Establishing a company, or in other words, realizing your business idea is a risky and extremely important decision for every business entity. For the company to operate safely, conveniently, and quickly, the founders have to establish the company in accordance with the order prescribed by law, meeting certain conditions set forth by the law. In particular, to establish a maritime transport – shipping company, you have to carry out the procedures under the law. So, in this article, LSX legal firm provides: “Procedures to establish shipping company in Vietnam”
Legal grounds
- Law on Enterprise 2020
- Decree 01/2021/ND-CP
- Decree 160/2016/ND-CP
- Maritime Code 2015
- Decree 147/2018/ND-CP
Maritime transport service
Shipping means a transportation activity that involves the use of marine infrastructure and means of transport through land and water areas associated with sea routes connecting countries, territories, or areas within a country, and using of ships, loading and unloading equipment… to serve the movement of passengers and goods on sea routes.
Sea freight services have the following outstanding advantages:
- Can transport large-sized and large volumes of goods, bringing high convenience to customers.
- Virtually unlimited number of vehicles and transport support tools.
- Shipping costs of ocean freight services lower than other types such as road transport, and air transport.
- The shipping routes on the sea are almost natural traffic routes, so there are fewer obstacles when traveling compared to the road, saving time and effort in the transportation process.
- Contribute to the expansion of international trade through the sea.
Sea shipping units will conduct a strict inspection for each type of goods before shipping to ensure no violation of goods-related regulations appears when transporting to avoid unfortunate circumstances that affect the interests of both parties.
Therefore, shipping entities should pay attention to the following types of items that prohibited by the law:
- Drugs, narcotics, stimulants.
- Military weapons.
- Depraved cultural products.
Codes of Shipping businesses
Ocean freight services include coastal passenger transport and coastal freight transport. The specific industry codes of the above industry groups are classified as follows:
50111: Coastal passenger transport. This group includes:
- Coastal passenger transport, scheduled or unscheduled;
- Operation of tourist or excursion boats;
- Operations of ferries, ships, and taxi boats.
- Renting of ships with crews for coastal transport (eg fishing boats).
Exclusion: Activities of restaurants and bars on deck under class 56101 (Restaurants, cafeterias, food stalls )and 56301 (Pubs, beer, bars) if such activities are carried out by another entity. Besides, activities of “floating casinos” under class 92002 (Betting and gambling activities).
On the other hand, 50121: Coastal freight transport. This group includes:
- Sea freight, scheduled or not;
- Transport by tugboat, ship propulsion, oil rig…
Exclusion:
- Storage of goods under class 521 (Warehousing and storage of goods);
- Operating activities, services at seaports, and other shipping support activities: 52221.
- Loading and unloading of goods, under class 52243 (Seaport cargo handling).
Is shipping service a conditional business?
The law stipulated that shipping services belong to the group of conditional business lines. Specifically, sea transportation business enterprises, apart from being established and operating under the provisions of the law, must also granted a certificate of eligibility for sea transport business. That means, the shipping businesses must meet specific prescribed conditions on organizational apparatus, finance, ships, and human resources.
Therefore, when carrying out the establishment procedure, the owner of a shipping company must prepare specific documents to satisfy the requirements.
Procedures to establish shipping company
Step 1: Prepare documents to register the business
At this step, for each type of company, the requirements for the profile that you need to prepare differs. However, in general, no matter what type of company, you need to prepare the following basic documents for the procedures to establish shipping company:
- Firstly, the application form submits to the business registration office requesting the certificate to establish a shipping company.
- Secondly, draft of company charter.
- Thirdly, list of founders.
- Fourthly, authenticated legal papers of members.
- Also, valid identification papers of the authorized representative and the legal representative.
- Legal capital confirmation document.
- Equally important, certificate of business registration (for organizations).
- Lastly, Investment registration certificate for foreign investors.
