The establishment of a joint-stock company for financial investment is indeed a significant undertaking. Therefore, it requires careful consideration of various requirements and procedures. For individuals and entities looking to venture into the world of financial investment, it’s essential to have a clear understanding of the regulatory landscape. This includes understanding the steps involved in forming such a company. In this discussion, we will explore the specific requirements and procedures that typically apply when establishing a joint-stock company for financial investment, shedding light on the key considerations for those seeking to participate in the dynamic realm of financial markets.
Question:
I want to establish a Joint Stock Company for financial investment. What are the requirements and procedures, and what documents do I need?
Answer:
– According to the official letter No. 4517/BKHĐT-ĐKKD dated June 10, 2016 from the Ministry of Planning and Investment regarding business registration for “financial investment,” Article 4, Clause 21 of Law on Enterprises 2020 stipulates that business is a continuous process of performing one or more stages of the process from investment, production to consumption of products or provision of services on the market for the purpose of seeking profit. The above regulation considers an activity a business sector if it simultaneously meets three criteria.
+ It is performed continuously,
+ Part of the investment process (from production to consumption of products or provision of services on the market),
+ It is intended for profit.
– The enterprise does not need to undergo the business registration procedure for this activity if the “financial investment activity” does not meet all three of these criteria simultaneously.
– Companies carry out the process, procedures, and documents required to establish a new Joint Stock Company in accordance with the provisions of Article 23 of Decree No. 01/2021/NĐ-CP on business registration.
– You can refer to the procedures and sample forms for establishing a business on the website of the Authority of Planning and Investment: “www.dangkykinhdoanh.gov.vn/ news/ latest-news/ Sample forms” for business registration are provided in accordance with Law on Enterprises No. 59/2020/QH14.
Conclusion
In conclusion, the establishment of a joint-stock company for financial investment involves a structured set of requirements and procedures that are essential for ensuring compliance and effective operation within the financial sector. These regulations, in essence, serve as a foundation for maintaining transparency, thereby protecting investors’ interests, and at the same time, facilitating the growth of financial markets. Consequently, understanding and adhering to these requirements and procedures are fundamental, essential steps for individuals and entities who are looking to engage in financial investment activities. By doing so, they can navigate the complexities of the financial industry with confidence, positioning themselves for success in the dynamic world of investment and wealth management.
HMLF is always available to offer assistance in understanding the procedures with authorities.
Harley Miller Law Firm “HMLF”
Head office: 14th floor, HM Town building, 412 Nguyen Thi Minh Khai, Ward 05, District 3, Ho Chi Minh City.
Phone number: +84 937215585
Website: hmlf.vn Email: miller@hmlf.vn
