Vietnam -Amendments To Enterprise Registration Regulations.
Legal News & Analysis - Asia Pacific - Vietnam - Regulatory & Compliance
14 January, 2019
On 23 August 2018, the Government issued a new decree (“Decree 108/2018/ND-CP”) on amendments to enterprise registration. Decree 108/2018/ND-CP came into effect on 10 October 2018. In comparison with the previous legislation (“Decree 78/2015/ND-CP”), Decree 108/2018 has introduced the following notable changes:
|1||Requirement on company stamp|
|2||Power of Attorney|
|3||Business Location||Decree 108/2018/ND-CP has removed the requirement that an enterprise may only establish a business location in the same central province or city where the enterprise has its head office or a branch. This means the enterprise may establish its business location(s) where it does not have its head office or branch.|
|4||Reduction of charter capital|
|5||Notification of change of founding shareholder of joint stock company||A joint stock company is required to notify the change of founding shareholder(s) only in the case where the founding shareholder(s) have not paid or has not paid in full the share which they intend to subscribe. In comparison with Decree 78/2015/ND-CP, the joint stock company is not required to notify such change when the founding shareholder(s) transfer their shares.
Overall, Decree 108/2018/ND-CP introduces very positive changes to simplify and standardise enterprise licensing procedures.
For more information, please contact:
Hung Nguyen, ZICO Law