Is it possible to use apartment buildings as enterprises' headquarters in Vietnam?

Is it possible to use apartment buildings as enterprises' headquarters in Vietnam?

Pursuant to Article 42 of the Enterprise Law 2020 stipulates that the enterprise’s headquarters are as follows:

The enterprise’s headquarters shall be located within Vietnam’s territory, is the enterprise’s mailing address, has phone number, fax number and email address (if any).

Clause 3, Article 3 of the Law on Housing 2014 provides as follows:

3. Apartment building means any multi-storey building which has multiple apartments, public stairs, hall ways, private areas, common areas and common infrastructural works for organizations, households or individuals, including apartment buildings for residential use and mixed-use buildings for both business and residential purposes.

According to Clause 11, Article 6 of the Law on Housing 2014, prohibited acts are as follows:

11. Using the apartments not for residential purposes; using the area for business purposes in the apartment building under approved project for trading flammable materials, explosives, providing services causing environmental pollution, noise or negative effects on the lives of households and individuals in the apartment building as prescribed in regulations of the Government.

Thus, if your company wants to use an apartment building for your enterprise's headquarters, it must consider whether the apartment is built for residential use and mixed-use buildings for both business and residential purposes. Your company is not allowed to rent an apartment for the purpose of residential use as the enterprise's headquarters in Vietnam. 

In case the apartment building is built with mixed-use buildings for both business and residential purposes, the company may rent the apartment for business purposes as the enterprise's headquarters in accordance with the above provisions in Vietnam.

Can enterprises use representative offices for business in Vietnam?

According to Article 44 of the Enterprise Law 2020, branches, representative offices and business locations of an enterprise are as follows:

1. A branch of an enterprise is its dependent unit which has some or all functions of the enterprise, including authorized representative. The business lines of a branch shall match those of the enterprise.

2. A representative office of an enterprise is its dependent unit which acts as the enterprise’s authorized representative, represents and protect the enterprise’s interests. A representative office shall not do business.

3. A business location of an enterprise is the place at which specific business operations are carried out.

According to this Article, when your company establishes a representative office, it is not allowed to use a representative office for business. Representative offices only have the task of representing by authorization for the interests and protection of those interests in Vietnam.

How long does it take to register representative offices in Vietnam? 

Article 45 of the Law on Enterprises 2020 provides for registration of branches and representative offices; notification of business location as follows:

1. An enterprise may establish branches and representative offices in Vietnam and other countries. An enterprise may have more than one branch and representative office in an administrative division.

2. When establishing a domestic branch/representative office, the enterprise shall submit an application for branch/representative office registration to the business registration authority in charge of the area where the branch/representative office is established. Such an application shall consist of:

a) The notice of establishment of the branch/representative office;

b) Copies of the Establishment Decision and minutes of the meeting on the establishment of the enterprise’s branch/representative office, legal documents of the head of the branch/representative office.

3. Within 03 working days from the receipt of the application, the business registration authority shall consider the validity of the application and decide whether to issue a Certificate of Branch/Representative Office Registration. The business registration authority shall inform the applicant of necessary supplementation in writing if the application is not satisfactory or inform the applicant and provide explanation if the application is rejected.

4. The enterprise shall apply for revision of the Certificate of Branch/Representative Office Registration 10 days from the day on which a change occurs.

5. Within 10 days from the day on which the business location is decided, the enterprise shall send a notice of business location establishment to the business registration authority.

6. The Government shall elaborate this Article.

Thus, when the company submits the application for establishment of a representative office, the business registration authority will consider the validity of the application and issue a Representative Office Registration Certificate within 03 working days in Vietnam.

Best Regards!