Enterprise
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Circular 35 – Work permit exemption applicable to foreign employees
CIRCULAR 35 STIPULATES THE WORK PERMIT EXEMPTION FOR FOREIGN EMPLOYEES INTERNALLY TRANSFERED BY ENTERPRISES OPERATING WITHIN ELEVEN SERVICE SECTORS VIETNAM COMMITS TO WTO In order to provide specific and detailed guidance on cases of work permit exemption applicable to foreign employees transferred by a foreign enterprise to work in its commercial presence in Vietnam within 11 service sectors in Vietnam’s World Trade Organization (“WTO”) commitments, that provides guidance set out in Decree No. 11/2016/NĐ-CP dated 3 February 2016 (”Decree 11”), the Ministry of Labor – Invalids and Social Affairs issued Circular No. 35/2016/TT-BLĐTBXH dated 28 December 2016 (“Circular 35”). In accordance with Circular 35, in the case where a foreign enterprise has its commercial presence in Vietnam within 11 service ... -
FOREIGN INVESTOR IN LIMITED LIABILITY COMPANY TRANSFER STAKES
1. Legal documents: - Law on Enterprise 2014; - Decree No.78/2015/NĐ-CP on enterprise registation. 2. In limited single-member liability company: In a single-member limited liability company, foreign investor is the owner of the company. Under Law on Enterprise 2014, the owner may decide to transfer a part or whole of the company’s charter capital to other individuals or organizations. In cases where the foreign investor is the company owner transfer the entire charter capital The transfer of capital must be made in writing (Capital transfer contract) or be accompanied with documents evidencing the transfer. The content of capital transfer contract must be clearly (including the information of the transferor and the transferee, amount of money, time, rights and other obligations ... -
STOCK ISSUANCE FOR INCREASE OF SHARE CAPITAL
In accordance with Article 25 of the Law on Securities, a public company is one of the following cases: - Has already conducted the public offering of its stocks; - Has its stocks listed at the Stock Exchange; - Has its stocks owned by at least one hundred investors, excluding professional securities investors, and has a contributed charter capital of VND 10 billion or more. If a public company plan to increase its capital, it may issue stock for increase of share capital with finances from the equity. Especially those companies which are in good business situation and are highly appreciated by investors, this may considered as an efficient way to attract more capital. Conditions apply to stock issuance for ... -
AUTHORIZAION CONTRACT
Authorization contract is a type of civil contract and are widely used in all spheres of life. When an individual wishes to give another individual his or her rights legally, that person will perform the act of authorization. To record this act, an authorization contract or a power of attorney should be made. The difference between these two types of documents is that the authorization contract requires the consent of both parties, while the power of attorney may only require one party to force the other to follow that order. According to the definition of the Civil Code 2015, an authorization contract means an agreement between parties whereby an attorney has the obligation to perform an act in the name ... -
CAPITAL CONTRIBUTION CONTRACT
Capital Contribution is a common activity in daily life among individuals, between individual and business or among businesses. The purposes of the capital contribution are also various: capital contribution to purchase and sale, to establish the company or investment capital contribution… Especially in business, capital contribution is an important activity affecting the formation and development of many enterprises. To make it easier for those who wish to draft a capital contribution contract, the following article would summarize some of the contents required in this contract as follows: Form of capital contribution contract: At present, there are no legal documents guiding in detail the form of capital contribution contract. However, in practice, the capital contribution should be documented to prevent the ... -
ESTABLISH CHINESE COMPANIES IN VIETNAM
Two common methods Chinese investors may choose are establishing Chinese companies in Vietnam and capital contribution/purchase shares/purchase capital contributions to Vietnamese companies. Depending on financial situation and investment purpose, Chinese investors shall consider and choose the most suitable method. Procedures for establishment of Chinese companies in Vietnam: Step 1: Apply for the Investment Registration Certificate - A written request for permission for project execution; - Individual investors: copies of ID or passport of each individual; - Organization investors: copies of Establishment Certificate or equivalent paper confirming the legal status; - Project proposal specifying: the investors, project’s objectives and scale; capital and capital rising method; location, duration and schedule of the project; labor demand; - Copies of financial statements in the ...
