Consulting services for individual household business license registration procedures
The advantage of household businesses is that they are less regulated by law, so establishment and operation are simple. However, business households also have disadvantages such as only being able to employ a maximum of 10 employees, thus limiting the scale of the business household, and at the same time, business households are also responsible for all of their assets and the industry. Business lines must not be diverse and VAT invoices cannot be used.
Individual business households are a simple and popular business model in Vietnam. In this article Thien Di will guide you in detail about the documents, procedures for registering an individual household business and some notes when registering for an individual household business license.
1. Some questions related to establishing an individual business household
1.1. What is an individual business household?
An individual business household is a form of business owned by an individual or a group of individuals who are Vietnamese citizens at least 18 years old, with full civil act capacity, or a household, and is subject to Responsible for all of its assets for business activities.
1.2. Who has the right to establish an individual business household?
The individual is a Vietnamese citizen at least 18 years old, with full civil act capacity;
Households with legal household registration in Vietnam appoint the head of the household as the head of household business registration.
1.3. Can one person establish multiple individual businesses?
Are not. Each person is only allowed to establish one individual business household nationwide.
1.4. Does an individual business household have legal status?
Are not. A business household is a type of business without legal status. The business household owner must be responsible with all his or her civil assets for the business activities of the individual household.
1.5. Can an individual business household issue a deductible VAT invoice?
Are not. Business activities of individual households can only issue value-added invoices directly.
1.6. Can I register my business without a household registration at the place of registration?
Okay. You do not need to have a household registration at the place of registration to establish a business household, you can still establish a normal business household, as long as you can prove that you have the right to use the legal place to establish a business household: lease contract, Rent a house and notarized documents for rented real estate.
2. Business lines of individual business households
- Business households are entitled to conduct business in conditional investment and business lines from the time they meet the conditions prescribed by law and must ensure that they meet those conditions throughout the operation process. State management of conditional investment and business sectors and occupations and inspection of compliance with business conditions by business households fall under the authority of specialized agencies according to the provisions of specialized laws.
- When registering establishment or registering to change the content of business household registration, the business household must write the business line and profession on the Application for Business Household Registration and Notice of Change in Business Household Registration Content. The district business registration agency records information about business lines and professions on the Business Registration Certificate.
- In case the district business registration agency receives a document from a competent authority regarding a business household conducting a conditional business investment but not meeting the conditions prescribed by law. law, the district-level business registration agency issues a notice requesting business households to temporarily suspend business in conditional business investment lines and at the same time notify competent state agencies for handling according to regulations. provisions of the law.
3. Rights and obligations of business household owners and household members when registering business households
3.1. Rights of business households
- Business households freely conduct business in industries and professions that are not prohibited by law; proactively choose industries, professions, and business locations.
- Actively search for markets, customers and sign contracts.
- Recruit, hire and use workers according to business requirements and in accordance with regulations on the maximum number of workers that business households can use.
- Proactively apply science and technology to improve business efficiency.
- Refuse requests to provide resources not in accordance with the law.
- Complaints and denunciations according to the provisions of law on complaints and denunciations.
- The business household owner has the right to temporarily suspend business activities or terminate business activities.
+ In case of temporary business suspension for 30 days or more, the business household must notify the district business registration agency where the business was first registered and the tax agency directly managing it. The business suspension period must not exceed 01 year. Business households that temporarily suspend business send a written notice to the district business registration agency where the business household is registered at least 15 days before temporarily suspending business. The district-level business registration agency gives the application receipt to the applicant after receiving the notice of business suspension from the business household. Within 03 working days from the date of receipt of valid documents, the district business registration agency shall issue a Certificate of temporary business suspension to the business household.
+ When terminating business activities, the business household must send a notice of termination of operation and return the original Certificate of business household registration to the district business registration agency where it was registered, and at the same time. Time to fully pay all debts, including tax debt and unfulfilled financial obligations.
- Business households have the right to participate in legal proceedings according to the provisions of law.
- Other rights as prescribed by relevant laws.
