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Did you know how to start Ecommerce business?

Do Ecommerce business in Vietnam

Did you know how to start  Ecommerce business in Vietnam?

Nowadays, in the context of the outbreak of the Covid 19 epidemic, together with the advancement and proliferation of the internet and electronic devices, Ecommerce business is playing an extremely crucial role in the trend that those who are using more up-to-date and continuously updated smartphones and laptops with a high-speed internet connection.
In addition, the demand for shopping Vietnamese people’s goods over the e-commerce trading floor is substantially increasing and continuous. Otherwise, part is currently due to the movement limitation order issued by the Government, the rest is due to the desire of Vietnamese people who would like to be money-saving and is not enough own time for traditional shopping.
Apart from the tremendous e-commerce trading companies such as Lazada, Shopee, some foreign investors are intended to invest and are interested in these services as well. We will outline the statutory legislation of Vietnamese law on e-commerce services for foreign investors to start an e-commerce business in Vietnam.
To invest in Vietnam, foreign investors may invest in the following forms of investment: (i) newly establishing a Vietnam-based foreign invested company (the “NewCo”) or (ii) purchasing shares /capital contribution of a local company that is owning a Vietnam-based legally registered e-commerce trading floor, sales e-commerce website/sales mobile application (the “Local Company”).
In case you would like to newly establish the NewCo, you must observe the following procedures:
  • Obtaining an investment registration certificate; and
  • Obtaining an enterprise registration certificate;

Both of which are issued by the provincial DPI, and (iii) either registering the e-commerce trading floor website/mobile application to the MOIT or notifying the sales e-commerce website/mobile application to the Vietnam eCommerce and Digital Economy Agency.

Otherwise, you may consider purchasing the Local Company’s shares or capital contribution. In such a case, you must observe the procedure for obtaining the M&A Approval issued by the Department of Planning and Investment where the Local Company is located.
Should you have any questions, please feel free to contact us at finnnguyen@ivlf-lawyer.com, www.ivlf-lawyer.com |www.facebook.com/IVLFLawyer 
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