Where is the registration to establish an enterprise based on conversion from a business household performed?

Where is the registration to establish an enterprise based on conversion from a business household performed?

The registration to establish an enterprise on the basis of conversion from a business household is stipulated in Clause 1, Article 27 of the Decree 01/2021/ND-CP as follows:

Registering for conversion from household business to enterprise

1. Registration of establishing an enterprise on the basis of conversion from a business household is carried out at the Business Registration Office where the enterprise intends to have its headquarters.

2. The registration dossier to establish an enterprise on the basis of conversion from a business household includes the original Certificate of Business Registration, a copy of the Tax Registration Certificate and documents specified in Articles 21, 22, 23 and 24 of this Decree corresponding to each type of enterprise, which does not include the Investment Registration Certificate specified in Point b, Clause 4, Article 22, Point c, Clause 4, Article 23, Point c, Clause 3, Article 2. 24 of this Decree. In case an enterprise is converted from a business household with a foreign investor or an economic organization with foreign investment capital participating in capital contribution, stock purchase, or capital contribution purchase in the case of having to carry out procedures for registering capital contribution, stock purchase, or capital contribution purchase according to the provisions of the Investment Law, the application must include a document from the Investment Registration Authority approving the capital contribution, stock purchase, and capital contribution purchase of the foreign investor or economic organization with foreign investment capital. outside.

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Thus, according to regulations, registration of establishing an enterprise on the basis of conversion from a business household is carried out at the Business Registration Office where the enterprise intends to have its headquarters.

When converting from a business household to an enterprise, will the business household’s operations be terminated?

The termination of business household operations is specified in Clause 1, Article 27 of Decree 01/2021/ND-CP as follows:

Registering for conversion from a business household to an enterprise

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3. Within 02 working days from the date of issuance of the Business Registration Certificate, the Business Registration Office sends a copy of the Business Registration Certificate and the original Certificate of Business Household Registration to the District Business Registration Authority where the business household is headquartered to terminate the business household’s operations.

Accordingly, when converting from a business household to an enterprise, the business household will cease operations. Specifically:

Within 02 working days from the date of issuance of the Business Registration Certificate, the Business Registration Office is responsible for sending a copy of the Business Registration Certificate and the original Certificate of Business Household Registration to the District Business Registration Authority where the business household is headquartered to terminate the business household’s operations.

Which individuals in the Vietnam People’s Army do not have the right to establish businesses?

Organizations and individuals do not have the right to establish enterprises as prescribed in Clause 2, Article 17 of the 2020 Enterprise Law as follows:

The right to establish, contribute capital, buy shares, purchase capital contributions and manage the enterprise

1. Organizations and individuals have the right to establish and manage enterprises in Vietnam according to the provisions of this Law, except for the cases specified in Clause 2 of this Article.

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

a) State agencies and units of the people’s armed forces use state assets to establish business enterprises to make private profits for their agencies and units;

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

c) 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 of the Vietnam People’s Police, except those appointed as authorized representatives to manage the State’s capital contribution in enterprises or manage state-owned enterprises;

d) Leading 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 other enterprises;

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Thus, according to the above regulations, officers, non-commissioned officers, professional soldiers, workers, and defense officials in agencies and units of the Vietnam People’s Army do not have the right to establish and manage businesses in Vietnam.

Except in cases where that person is appointed as an authorized representative to manage the State’s capital contribution at the enterprise or manage a state-owned enterprise.