FOREIGN DIRECT INVESTMENT COMPANY (FDI COMPANY) ESTABLISHMENT SERVICES IN VIETNAM (2026): GUIDELINE ON PROCEDURES, LEGAL STEPS AND KEY NOTES FOR FOREIGN INVESTORS
Establishing a foreign-invested company in Vietnam is a legal pathway that enables investors to set up a legitimate business presence in the country, thereby facilitating commercial and investment activities. The process of establishing a wholly foreign-owned enterprise can be relatively complex and requires interaction with multiple competent authorities. To mitigate legal risks, it is essential for investors to clearly understand the procedural steps and regulatory requirements involved.
Clients interested in support services for establishing a foreign-invested company in Vietnam (2026) may contact Dai Quang Minh Company via Hotline: 0932 191 299; Zalo: 0932 191 299; Email: info@quangminhlawfirm.com; Viber: (+84) 337 926 405; WhatsApp: (+84) 337 926 405; WeChat: (+84) 337 926 405 (ID: pouniverse) for complimentary consultation and comprehensive, efficient, and accurate legal services.
In addition, Dai Quang Minh Company provides a wide range of services, including sub-licenses, business registration, investment, foreign labor, and ongoing legal advisory services for both domestic and foreign enterprises.
Contact:
- Zalo: 0932.191.299
- Gmail: info@quangminhlawfirm.com
- Viber: (+84) 337926405/ (+84) 869672216
- WhatsApp: (+84) 337926405/ (+84) 869672216
- Wechat: (+84) 337926405 (ID: _pouniverse)/ (+84) 869672216 (ID:DQM_Verna)
- Telegram: (+84) 337926405/ (+84)869672216
I. Procedures for Establishing a Foreign-Invested Company
The process of establishing a foreign-invested company in Vietnam generally includes the following key steps and required documentation:
- Preparing and collecting all necessary documents for the establishment of the foreign-invested enterprise.
- Submitting the application dossier to the competent authority to obtain the Investment Registration Certificate (IRC).
- Completing the Enterprise Registration Procedure to obtain the Enterprise Registration Certificate (ERC).
- Engraving the company’s official seal.
- Opening a corporate bank account, registering for electronic tax filing, and completing initial tax declarations.
- Contributing charter capital in accordance with the schedule stated in the Investment Registration Certificate.
- Obtaining additional sub-licenses (if required) for conditional business lines.
- Carrying out periodic reporting and updates on the project implementation progress as required by the relevant authorities.
II. Forms of Investment for Foreign Investors in Vietnam
Currently, foreign investors may engage in investment activities in Vietnam through several forms, including:
Capital contribution, share purchase, or acquisition of capital contributions
Under this form, foreign investors invest in Vietnamese companies that have already been issued an Enterprise Registration Certificate (ERC). Depending on the business sector, the foreign ownership ratio may range from 1% to 100% of the company’s charter capital. Investors carry out procedures to contribute capital, purchase shares, or acquire capital contributions, thereby converting the Vietnamese company into a foreign-invested enterprise.
Establishment of a new company
When establishing a foreign-invested company in Vietnam, foreign investors contribute capital from the initial stage of incorporation. The foreign ownership ratio may range from 1% to 100% of the charter capital, depending on the company’s business lines and applicable legal regulations.
III. Why choose Dai Quang Minh Company
With years of practical experience in legal consulting, Dai Quang Minh Company is a pioneer in corporate support services, specializing in fast and affordable company formation. Below are the reasons to choose business registration services at Dai Quang Minh Company:
Human Resources: Gather a team of corporate legal experts and project legal experts with a long working history at domestic private economic groups; large foreign-invested enterprises operating in Vietnam.
Consulting Policy: Clients are gifted a completely free legal consulting package when using services at Dai Quang Minh Company.
Professionalism and Experience: Dai Quang Minh Company has a workforce with in-depth knowledge of business formation, ensuring a swift and accurate consulting process.
Time-Saving: Using Dai Quang Minh Company 's services helps you save precious time as we handle the entire process and related procedures.
Legal Insight: Dai Quang Minh Company ensures that all relevant legal regulations are strictly followed in accordance with the law.
Customization: Our consulting services are highly adaptable to your specific needs, allowing you to choose options suitable for your business.
Trusted Partner: Dai Quang Minh Company has built a reputation for providing affordable business setup consulting to many enterprises and individuals nationwide.
Confidentiality Assurance: Dai Quang Minh Company is committed to the absolute protection of your personal and business information.
Detailed Support: Dai Quang Minh Company provides detailed advice and support regarding the process and requirements to help you better understand business formation.
Process Optimization: Our consulting helps optimize the business setup process, minimizing potential risks and difficulties.
Excellent Customer Experience: Dai Quang Minh Company is dedicated to providing the best customer experience through professional advice and enthusiastic support.
Focus on Business Plans: By utilizing our registration services, you can focus on developing your business plans and core activities instead of worrying about legal procedures.
