PROCESS OF ESTABLISHMENT OF THE COMPANY

According to the prediction of the corporate finance world, the period from 2017-2020 will be considered as the golden age of starting a business with the birth of a series of new businesses. According to statistics on enterprise registration at the end of 2018, Vietnam has 121,248 newly established businesses, which is not small for a developing country like Vietnam today.

Is the establishment thành lập công ty complicated? Investors who want to set up a company need what conditions? Profile of company establishment and steps of incorporation like? What is the decision to set up the company and is there a sample decision to set up a limited company?

ThienMaLaw will answer customer questions and advise customers on what to establish a company in the following article.

Conditions on business subjects when establishing companies:

• For Vietnamese citizens, foreigners residing in Vietnam have the right to establish an enterprise, except for the cases specified in Clause 2, Article 18 of the Law on Enterprises 2014. Specifically: adolescents, people without full civil act capacity, being subject to criminal prosecution, persons serving imprisonment sentences ...;

• Foreign traders who are nationals of one of the WTO members will have to meet the following conditions:

• Establishing a joint venture company in Vietnam; Establishment of branches and representative offices in Vietnam.

Conditions of business name

When establishing a company, the enterprise's name must be given the following formula: Name of the enterprise type + proper name. In addition, proper names must not be identical or confusing with previously booked businesses; The name of an enterprise must not violate customary customs or use the name of a state agency without the permission of the competent authority.

Conditions of headquarter address

When establishing a company, businesses should choose clear, accurate and convenient addresses for travel. In order to save maximum costs for newly established businesses, customers can choose to locate their corporate headquarters at relatives, friends, office leasing companies ...

There are a number of cases where businesses choose to have their headquarters located in a collective home, industrial park, or at an address that has not been clearly demarcated, customers need to contact the law consulting companies. set up an enterprise or business establishment consulting lawyer to be instructed to prepare the necessary documents, avoid the case of missing applications and take time to correct documents.

Business conditions of the company

Business lines are one of the biggest considerations when starting a business. For industries that do not require business conditions, customers only need to apply the industry code according to the national industry code system and carry out the usual registration procedures. However, for a number of conditional business lines such as postal services, massage, karaoke, wine business, real estate, construction ... customers need to carry out the application procedure for licenses. these types of business.

Minimum capital requirements to establish a company

The current law does not specify how much a minimum amount of capital is required for a business to be established in its normal business (no legal capital required). Although the law does not provide for minimum capital, in fact, businesses need to choose the right capital to suit business lines, so the capital level is too low will not affect the legality of the public. However, this will be considered as an obstacle when businesses register their charter capital too low.

Above are the notes that Thien Ma Law advises clients on the question of what a company needs to establish. To understand the details, please contact Thien Ma Law for answers and care.

Depending on the type of business, there will be different file items, so what are the conditions for setting up a company? Basically the application will need the following documents:

• List of members for the limited liability company with 2 or more members, partnerships, list of shareholders for joint stock companies;

• Copies of personal identification / passport or other papers of equivalent legal validity;

• Authorization document for organizations and individuals to directly carry out business registration procedures when the business owner does not directly submit the application file;

• Identity card of the person authorized to carry out business registration procedures;

• Application for business registration;

• Company rules;

• A copy of the decision to establish the company of the owner, the head of the business.

In the above papers, readers will wonder what is the decision to set up the company? In fact, the new establishment does not have a decision to establish the company. However, this will be understood as the members sitting together, giving unanimous ideas and writing up an agreement between the members. This document will record the contents of the meeting such as the decision on the company's name, the address of the head office, the election of the legal representative, the business line of the company and the decision on establishment. The company has been put into operation since.

Therefore, with the question "What is the decision to establish a company", customers can understand as this is one of the first important steps for organizations and individuals when starting the procedures for successful establishment. set up a business.

Above is the advice provided by Thien Ma Law to customers on the question of what conditions a company needs to set up (what conditions do you need to set up a company). The article may be expired, amended or supplemented at the time of reference, so we recommend that if you need advice on procedures for establishing a business or are concerned with Questions to establish a company need what conditions, want to establish a company need before procedures, please contact Luật Thiên Mã for advice on establishing a free business, with detailed content and exactly as required by applicable laws.