FOREIGN INDIVIDUALS ESTABLISH A COMPANY WITH BUSINESS FUNCTION OF RESTAUTANT AND BAR

FOREIGN INDIVIDUALS ESTABLISH A COMPANY WITH BUSINESS FUNCTION OF RESTAUTANT AND BAR

FOREIGN INDIVIDUALS ESTABLISH A COMPANY WITH BUSINESS FUNCTION OF RESTAUTANT AND BAR

According to Commercial Law 2005: Foreign traders are allowed to establish foreign-invested enterprises in Vietnam in the forms prescribed by Vietnamese law. In this case, foreign individuals may register to establish an enterprise in the form of a one member limited liability company.

A. Legal basis

    • Commercial Law 2005;
    • Enterprise Law 2014;
    • 2014 Investment Law;
    • Decree No. 103/2009 / ND-CP
    • Decree No. 01/2012 / ND-CP
    • Decree 72/2009 / ND-CP
    • Decree 96/2016 / ND-CP

B. Interpretation of specialized laws

  • Under the Commercial Law 2005 in Clause 2 Article 16: Foreign traders are allowed to establish in Vietnam foreign-invested enterprises in the forms prescribed by Vietnamese law. In this case, foreign individuals may register to establish an enterprise in the form of a one member limited liability company.
  • According to Clause 1, Article 5 of the 2015 Investment Law: “Investors are entitled to conduct business and investment activities in industries and trades that are not prohibited by this Law.”
  • According to Article 6, Article 7 and Annex 4 of this Law, restaurant and catering services are not included in the list of prohibited industries, not on the list of conditional business lines.
  • According to Article 7 and Appendix 4 of this article, the business of dancing and karaoke services is on the list of conditional business lines. Accordingly, the conditions for disco service business are stipulated fully and specifically at the website https://dangkykinhdoanh.gov.vn/ under the Ministry of Planning and Investment and Development. Conditions for discotheque and karaoke service business are explained as follows.
  • Discotheque business license
  1. Cultural houses and cultural centers requesting the granting of a dancing business license must be legal entities;
  2. The distance from 200m upwards measures according to the traffic route from the ballroom door to the school, hospital, religious and belief facilities, historical-cultural relics, state administrative agencies. That distance applies only in cases where schools, hospitals, religious and belief establishments, historical-cultural relics, state administrative agencies are available in advance, owners of business places register for business. or request for the following business license;
  3. The sound coming out of the ballroom does not exceed the state regulations on the maximum noise level allowed to be measured at the outside of windows and doors of the ballroom;
  4. Star-class or high-class tourist accommodation establishments, cultural houses and cultural centers with the status of dancing halls legal entities must meet the following conditions:
  5. Ballrooms in dance halls must have an area of ​​80m2 or more, away from schools (including kindergartens, preschools, primary schools, junior high schools and high schools in the system) national education), hospitals, religious and belief establishments, historical-cultural relics, state administrative agencies (including state management agencies, political organizations and political organizations) – social levels at all levels, police and military camps, international organizations, embassies and consulates of different countries) from 200m upwards, ensuring the conditions for soundproofing and preventing fire and explosion;
  6. Equipment and means of operation of the ballroom ensure sound and light standards;
  7. In accordance with the planning of the dance hall of each locality.
  8. Conditions on security and disco business order: Being registered, licensed or established in accordance with Vietnamese law. Persons responsible for security and order of business establishments must not fall.

          [ For Vietnameses ]

  1. Have been criminally prosecuted by Vietnamese or foreign prosecuting bodies conducting investigation, prosecution, and adjudication.
  2. Have a criminal record of crimes of infringing upon national security or other crimes due to intentional conviction of more than 3 years imprisonment or more that have not been removed from criminal records; in the time of being suspended from serving the imprisonment penalty; are serving non-custodial reforms; being under house arrest, banned from residence, banned from holding certain posts, banned from conducting business and investment lines subject to security and order conditions under court decisions.
  3. Being subject to education measures at communes, wards and towns; decide to apply administrative handling measures pending the implementation of the decision; are addicted to drugs; being temporarily suspended or temporarily suspended from execution of the decision on sending to compulsory education establishments or putting them into compulsory detoxication establishments; having been subjected to administrative handling measures but not having enough time to be considered as having not been subject to administrative handling measures

         [ For overseas Vietnamese carrying passports and foreigners ]

Not yet authorized by Vietnamese authorities for residence permit.

