Necessary procedures and documents to open a lottery agency

Article overview

Open a lottery agency is a potential business activity in the field of lottery distribution in Vietnam. The lottery agent system plays an important role in connecting lottery companies with consumers. The following article by Long Phan will provide details of the necessary conditions, procedures and processes for customers to successfully establish a lottery agent.

Instructions for opening lottery agents according to regulations
Instructions for opening lottery agents according to regulations

What is a lottery agent? How many levels of lottery agents are there today?

Lottery ticket agents are direct distribution channels from lottery companies to buyers, organized at many levels to ensure business efficiency and manage a large number of tickets daily. Agent levels include:

  1. Lottery ticket agent level 1 (General agent):
  • Is the unit that imports tickets directly from the lottery company and redistributes them to lower agents.
  • With high discounts, level 1 agents also enjoy many attractive bonus policies (quarterly, annual, sales bonuses…). However, this type requires financial capacity and the ability to achieve business targets.
  1. Level 2 lottery agent: Level 2 agents import tickets from level 1 agents, distribute them to smaller agents and retail them to consumers.
  1. Level 3 lottery agent: Is the smallest level of agent, usually retailing lottery tickets directly to consumers.

Conditions for opening a lottery agency

According to Article 16 of Circular 75/2013/TT-BTC, to open a lottery agent, an individual or organization needs to meet the following conditions:

  1. For individuals:
  • Be a Vietnamese citizen, have a permanent residence in the country and be not under 18 years old;
  • Not lose or face limitations on civil act capacity as prescribed by law;
  • No criminal record;
  • Not a manager, employee or relative of a manager (wife/husband, father, mother, brother, sister…) currently working at the lottery company with which you signed a lottery agency contract or a company operating in the same locality or region;
  • Commit in writing to fully comply with the regulations of the lottery company when becoming a lottery agent;
  • Ensure payment obligations for lottery companies by meeting payment assurance requirements.
  1. For organizations and businesses:
  • Is an economic organization established and operating in accordance with Vietnamese law;
  • There is no capital contribution from management levels or relatives of management levels (spouse, father, mother, brother, sister,…) working at the lottery company with which you signed a representative contract. Lottery management or companies operating in the same area or region;
  • Have a written commitment to fully comply with the regulations of the lottery company when becoming a lottery agent;
  • Meet the payment security requirements according to the provisions of the law on secured transactions to ensure the fulfillment of payment obligations to the lottery company.
Requirements that must be met when opening a lottery agency
Requirements that must be met when opening a lottery agency

Procedures for opening a lottery agency

Documents need to be prepared

In case an individual opens a lottery agency

Individuals who sell lottery tickets on a small scale, do not employ workers, and have low incomes belong to the group of “individuals engaged in commercial activities” and do not need to register their business (according to Point đ, Clause 1, Article 3 of Decree 39/2007/ND-CP).

In case of opening a lottery agency under the individual business household model:

Documents needed to prepare:

  • Application for business household registration (according to Appendix III-1, Circular 02/2023/TT-BKHDT);
  • Certified copy of ID card/CCCD/passport of the head of household or household member (if any);
  • Meeting minutes and authorization documents (if the household participates);
  • Location lease contract or documents proving ownership of the business location.

In case of opening a lottery agency in the form of establishing a company:

To open a lottery agency in the form of a company, the appropriate type of business is a one-member LLC with 100% state capital. Processes and documents need to comply with the provisions of the Law on Enterprise 2020.

Documents needed to prepare include:

  • Charter of the enterprise;
  • Application for license to establish a business;
  • Power of attorney (if the applicant is not a legal representative);
  • Notarized copy of CCCD/passport of the owner, authorized person submitting the application (Note: these documents must not be older than 6 months).

Implementation process

1. In case of opening a lottery agency under the model of individual business households

Step 1: Submit application

Submit the application at the one-stop department at the Economic Department under the People’s Committee of the district where the business location is located.

Step 2: Receive applications and issue lottery agent business license

  • The business registration agency will receive and process the application within 3 working days.
  • If the dossier is complete and valid, the lottery agent will be granted a business license.

2. In case of opening a lottery agent in the form of establishing a company

Step 1: Submit business registration application

  • Submit the application at the Business Registration Office of the Department of Planning and Investment where the head office is located or via the electronic portal National portal on business registration.
  • Processing time: 3 working days from the date of receipt of valid documents.

Step 2: Engrave the seal and publish business information

After being granted a business registration certificate, the company needs to engrave its seal and publish information on the National Business Registration Portal.

Step 3. Register lottery agent business

Lottery ticket agent business code is 9200: Lottery, betting and gambling activities (lottery ticket agents belong to lottery activities).

Step 4: Sign an agency contract with the lottery company

Contact the local or regional lottery company to sign an agent contract. Profile includes:

  • Company business registration license.
  • Application to become a lottery ticket agent.
  • Documents proving financial capacity.
  • Other documents required by the lottery company.

Step 5. Complete tax procedures

  • Initial tax registration: After establishing the company, register for a tax code and declare business activities with the tax authority.
  • Buy digital signatures and electronic invoices: Use to declare taxes and issue invoices when needed.
  • Periodic tax declaration: Declare value added tax (if any), corporate income tax, and other taxes.
Steps to open a lottery agent according to regulations
Steps to open a lottery agent according to regulations

Consulting and support services for opening reputable lottery agents in Long Phan

Long Phan is proud to be a unit specializing in providing comprehensive consulting services to customers in the process of opening lottery agents with the most professional and effective solutions.

Specifically, Long Phan’s consulting and support services include:

  • Consulting on conditions when opening a lottery agency.
  • Assist in drafting complete and accurate documents and completing necessary documents.
  • Representing customers to submit applications and carry out procedures at state agencies.
  • Instructions on initial tax procedures such as registering a tax code, declaring taxes, purchasing digital signatures, and using electronic invoices.
  • Support to answer questions and handle problems that arise during the procedure.

Opening a lottery agency is a potential business option, but to do it successfully, you need to ensure compliance with regulations as well as complete all necessary procedures. For detailed advice and support, please contact Long Phan via hotline 0906735386. Our team will always accompany you in every process and help you start your business journey and develop a successful lottery agency.