Are you passionate about fashion and gemstone jewelry?
Are you a foreign investor wishing to invest in Vietnam to trade gemstone jewelry?
Have you find the best way to run your business in Vietnam effectively and legally?
According to the Vietnam regulations, you need a business location in Vietnam and below licenses in order to establish a company to import, export, wholesale and trade jewelry with gold, silver and precious stones:
1. The Investment Registration Certificate;
2. The Enterprise Registration Certificate;
3. The Business License;
4. The Retail License (if applicable);
5. Written confirmation of fire prevention and fighting.
Contents
I. The Investment Registration Certificate (IRC)
According to the WTO Commitments Schedule, from January 11 2010, there are no more extended restrictions on distributing products that are allowed to be distributed (as long as the products are allowed to be manufactured in Vietnam). Thus, import, export and retail jewelry with gold, silver and precious stones belong to Wholesale services (CPC 622), Retail services (CPC 631 + 632).
Based on The Law of Investment 2020, Foreign investors are allowed to establish companies with 100% foreign capital to import, export, wholesale and retail jewelry with gold, silver, and precious stones.
Estimated Schedule for obtaining the Investment Registration Certificate: It will be done within 15 – 20 working days since the date of submitting.
II. Application for an Enterprise Registration Certificate (ERC)
Enterprise Registration Certificate is a document recording information about business
registration that the business registration office issues to an enterprise.
Estimated Schedule for obtaining the Enterprise Registration Certificate: It will be done within 5 – 7 working days from the day since the date of submitting.
III. The Business License
The foreign investors and foreign-invested business entities, and other entities involved in the sale of goods and other related activities of foreign investors and foreign-invested business entities in Vietnam must apply for the Business License before retailing the products in Vietnam.
By Article 9, the Decree 09/2018/NĐ-CP, Conditions for issuing business license:
1. A foreign investor from a country or territory which has acceded to a treaty to which Vietnam is a signatory and under which Vietnam has committed to open its market for sale of goods and other related activities shall:
a) Meet market access conditions prescribed in international treaties to which Vietnam is a signatory;
b) Acquire a financial plan deemed qualified to apply for a business license;
c) Incur no overdue tax in a case where it has been established in Vietnam for at least 1 year.
2. A foreign investor not from a country or territory which has acceded to a treaty to which Vietnam is a signatory shall:
a) Meet conditions prescribed in Points b and c Clause 1 of this Article;
b) Meet the criteria below:
– In accordance with special law;
– In conformity with the extent of competitiveness of domestic enterprises within the same sector;
– Employment creation for domestic workers;
– Potential and actual contribution to the state budget.
The validity period of a business license: 05 years
Estimated Schedule for obtaining the Business License: It will be done within 45 working days from the day since the date of submitting.
IV. The Retail License (if applicable)
By the Decree 09/2018/NĐ-CP, Retail outlet means the place where retailing is conducted.
A retail outlet other than the first retail outlet is the outlet established by the same foreign investor or foreign-invested entity that has already a retail outlet in Vietnam or sharing the same name or brand name with at least a retail outlet established by a foreign-invested entity in Vietnam.
By Article 22, the Decree 09/2018/NĐ-CP, Conditions for setting up retail outlet
1. Setting up the first retail outlet
a) Acquire a financial plan for setting up a retail outlet;
b) Incur no overdue tax in a case where it has been established in Vietnam for at least 1 year;
c) The location where the retail outlet is set up is conformable with the relevant planning in the relevant geographic market.
2. Setting up retail outlet other than the first retail outlet
a) In case of without requiring compliance with an economic needs test:
Conditions prescribed in Clause 1 of this Article shall be met.
b) In case of requiring compliance with an economic needs test:
– Conditions prescribed in Clause 1 of this Article shall be met;
– Economic needs test criteria prescribed in Clause 2 Article 23 of this Decree are fulfilled.
Economic needs test (ENT)
1. Circumstances requiring compliance with ENT
Setting up a retail outlet other than the first retail outlet, unless such retail outlet is less than 500m2 in size and located in a shopping mall and not classified as a convenience store or mini
supermarket.
2. ENT criteria
a) The scale of the relevant geographic market being affected by to-be-retail outlet*;
b) The number of existing retail outlets in the relevant geographic market;
c) Impact of the retail outlet on the market stability and operating activities of other retail outlets and traditional markets in the relevant geographic market;
d) Impact of retail outlet on traffic density, environment hygiene, fire safety in the relevant geographic market;
dd) Potential contribution of the retail outlet to the socio-economic development of the relevant geographic market, in particular:
– Employment creation for domestic workers;
– Potential contribution to the development and modernization of the retailing sector in the relevant geographic market;
– Improvement of environment and living conditions of inhabitants in the relevant geographic market;
– Potential and actual contribution to the state budget.
The validity period of the license for establishment of retail outlet: The validity period of a license for the establishment of a retail outlet shall be as long as the remaining duration of the certificate of registration for the project of setting up a retail outlet.
In case of the absence of the certificate of registration for investment, the validity period of the license for the establishment of a retail outlet shall be as long as the duration specified in the retail outlet documentation;
Estimated Schedule for obtaining the Business License: It will be done within 45 working days from the day since the date of submitting
V. Written confirmation of fire prevention and fighting.
In order to save time to find out the procedure, fill out the form, notarize, waiting for the application to be submitted, you can contact HTLaw for Set up a jewelry company service.
Contact us
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- Email: hue.truong@htlaw.vn
- Phone number: +84 935 439 454.