Establishment of Branches and Representative Offices
Why is it necessary to establish a branch or representative office?
When a business wants to expand its scale of operations, establishing a branch or representative office is an effective choice to reach new markets, increase brand coverage, and manage business operations centrally.
- The branch has the function of carrying out part or all of the parent company's business activities, generating direct revenue.
- Representative offices do not do business, mainly performing transaction functions, trade promotion, and market research.
Establishing branches and representative offices in accordance with regulations helps businesses:
- Expanding legal operations nationwide.
- Easily manage human resources, finances and distribution systems.
- Enhance brand presence in provinces and cities.
Situations where it is necessary to establish a branch/representative office
- Enterprises want to open a business in another province or city.
- A foreign company wants to set up a representative office in Vietnam to survey the market.
- Businesses want to increase brand presence but do not need to generate revenue immediately.
Process of Establishing Branches and Representative Offices at DEDICA
Step 1. Receive information & requests from customers
In the first step, DEDICA receives all necessary information to determine the type and scope of activities:
- Type of organization: Branch or Representative Office;
- Establishment goals (business expansion, regional management, brand representation, etc.);
- Expected address of the branch/representative office;
- Legal information of the parent enterprise: Enterprise registration certificate (ERC), charter, establishment decision, legal representative information;
- Expected head of branch/office.
This information helps DEDICA preliminarily assess feasibility and determine the most suitable consulting direction for the type of business.
Step 2. Preliminary consultation & Legal service quote
After receiving the information, DEDICA's team of corporate lawyers will:
- Analyze legal regulations related to the establishment of branches or representative offices, by type of enterprise (domestic or foreign invested);
- Clearly explain the powers and scope of operations of branches and representative offices, helping customers choose the most suitable type;
- Assess legal risks (for example: location not eligible for business, branch head with foreign nationality, conditional profession...);
- Propose procedure roadmap, processing time, and documents to prepare.
On that basis, DEDICA sends a detailed legal service quote, including:
- Specific scope of work;
- Time to perform each step;
- All-inclusive fee.
Step 3. Prepare & Submit documents to the competent authority
(a) Prepare documents
After the customer agrees to the service, DEDICA proceeds to:
- Drafting all legal documents;
- Guide customers to prepare necessary documents, sign documents and authenticate signatures in accordance with legal regulations.
(b) Submit application & monitor progress
DEDICA represents customers:
- Submit documents to the competent state agency;
- Monitor the application processing process, respond or supplement when requested by state agencies;
- Update progress regularly for customers until results are available.
Step 4. Handover results & Support after establishment
After completing the procedure, DEDICA will hand over all original documents and soft copies to the customer.
Benefits of choosing DEDICA
- Expansion strategy consulting: choosing the appropriate model and location to optimize operating costs.
- Process documents quickly: minimize the risk of documents being returned, save time.
- Long-term companion: labor, tax, and contract consulting support for branches after establishment.
- Information security: all records and customer data are absolutely confidential.