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.