Reference to the registering application for types of companies
Firstly, Application for registration of a joint-stock company
1. The enterprise registration application form.
2. The company’s charter.
3. The list of founding shareholders; the list of shareholders that are foreign investors.
4. Copies of:
a) Legal documents of founding shareholders and shareholders that are foreign investors who are individuals and legal representatives;
b) Legal documents of shareholders that are organizations, documents about the designation of authorized representatives; legal documents of authorized representatives of founding shareholders, and shareholders that are foreign organizations.
Legalized copies of legal documents of the members that are foreign organizations.
c) The Certificate of Investment Registration of foreign investors as prescribed by the Law on Investment.
Secondly, Application for registration of a limited liability company
1. The enterprise registration application form.
2. The company’s charter.
3. The list of members.
4. Copies of:
a) Legal documents of members who are individuals and legal representatives;
b) Legal documents of members that are organizations, documents about the designation of authorized representatives, and their legal documents.
Legalized copies of legal documents of the members that are foreign organizations.
c) The Certificate of Investment Registration of foreign investors as prescribed by the Law on Investment.
Thirdly, Application for registration of a partnership
1. The enterprise registration application form.
2. The company’s charter.
3. The list of partners.
4. Copies of legal documents of the partners.
5. Copies of the Certificate of Investment Registration of foreign investors as prescribed by the Law on Investment.
Also, Application for registration of a sole proprietorship
1. The enterprise registration application form.
2. Copies of legal documents of the sole proprietorship’s owner.
Step 2: Submit dossiers
Submit the application at the Business Registration Office of the Department of Planning and Investment at the province level where you plan to locate the head office of your Company.
Currently, there are two forms to submit an application:
- Register directly: apply at the “one-stop” department of the Business Registration Office. However, in Hanoi, this method is no longer applied.
- Online business registration: submit your application on the National Business Registration Portal (Address: https://dangkykinhdoanh.gov.vn). After the online application is valid, you will have to go directly to the “one-stop” department to return the scanned copy (hard copy) when submitting it online. However, this method is relatively complicated, requiring you to have skills and knowledge about registering a business account.
Once you have submitted your application, you will receive a receipt for your application. The usual processing time for applications will be 3 working days.
Step 3: Receive result
According to the schedule on the appointment, you return to the “one-stop” department of the Business Registration Office to receive the results. There are two possible scenarios:
- Dossiers valid: You will receive a Certificate of Business Registration as a result and a notification to the tax authorities.
- In contrast, dossiers invalid: The Business Registration Office will have a document instructing you to amend the dossiers in accordance with the provisions of the law. After the amendments and supplements to your application according to this guide, then resubmit your application as in Step 2.
Step 4: Post-establishment procedures.
Receiving a Business Registration Certificate is just the first step in putting your company into operation. After that, you have to do the following series of procedures:
- Notice the use of the company’s seal sample.
- Bank account notice (if your company registers a bank account).
- Tax procedures such as license declaration and payment of license fees, Tax on corporate headquarters inspection,…
- Trademark protection (if you need it).
- …
After all, your Company can go into operation.
LSX legal firm’s service on company 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.
Furthermore, 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
The company does not generate revenue from the business, but it still has to pay CIT if the company generates other legal revenue belonging to the income subject to corporate income tax (CIT).
There are many reasons that individuals and organizations have established companies but are not doing business. So, that means not organizing and operating the company to produce and generate profits.
It may be for financial reasons. After establishing a business, they found that there is not enough finance to operate the company. Therefore, owners have to stop all operations.
However, it may be due to objective conditions: epidemics, natural disasters, fires, etc. These unexpected reasons may cause the company to go out of business for a period of time or even permanently discontinued.
Contact LSX
Finally, hope this article is useful for you to answer the question about “Procedures to establish shipping company in Vietnam”. If you need any further information, please contact LSX Law firm: +84846175333 or Email: [email protected]
Conclusion: So the above is Procedures to establish shipping 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
