietnamese partners relating to the distribution and importation activities. The company would like to consult lawyers about the procedures for the establishment of its representative office in Vietnam.

Our legal advice:

According to Decree No. 07/2016/ND-CP and Circular No. 11/2016/TT-BCT, Shinichi company is a foreigner trader:

1. Conditions for the establishment of a representative office 

– Operation time of Shinichi company: the company must operate in more than 01 year from the date of establishment or registration

– The activities of the representative office must be subject to the international commitment to which Vietnam is a party. Under the commitments on the service sector of Vietnam, the company is permitted to establish a representative office which is not permitted to perform profitable activities.

2. Procedures for the establishment of a representative office

Shinichi company will perform the procedures for its representative office in a provincial department of trading and industry or management board of an industrial park, a processing zone or a high technology zone.

Please click here to refer to the necessary documents and procedures for the establishment of a representative office of a foreign trader.

3. Operation of a representative office 

– The head of a representative office must not concurrently hold one of the following positions:

a) A head of a branch of the company

b) A head of a branch of another foreign trader

c) A legal representative of the company or another foreign trader

d) A legal representative of an economical organization under law of Vietnam

– Scope of operation: Contacting, researching market and promoting business opportunities.

– Operation report: the representative office is responsible for reporting its operation in the preceding year to the licensing authority before 30 January each year.

This is the preliminary legal advice of Bizlawyer & Partners. Please do not hesitate to contact us through the following address should you have the demand to use our service. Bizlawyer & Partners looks forward to our cooperation. 

Bizlawyer & Partners Law Firm

Hanoi Office: Unit 505A, Thang Long Ford building, Dong Da district, Hanoi, Vietnam

Ho Chi Minh City Office: Unit A16.12, Sky Center, 5B Pho Quang street, Tan Binh district, Ho Chi Minh city, Vietnam

Email: info@bizlawyer.vn

Phone number: (+84)86 888 1900

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