We have released our guide to corporate structures in Vietnam for foreign investors.
This publication provides easy to read guidance covering the available structures when investing in Vietnam, the key roles and positions of individuals, and documents required for investment.
If you are looking to incorporate/establish a company in Vietnam, this guide will walk you through the key requirements to make this happen, and will assist in understanding the difference in the company types and operating/governance structures.
Investments into Vietnam by foreign investors can be dissected into two distinct categories:
1. Direct Investment
Direct Investment is the form of investment in which the investor provides investment capital and directly participates in the management of investment activities, including through the following forms:
- Establishment of a new legal entity (a company), in which foreign investors own 100% of the capital, or where the company is jointly owned by domestic and foreign investors;
- General Partnerships;
- Business Cooperation Contracts signed with other local or foreign investors;
- Public Private Partnership contracts with Vietnamese State bodies; and
- Investing by way of the acquisition of the shares/capital of an existing Vietnamese entity.
2. Indirect Investment
Indirect Investment is the form of investment where the investment forms part of a portfolio, and does not participate in the management of investment activities. Forms of Indirect Investment include:
- The purchase of shares, share certificates, bonds and other securities traded on stock exchanges;
- Through securities offered by investment funds; and
- Investment through other intermediary financial institutions.
This publication focusses primarily on the Direct Investment structures.