  • Eligible for fire prevention and fighting safety according to the law on fire prevention and fighting. There must be security and order plans, including:
  1. Determining specific areas and areas, specific objectives need to be strengthened to ensure security and order;
  2. Measures taken;
  3. Regular service force;
  4. Means of service;
  5. Measures to organize and direct;
  6. Measures to coordinate with the authorities and relevant authorities in the locality
  7. Where the business operates;the case assumes that when there is an incident related to security, order occurs; mobilization of forces and means; handling measures.

Karaoke business license

  • Conditions for Karaoke service business
  1. Karaoke rooms must have a use area of ​​20m2 or more, excluding auxiliary works, ensuring soundproofing conditions, fire and explosion prevention and fighting;
  2. Karaoke room doors must be colorless glass doors; outside see the whole room; if there are frames, no more than two vertical frames and three horizontal frames; frame area not exceeding 15% of door area;
  3. Do not place internal locks or latches or set alarm devices to deal with inspection activities of competent state agencies;
  4. The distance from 200m upwards measures according to the traffic route from the room door to the school, hospital, religious and belief facilities, historical-cultural relics, state administrative agencies. That distance applies only in cases where schools, hospitals, religious and belief establishments, historical-cultural relics, state administrative agencies are available in advance, owners of business places register for business. or request for the following business license;
  5. Compliance with the planning on karaoke approved by competent agencies.

Conditions on security and karaoke business order: The person responsible for security and order of business establishments must not fall into one of the following cases: 

    a) For Vietnamese:

  1. Having been criminally prosecuted by Vietnamese or foreign procedural agencies conducting investigation, prosecution and trial.
  2. Having a criminal record of crimes of infringing upon national security or other crimes caused by an intentional conviction of more than 3 years of imprisonment or more, which have not yet been deleted; in the time of being suspended from serving the imprisonment penalty; are serving non-custodial reforms; being under house arrest, banned from residence, banned from holding certain posts, banned from conducting business and investment lines subject to security and order conditions under court decisions.
  3. Being subject to education measures at communes, wards and townships; decide to apply administrative handling measures pending the implementation of the decision; are addicted to drugs; being temporarily suspended or temporarily suspended from execution of the decision on sending to compulsory education establishments or putting them into compulsory detoxication establishments; having been subjected to administrative handling measures but not having enough time to be considered as having not been subject to administrative handling measures;

b) For overseas Vietnamese carrying foreign passports and foreigners:

  1. Not yet been granted a residence permit by a competent Vietnamese agency.
  2. Eligible for fire prevention and fighting safety according to the law on fire prevention and fighting.

 

C. Process of implementation

a. Prepare documents: Documents (Article 23, Article 10 of Decree 78/2015 / ND-CP) include:

  • Request for business registration
  • Company rules
  • Valid copy of personal certification for foreigners (foreign passport or valid passport for foreign passport)

b. Submit:

  • How to do it: The person who set up the business or the person authorized to carry out the business registration procedure shall submit the business registration dossier directly at the Business Registration Office where the enterprise is headquartered or the representative According to the law, the enterprise registration dossier is electronically submitted according to the process on the National Information Registration Portal.
  • Processing time: Within 03 (three) working days from the date of receipt of a complete and valid file.

D. Researching Team

  • Dong Du business research and development center_ DBRDC
  • My Nguyễn & Nhung Nguyễn – Corporate legal consultant
  • Toni Tran – Director of DBDRC center

E. Contact

For more information, please contact: Dong Du International Consulting Group HCM, Southeast Asia Business Consulting Network.

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