Conditions for establishing a cosmetic service company

To be able to establish a company in Vietnam, you must not fall into the situations where you are not allowed to establish a business in Vietnam as well as meet the conditions for being allowed to contribute capital, buy shares, and purchase shares. Capital contributions to joint stock companies, limited liability companies, and partnerships in Vietnam are as valid as possible.

According to the provisions of Clauses 2 and 3, Article 17 of the Enterprise Law 2020, the conditions for establishing a cosmetic service company are prescribed as follows:

– The following organizations and individuals do not have the right to establish and manage businesses in Vietnam:

• State agencies and units of the people's armed forces use state assets to establish business enterprises to make their own profits;

• Cadres, civil servants and public employees according to the provisions of the Law on Cadres and Civil Servants and the Law on Public Employees;

• Officers, non-commissioned officers, professional soldiers, workers, and defense officials in agencies and units of the Vietnam People's Army; officers, professional non-commissioned officers, and police workers in agencies and units under the People's Public Security of Vietnam, except those appointed as authorized representatives to manage the State's capital contribution in the enterprise or management at state-owned enterprises;

• Leaders and professional managers in state-owned enterprises as prescribed in Point a, Clause 1, Article 88 of this Law, except those appointed as authorized representatives to manage the State's capital contribution in the enterprise. other;

• Minors; people with limited civil act capacity; people who have lost their civil act capacity; people with difficulty in cognition and behavior control; organizations without legal status;

• People who are being prosecuted for criminal liability, are detained, are serving prison sentences, are serving administrative measures at compulsory detoxification facilities, compulsory education establishments or are being banned by the Court holding positions, prohibiting practicing certain professions or doing certain jobs; Other cases according to the provisions of the Bankruptcy Law and the Law on Prevention and Combat of Corruption.
  If requested by the Business Registration Authority, the person registering to establish a business must submit a criminal record card to the Business Registration Authority;

• Organizations are commercial legal entities banned from doing business and operating in certain fields according to the provisions of the Penal Code.

Organizations and individuals have the right to contribute capital, purchase shares, and purchase capital contributions to joint stock companies, limited liability companies, and partnerships according to the provisions of this Law, except for the following cases:

– State agencies and units of the people's armed forces use state assets to contribute capital to enterprises to gain private profits for their agencies and units;

– Subjects who are not allowed to contribute capital to enterprises according to the provisions of the Law on Cadres and Civil Servants, the Law on Public Employees, and the Law on Prevention and Combat of Corruption.

– Gaining private profits for your agency or unit as prescribed in Point a, Clause 2 and Point a, Clause 3 of this Article is the use of income in any form obtained from business activities, capital contributions, and share purchases. , buy capital contribution for one of the following purposes:

• Divided in any form to some or all of the people specified in Points b and c, Clause 2 of this Article;

• Adding to the operating budget of agencies and units contrary to the provisions of law on state budget;

• Establish a fund or add to it to serve the specific interests of agencies and units.

Types of establishing a cosmetic service company

There are many types of establishing cosmetic service companies in Vietnam. However, this establishment depends on the capital you want to invest, the number of employees you are using, the business model you are aiming for, and the type of business you can deploy in the area. in which you are doing business.

According to the provisions of Clause 10, Article 4 of the Law on Enterprises 2020,  regulations on enterprises are as follows:

– An enterprise is an organization with its own name, assets, and transaction office, established or registered for establishment in accordance with the law for business purposes.

Types of establishment of cosmetic service companies today:

• Private enterprise;
• Limited liability company with 01 member;
• Limited liability company with 02 or more members;
• Partnerships;
• Joint stock company.

Procedures for establishing a reputable cosmetic service company

Procedures for establishing a reputable cosmetic service company will vary between types of companies. If you are aiming to establish a reputable cosmetic service company in the form of a one-member limited liability company, you can refer to the business registration order and procedures of Truong Quyen Law Office - Provided by Davilaw Branch, we hope that the following instructions can help you.

Business registration order and procedures:

– The business founder or authorized person shall register the business with the Business Registration Authority in the following manner:

• Register your business directly at the Business Registration Office;
• Register your business via postal service;
• Register your business via electronic information network.

– Business registration via electronic information network means the business founder submits a business registration application via electronic information network at the National Business Registration Portal. Business registration dossiers via electronic information network include data as prescribed by this Law and are presented in electronic document form. Business registration documents via electronic information network have the same legal value as paper business registration documents.

– Organizations and individuals have the right to choose to use digital signatures in accordance with the law on electronic transactions or use business registration accounts to register businesses via electronic information networks.

– Business registration account is an account created by the National Business Registration Information System, issued to individuals to register a business via the electronic information network. The individual who is granted a business registration account is responsible before the law for the registration and use of the business registration account to register a business via the electronic information network.

– Within 03 working days from the date of receipt of the application, the Business Registration Authority is responsible for reviewing the validity of the business registration application and granting business registration; In case the dossier is not valid, the Business Registration Authority must notify in writing the content that needs to be amended or supplemented to the business founder. In case of refusal to register a business, it must be notified in writing to the business founder and clearly state the reason.

What documents are required to apply for an operating license?

To be able to prepare a set of licensing documents to operate reputable cosmetic services in the form of a single-member limited liability company requires you to spend a lot of time. Understanding that psychology, Truong Quyen Law Office - Davilaw Branch will help you easily prepare a set of documents to establish a single-member limited liability company to operate cosmetic services.

Business registration documents for a single-member limited liability company need to be prepared:

• Application for business registration.
• Company rules.
• Copies of the following documents:
  • Legal documents of the individual for the legal representative of the enterprise;
  • Personal legal documents for company owners who are individuals; Legal documents of the organization for the company owner being an organization (except in cases where the company owner is the State); Legal documents of the individual for the authorized representative and document appointing the authorized representative. For company owners who are foreign organizations, copies of the organization's legal documents must be consularly legalized;
  • Investment registration certificate in case the enterprise is established by a foreign investor or an economic organization with foreign investment capital according to the provisions of the Investment Law and its guiding documents.