What is a Business License in Vietnam? Requirements and Application Process

Getting a business license is the first and foremost step to establishing a business. Check out this article by Thao & Co. to learn about the requirements and process of getting a business license in Vietnam.

What is a business license in Vietnam?

A business license in Vietnam is a certification issued by authorized agencies. It serves as official permission for enterprises to conduct business in specific industries.

However, nowadays, the term “business license” usually refers to all types of business certification documents in general. This can lead to confusion when preparing documents to apply for a specific type of business certification.

⭐Keep in mind: An enterprise registration certificate is different from a business license. The enterprise registration certificate is the required document for all types of enterprises, regardless of their business sector.

Significance

1. • Legal compliance: A business license is proof of legal business operations.
2. • Protection of rights: A business license also protects the basic rights of your enterprise and your customers.
3. • Credibility: Possessing a valid business license contributes to the credibility of your enterprise, fostering trust and cooperation.

Types of business licenses

Currently, in Vietnam, each business line has different conditions and requires certain types of business licenses.

1. • Cosmetics business license
2. • Travel business license
3. • Transportation business license
4. • Liquor business license
5. • etc.

Some sectors may require other certificates, such as:

1. • Fire safety certificate
2. • Food safety and hygiene certificate
3. • Lawyer’s license
4. • etc.

What is a business license ID?

A business license ID or enterprise identification number is a series of numbers issued to a newly established enterprise through the national portal. It is also the enterprise’s tax identification number and social security number.

There are 3 ways to look up an enterprise’s identification number:

1. 1. Visit the national portal: Visit dangkykinhdoanh.gov.vn and search the tax identification number or the name of the enterprise you want to look up.

1. 2. Request information from the Business Registration Office: Individuals or organizations can submit a formal request to the Business Registration Office for information on the business license ID.

1. 3. The General Department of Taxation’s website: Visit tracuunnt.gdt.gov.vn and fill out the required information to look up an enterprise’s business license ID.

Enterprise registration certificate and business license in Vietnam – What’s the difference?

These two terms can be confusing and often used interchangeably. However, they are two different types of documents, each with its own legal significance.

+ Business license

1. • Other name(s): Business permit, operating permit, or trade license
2. • Conditions: Your enterprise must comply with regulations on facilities, charter capital, practising certificate, and so on for the particular industry you plan on operating in.
3. • Required documents and procedures: As regulated by the Department of Planning and Investment and evaluated by authorized agencies.
4. • Validity period: From several months to several years.
5. • Examples: Food and beverages service license, real estate broker license, environmental license, etc.

+ Enterprise registration certificate

1. • Other name(s): Business registration certificate
2. • Conditions: The business lines you plan on registering are not prohibited by law. The enterprise’s name is in accordance with the law. The application dossier is complete and valid.
3. • Documents and procedures: Your application is processed by the Business Registration Office under the Department of Planning and Investment to decide whether to issue the certificate.
4. • Validity period: Permanent, until your enterprise ceases to operate or dissolutes.
5. • Examples: Enterprise registration certificate for sole proprietary, enterprise registration certificate for single-member limited liability company, enterprise registration certificate for joint-stock company, etc.

Latest business license sample

Check out the latest samples of Vietnam business licenses for conditional business lines.

Documents for obtaining a business license in Vietnam

The complete dossier for a business license application includes:

1. • Application for incorporation
2. • A draft of the articles of incorporation
3. • List of members/shareholders
4. • Copies of members/shareholders’ personal documents
5. • Power of attorney for representative, copies of the representative’s personal documents
6. • Written decision of capital contribution
7. • Investment registration certificate (for foreign investors)

How to get a business license in Vietnam?

Individuals and enterprises can apply for a business license at authorized agencies such as:

1. • Department of Planning and Investment
2. • Department of Industry and Trade
3. • Department of Natural Resources and Environment
4. • etc.

Applying for a business license in Vietnam involves 3 key steps:

1. 1. Document preparation: Prepare your documents in accordance with specific regulations for your chosen business line(s).
2. 2. Application submission: You can submit your application in person or online.
3. 3. Await the results: You will be notified of the result of your business license application. If your application is rejected, you will receive a written explanation.

Business license fee in Vietnam

The fees for getting a business license in Vietnam range from 1 to 5 million VND depending on the type of license. For instance:

1. • Travel business license: 3 to 5 million VND
2. • Food safety and hygiene certificate: 1 to 3 million VND
3. • Security service license: 2 to 4 million VND

These fees may also vary based on your enterprise location. It is best to consult the national portal of specific industries to determine the exact amount.

Business license in Vietnam: Frequently Asked Questions

Here are the answers to some FAQs about getting a business license in Vietnam that you might find useful.

What is a conditional business license?

Certain business lines require enterprises to fulfill certain conditions on national defense, public health, social order, etc. Some examples are education, export, postal services, cosmetics, etc.

To obtain a business license for these conditional business lines, make sure you have the following documents:

1. • Enterprise registration certificate
2. • Practising certificate
3. • Professional liability insurance certificate
4. • Certificate of legal capital
5. • Other documents as required by the law

What are the penalties for operating a business without a license?

Under Vietnam’s law, an enterprise operating without a business license is subject to administrative penalties. The owner may incur fines ranging from 5 to 100 million VND and could face suspension of business operations for closure of the enterprise.

What is a business permit?

Business permit is another name for “business license in Vietnam“. It is issued by authorized agencies to enterprises that meet the conditions of specific business lines as regulated.

What is business license transfer?

Transferring a business license is transferring the ownership of an enterprise from one individual/organization to another.

What is digital certification of business license?

Digital certification is the process of certifying a copy of the original business license through the national portal. This digital copy has the same legal validity as the original license.

Key takeaways

So far, Thao & Co. has covered all the basics of applying for a business license in Vietnam. This is an important document for establishing a new enterprise but the application process can be challenging for new entrepreneurs and foreign investors.

That’s why Thao & Co. is here to help you conquer the Vietnam market. Our business set-up support services include:

1. 🔸 Legal consultation and enterprise type selection
2. 🔸 Document preparation and submission
3. 🔸 Legalization and notarized translation services
4. 🔸 Investment registration and other legal documentation support
5. 🔸 Comprehensive support throughout the entire process

Have more questions? Leave your information on our Contact page or message us on our website. Thao & Co. will promptly reach out to help you get started with your business.

Get in touch

Address: Floor 3, 86 Dien Bien Phu Street, Da Kao Ward, District 1, Ho Chi Minh City, Vietnam (Google Maps)

Phone number:  (+84) 28 6682 6636

Email: [email protected]