IV. Conditions for Establishing a Foreign-Invested Company
Establishing a foreign-invested company is an important step that enables investors to legally conduct business activities in Vietnam. The key conditions include:
Investor eligibility and nationality:
Foreign investors may be individuals aged 18 or older, or organizations incorporated in WTO member countries or countries that have investment agreements with Vietnam. Certain business sectors only permit investment by legal entities. Notably, individuals holding passports associated with the so-called “nine-dash line” are not permitted to invest in Vietnam.
Investment sectors:
The intended business activities must not fall within prohibited sectors, including those that may harm national defense and security, public interests, historical and cultural heritage, traditional customs, the environment, natural resources, or public health.
Financial capacity:
Investors must have sufficient financial capability to carry out the investment project and may be required to provide proof of financial resources.
Business location:
A lawful business address in Vietnam is required, supported by a valid lease agreement or legal documents proving the right to use the premises. For manufacturing projects, investors must have a factory lease agreement, typically within an industrial zone.
Industry requirements and experience:
Investors are expected to have appropriate professional capacity and experience relevant to the investment sector. Certain conditional business lines require investors to satisfy specific regulatory requirements to ensure operational quality and safety. First-time foreign investors in Vietnam must have an investment project and complete the Investment Registration procedure with the competent authority.
V. Characteristics of a 100% Foreign-Owned Company
A company with 100% foreign investment has the following key characteristics:
- It operates under the laws of Vietnam as well as international treaties and agreements to which Vietnam is a party or has recognized.
- It is established by one or more foreign investors, who may be individuals or organizations contributing capital to form the enterprise.
- A 100% foreign-owned enterprise may be established in the form of a limited liability company, joint-stock company, or partnership. The owners are only liable for the company’s obligations within the extent of their contributed capital.
VI. Advantages of Establishing a 100% Foreign-Owned Company
Establishing a 100% foreign-owned company is considered a sustainable, long-term, and more structured form of investment compared to other investment models.
With full ownership of capital, foreign investors have complete control over the management, operation, and decision-making of the enterprise. This allows business strategies to be implemented more effectively and optimally.
In addition, this investment model provides better access to support in terms of technology, human resources, and financial capital, thereby enhancing overall business efficiency and competitiveness.
VII. Important Notes on Establishing a Foreign-Invested Company in Vietnam
When establishing a foreign-invested company in Vietnam, investors should pay attention to the following key points:
- Depending on the business sector, investors must determine an appropriate capital contribution ratio and fully meet the required investment conditions. For industries not included in Vietnam’s WTO commitments, approval from the Ministry of Planning and Investment may be required, which can affect the approval process of the investment registration application.
- The charter capital is not only used to demonstrate the investor’s financial capacity. If the contributed capital is below VND 3 billion, investors will not be eligible for work permit exemption, and the duration of temporary residence cards will depend on the invested capital. Timely capital contribution is crucial to avoid administrative penalties.
- Certain industries allow investment only by legal entities. For investors from non-WTO member countries, approval from the Ministry of Planning and Investment is mandatory, requiring strong supporting documentation and explanation capacity.
- Foreign investors are required to contribute capital through a Direct Investment Capital Account (DICA) to ensure compliance with foreign exchange regulations. Failure to comply may result in penalties or difficulties in amending the Investment Registration Certificate.
- Investors must provide valid documentation proving that the company’s headquarters is not located in a condominium unit, along with a legally valid lease agreement. For manufacturing projects, the production site must be located in an industrial or designated production zone with proper leasing functions.
- Investors may choose between establishing a new company or acquiring shares/capital contributions in an existing Vietnamese company to simplify the investment process.
- A foreign-invested company in Vietnam is subject to various taxes, including business license tax, value-added tax (VAT), corporate income tax (CIT), and import-export duties (if applicable).
- The foreign ownership ratio in a Vietnamese company may range from 0% to 100%, depending on the business sector. Certain industries require joint ventures or impose restrictions on foreign ownership percentages.
Prospective clients seeking assistance with procedures for establishing a foreign-invested company in Vietnam (2026) are kindly invited to contact Dai Quang Minh Company via Hotline: 0932 191 299; Zalo: 0932 191 299; Email: info@quangminhlawfirm.com; Viber: (+84) 337 926 405; WhatsApp: (+84) 337 926 405; WeChat: (+84) 337 926 405 (ID: pouniverse) for complimentary consultation and comprehensive, efficient, and accurate legal services.
In addition, Dai Quang Minh Company provides a wide range of services, including sub-licenses, business registration, investment, foreign labor, and ongoing legal advisory services for both domestic and foreign enterprises.
Contact:
- Zalo: 0932.191.299
- Gmail: info@quangminhlawfirm.com
- Viber: (+84) 337926405/ (+84) 869672216
- WhatsApp: (+84) 337926405/ (+84) 869672216
- Wechat: (+84) 337926405 (ID: _pouniverse)/ (+84) 869672216 (ID: DQM_Verna)
- Telegram: (+84) 337926405/ (+84) 869672216
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