All foreign-owned companies in Vietnam are required to open business bank accounts after being established, mostly for capital management, tax, and business purposes. Having good bank accounts helps your company stay compliant and protected, as well as brings many benefits to your business. 

Why need to open business bank accounts in Vietnam?

1. Open a business bank account to meet the mandatory requirements when paying taxes electronically. Specifically, in order to facilitate the company to pay tax at any place and any time without having to go directly to the tax office, electronic tax payment is encouraged by the tax authority to save time and simple procedures. Furthermore, a company bank account linked to the tax authority is a mandatory requirement when registering for electronic tax payment.
2. Satisfy the regulations on company transactions with a value of over 20 million dong to be paid via bank accounts. In specific, business expenses of 20 million dong or more need to be transferred from the company’s bank account to be deductible when calculating CIT, input VAT.
3. Convenience in dealing with customers, saving time and costs.
4. Easier to manage and track the spending as well as the financial issues of the company.
5. Show the professionalism of the company with business partners and customers.

Documents to open business bank accounts

The company will need to prepare the following required documents:

• Bank application forms
• Investment Registration Certificate or M&A Approvals
• Enterprise Registration Certificate
• Passport or legal papers of the legal representative, accountant (if any), and other authorized persons (if any)
• Decision on appointing an accountant (if any)

Things to consider when choosing a bank to open bank accounts

Each bank provides services with different levels of quality. In order to have the best experience during business operations, you should consider the following factors to choose the most suitable bank:

• Safety and confidentiality
• Convenient transaction
• Quality of service
• Service fees
• Minimum balance required
• Customer care service, in particular, you should choose a bank with care specialists who can speak English

Learn more: How to use company bank accounts in Vietnam

Let Nova Law help you get started with the right bank account opening

In order to help new businesses save time in searching and preparing paperwork to open company bank accounts, Nova Law supports opening corporate bank account for FDI companies. Nova Law will choose a good bank, prepare all the forms, required documents, and open bank accounts very quickly. In addition, Nova Law advises on what types of accounts to open to suit business needs and guides the execution of transactions on the account in accordance with the provisions of Vietnamese law.

Contact Nova Law for more details.