3.2. Obligations of business households
- Do not do business in prohibited industries or occupations. In case a business household conducts a prohibited business or profession, the district-level business registration agency shall issue a notice of violation and issue a decision to revoke the business household registration certificate.
- Satisfy business conditions when conducting business in conditional investment and business lines according to the provisions of law and ensure the maintenance of those business investment conditions throughout the business operation process. State management of conditional business sectors and trades and inspection of compliance with business conditions by business households fall under the authority of specialized agencies according to the provisions of specialized laws. In case the district business registration agency receives a document from a competent agency about a business household conducting a conditional business line but not meeting the conditions prescribed by law, the agency The district-level business registration office issued a notice requiring business households to temporarily stop conducting conditional business lines and at the same time notify the competent state agency for handling according to the provisions of law.
- Declare taxes, pay taxes and perform other financial obligations according to the provisions of law.
- Ensure the legal and legitimate rights and interests of employees according to the provisions of labor law. '
- Ensure and take responsibility for the quality of goods and services according to standards prescribed by law or registered or announced standards.
- Fully and promptly fulfill obligations regarding business household registration, registration of changes in business household registration content, publicizing information on establishment and operation, reporting and other obligations according to regulations. provisions of the law. Specifically:
+ The business household is responsible for the truthfulness and accuracy of the information declared in the business household registration dossier; In case the declared or reported information is discovered to be inaccurate or incomplete, such information must be promptly amended and supplemented. The business household registration certificate is revoked in cases where the declared content in the business household registration dossier is fake; Business households are established by people who do not have the right to establish business households (see also Article 78 of Decree No. 78/2015/ND-CP). In case the declared content in the business household registration dossier is fake, the district-level business registration agency shall issue a notice of violation of the business household and issue a decision to revoke the household registration certificate. business.
+ When changing the content of business household registration, the business household shall notify the changed content to the district business registration agency where it was registered. In case the registration dossier to change the business household registration content is fake, the district-level business registration agency shall issue a notice of violation of the business household and cancel the changes in the registration content. Business households are carried out on the basis of fake information and restore the Business Household Registration Certificate issued on the basis of the most recent valid dossier, and at the same time notify the competent authority for handling. according to the provisions of law.
- In case a business household moves its address to a district, town, or city in another province where the business household has registered, the business household shall send a notice of address change to the district-level business registration agency. where the new address is intended to be located. The notice must be accompanied by a valid copy of the individual group meeting minutes on registration of change of address in the case of a business household established by a group of individuals and a valid copy of the Citizen Identification Card or Certificate of Valid ID card or passport of individuals participating in household business or household representatives.
- Comply with the provisions of law on national defense, security, order, social safety, gender equality, protection of natural resources, environment, protection of historical - cultural relics and scenic spots.
- Fulfill business ethics obligations to ensure the legitimate rights and interests of customers and consumers.
4. How to name a business household
- Business households have their own names. The business household name includes two parts in the following order: The phrase "Business household" and the personal name of the business household. Personal names are written with letters in the Vietnamese alphabet, the letters F, J, Z, W, and may be accompanied by numbers and symbols.
- The name of the business household must not use words or symbols that violate the historical, cultural, ethical and fine customs traditions of the nation to name the business household.
- The business household's personal name must not be the same as the business household's name registered within the district and the business household's personal name does not violate famous trademarks or geographical indications that have been protected in Vietnam. .
- Business households are not allowed to use the terms "company" or "enterprise" to name the business household.
5. Procedures for registering an individual business license
5.1. Application for individual business license registration
- Application for business household registration. Contents of application for business household registration include:
+ Name of business household, address of business location; phone number, fax number, email (if any);
+ Business lines and professions;
+ Amount of business capital;
+ Number of employees;
- Copy of ID card of individuals participating in the business household or household representative
- Minutes of a group meeting of individuals on the establishment of a business household in case the business household is established by a group of individuals.
- The house rental or loan contract between the homeowner and the business owner must be signed directly, without going through an intermediary, and the Land Use Rights Certificate must be a certified copy.
- 02 notarized copies of ID/CCCD of the householder and household members contributing capital to establish the business (if any).
