LOGISTIC BUSINESS ESTABLISHMENT CONSULTING
You want to set up a logistics business but don't know how the Vietnamese law regulates this business type. What are the conditions for opening a Logistics company?
IMAGE 1. THINH TRI LAW– PROVIDING LOGISTICS COMPANY CONSULTANCY SERVICE
KEY CONTENT
1. What is logistics?
2. Conditions for establishing a Logistics company
3. Steps to establish a Logistics company with 100% domestic capital
4. Steps to establish a logistics company with foreign capital
Logistics has a limit on the capital contribution ratio for some business lines. Therefore, investors have to determine the specific business registration industry. In the following article, Thinh Tri Law provides information on logistics business conditions and procedures for establishing a logistics business.
- Logistics is the process of planning and executing the efficient transportation and storage of goods from the point of origin to the point of consumption. The goal of logistics is to meet customer requirements in a timely, cost-effective manner.
- To establish a Logistics company in Vietnam, you must meet the following conditions:
- Logistics companies must be fully equipped with equipment and techniques and have a business registration certificate in the field of logistics in accordance with the provisions of law.
- In case the enterprise registers for business in the fields of goods transportation, the logistics enterprise must be a company with a lawful operation license in accordance with Vietnam's regulations.
- The company must ensure the technical team and staff in accordance with regulations.
- In case an enterprise with a foreign investor invests in establishing a Logistics company in Vietnam, it must meet the following requirements: Capital contribution, machinery and equipment must meet technical standards and must meet the requirements of a qualified staff.
The establishment of a logistics company with domestic capital is considered much simpler than that of a logistics company with foreign capital. In addition to conducting the establishment of an enterprise according to the procedures, when establishing a Vietnamese enterprise with 100% domestic capital, the investor must be granted a License to do business in some services of Logistics at the competent authorities, depending on the business lines, for example: Civil Aviation Authority of Vietnam, Vietnam Maritime Administration.
The process of establishing a 100% domestic logistics company include:
- Step 1: Prepare documents for application
- Business registration application form;
- Company charter;
- List of members or shareholders of the company;
- A valid copy of one of the authentication papers;
- A valid ID card or a valid passport for individuals;
- Establishment decision or business registration certificate or other equivalent document;
- Personal identification papers (Vietnamese citizens: citizen identification cards, valid identity cards and foreigners: valid passports) of the owner or the legal representative of the enterprise;
- Decision on capital contribution for members being organizations.
- Step 2: Submit a business registration application
- Enterprises submit dossiers in the Department of Planning and Investment
- Step 3: Announce business registration information
- After being granted an enterprise registration certificate, an enterprise must make a public announcement on the National Business Registration Portal.
- Step 4: Engrave the seal and notify the seal sample of the Logistics company
- Trong vòng 01 ngày kể từ ngày công ty có Giấy chứng nhận đăng ký doanh nghiệp, công ty phải tiến hành khắc dấu pháp nhân và thông báo mẫu con dấu với cơ quan đăng ký kinh doanh.
- Sau khi được thành lập, doanh nghiệp cần tiến hành thủ tục xin giấy phép kinh doanh một số ngành nghề của dịch vụ Logistics. Theo đó, tùy vào lĩnh vực kinh doanh Logistics mà công ty lựa chọn. Tuy nhiên, đối với các ngành nghề kinh doanh có điều kiện doanh nghiệp phải đáp ứng được các điều kiện đó.Within 01 day from the date the company has the certificate of business registration, the company must engrave the legal entity's seal and notify the seal sample to the business registration agency. After being established, businesses need to carry out procedures to apply for a business license in a number of logistics services. Accordingly, depending on the field of Logistics business that the company chooses. However, for conditional business lines, enterprises must satisfy those conditions.
Image 2. THINH TRI LAW FIRM – PROVIDED OF LOGISTICS COMPANY CONSULTATION SERVICES
- For foreign-invested logistics companies, investors must be granted an Investment Certificate in Vietnam (if in the form of capital contribution, share purchase, capital contribution of economic organizations, investors, etc.). do not need to carry out this procedure).
- To be allowed to invest in establishing a business, investors must consider:
- If an investor belongs to a country or territory covered by an international treaty, Vietnam is a member and has a commitment to open the market, the investor must refer to Vietnam's schedule of commitments in that treaty. Because in the commitment, it will show the limitations and requirements when conducting a commercial presence in the transportation industry and the accompanying ancillary industries (such as customs clearance services, container handling).
- Thủ tục thành lập doanh nghiệp được tiến hành như sau:The procedure for setting up a business is carried out as follows:
- Step 1: Investors write information about the project on the National Investment Portal. Within 15 days from the date of online listing, the investor submits the application to the investment registration agency. Dossier for issuance of investment certificate includes:
- A written request for the implementation of an investment project
- Copy of ID card/CCCD/Passport for individual investors;
- copy of Certificate of Incorporation or other equivalent document certifying legal status for investor being an organization.
- A document specifying project information, including the following contents: investor implementing the project, investment objectives, investment scale, investment capital and capital mobilization plan, location, time limit, and investment schedule investment, labor, investment incentives, impact assessment, socio-economic efficiency of the project.
- A copy of one of the following documents: financial statements of the last 2 years of the investor; commitment to financial support of the parent company; financial institution's commitment to financial support; guarantee on the financial capacity of the investor; documents explaining the financial capacity of the investor.
- Proposing land use needs; In case the project does not request the State to allocate or lease land or permit the change of land use purpose, a copy of the location lease agreement or other document certifying that the investor has the right to use the site for implementation of current investment project.
- An explanation of the use of technology for the requested project.
- Step 2: After receiving the application, the investment registration agency will provide the investment individual or organization with an account to access the National Foreign Investment Portal to monitor the process.
- Step 3: The investment registration agency will use the National Foreign Investment Portal to receive, process and respond to the results of the application, update the progress of the project and issue the project code.
- After 35 days from the date of receiving the investment dossier, the individual/investment organization is granted an investment certificate, and the investor carries out the procedures for setting up a business similar to the one mentioned above.
- Similar to 100% domestic-owned companies, foreign-invested companies must apply for a Business License for a number of lines of logistics services. However, the conditions for applying domestic capital companies and foreign invested companies will be different in each field.
- Note: Logistics services that Vietnam has committed to open the market will not require a business license such as freight transport of sea transportation services, container warehousing services of transportation support services. loading sea,…
Read more:
→ Should I set up a private enterprise?
→ 3 popular types of businesses
→ Should I set up a JSC or a 2 member limited?
→ What to know when converting the business type.
- In this article, Thinh Tri Law has presented the procedure for establishing two types of logistics enterprises: logistics enterprises with 100% domestic capital and logistics enterprises with foreign investment capital. If you have any questions about the procedure for setting up this business, please contact us:
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- Hotline: 1800 63 65
