Tiếng Việt
中文 (中国)Distinguishing branches, representative offices, and business locations is legal content that readers often need to check carefully before implementing it in practice. This article has been systematized by ANT Legal in an easy-to-understand way, helping individuals and businesses understand the main problems, common risks and appropriate solutions.
Businesses after a period of operation often tend to expand their business scale. At that time, businesses can choose one of the following forms: establishing a branch, representative office or business location. So what’s the difference between a branch, representative office or business location? ANT Legal will answer questions as follows:
Based on the provisions of corporate law, ANT Legal provides a number of criteria to distinguish branches, representative offices, and business locations as follows:
| Criteria | Branch | Representative office | Business location |
| Scope of business establish | Enterprises have the right to establish branches at home and abroad | Enterprises have the right to establish representative offices at home and abroad | In or outside the province or city where the enterprise is headquartered. |
| Perform business functions business | Yes | No | Yes |
| Business lines of the parent company | Registered in all | Only authorized representatives | Registered in some business lines of the company parent company. |
| Name naming | Must bear the business name. Has the phrase “branch” | Must bear the business name. Has the phrase “Representative Office” | Must bear the business name. There is the phrase “Business location” |
| Registration certificate | Yes | Yes | Yes |
| Signing a business contract | Signing a business contract economic | Not allowed to sign contracts | Not allowed to sign contracts |
| Separate invoices | Independent accounting: separate invoices are required Dependent accounting: possible | Not allowed to use invoices invoice | Using invoices by company |
| Private seal | Independent accounting: required to have its own seal Dependent accounting: possible | Depending on the needs of the business, it may or may not have its own seal | Do not use seals |
| Accounting tax | Independent or dependent | Dependent | Dependent |
| Establishment procedures | Most complicated | Simple | Simple most |
| Procedures for terminating operations | Complicated and require tax finalization | Simple and must fulfill tax obligations | Simple and no tax finalization |
| Tax types must be pay | License tax Corporate income tax Personal income tax Value added tax | License tax Personal income tax | License tax |
The above are the regulations on Distinguishing branches, representative offices, and business locations.
Note on Applying Current Legal Regulations
This article belongs to the Legal Knowledge group and is presented for reference purposes, helping readers understand the legal issue at an overview level before preparing a dossier or carrying out a transaction.
Legal regulations may vary depending on the timing, locality, type of dossier and specific circumstances. If you need to determine the exact legal basis applicable to your case, you should contact ANT Legal’s lawyers at 0966.475.966 for review and advice before proceeding.
Common Legal Risks to Note
- Applying legal instruments that have been amended, supplemented or replaced.
- Preparing an incomplete set of documents, materials or necessary evidence.
- Misunderstanding the conditions, procedure, timeline or competent authority.
- Signing, submitting a dossier or carrying out a transaction before fully assessing legal risks.
How Can ANT Legal Support You?
ANT Legal can review the specific circumstances, examine the dossier, identify the applicable legal basis, advise on an appropriate handling plan and represent clients in working with individuals, organizations or competent authorities where necessary.
For prompt advice, you may contact a lawyer at 0966.475.966.
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