BE SMART WHEN SETTING UP A BUSINESS
Enterprises shall be registered for establishment in accordance with the provisions of law for the purpose of serving business activities, being organizations having their own transaction posts, having their own names and having their own assets. However, prove that you're smart when you sign up for a business.
IS IT OKAY TO DO BUSINESS WITHOUT WANTING TO SET UP A BUSINESS?
One question is: "When doing business but not wanting to register to establish a business?". Then the answer will be yes.
However, under the law, not all sectors can do business without establishing a business. For industries such as real estate business, setting up social networking sites, setting up general websites, online promotional websites, registering to establish e-commerce floors,... are the compulsory occupations that are enterprises or organizations. In addition, some business sectors require a practice certificate, such as Real Estate Brokerage, Lawyers,... if you want to operate independently.
Doing business without establishing a business can face a lot of difficulties, especially for those who identify long-term business, have a greater development orientation, more professional in the future.
First, when establishing an enterprise, it means that the enterprise confirmed by the State exists. At that time, the enterprise will be granted the enterprise number, tax code, certificate of registration of establishment and legal person's person to carry out transactions.
Secondly, when conducting business activities with partners, the partner will feel more secure when entering into a contract with the business.
Third, if you are not a business, you are not allowed to invoice.
Fourthly, when you want to raise capital, you need to set up a business to make it easier to raise capital.
Fifthly, in addition to establishing a Business, you can also choose 2 types: Individual Business Household or Cooperative, depending on the size and field of business that you want to do. Enterprises have a clear organizational structure with the rights and obligations of shareholders specified in the Enterprise Law 2014.
WHAT TO PAY ATTENTION TO WHEN YOU WANT TO START A BUSINESS?
When preparing to start a business, you need to learn and note the basics as follows:
Firstly, choose the right type of business based on the number of people and organizations contributing capital. Note: According to Article 18 of the Law on Enterprises 2014, capital contributors must not be banned from establishing and managing enterprises.
Secondly, Define the area of business you want to do. From the main business field, it is possible to choose a business line in accordance with the law.
Third, Charter Capital. Many business sectors are not required to have a specific level of capital, but some require businesses to have an appropriate level of capital.
Fourth, Select a name for your business. The name must ensure that there are 2 elements: the type of company and the first name you set. The business name must not be duplicated with any previously registered business nationwide, otherwise the name you choose will be refused registration
Thursday, Headquarters. The headquarters must not be located in locations with no business functions, such as apartment complexes, collective houses built for the purpose of staying. Unless it proves that the purpose of use is for business purposes in accordance with the 2014 housing law.
Sixth, Legal Representative. It is recommended to choose a legal representative suitable for the type of business of the company. Limited Liability Company and JSC may have one or more legal representatives under the Enterprise Law 2014.
After completing the procedures for establishment of the enterprise, it is necessary to immediately carry out the necessary procedures:
- Open a bank account
- Declaration and payment of card taxes
- Engraving seals
- Buy a digital signature
- Invoice usage notice
WHAT DOES A BUSINESS ESTABLISHMENT PROFILE NEED?
First you prepare the application including the required documents as follows:
- An application form for enterprise registration;
- Draft company charter;
- List of founding shareholders/members upon establishment of the company;
For individual shareholders, you need to prepare your ID card or citizen's IDENTITY card (a certified copy of which does not exceed 3 months).
For members being organizations, you need to prepare a certified copy of the establishment decision, the enterprise registration certificate or other equivalent documents of the member organization, the authorization document, the people's identification card or passport to authentic the legal personal of the authorized representative (the certified copy does not exceed 3 months). For members being foreign organizations, a copy of the enterprise registration certificate must be consularly legalized and notified by the agency where such organization has registered for no more than three months.
- Authentic documents;
- Written capital certification;
- Practice certificates.
Then submit the application at the provincial business registration office or department of investment. Within 03-05 days, the enterprise registration certificate will be issued.
At this time, the company has begun to operate and can fully perform its business functions.
For questions about what to do when setting up a business, contact us!
