The State has issued many incentive policies to support and encourage investment for foreign investors, so the number of foreign investors investing in Vietnam is increasing and tends to increase day by day.
In particular, one of the industries that attracts many foreign investors today is the prize-winning video game business for foreigners. Viet An Law Firm would like to give preliminary guidance on the process of foreign investors conducting the establishment of electronic game business companies according to the current law.
Legal basis:
- International treaties: BIT Vietnam – Japan
- Law of Vietnam:
- Law on Investment 2014;
- Enterprise Law 2014;
- Decree 86/2013 / ND-CP regulates the business of prize-winning electronic games for foreigners
- Circular 11/2014 / TT-BTC guiding Decree 86/2013 / ND-CP
- Decree 175/2016 / ND-CP amended and supplemented a number of articles in Decree 86/2013 / ND-CP
- Decree No. 96/2016 / ND-CP regulates security and order conditions for a number of conditional business investment sectors.
Investment conditions:
According to the Agreement on Freedom of Investment Promotion between Vietnam and Japan:
To be considered for licensing of enterprises operating in the field of electronic games business with a limited quantity as prescribed by the Government and only permitted to foreigners playing.
According to the provisions of Vietnamese law:
- Enterprises with tourist accommodation establishments rated at least 5 stars or high class by the competent state management agencies according to the provisions of the Tourism Law and guiding documents.
- There is an area to arrange Business Spots
- Having managers and executives of Business Spots with at least a university or higher degree and at least 03 years of experience in managing prize-winning electronic game business.
- Having the minimum charter capital of VND 200 billion
- Having a business plan of prize-winning electronic game to ensure the maintenance of social security, order and safety according to law provisions.
- Having an effective prize-winning electronic game business plan and ensuring the maintenance of social security, order and safety according to law provisions.
Company establishment process:
Step 1: Registration of investment
According to the provisions of the 2014 Investment Law, foreign investors when establishing enterprises in Vietnam need to carry out investment registration procedures at the Department of Planning and Investment.
Documents to be prepared include:
- Written request for implementation of investment project (according to set form);
- Copies of identity card, identity card or passport for individual investors; copy of the Establishment Certificate or other equivalent documents certifying the legal status for institutional investors;
- Report of financial capacity of the investor;
- Business cooperation contract with respect to the form of investment under business cooperation contracts; Joint venture contract for the form of investment in the establishment of a joint venture economic organization between domestic investors and foreign investors;
Processing time: 15 days from the date the Department of Planning and Investment receives complete documents, the investment registration authority issues the Investment Registration Certificate, in case of refusal, the investor must notify in writing privately and clearly state the reason.
Step 2: Registration of business establishment
Pursuant to the current Enterprise Law, the establishment of an enterprise should carry out the following procedures:
Documents should be prepared:
- Application form for enterprise registration;
- Charter of company;
- List of members of limited liability companies or list of shareholders of joint-stock companies;
- Valid copy of one of the following documents:
- Valid ID card or valid passport for individuals;
- Business registration certificate, for organizations and enclosed with personal identification papers, authorization documents of authorized representatives of organizations;
- The decision to contribute capital to the company’s members, corporate shareholders being organizations;
Place of submission: Department of Planning and Investment where the company is headquartered.
Processing time: 05 – 07 working days.
Result: Business registration certificate.
Step 3: Apply for Business Qualified Certificate
Document includes:
- Application for Business Qualified Certificate
- Business registration certificate, which lists the prize-winning electronic game business
- Documents proving the number of accommodations at the tourist accommodation establishment
- The decision to classify the tourist accommodation establishment by the competent state management agency
- Business Location layout.
- A copy of the certificate of satisfaction of security and order conditions for a tourist accommodation establishment issued by a competent police office.
- Draft Internal Management Regulation, Organization Internal Control Department, Internal Regulations on Money Laundering Prevention, and Game Rules
- Business plan
- List, curriculum vitae, professional qualifications of executive managers.
Number of files: 01 set
Competent authority: Ministry of Finance
Processing time: 60 days from the date of receipt of complete and valid dossiers, the Ministry of Finance shall consider and grant the Business Qualified Certificate. In case of refusal in writing, clearly state the reason.
