What documents must be accompanied by a notice of lease for a private enterprise according to the law?

Pursuant to Article 191 of the Law on Enterprises 2020 Regarding leasing to private enterprises:

Leasing a private enterprise

The owner of a private enterprise has the right to lease his entire private enterprise but must notify in writing with a notarized copy of the lease contract to the Business Registration Authority and tax authority within 03 working days from the effective date of the lease contract. During the lease term, the private business owner is still responsible before the law as the owner of the private business. The rights, obligations and responsibilities of the owner and tenant for the business activities of a private enterprise are specified in the lease contract.

Thus, the private enterprise lease notice must be sent with a notarized copy of the lease contract to the Business Registration Authority and Tax Authority within 03 working days from the effective date of the lease contract.

In particular, according to the provisions of Clause 1, Article 2 of the Notary Law 2014:

Notarization is the act of a notary public of a notary practice organization certifying the authenticity and legality of contracts and other civil transactions in writing (hereinafter referred to as contracts and transactions), the accuracy, legality and not contrary to social ethics of the translation of papers and documents from Vietnamese into a foreign language or from a foreign language into Vietnamese (hereinafter referred to as translation) that must be notarized according to the law or an individual or organization voluntarily requests notarization.

Does leasing a private business require registration to change the owner of the private business?

Pursuant to Article 54 of Decree 01/2021/ND-CP on registration of change of private enterprise owner in case of sale, gift to enterprise, or death of enterprise owner:

Registering to change the owner of a private business in case of sale, gift to the business, or death of the business owner

1. In case the owner of a private enterprise sells or donates to the enterprise or the owner of the private enterprise dies, the buyer, the recipient, or the heir must submit an application to change the owner of the private enterprise to the Business Registration Office where the enterprise is headquartered. The dossier includes the following documents:

a) Notice of change in business registration content signed by the seller, donor, buyer, and recipient of a private enterprise in case of sale or donation to a private enterprise; Signature of the heir in case the owner of a private enterprise dies;

b) Copy of personal legal documents for the buyer, recipient of the private enterprise, heir;

c) Sales contract or documents proving completion of the sale in case of sale of a private enterprise; Donation contract in case of donation to a private enterprise; copy of document confirming the legal inheritance rights of the heir in case of inheritance.

Thus, registration to change the owner of a private enterprise is only carried out in the following cases:

– Private business owners sell or donate to businesses or

– The owner of a private enterprise dies.

At the same time, according to the provisions of Article 191 of the Law on Enterprises 2020, during the lease term of a private enterprise, the private enterprise owner must still be responsible before the law as the owner of the private enterprise.

Therefore, leasing a private enterprise does not require registration to change the owner of the private enterprise.

Is the owner of a private enterprise responsible for all business activities of the private enterprise when hiring a CEO?

Pursuant to Article 190 of the Law on Enterprises 2020 on private enterprise management:

Private enterprise management

1. The owner of a private enterprise has full authority to decide on all business activities of the private enterprise, the use of profits after paying taxes and performing other financial obligations according to the provisions of law.

2. Private business owners can directly or hire others to act as Director or General Director to manage and operate business activities; In this case, the private enterprise owner is still responsible for all business activities of the private enterprise.

3. The owner of a private enterprise is the legal representative, representing the private enterprise as a requester to resolve a civil matter, plaintiff, defendant, person with related rights and obligations before the Arbitrator or Court, representing the private enterprise to exercise other rights and obligations according to the provisions of law.

Thus, the owner of a private enterprise is still responsible for all business activities of the private enterprise when hiring a CEO to operate the business.