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I.  Requirements for grant of Licenses for Establishment of branches

Foreign businesses shall be granted Licenses for Establishment of branches if they satisfy the following requirements:

1.  The foreign trader is incorporated and registers for doing business in accordance with provisions of laws of countries or territories being parties to treaties to which Vietnam is a signatory or is recognized by the aforesaid countries or territories;

2.  The foreign trader has come into operation for at least 05 year from the date of establishment or registration;

3.  The Certificate of Business registration or equivalent document is valid for at least 01 more year from the date of submission of the application;

4.  The scope of operation of the branch is conformable with Vietnam’s Commitments to market access stipulated in treaties to which Vietnam is a signatory shall be consistent with lines of business of the foreign trader;

5.  Where the businesses of the representative office is inconsistent with Vietnam’s Commitments or the foreign trader is not located in one of countries or territories being parties to treaties to which Vietnam is a signatory, the representative office can be established only if they obtain a prior consent of the relevant Minister for establishment of the representative office.

II.  Records for the procedure

1.  An application form for license for establishment of the branch signed by a competent representative of the foreign trader;

2.  Copies of the Certificate of Business Registration or equivalent documents of the foreign trader;

3.  A letter of appointment of the head of the branch;

4.  Copies of audited financial statements or certificates of fulfillment of tax liabilities or financial obligations of the last fiscal year or equivalent documents as proof of existence and operation of the foreign trader issued or certified by competent authorities where such foreign trader is established;

5.  Copies of the branch charter;

6.  Copies of the passport or ID card (for Vietnamese) or copies of the passport (for foreigners) of the head of the branch;

7.  Documents on the expected location of the branch.

Documents in section 2, 3, 4, 5 and 6 above (in case the copy of passport of the head of branch is foreigner) have to be translated into Vietnamese and notarized in accordance with the law of Vietnam. The document in section 2 must be consular legalized by The Diplomatic missions or Consulate of Vietnam under the provisions of the law of Vietnam.

III.  Legal basis

1.  Law on commerce on  14th June, 2005;

2.  Decree No.07/2016/ND-CP on 25th January, 2016 on detailed regulations on establishment of representative offices or branches of foreign traders in Vietnam under Law on commerce;

3.  Circular No.11/2016/TT-BCT on 5th July, 2016 on forms precribed in Decree No.07/2016/ND-CP on 25th January, 2016 of the Government on guildelines for the law on the commerce in the terms of representative offices and branches of foreign traders in Vietnam.

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