Procedures for applying for a car park business license in Vietnam in 2021
The car park business is very interested by investors because the initial cost is low but the profit is quite high. Business conditions for parking are not too strict. So, does the parking lot business need a business registration? What is the procedure for applying for a car park business license in 2021? LSX Lawfirm will give you an article about: “Procedures for applying for a car park business license in Vietnam in 2021”, as follows:
Legal grounds
Decree 39/2007/ND-CP
Law on Investment 2020
Circular 12/2020/TT-BGTVT
Does the car park business need a business registration in Vietnam?
So, according to Clause 5, Article 3 of Circular 12/2020/TT-BGTVT, car park a work of road traffic infrastructure used to park road vehicles.
Then regarding the business registration of the parking lot, point dd, Clause 1, Article 3 of Decree 39/2007/ND-CP; government interpretation, individual commercial activities are individuals who personally carry out a daily; some or all of the activities permitted by law on the purchase and sale of goods; providing profitable services but not having to register for business, not called “traders” include:
- Firstly, Street-trafficking, small-trading, snacking, trip-trading;
- Secondly, perform shoe shine services, sell lottery tickets; lock repair, car repair, car care, car wash, haircut, painting; photography and other services with or without a fixed location;
- Thirdly commercial activities independently, often do not require other business registration.
Parking business is one of the forms of car parking business, so it does not have registered.
According to the provisions of the Investment Law 2020, the parking lot business is not listed as an industry; conditional business, but the operation and management must ensure security and order; and fire prevention and fighting (sub-licenses).
Besides, according to Circular 12/2020/TT-BGTVT, if individuals; Organizations that want to do business on a large scale, combined with other services such as car rental, vehicle maintenance, and repair… need to register for a business.
In this case, the business unit may depend on the size of the parking lot; then decide to establish a business household or enterprise.
Conditions for parking lot business in 2021 in Vietnam
According to Clause 1, Article 55 of Circular 12/2020/TT-BGTVT, individuals and organizations that want to do business in parking lots must meet the following conditions:
Ensure security and order; meet requirements on fire and explosion prevention and fighting and environmental sanitation;
The way in and out of the parking lot arranged to ensure safety; and do not cause traffic jams.
Thus, in order to do business in the parking lot, the management facility needs to apply for a security and order permit; and fire protection license.
According to Clause 2 Article Circular 12/2020/TT-BGTVT; During the course of business, the parking management and business unit must comply with the following conditions:
- Ensure security, order, environmental sanitation and prevent and fight fire and explosion at the parking lot;
- Publicly posting the rules and prices of services at the parking lot; name and phone number of a competent state management agency for vehicle owners to reflect and complain when necessary;
- Compensation for damage to the consignor if the vehicle lost or damaged;
- To submit to the inspection and supervision of competent state agencies;
- Trading in the services specified in Clause 2 of this Article;
- Collect money to keep the vehicle;
- Vehicle owners must not use the parking lot to pick them up; unloading passengers or loading and unloading goods, packing, loading and preserving goods;
- Have the right to refuse service to vehicle owners who do not comply with parking regulations.
Procedures for applying for a car park business license in 2021 in Vietnam
For the registration process licensed to provide parking services, according to Clause 5, Article 55 of Circular 12/2020/TT-BGTVT, the Department of Transport will advise the Provincial People’s Committee to organize and manage the operation motion. Therefore, the licensing and management process of each locality is different and regulated in the internal documents of each locality.
In short, the parking lot business does not need registered as a business. Before establishing a parking lot, individuals and organizations must notify the Department of Transport where the parking location is located.
You can also refer to the article related to Prepare documents to change driver’s license of foreigners in Vietnam or Procedure to change driving license for foreign tourists in Vietnam.
Related article:
Conditions for foreigners to change driving licenses in Vietnam
Procedures for foreigners to test driving license in Vietnam
Procedure to change driver’s license for foreigners in Vietnam
Related questions
According to the provisions of Circular 12/2020/TT-BGTVT, car park is a work of road traffic infrastructure used to park road vehicles.
Parking service is a road transport support service, in which organizations and individuals provide car parking services and receive money for that service.
Parking place of a transport business unit is a location owned by the unit, or rented or cooperated with an organization or individual to park a vehicle suitable to the size of its unit, ensuring the requirements of the vehicle. requirements on order, safety, fire prevention and fighting and environmental sanitation.
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