Pursuant to Law on Investment Promotion (Amended) No. 14/NA, dated 17 November 2016, Investment consists of 2 types: 1. General business (business activities under/outside controlled business list); 2. Concession investment. Business activities under controlled business list are businesses that are sensitive to national security, public order, national fine tradition, and socio-environmental impact; to ensure socio-economic development balance, screening by relevant sector authorities is required before granting an investment license by the investment one-stop-service office and/or committee for investment promotion and supervision according to decentralized supervision. Business activities outside controlled business list are businesses opened for general businesses and which may be a file for enterprise registration and shall be authorized for operation according to the Enterprise Law and relevant regulations. Concession business is an investment for which the investor is authorized by the Government according to regulation to develop and operate a business notably concession of land, development of special economic zones, zones for industrial processing for export, mining, electric energy development, aviation, and telecommunication.
Application for business activities under the controlled business list
Investors wishing to invest in general businesses included in the controlled business list shall submit an application through the investment one-stop service office of central or provincial level which shall coordinate with relevant sector authorities and then submit the request to the committee for investment promotion and supervision for approval as per the decentralized supervision authority as set out in relevant regulations.
Timeframes for admission consideration for investment in businesses under controlled business list shall be as follows:
- Investors receive their investment license and enterprise registration certificate within twenty-five working days from the date of the investment one-stop-service office’s receipt of complete application;
- The investment one-stop-service office shall send the application documents to relevant sector authorities and local administration for their opinion within two working days for consideration and returning with their opinion in writing within eight working days; no response within such time frame shall imply their implicit approval.
- After receiving opinions from such authorities, the investment one-stop-service office shall consider and propose the IPSC for consideration within ten working days issue the enterprise registration certificate within five working days.
- After that, the investment one-stop-service office shall issue the investment license and enterprise registration certificate within five working days.
In case of rejection of the application, the investment one-stop-service office shall inform the applicant in writing within three working days from the date of rejection decision.
Application for business activities outside the controlled business list.
Investors wishing to invest in general business not included in the controlled business list shall submit an application to industry and commerce sector authority for enterprise registration as set out in the Enterprise Law and other relevant regulations. For business activities outside the controlled business list in promoted sectors, upon enterprise registration, their investors may submit a request to the investment one-stop service office for an incentive card. Procedures and timeframes for consideration of enterprise registration for business outside controlled business list require the issuance of enterprise registration certificate within ten working days from the date of receiving the application for enterprise registration.
Investment Conditions and Procedures for Concession Businesses
Investor conditions for concession business:
- Being legal entities;
- Having experience and success in business as certified by relevant authorities;
- Being financially sound or having funding sources as certified by domestic or foreign financial institutions;
- Meeting other conditions as set out in relevant laws.
Investors wishing to invest in a concession business or in the development of a special economic zone and industrial processing zone for export shall submit an application and all supporting documents (Details of supporting documents are set out in a separate regulation) to the investment one-stop service office of central or local level according to the supervision decentralization as set out in relevant regulations, for consideration and recommendation to the Investment Promotion and Supervision Committee for consideration.
Application and documentation for concession business are as follows:
- Application for investment;
- CV and experiences of investor or company, ID card, criminal record, a copy of passport, copy of enterprise certificate in case of the entity;
- Joint-venture agreement;
- Letter of authorization for representative of shareholders or company, in case that person is not in the top position of the company;
- Feasibility study or business plan with following main content: purpose of investment, estimated value of investment, project location, operation timelines, project effectiveness, labor need, need for a state land lease or concession; financial, technical-economic feasibility, projected benefit sharing, plan and procedures for operation, document certifying funding support, request for investment incentives;
- Report of environmental, social and natural impact assessment;
- Certificate of financial status or supporting document from a financial institution or bank, certified financial statement of the last two years;
- Articles of association as per the standard form.
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