Question: To set up a foreign factory, what should I prepare?
Answer:
Under Vietnam Law, for setting up a foreign owned factory, you shall be required to prepare an investment proposal for long term or medium term, in which you shall have to define location, productivity, investment capital, estimated turnover, profit etc. Then, the competent authority shall study and determine whether to permit you to setup factory on the proposed location or not. For such purpose, you shall be required to look for a suitable location for setting up the factory. You shall have following options:
+ To lease existed factory from licensed Vietnamese Companies. This option does not cost you much. However, it may have potential risk due to that such factory must be compliant with master plan of the city and it must also support to your business goal. Otherwise, your application dossier shall be rejected.
+ To lease a land lot in Industrial Park. In comparison with the above option, this option is more expensive and it also require you to lease a minimum area in the Industrial Park. However, this option is much safer.
+ To lease a land lot from competent authority. This shall cost and take you a lot of time. We are of opinion that, this option is not suitable for the scale of your factory.
