Conduct of investment activities by foreign-invested business organizations

by BichNgoc

Vietnam is considered a rich and beautiful country. This is also the target of foreign investors. How to Conduct of investment activities by foreign-invested business organizations, let’s find out with LSX Lawfirm according to the article below:

Law on investment 2020

Business organization means?

Accordingly, Business organizationan is organization established and operating in accordance with Vietnam’s laws. It also includes enterprises, cooperatives, cooperative unions and other organizations that carry out business investment activities.

Forms of investment

  • Investment in establishment of a business organization.
  • Then, investment in the form of capital contribution or purchase of shares or stakes.
  • Then, execution of an investment project.
  • Investment in the form of a business cooperation contract.
  • Finally, new forms of investment and types of business organizations prescribed by the Government’s regulations.

Related article: Investment in establishment of a business organization in Vietnam

Conduct of investment activities by foreign-invested business organizations

Firstly, when establishing a business organization, when contributing capital make investment by , purchasing shares or purchasing stakes of a business organization or when make investment under a business cooperation contract in one of the following cases, the foreign investor must satisfy the conditions and follow investment procedure. It applied to foreign investors over 50% of ít charter capital or more is held by:

  • A foreign investor(s) or the majority of the general partners are foreigners if the business organization is a partnership.
  • Then, a business organization(s) mentioned as above.
  • Finally, a foreign investor(s) and a business organization(s) mentioned as above.

Secondly, Business organizations other than those mentioned as above shall satisfy conditions and follow investment procedures applied to domestic investors when establishing a business organization, when making investment by contributing capital, purchasing shares or purchasing stakes of a business organization or when making investment under a business cooperation contract.

Thirdly, if a foreign-invested business organization that investors established in Vietnam has a new investment project, procedures for executing such investment project shall follow without having to establish a new business organization.

Related article: Forms of foreign investment under Vietnamese Law

Duration of investment projects for investors in Vietnam

What should foreign investors pay attention to about taxes in Vietnam?

Procedures for adjusting investment certificates

Procedure for adjusting investment projects in Vietnam

Related questions

What is the definition of foreign investment?

Foreign investment means that organizations and individuals of one country bring capital in different forms into another country to conduct business activities for profit. Foreign investment is made in the form of direct investment or indirect investment.

What are the business lines that Foreign Capital Companies can operate in?

The provisions of the 2020 Enterprise Law and WTO Law allow enterprises to freely conduct business in industries, as long as the regulation does not prohibit

Can foreign investors establish a company with 100% foreign investment capital in Vietnam?

Yes, they can. According to the provision of law, foreign investors can establish a company with 100% foreign investment capital in Vietnam. Still, it will vary depending on the business line.

Contact LSX Lawfirm

Hope this article: “Conduct of investment activities by foreign-invested business organizations” is useful for you.

Then, if you have any questions; please contact Lawyer X for quick and best legal services: 0833102102

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