The fashion design industry in Vietnam is growing rapidly, becoming one of the creative sectors that attract international investors. Many large and medium-sized brands have identified business opportunities in Vietnam’s fashion market, driven by its young population, high consumer demand, and international integration trends. However, to establish a foreign-invested fashion design company, investors need to understand the legal framework and conditions to operate lawfully and effectively.

Foreign investment conditions in the fashion design sector
Vietnam does not categorize fashion design as a conditional business sector or restrict foreign market access. This means investors may choose to set up a 100% foreign-owned company or a joint venture with local partners.

Nevertheless, companies must comply with regulations on business registration, intellectual property standards, trademarks, and copyright for fashion designs. These are crucial to protect legitimate rights and avoid potential disputes.

Required documents to establish a fashion design company
Investors need to prepare a full set of documents as required by investment and enterprise laws, including:

Application for an Investment Registration Certificate.
Financial capacity report proving the investor’s ability to contribute capital.
Draft company charter.
Legal lease contract for business premises.
Legal documents of the investor (individual or entity).

Once the Investment Registration Certificate is issued, the enterprise proceeds with incorporation procedures under the Law on Enterprises to obtain the Enterprise Registration Certificate.

Process for obtaining investment and enterprise registration certificates
The basic process includes:

Submitting an application for an Investment Registration Certificate at the Department of Planning and Investment.
Upon approval, submitting documents for company establishment.
Engraving the company seal, publishing corporate information, and opening a bank account.
Registering initial tax, labor, and social insurance procedures.

Intellectual property considerations in fashion design
The fashion industry is closely tied to design copyrights and trademarks. Therefore, after establishment, investors should register trademark and industrial design protection with the Vietnam Intellectual Property Office.

This helps safeguard designs from infringement and build sustainable brand value. Companies must also comply with advertising regulations, labeling, and product quality standards.

Advantages of establishing a foreign-invested fashion design company

Access to a young, dynamic, and promising consumer market.
Transparent legal environment aligned with WTO commitments and free trade agreements.
Opportunities to expand international cooperation and connect with global supply chains.
Competitive labor and production costs compared to many regional countries.

Risks and challenges to consider

Intense competition from domestic and foreign brands.
Intellectual property infringement risks as the fashion market grows quickly.
High requirements for supply chain, materials, and skilled labor management.
Rapid changes in consumer trends, demanding continuous creativity.

Recommendations for foreign investors

Conduct thorough market research before investing.
Choose strategic business locations in major cities such as Ho Chi Minh City or Hanoi.
Engage legal consultants to ensure compliance and efficiency in procedures.
Register trademarks and designs early to protect intellectual property.
Build strong branding and communication strategies tailored to Vietnamese and regional consumers.

Conclusion
Establishing a foreign-invested fashion design company in Vietnam is legally favorable as it is not restricted by conditional business categories. However, for sustainable and safe operations, companies must comply with investment, IP, tax, and labor regulations.

Vietnam’s fashion market offers abundant opportunities for international brands but requires careful strategies, creativity, and legal compliance. Proper preparation and support from professional legal advisors are the keys to success.

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