- Degree certificates for conditional occupations (notarized copies).
5.2. Number of applications for individual household business license registration: 01 set.
5.3. Authority to receive and issue Certificate of establishment of individual business households
The competent authority to receive documents is the Finance and Planning Department of the District People's Committee where the individual business household is headquartered.
In addition to submitting applications directly, citizens can carry out the procedures for registering individual business households online at the public service page of the Department of Planning and Investment of the province/city. After registration, the application will be forwarded to the Finance - Planning Department or Economic Department of the relevant district People's Committee for review and approval of the application.
In case the application is valid, the district business registration agency will send a notification to the business registration account of the household owner to schedule a date to get the license. In case the application does not meet the requirements, needs to be supplemented or is rejected, the householder will also receive a notification directly through the business registration account.
5.4. Procedures for registering an individual business license
The process of registering for an individual household business license includes the following steps:
Step 1: The individual, group of individuals or household representative sends the household business registration dossier to the district business registration agency where the business location is located.
Step 2: The district business registration agency issues a Receipt and issues a Business Registration Certificate to the business household within 3 working days from the date of receipt of the application, if all conditions are met. The following:
- Business lines are not on the list of banned business lines;
- Name of business household intended to register in accordance with Article 88 of Decree 01/2021 on business registration;
- Pay the registration fee in full as prescribed.
In case the dossier is invalid, within 03 working days from the date of receipt of the dossier, the district business registration agency must clearly notify the founder in writing of the content that needs to be amended or supplemented. household business.
5.5. Processing time for individual business household registration documents
Upon receiving the dossier, the district business registration agency shall issue a receipt and issue a business household registration certificate to the business household within 3 working days from the date of receipt of the valid dossier, if any. meet the following conditions:
- Registered business lines and occupations are not prohibited from business investment;
- The name of the business household is set in accordance with the provisions of Article 88 of Decree 01/2021/ND-CP on business registration;
- Pay the full business household registration fee according to regulations.
In case the dossier is invalid, within 3 working days from the date of receipt of the dossier, the district-level business registration agency must notify the applicant or business household founder in writing. The notice must clearly state the reason and requests for document amendments and supplements (if any).
If after 3 working days from the date of submitting the business household registration dossier, you do not receive the business household registration certificate or do not receive a notice requesting amendments or supplements to the business household registration dossier, then The person establishing a business household or business household has the right to complain and denounce according to the provisions of law on complaints and denunciations.
Periodically in the first working week of every month, the district-level Business Registration Authority sends a list of business households registered in the previous month to the Tax Authority at the same level, the Business Registration Office and specialized management agencies at the same level. conscious.
6. Some notes when establishing an individual business household
- Each person is only entitled to establish one individual business household nationwide. If you have previously established a business household and have not completed the closing procedure even though it is no longer in operation, you cannot establish a new business household. Due to the specific legal nature of business households, they do not have legal status and are responsible for all their assets for the business activities of the business household.
- Business location of a business household: A business household can do business in many locations but must choose a location to register the business household's headquarters and must notify the Tax Administration and Tax Administration. market management agency where business activities are conducted for the remaining business locations.
- Taxes for individual business households are presumptive tax and direct value-added tax that is not tax deductible for customers, so many partners consider this when buying goods from individual business households.
7. Consulting services for establishing individual business households of Thien Di Company
Coming to Thien Di Company's services, customers will receive:
- Consulting on conditions and procedures for establishing individual business households for customers;
- Drafting documents to establish an individual business household;
- Representing customers to carry out procedures for establishing individual business households at competent state agencies;
- Consulting on issues arising during the operation of household businesses;
- Support and advise on trademark registration issues, tax issues, and related licenses in the activities of individual business households.
Please contact Thien Di Company immediately to get the optimal and cost-saving solution.
Contact Info:
THIEN DI TRADING SERVICES COMPANY LIMITED
Address: No. 36 Street A4, Ward 12, Tan Binh District, Ho Chi Minh City
Hotline: 0981317075
Phone: 028.6293 9377
Email: info@luatthiendi.com
Sign up for a consultation