To set up a Labor Outsourcing Company in Vietnam, foreign investors must seek “special approvals” from the relevant Ministries of Vietnam, i.e. 1/ Ministry of Labor, Invalids and Social Affairs, 2/ Ministry of Planning and 3/ Investment, and 3/Ministry of Industry and Trade.
PROCESS OF FORMING A Labor Outsourcing COMPANY IN VIETNAM
A. Pre-company formation consulting services:
Advising clients on how to select a type of legal entities they want to incorporate in Vietnam; what conditions and/or requirements they need to meet; what documents they need to provide; the timeline, etc.
- In Vietnam, there are 3 main types of companies, i.e. limited liability company, joint-stock company, and partnership company. As a matter of practice, foreigners are only allowed to set up either limited liability companies or joint-stock companies.
- Unlike limited liability companies which can have from one (1) to fifty (50) shareholders (members), joint-stock companies must have at least three (3) shareholders during its existence.
- A foreigner wants to run a business in Vietnam must have a Vietnam company duly incorporated and existing under Vietnamese laws
Preparing an Information Sheet for clients’ completion. Based on the information provided in the Information Sheet, we will prepare the necessary application documents.
(ii) Preparing and gathering documents:
Preparing the application form for the Investment Registration Certificate (IRC) and Enterprise Registration Certificate (ERC);
Preparing the draft Charter (Company Constitution);
Preparing Proposal for Investment Project, and any other necessary documents;
Collecting all the necessary documents from clients to establish application dossiers.
B. Filing and following up application dossiers for an IRC & ERC:
Assembling and reviewing all the necessary documents before filing for an Investment Registration Certificate and Enterprise Registration Certificate;
Representing clients to file application dossiers for an Investment Registration Certificate and an Enterprise Registration Certificate; and
Acting for clients to follow up with an evaluation of application dossiers by the competent state agencies and obtaining an Investment Registration Certificate and an Enterprise Registration Certificate.
Please note that to apply for an Investment Registration Certificate, the local licensing authority will grant foreign investors an Investment Registration Certificate upon receiving the “special approvals” from the Ministries. Actually, there are no conditions for granting special approvals. However, foreign investors must try to convince the relevant Ministries to grant such special approvals.
C. Post-company formation services:
1. Opening a direct investment bank account for injecting the registered capital and other transaction accounts and filing a notice of such accounts to the licensing authority.
2. Initial tax registration
3. Registration of electronic VAT invoice form
4. Payment of annual business tax
5. Booking e-signature service
6. Making a company sign
D. Applying for a Labor Outsourcing Service License to the local labor authority
1. Conditions to obtain the Labor Outsourcing Service License:
- The Legal Representative must (a) be the Chairman or Director of the Company, (b) have a clean criminal record, and (c) have at least 3-year work experience in the field of labor outsourcing or labor supply within the last 5 consecutive years
- The company has deposited VND 2,000,000,000 in its bank account at a licensed bank in Vietnam.
2. Application documents to be submitted:
- An application form for the Labor Outsourcing Service License;
- A notarized copy of the Enterprise Registration Certificate;
- A resume of the Legal Representative of the company;
- The criminal record No. 1 of the company’s legal representative, which is issued in accordance with the Law on criminal records. If the company’s legal representative is a foreigner who cannot apply for a Vietnamese criminal record, the criminal record No. 1 shall be replaced by a criminal record or document granted by foreign authorities and certifying that he/she has not committed any crimes or faced any criminal prosecutions. The above-mentioned documents shall be issued within the last 06 months before the date of application submission.
- Document proving the working experience of the company’s legal representative, which may be:
- The certified true copy of the labor contract or the employment contract of the enterprise’s legal representative; or
- The certified true copy of the appointment decision (for appointed employees) or the notice of voting results (for voted employees) of the company’s legal representative.
- A copy of the Confirmation Letter of a deposit payment of VND 2,000,000,000 at a licensed bank in Vietnam.
3. Applicable laws:
- Decree No. 29/2019/ND-CP dated March 20, 2019 providing guidelines for implementation of clause 3 article 54 of the labor code on licensing outsourcing services, deposit payment, and list of permissible outsourced jobs
Contact us today via email: firstname.lastname@example.org or call: (+84) 938 666 010 for more information about our services.Register Your Company Now