When deciding to setup company in Vietnam, most foreign investors share similar concerns. From being able to serve as Legal Representative without permanent residence, to tax rates, bank accounts, or travel schedules – these questions always arise during the preparation process.
This article compiles the 6 most practical questions that Vina TPT’s clients frequently ask, along with clear answers, illustrative examples, and specific solutions for 2026. We hope it gives you a more comprehensive view before starting your investment journey in Vietnam.
1. If I already have a company abroad, can I open another company in Vietnam and serve as Legal Representative?
Many investors complete the foreign investment company registration Vietnam process while continuing to manage businesses in other countries.
Current Vietnamese law allows an individual foreigner or a foreign organization (parent entity) to carry out the foreign investment company registration Vietnam process to own from 1% to 100% of the charter capital in a Vietnamese enterprise (depending on WTO commitments and conditional business sectors).
Holding a Director, Chairman, or Legal Representative position in another country does not conflict with you also serving as the Legal Representative of the new entity in Vietnam.
Important note on Legal Representative continuity: A company in Vietnam must have at least one Legal Representative who resides in Vietnam. If the company has only one Legal Representative, that person must reside in Vietnam and must issue a written power of attorney to another individual to perform their rights and obligations when leaving Vietnam.
Therefore, if you are the sole Legal Representative but frequently travel abroad, the optimal solution is to appoint a second Legal Representative who is a senior local Vietnamese staff member, or to use a professional management/representative service provided by companies like Vina TPT to ensure continuous and legal operation of document signing in Vietnam. This approach makes setup company in Vietnam much more flexible for international investors.
2. Can I open a company without residing regularly in Vietnam?
Many entrepreneurs successfully complete company formation Vietnam for foreigners without residing permanently in Vietnam.
The Vietnamese Government does not require foreign owners, shareholders, or capital contributors to be physically present or have permanent residence in Vietnam to maintain ownership of the business. You can remain in Singapore, Korea, the US, or Europe to manage operations remotely, supervise business activities online, approve strategies, and legally repatriate profits.
However, the practical challenge here is the “Legal Representative residency” requirement mentioned in Section 1. To completely resolve this administrative gap when the investor is not regularly present in Vietnam, you can choose the following solutions:
- Solution 1: Multiple Legal Representatives Model: The company registers two Legal Representatives. You (the foreign investor) hold supreme authority, and a senior Vietnamese staff member (Operations Director/Chief Accountant) serves as the second resident representative to handle daily administrative work with state authorities.
- Solution 2: Professional Nominee/Chief Representative Service: Use Vina TPT’s professional representative personnel service packages. Our staff will be responsible for signing documents, receiving tax and social insurance inspection delegations at the headquarters, and protecting the company from administrative risks while you focus on remote business management.
3. Can I complete the company registration documents without being in Vietnam?
Yes, approximately 90% of the legal entity establishment process can be completed remotely through power of attorney.
Thanks to the online filing system of the Business Registration Management Agency, you can completely setup company in Vietnam without needing to visit any state authorities in person during the initial stages. This streamlined process makes setup company in Vietnam possible even when investors remain overseas during the initial stages.
The entire process – from document preparation, IRC/ERC submission, to completing post-licensing procedures – can be carried out through a legal power of attorney granted to a consulting firm. The authorization process works as follows:
- Remote Consular Legalization of Documents (performed in your home country): You provide a copy of your passport (for individuals) or Certificate of Incorporation & audited financial statements (for organizations), along with bank balance confirmation. These documents must be notarized and consular legalized at the Vietnamese Embassy/Consulate in your country.
- Signing the Power of Attorney (POA): Vina TPT drafts the POA along with the IRC & ERC application forms. You sign and stamp it, then send the original by express courier to Vietnam.
- Filing and Receiving Licenses: Vina TPT’s specialists handle translation, notarization, submission, explanation with authorities, and receive the original IRC, ERC, and company seal on your behalf.
- Physical Presence Required for Opening Bank Accounts: After receiving the ERC, the Legal Representative must be physically present in Vietnam to verify the original passport and open the Direct Investment Capital Account (DICA) and operating account at the bank. Banks do not accept fully remote authorization for opening FDI accounts due to anti-money laundering regulations.
3.1. Remote Consular Legalization of Documents
Performed in your home country.
You provide a copy of your passport (for individuals) or Certificate of Incorporation and audited financial statements (for organizations). These documents must be notarized, certified by your country’s Ministry of Foreign Affairs, and consular legalized at the Vietnamese Embassy or Consulate abroad.
3.2. Signing the Power of Attorney (POA)
Sent by express courier to Vietnam.
Vina TPT will draft the legal Power of Attorney (POA) along with the complete set of application forms for the Investment Registration Certificate (IRC) and Enterprise Registration Certificate (ERC). You sign and stamp it, then send the original to Vina TPT’s office in Vietnam by express courier.
3.3. Filing and Receiving Licenses:
Our legal specialists will translate and notarize the documents into Vietnamese, submit the application to the Department of Planning and Investment, liaise with the relevant authorities, and receive the original IRC, ERC, and company seal for handover to you.
