In the development of the information technology industry, software plays an indispensable role in operating and managing. Therefore, the software business attracts many investors. So, In this article, LSX legal firm will provide information on “Conditions to establish a Software Company in Vietnam”.
Legal grounds
- Law on Enterprise 2020
- Decree 47/2021/ND-CP
Conditions to establish a Software Company
Currently, setting up a software business is not complicated. Because the conditions to be met when opening a software company are very simple:
- Have a legal business address. That is, having a valid certificate of ownership, land use right, a contract to rent land, head office, or office in accordance with regulations.
- Business owners must ensure that they have the capacity for civil acts, health guaranteed, and are legal citizens, not prohibited to open a software business.
- On the other hand, enterprises must register business lines suitable to the field of software, a number of business lines that can be registered:
- Firstly, Code 6201: Computer programming
- Secondly, Code 6202: Computer consulting and computer system administration
- Thirdly, Code 6209: Information technology (IT) services and other services related to computers
- Next, Code 6311: Data processing, leasing, and related activities
- Code 4741: Retail sale of computers, peripheral equipment, software, and telecommunications equipment in specialized stores
- If the business is about software, camouflage equipment, audio recording, positioning and video recording, the enterprise needs to apply for a license to satisfy all security and conditions to be allowed to go into operations.
Steps to establish a software company
Name and address
Businesses can register to open a company with the name and address of the company. Businesses must prepare the correct company address, specifically, located in the Vietnamese territory. Besides ,the law do not allow fake address.
Legal representative
Enterprises must choose a person who is capable, experienced, and suitable to perform well the responsibilities of a legal representative to the software company. President, director… can act as the legal representative of the company. However, the representative can be changed after the company goes into operation, so enterprises can carry out procedures to change the representative if they do not satisfy.
Register business lines and the type of company
Register business lines:
- In case the company registers for a business line that does not require conditions, it can directly start conduct business operations immediately after the issuance of the license.
Register company’s type:
- A software company needs to have a suitable type of business, so it can easily establish and put it into operation. The enterprise will base on the number of capital contributors, business operation conditions, or the enterprise’s desire to choose the appropriate type for the company.
Prepare and declare the company’s capital
The minimum amount of capital
- To set up a software company, the business must prepare capital. The amount of capital depends on the financial ability or the industry regulations on legal capital.
Charter capital declaration
- On the other hand, when opening a company, the enterprise must declare its charter capital. For the charter capital, some cases need to be proven, and there are cases where it is not. Currently, the law does not have specific regulations on the maximum or minimum charter capital that enterprises need to declare when registering for business. That is, businesses can register charter capital from a few million to several billion (VND).
Prepare and submit application for business registration
Detailed application to register for a software company:
- List of shareholders/ limited partners/ members
- Relevant legal papers such as ID card, passport, citizen identification card or certificate of business registration, establishment decision…
- A written request to the Department of Planning and Investment to grant the enterprise a license to establish a company.
- Company’s charter
Then, submit the application
- Enterprises submit the application at the Business Registration Office under the Department of Planning and Investment and wait from 3 to 6 days to get a valid business registration certificate.
- In case the application is incorrect, the enterprise will be given a written answer for the reasons.
Engraving seal and publish the company’s registration
Seal
In the first place, enterprises have the right to decide on the form and number of seals. However, they must ensure the following information:
- Company’s name
- Business code
- Before using the seal, companies have to register with the competent authority for publication on the national business registration portal.
Lastly, company’s publication
- The maximum period to carry out this procedure is 30 days from the date of obtaining the certificate to establish a software company. After the above time, if the enterprise did not publish information about the company, they will be administratively sanctioned by the competent authority from 1 million VND to 2 million VND.
LSX legal firm’s service on business establishment
When establishing a company, people must carry out the procedure following the law at the competent business registration authority (under the Law on Enterprise 2020). The process of establishing a business includes many different steps and phases. If you are not familiar with the law, this process may take a lot of time.
With a team of experienced, reputable, and professional consultants; The firm is always ready to support and work with clients to solve legal difficulties.
Using our service, you do not need to do the paperwork yourself. We guarantee to help you prepare documents effectively and legally.
Also, you will not have to waste time preparing the application; submitting application, or receiving results. At those stages, we will help you do it smoothly.
After all, LSX provides the service with the desire that customers can experience it the best way. Additionally, we guarantee the cost to be the most suitable and economical for customers.
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Related questions
– Sole proprietorship
– Limited Liability Company
– Joint-stock company
-…
According to the Vietnamese legislation, the head office of the Company must not be located in a dormitory or apartment building for living purposes. Rented premises in the form of commercial floors or separate houses with full legal lease contracts can be registered to establish a company.
Contact LSX
Finally, hope this article is useful for you to answer the question about “Conditions to establish a Software Company in Vietnam”. If you need any further information, please contact LSX Law firm: +84846175333 or Email: [email protected]
Conclusion: So the above is Conditions to establish a Software Company in Vietnam. Hopefully with this article can help you in life, please always follow and read our good articles on the website: lsxlawfirm.com
