luathongduc
Guest
Sep 28, 2026
3:49 AM
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How to Start a Business in Vietnam: A Practical Guide
Vietnam offers opportunities for foreign entrepreneurs in many industries. However, starting a business requires investors to understand the applicable investment, corporate, tax, and licensing requirements.
If you are researching how to start a business in Vietnam, the process can generally be divided into several important steps.
1. Define Your Business Model
Before registering a company, determine what products or services you will provide, who your customers are, where the business will operate, and how much investment capital is required.
You should also determine whether your business involves importing, exporting, hiring employees, or operating in a regulated industry.
2. Check Foreign Investment Conditions
Foreign investors should check whether their proposed business activities are open to foreign investment.
Some sectors may have specific requirements relating to foreign ownership, licenses, investment conditions, or business operations.
Conducting this review before incorporation can help avoid problems later.
3. Choose a Legal Structure
The two common structures for foreign-owned businesses are LLCs and JSCs.
An LLC can be suitable for businesses with one or a limited number of owners. A JSC may be more appropriate for businesses with multiple shareholders or plans to raise additional capital.
The structure should be selected based on the company's ownership and future development plans.
4. Prepare the Investment Application
Foreign investors may need to prepare an investment project containing information about the investor, business activities, investment capital, location, and implementation schedule.
Supporting documents may include identification documents, corporate documents, proof of financial capacity, and documents relating to the business location.
Foreign documents may require legalization and Vietnamese translation.
5. Obtain the Necessary Registration Certificates
Depending on the investment project, the investor may first need to obtain an Investment Registration Certificate (IRC).
The investor can then proceed with enterprise registration and obtain the Enterprise Registration Certificate (ERC), which establishes the company as a legal entity.
The exact procedure can vary depending on the business sector and investment project.
6. Set Up the Company's Operations
After incorporation, the company may need to arrange its bank accounts, investment capital account where applicable, digital signature, electronic invoices, accounting system, and other administrative requirements.
If the business operates in a regulated sector, additional licenses may be required before starting commercial activities.
7. Maintain Compliance
Starting a business is only the beginning. Companies must continue to comply with Vietnamese regulations relating to taxation, accounting, employment, investment, corporate management, and industry-specific requirements.
Foreign-invested companies should also carefully monitor capital contribution deadlines and maintain proper corporate and financial records.
Company Information
LHD Law Firm provides legal services to foreign investors and businesses entering the Vietnamese market. The firm assists with company establishment, investment and enterprise registration, business licensing, tax and compliance matters, and ongoing corporate legal support.
Website: https://en.luathongduc.com/
Address:
+ HP Tower, 60 (Floor 7) Nguyen Van Thu Street, Tan Dinh Ward, HCM City, Viet Nam
+ Anh Minh Tower, 36 (Floor 4) Hoang Cau Street, O Cho Dua Ward, Ha Noi City, Viet Nam
+ No. 71 Ly Tu Trong Street, Thach Thang Ward, Da Nang City, Vietnam
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