Setup Representative Office In Vietnam

  • 17/07/2019

Setup rep office in Vietnam ⇒ Step by step guide

Setup rep office in Vietnam: Some international companies choose to set up a representative office to create a presence in the market without the expense of setting up a fully-fledged operation in the country.

Advantages of a Vietnam Representative Office

1.   A representative office is a cost-effective way for global companies to create a market presence in Vietnam.
2.   A representative office is not liable to corporate tax in Vietnam, although its staff are liable to personal income tax.
3.   There are no geographical restrictions on where a representative office can be established in Vietnam. A foreign company can open an unlimited number of representative offices in Vietnam.
4.   A representative office is not a separate legal entity under Vietnamese law. However, it can sign a commercial contract on behalf of its parent.
5.     A representative office license is valid for five years, and this period is renewable.
6.     Healy Consultants can obtain Vietnam residence visas for expatriate staff for your representative office.

Disadvantages of a Vietnam Representative Office


1.     A Vietnam representative office cannot make sales in Vietnam. Its can conduct market research, advertise products and supervise the implementation of contracts between the parent company and local partners. A representative office is required to lease office space in Vietnam.
2.     To obtain a Vietnam representative office license, a foreign company must have been in operation for at least a year. The company is required to submit a copy of its business registration certificate from its home country. If this certificate has a validity period, the remaining validity period must be at least one year, thus ruling out the opening of a representative office by a Hong Kong company, for example.
3.     The representative office license application must be supported by a notarised copy of the foreign company's audited annual report and Articles of Association. The annual report must also be legalised by the nearest Vietnamese embassy or consulate.
4.     Vietnamese translations of all foreign-made documents are required, and these must be notarised by a Vietnamese State Notary or Vietnamese embassy or consulate.
5.     A representative office is unable to open a corporate bank account in Vietnam.


1 comment
  1. Visitor
    Galith Subaseela

    Dear Sir, We are a company registered in Sri Lanka, operating since 1998. We intend to set up a Representative office in Ho Chi MInh city, Vietnam. Can we know the procedure to follow, documents required, cost involved, etc? Thanks

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