Queenlaw Vietnam

Pros and cons of starting a business

PROS

Starting a business helps keep you safe with a LIMITED LIABILITY.

Starting a business helps you manage your business professionally. Legal persons have their own accounts.

Starting a business means expanding the business scope and brand positioning nationwide and moving forward.

Starting a business to apply tax policies such as VAT deductions, VAT refunds, VAT invoices also known as ‘red’ invoices, etc.

CONS

DO NOT starting a business when you find that the taxation method applied to a business household is completely beneficial to you.

DO NOT starting a business until you have a specialized tax accounting department as well as a legal apparatus in general to protect your business against regulatory risks in Vietnam.

Business registration form

Congratulations on your decision to consider starting a business. Being an entrepreneur is rewarding and exciting but is also risky and demanding. We are here to help you weigh the decisions involved and get you started if that is what you decide to do. Are you ready?

Type of enterprise. There are five types of businesses (or enterprises) in Vietnam. The type is shown in the name of the enterprise and indicates the organizational structure of capital in the enterprise.

Enterprise = Private enterprises + Companies. Private enterprises do not have legal entity status and do not participate in legal relations independently. Companies have legal entity status, independent assets, the right to open a payment account and is the subject of civil transactions.

The owner of a private enterprise and the general partners of a partnership have unlimited liability, while limited partners of a partnership, members of an LLC and shareholders of a joint-stock company shall be liable only.

Choosing the type of enterprise. Depending on the case, each type has its own advantages. For simple criteria in the decision-making process, no one is equal to a private enterprise. On the other hand, only a partnership is allowed to operate a notary office. Joint-stock company is the only type of enterprise not allowed to practice law. Joint-stock companies and single-member limited liability companies are not allowed to provide accounting and auditing services. In return, single-member limited liability companies dominate the corporate governance, while joint-stock companies are flexible with ownership information..

Queenlaw tips: Statistics show that over 90% of clients opt for single-member limited liability companies, over 6% are joint-stock companies, about 3% are limited liability companies with two or more members, the rest are partnerships and private enterprises.

BUSINESS REGISTRATION PROCEDURE AT QUEENLAW:

Step 1: Please select a type of enterprise and follow the Form to complete the necessary information.

Step 2: Queenlaw will check the validity and will provide legal advice to you after receiving the information.

Step 3: Please confirm your business registration and go to the payment step.

Step 4: Queenlaw carries out the procedure for granting the ERC to you.

NOTE: You can also create your own enterprise registration dossier as directed here and send to hienntt@queenlaw.com.vn (hotline 1: 0985806066 (Ms Hien)).