Procedures for establishing a branch of a limited liability company with two or more members

Article overview

A branch of a limited liability company with two or more members is a form of expanding a company’s business activities. Establishing a branch of a limited liability company with two or more members helps businesses expand their markets, increase their presence, and facilitate business management. This article will provide detailed instructions on the necessary procedures, documents and processes so that businesses can establish branches quickly, and legally.

A branch of a limited liability company with two or more members
A branch of a limited liability company with two or more members

Regulations on a branch of a limited liability company with two or more members

A branch of a limited liability company with two or more members is a dependent unit, carrying out the company’s business activities within the scope of registered business lines. According to Article 44 of the Law on Enterprise 2020, branches do not have legal status and must be directly managed by the company. The role of the branch is to expand business scale and optimize costs without establishing a new company.

Article 45 of the Law on Enterprise 2020 stipulates that branches can operate domestically and internationally. This helps the company expand its market and increase competitiveness. Branches must comply with the establishment and reporting process according to the provisions of law, ensuring legality and transparency in operations.

Conditions for establishing a branch of a limited liability company with two or more members

To establish a branch, a two-member LLC needs to meet the following requirements:

  • The company needing to establish a branch must have a valid Business Registration Certificate.
  • Branch names must comply with legal regulations, including company name, business type and branch name.
  • The branch address must be clearly declared, not located in an apartment or group house.
  • The branch’s operating industry must be consistent with the registered company’s industry.
  • A representative to manage the branch must be appointed, this person must have full legal capacity.
Procedures for establishing a business branch
Procedures for establishing a business branch

Procedure for establishing a branch of a limited liability company with two or more members

Registration documents

Dossier to register to establish a branch needs to fully prepare the following documents:

  • Notice of branch operation registration (according to form Appendix II-7 Circular 01/2021/TT-BKHDT).
  • Minutes of the meeting of the Board of Members on the establishment of a branch, signed by the chairman and secretary.
  • Resolution and decision of the Board of Members on the establishment of a branch, signed by the Chairman of the Board.
  • Copy of authentication documents of the branch representative (ID card, citizen identification card, passport).
  • Power of attorney for the person to submit the application and receive the results.

CSPL: Clause 1, Article 31 of Decree 01/2021/ND-CP.

Implementation steps

The registration process for establishing a branch of a limited liability company with two or more members is carried out according to the following steps:

  • Step 1: Enterprises submit documents at the Business Registration Office where the branch intends to be located.
  • Step 2: The Business Registration Department will check and issue a Branch Operation Registration Certificate within 3 working days if the application is valid.
  • Step 3: If the dossier is not valid, the Business Registration Office will notify you of a request to supplement or amend the dossier.

CSPL: Article 32 of Decree 01/2021/ND-CP.

>>> See more: Procedures for establishing a joint stock company branch are quick

Notes after establishing a LLC branch with 2 or more members

After establishing a branch of a limited liability company with two or more members, businesses need to note the following points:

  • Update information: Notify and update branch information in the National Business Registration Database.
  • Tax registration: Register a tax code for the branch and fulfill full tax obligations.
  • Line of business: Ensure the branch operates in the correct registered line of business.
  • Branch office: Branch address must comply with legal regulations, not located in apartments or group houses.
  • Legal representative: Appoint the head of the branch and notify the business registration agency.
  • Activity reporting: Carry out periodic activity reports for the parent company.
  • Update information with the Department of Planning and Investment: Notify when there is a change in name, address or representative.
Consulting on branch establishment
Consulting on branch establishment

Consulting on establishing branches for businesses in Long Phan

Long Phan provides consulting services and support for establishing branches for businesses in Vietnam. Customers will be supported by a team of experts from preparing documents to completing registration procedures, helping to reduce risks and save time. Our services include:

  • Consulting on regulations on establishing a limited liability company branch with two or more members.
  • Assist customers in drafting and preparing necessary documents.
  • Consulting on drafting branch registration notices, minutes of meetings of the Board of Members, necessary resolutions and decisions.
  • Consulting on choosing the appropriate branch address, as well as the business lines that the branch can carry out according to regulations.
  • Representing customers to submit documents to competent authorities.
  • Consulting on ways to resolve disputes when disputes arise.

Establishing a branch of an LLC with two or more members is an important process for the development of the business. If customers need detailed advice on procedures, documents or the process of establishing a branch, please contact Long Phan to receive dedicated support from a team of experts. Please call the hotline immediately 0906735386 for advice and answers to all questions.