A Representative Office (RO) offers a low-cost entry option for many companies, and are among the most common for companies that are first-time entrants to the Vietnamese market.
RO’s are often suitable for companies that may be seeking to gain a better understanding of the Vietnamese market with a smaller initial investment, and may be used to pave the way for a larger presence within the country in future years.
RO's are currently permitted to engage in the following activities:
• Conducting market research;
• Acting as a liaison office for its parent company;
• Promoting the activities of its head office through meetings and other activities that lead to business at later stages.
Requirements and registered capital
Registered capital is not a statutory requirement for setting up an RO in Vietnam. An RO license is valid for five (5) years but can be extended for another five years.