Guide to pawnshop service business: industry code, registration procedures

The pawnshop service business is a conditional business line, requiring organizations and individuals to meet standards of security and order, fire prevention and fighting and related licenses. According to Decree 96/2016/ND-CP, pawnshop services provide credit through legal mortgage of assets. The article below will provide detailed instructions on industry codes, procedures for registering pawnshop services and necessary licenses.

What is a pawn service? The role of pawnshop services in the personal finance industry

Pawnshop service is a conditional business line specified in Clause 4, Article 3 of Decree 96/2016/ND-CP. This is a type of business that provides short-term credit to individuals through legal mortgage of assets.

Role of pawnshop service:

• Personal financial assistance: This service helps individuals address urgent financial needs by providing quick loans based on asset value.
• Promote asset circulation: Pledged assets, whether vehicles, jewelry or valuable papers, are valued and used more effectively instead of being left idle.
• Contribution to the economy: As an important part of the informal financial system, pawnshop services help regulate the flow of money in society, especially in areas lacking access to banks.

Pawnshop services have great significance in supporting personal finances and need to be strictly managed to ensure security and order.

Pawn service business line code

According to Vietnam’s economic industry system, the pawnshop service industry code is 6492 – Other credit provision activities. To provide pawnshop services, organizations or individuals must:

• Registering a business or establishing a company: This is a basic requirement for legal business operations.
• Select industry code 6492: Make sure to register the correct industry code in the business registration application.
• Declare business scope: Clearly define the scope of services, such as type of mortgaged assets or loan value limit.

Choosing the correct industry code helps businesses comply with legal regulations and facilitates related procedures.

Procedures for registering pawnshop service business

To legally operate a pawnshop service, it is necessary to carry out the business registration process and complete the relevant licenses.

Application for business license

Dossier for registration of pawnshop service business needs to be prepared:

• Business registration application: According to the prescribed form, fill in all information about the business establishment.
• Legal documents: Notarized copy of ID card/passport of representative or capital contributing members.
• Location rental/loan contract: Or documents proving ownership of the business location.
• Information about capital and industry: Ensure clear and accurate declaration according to regulations.

Implementation procedures

• Submit application: Submit at the business registration office of the district-level People’s Committee or via the online public service portal.
• Document appraisal: The receiving agency checks the validity within 3 working days.
• Get results: After appraisal, a business license is issued if the dossier is complete and valid.

Completing the registration procedure is the first step for the pawnshop to operate legally.

What types of licenses do you need to apply for a pawnshop service business?

Pawnshop service is a conditional business line, requiring a number of additional licenses as prescribed in Article 19 of Decree 96/2016/ND-CP:

• Security and Order License: Issued by the Police Department for administrative management of social order or the district police agency.
• Fire prevention and fighting license: Issued by the Fire Prevention and Fighting Police Department/Division.

Procedure for applying for a child license:

Security license:

• Documents include the application for a security and order license, legal documents of the facility, location lease contract, and documents of the representative.
• Submit the application at the district administrative police agency.

Fire protection license:

• Documents should include a copy of the business license, fire protection design, and inspection records.
• Submit to the Fire Prevention Police Department for appraisal and licensing.

Completion of all sub-licenses is a mandatory condition for a pawn shop to operate in accordance with regulations.

Support service for pawnshop service business registration in Long Phan

Long Phan provides consulting services and support to complete pawnshop service business registration procedures, helping customers save time and ensure legal compliance.

Services at Long Phan:

• Consulting on appropriate industry codes and industry code registration processes and completing processes.
• Assist customers in drafting necessary forms to carry out registration procedures.
• Representing customers to submit applications and work at competent agencies.
• Monitor the process of document appraisal and resolve additional requests from competent authorities.
• Consulting on other relevant regulations and procedures.

With many years of experience, Long Phan will accompany customers in all procedures related to establishing a pawnshop service business. For detailed advice and support in registering a pawnshop service business, please contact Long Phan via the hotline 0906735386. We will provide comprehensive solutions, ensuring procedures are carried out quickly, accurately and effectively.