Apply for sub-license for a Chinese company in Vietnam

The process of applying for sub-licenses for Chinese-invested companies in Vietnam is essential for businesses to operate legally and efficiently in a highly competitive market. Particularly for foreign-invested companies, full compliance with legal regulations not only safeguards business rights but also fosters trade and investment relations between Vietnam and other countries. In this article, we will explore the procedures, requirements, and key considerations when applying for sub-licenses for Chinese-invested companies in Vietnam.

What is a Sub-License?

Currently, the Investment Law 2020 and related documents do not provide a specific definition of the term “sub-license.”

A sub-license, also known as a business license, is a term used to refer to various types of licenses that confirm a business or establishment has met the necessary conditions to operate in conditional business sectors.

Common Types of Sub-Licenses

The types of sub-licenses vary depending on the industry and related legal requirements. Each conditional business sector requires specific sub-licenses. Some common sub-licenses include:

Alcohol Business Sector:

• Alcohol distribution license
• Alcohol retail license
• Alcohol wholesale license
• License for on-site alcohol consumption sales

Tourism and Travel Sector:

• Domestic travel service business license
• International travel service business license

Food and Beverage Industry:

• Certificate of food safety and hygiene compliance

Automobile Transportation Sector:

• Business license for automobile transportation

Additionally, there are many other sub-licenses depending on the specific business industry.

When is a Sub-License Required for a Chinese-Invested Company in Vietnam?

A Chinese-invested company in Vietnam must apply for a sub-license when operating in conditional business sectors or industries requiring special permits under Vietnamese law. These industries often involve environmental protection, labor safety, food hygiene, or other regulations to ensure lawful and safe business operations.

Specifically, a sub-license is required when:

Operating in a Conditional Business Sector

The list of conditional business sectors is specified in Appendix IV of the Investment Law 2020.

If a company intends to operate in industries requiring special licenses, such as:

• Food and beverage businesses need a food hygiene and safety license.
• Transportation businesses (cars, trucks, passenger vehicles) need a transport business license.
• Pharmaceutical businesses need a pharmaceutical practice license and drug circulation license.
• Alcohol businesses need distribution, retail, and wholesale licenses.

Operating in Sectors Requiring Environmental or Labor Safety Compliance

• Companies engaged in manufacturing, processing, or activities that impact the environment (such as wastewater discharge or chemical usage) must obtain an Environmental Protection License.
• Companies in construction, industrial production, or high-risk labor sectors must obtain a Labor Safety License.

Operating in Fire Prevention and Control Sectors

• Companies involved in industries prone to fire hazards (such as manufacturing or storing flammable materials) must obtain a Fire Prevention and Control License from the relevant authorities.

Industries with Specific Legal Requirements

• Other industries with specific legal conditions, such as education, tourism, pharmaceutical retail, and passenger transport, also require sub-licenses before commencing operations.

Documents and Procedures for Registering a Sub-License for a Chinese-Invested Company in Vietnam

Sub-License Application Documents:

• Application form for the sub-license
• Copy of the Business Registration Certificate
• Company charter
• Proposed business operation plan
• Copies of ID cards, passports, or national identification of business owners, founding shareholders, or contributing members
• Documents proving the qualifications and experience of the direct business managers in the industry
• Additional legal documents as required for each specific business sector

Sub-License Application Procedures:

Each business sector requiring a sub-license has different application steps and processing times, depending on its nature and regulations. Below are some illustrative examples:

Applying for an International Travel Business License:

• The application must be submitted directly to the Vietnam National Administration of Tourism under the Ministry of Culture, Sports, and Tourism.
• The processing time is 10 to 15 working days from the date of receiving a complete application. This may vary depending on the specific case.

Applying for a Fire Prevention and Control License:

• The application is submitted to the Fire Prevention and Control Department under the Ministry of Public Security or the local Fire Prevention and Control Police Department.
• The processing time ranges from 5 to 15 working days, depending on the complexity of the application and on-site inspections by the authorities.

Applying for a Food Safety and Hygiene License:

• The application must be submitted to agencies such as the Ministry of Industry and Trade, Ministry of Health, or Ministry of Agriculture and Rural Development, depending on the specific business sector.
• The standard processing time is 15 working days from the date of receiving a complete and valid application.

Depending on the type of license and the issuing authority, the processing time and procedures may vary. Therefore, businesses must carefully prepare and comply with the regulations to ensure a smooth approval process.

BKC Law’s Support Service for Applying for Sub-Licenses for Chinese-Invested Companies in Vietnam

BKC Law’s service for applying for sub-licenses for Chinese-invested companies in Vietnam assists businesses in completing the necessary legal procedures to ensure lawful business operations. With a team of professional lawyers, BKC Law provides consulting services and guidance for clients in preparing applications, submitting sub-license requests, and monitoring the review process with the relevant authorities. Our services help businesses save time, minimize legal risks, and ensure full compliance with the legal requirements for conditional business sectors in Vietnam.

For free legal consultation, you can contact our lawyers through the following information:

Phone: 0901 3333 41
Email: info@bkclaw.vn

District 1 Office: 9th Floor, Diamond Plaza, 34 Lê Duẩn, District 1, Ho Chi Minh City
Binh Tan Office: 41 Tên Lửa, Binh Tan, Ho Chi Minh City

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