Procedures for foreign investors to contribute capital to tourism companies

Article overview

Foreign investors to contribute capital to tourism companies brings many important benefits to both sides. This investment not only helps increase capital for tourism projects, but also creates opportunities to access modern technology and advanced business strategies. In the following article, Long Phan will provide customers with detailed information about capital contribution procedures for foreign investors in tourism companies.

Foreign investors contribute capital to tourism companies
Foreign investors contribute capital to tourism companies

Conditions for foreign investors to contribute capital to tourism companies

According to the provisions of the Law on Investment 2020 and the WTO Commitment Schedule, foreign investors can contribute capital to tourism companies in Vietnam. Tourism business activities are a conditional business sector for foreign investors.

Conditions on capital contribution ratio:

  • Foreign investors are allowed to contribute unlimited capital to tourism companies through joint ventures;
  • It is not allowed to establish a travel company with 100% foreign capital;
  • There must be a Vietnamese partner contributing capital. Foreign service providers are allowed to provide services in the form of joint ventures with Vietnamese partners without restrictions on foreign capital contribution.

CSPL: Section 9 WTO Schedule of Commitments on Tourism Services and Related Services.

Competent authority approves capital contribution application dossier

According to Circular 03/2021/TT-BKHDT, competent approving agencies include:

Provincial Department of Planning and Investment:

  • Receive and appraise investment registration documents;
  • Issuance of Investment Registration Certificate;
  • Appraisal of capital contribution and share purchase by foreign investors.

Business Registration Office:

  • Issuance of Business Registration Certificate;
  • Appraisal of tourism business conditions;
  • License to operate travel services.

General Department of Tourism:

  • Appraisal of international travel business conditions;
  • Issuing tour guide cards;
  • Supervise tourism business activities.
Licensing agencies
Licensing agencies

Regulations on procedures for foreign investors to contribute capital to tourism companies

Profile components

Investment registration documents:

  • Document requesting implementation of investment project (according to form A.I.1 Circular 03/2021/TT-BKHDT);
  • Documents certifying the investor’s individual/organization;
  • Financial statements of the most recent 2 years;
  • Propose detailed investment project;
  • Explanation of technology used;
  • Business location lease contract.

Business registration documents:

  • Application for business registration;
  • Company charter;
  • List of members/shareholders;
  • Investment registration certificate;
  • Key personnel records.

Application for travel business license:

  • Licensing application;
  • Certificate of deposit;
  • Profile of person in charge of business;
  • Documents proving capacity.

Execution order

Step 1: Prepare investment documents

  • Collect legal documents: Gather necessary documents according to legal regulations.
  • Make a business plan: Develop a detailed plan of business activities and expected profits.
  • Prepare capacity documents: Provide information about the investor’s experience and financial capacity.

Step 2: Submit application for investment license

  • Submit to the Department of Planning and Investment: Submit application for investment license to the competent authority.
  • Waiting for appraisal: Document appraisal time is 15 days.
  • Receive certificate: After the application is approved, the investor will receive an investment certificate.

Step 3: Register your business

  • Submit documents to the Business Registration Office: Submit business registration documents to the relevant agency.
  • Waiting for review: The application review time is 3 days.
  • Receive license: After the application is approved, the investor will receive a business license.

Step 4: Apply for a travel service business license.

Regulations on settlement deadlines

Processing time for each stage:

  • Issuance of investment certificate: 15 days
  • Business registration: 3 days
  • Travel business license: 10 days
  • Total time: 28-35 working days.
Regulations on settlement deadlines
Regulations on settlement deadlines

Consulting services for foreign investors to contribute capital to tourism companies in Long Phan

Long Phan provides services including:

  • Consulting on choosing the appropriate investment form according to customer requirements.
  • Consulting on tourism industries allowed investment.
  • Consulting on the charter capital ownership ratio of foreign investors in travel companies.
  • Consulting on procedures for applying for investment licenses and tourism service business licenses.
  • Support in preparing documents to apply for investment and business licenses.
  • Support investor representatives to carry out registration procedures with competent authorities regarding investment capital contribution.
  • Consulting on international commitments and regulations related to tourism investment in Vietnam.

With a team of experienced experts in the field of foreign investment consulting and business consulting, Long Phan provides foreign investors with full procedures for capital contribution to tourism companies in Vietnam. We will accompany you from document preparation to completion of procedures. Contact Long Phan hotline immediately via hotline: 0906735386 for detailed advice and quick support.