3.4. Physical Presence is Required for Opening Bank Accounts: The Final Step
After the company has obtained the ERC and company seal, the Legal Representative must travel to Vietnam to personally verify their original passport at the bank in order to activate and open the Direct Investment Capital Account (DICA) and the operating account. Vietnamese commercial banks do not accept fully remote authorization for opening FDI company bank accounts in order to comply with international anti-money laundering regulations.
4. How Many Bank Accounts Can the Company Open?
A foreign-invested enterprise (FDI) can open an unlimited number of transaction bank accounts, but must strictly follow the account structure required by the State Bank of Vietnam.
Specifically, when an FDI entity begins operations, you must clearly separate two types of accounts:
|
Account Type |
Number Allowed |
Core Function |
| Direct Investment Capital Account (DICA) | Only 1 account in one foreign currency or VND at one authorized bank | Used exclusively to receive charter capital contributions from abroad, disburse investment capital, repatriate legal profits, and settle foreign loans (if any). |
| Operating/Transaction Account | Unlimited (can be opened at multiple banks such as HSBC, Vietcombank, Techcombank, etc.) | Used for daily business operations: receiving customer payments, paying salaries, remitting taxes, paying rent, and other operating expenses. |
Mandatory Capital Flow Process: All your capital contributions from abroad must first be transferred into the DICA account. Only after that can funds be moved from the DICA to the VND operating account to be legally used for business activities in Vietnam.
Explore Vina TPT's End-to-End Company Formation Services
5. What is the Corporate Income Tax (CIT) Rate in Vietnam?
The standard Corporate Income Tax (CIT) rate in Vietnam is currently 20% on taxable profits.
This is an extremely attractive and strategically competitive tax rate when compared to the average in Asian countries. In particular, to attract high-quality capital, Vietnam is applying very strong tax incentives for projects that meet criteria on location or industry:
- 10% tax rate for 15 years: Applied to high-tech projects, biotechnology applications, software production, renewable energy, or projects in areas with particularly difficult socio-economic conditions.
- Tax exemption and reduction (Tax Holidays): Many large-scale technology and manufacturing projects in industrial parks and high-tech zones enjoy 100% CIT exemption for the first 4 years and a 50% reduction on the tax payable for the next 9 years.
- .Tax Rate Incentives Based on Revenue Scale:
- 15% preferential tax rate applies to enterprises with annual revenue not exceeding VND 3 billion.
- 17% preferential tax rate applies to enterprises with annual revenue from over VND 3 billion to VND 50 billion.
>>> To learn more about CIT tax rates and specific incentives by industry and location, please refer to the article here.
6. My schedule is very busy when do I need to come to Vietnam to complete the procedures?
You only need to schedule one short trip (approximately 2-3 working days) to Vietnam after receiving the Enterprise Registration Certificate (ERC).
To optimize time for busy executives, Vina TPT has designed the following realistic timeline so you can proactively plan your business trip:
- Preparation Phase (Weeks 1 – 5): You stay abroad. Vina TPT handles the entire IRC/ERC application process remotely via authorization. You do not need to appear at all.
- Required Presence Phase (After Receiving ERC): Immediately after receiving the Enterprise Registration Certificate (ERC) and company seal, the Legal Representative should schedule one short trip (1-2 days) to Vietnam to:
- Personally visit the bank to open the Direct Investment Capital Account (DICA) and operating account (original passport verification required).
- Issue the wire transfer for charter capital contribution from abroad (which can be done online after the account is activated).
- After the Trip: You can return home immediately and complete the capital contribution within 90 days from the date the ERC is issued.
If you plan to reside long-term or send expats to work in Vietnam: It is recommended to combine this trip with procedures for Work Permit, Temporary Residence Card (TRC), and related documents for foreign personnel.
7. Why Choose Vina TPT for Your Company Setup in Vietnam
Establishing and executing the setup company in Vietnam process requires not only a thorough understanding of legal wording but also practical experience in submitting and explaining documents with specialized local authorities. Vina TPT proudly offers a comprehensive end-to-end service solution that completely removes administrative and language barriers for international investors:
- International-standard language and advisory capability: Our entire team of legal specialists and financial experts communicates and works fluently in professional English, ensuring all legal terminology is clearly and transparently explained to investors.
- Perfect remote operation support: We minimize the need for your physical presence in Vietnam. From providing legally compliant virtual offices for registered addresses to representing you in all post-licensing procedures (initial tax registration, digital signature purchase, electronic invoice registration).
- Comprehensive compliance ecosystem: Beyond licensing, Vina TPT accompanies your business throughout its entire lifecycle through full accounting services, payroll management, periodic tax finalization, shared office and Work Permit & Temporary Residence Card (TRC) procedures for foreign specialists.
Are you looking for a reputable local partner to realize your investment capital in the Vietnamese market safely, quickly, and cost-effectively from the very first step? Planning to setup company in Vietnam? Contact Vina TPT today for expert guidance on foreign investment company registration Vietnam and complete company formation Vietnam for foreigners.
