How to establish a Filipino invested company in Vietnam?

Although the potential for investment cooperation between Vietnam and the Philippines is huge, at present, the scale of Philippine investment in Vietnam is still modest. This is largely due to a number of factors such as: information about the investment environment in Vietnam has not been widely disseminated to Filipino businesses, some administrative procedures are still complicated, and fierce competition from other investors. However, with complementary advantages, a large consumption market, and attractive investment support policies from both sides, the investment cooperation relationship between Vietnam and the Philippines promises to have strong developments in the future. Viet An Law would like to guide customers through the procedures for establishing a Filipino invested company in Vietnam through the article below.

What industries should Filipinos invest in Vietnam?

Agriculture and food processing

• Cultivation: Vietnam has many fertile lands and a favorable climate for the cultivation of industrial crops, fruit trees, and vegetables. The Philippines can invest in large-scale, high-tech cultivation projects to improve productivity and product quality.
• Food processing: Vietnam has a great demand for processed food products. The Philippines can invest in seafood processing plants, fruits, and vegetables to meet domestic and export market demand.

Production, processing

• Textiles, leather and footwear: Vietnam is one of the world’s major textile and footwear production centers. The Philippines can cooperate with Vietnamese businesses to produce high-value-added products.
• Electronics: Vietnam’s electronics industry is growing rapidly. The Philippines can invest in factories that manufacture electronic components, assemble mobile phones, and computers.

Service

• Tourism: Vietnam is an attractive tourist destination with many scenic spots and beautiful beaches. The Philippines can invest in high-end hotels, resorts, and resorts.
• Education: The Philippines has strengths in education, especially international education. Philippine universities and colleges can open branches in Vietnam to train high-quality human resources.
• Information technology: Vietnam is promoting the development of the information technology industry. The Philippines can invest in software companies, data centers, and information technology-related services.

Filipino investors apply for investment certificates in Vietnam

Dossier of application for an investment certificate

• Written request for implementation of the investment project;
• An investment project proposal includes the following contents: the investor implementing the project, investment objectives, investment scale, investment capital and capital mobilization plan, location, duration, investment schedule, labor demand, proposal for investment incentives, impact assessment, etc socio-economic efficiency of the project;
• Dossier proving the company’s head office: Lease contract, Notarized copy of real estate documents of the lessor: Land use right certificate, Construction permit; if the lessor is a company: It is necessary to provide a copy of the enterprise registration certificate with the function of real estate business;
• Confirmation of account balance corresponding to the capital intended to establish an FDI company is consular legalized and notarized

Place of application: Department of Planning and Investment where the head office is expected to be located.

Processing order: Within 15 days from the date of receipt of a complete and valid dossier, the Department of Planning and Investment will issue an Investment Registration Certificate to the foreign investor. In case of refusal, the Department of Planning and Investment will reply in writing and clearly state the reason.

Filipino investors apply for business registration certificates in Vietnam

Dossier of application for a certificate of registration of a Filipino-owned enterprise

• Application for enterprise registration;
• Charter of the enterprise;
• List of members of a limited liability company with two or more members or a list of general partners;
• A notarized copy of the identity card or valid passport of the individual member; a notarized copy of the enterprise registration certificate of the member being an organization; a notarized copy of the valid identity card or passport of the legal representative of that organization;
• The Philippine Investor’s Investment Registration Certificate has been completed above.

Place of application: Department of Planning and Investment where the enterprise is headquartered.

Duration: 03 – 06 working days.

Filipino investors carry out post-establishment procedures to conduct business activities in Vietnam

Engraving the legal entity seal after having a tax identification number

After the business has a tax identification number, engraving the legal entity seal is an important step to complete the establishment procedure. The legal entity seal is an official identification sign of the business, used in transactions and legal documents.

Making company signs hanging at the head office

Hanging company signs at the head office is an important step to affirm the existence and image of the business. However, to ensure compliance with legal regulations and make a good impression, you need to pay attention to the legal regulations on signboards:

• Location: Signboards must only be placed close to the gate or front of the head office or place of business.
• Dimension:
• Content: The signboard must clearly state the name of the enterprise, the address of the company’s head office, tax identification number, contact phone number and sub-license number if any.

Open an account with 100% Philippine investment capital in Vietnam and contribute capital

Preparation of dossiers for opening investment capital accounts includes:

• Enterprise establishment license or investment registration certificate.
• Investor’s identity document (passport, visa).
• Documents proving the legal origin of the investment capital.

Place to apply: Submit the application at the selected bank.

The bank will conduct the appraisal of the dossier and open an investment capital account for the investor.

After having an investment capital account, the company with Thai capital contributed capital. Note that enterprises need to fully contribute the registered capital within 90 days from the date of issuance of the business registration certificate.

• Money transfer: Investors transfer money from an overseas account to an investment capital account opened in Vietnam.
• Confirmation: The bank will confirm the transfer of capital contribution.