What to Do After Establishing a Company? 

After completing the company registration procedures, a business must carry out several important steps to start legal operations. These procedures not only ensure compliance with the law but also create a solid foundation for financial transactions, accounting, and business activities. In this article, we will guide you through the essential procedures to complete after establishing a company, helping you quickly start operations and grow your business.

1. Tax Declaration and Payment of Business License Tax

After establishing a company, the first step every business must take is to declare and pay the business license tax. The business license tax is an annual tax that companies are required to pay to maintain their legal operation. It is important to declare the business license tax on time and pay it fully as required by law to avoid administrative penalties. The amount of business license tax depends on the company’s charter capital.

Business License Tax Rates

The business license tax rate is determined based on the company’s charter capital. According to Vietnamese law, companies must pay this tax annually. For businesses with a charter capital of less than 10 billion VND, the business license tax is 2 million VND per year. If the company’s charter capital exceeds 10 billion VND, the business license tax will be 3 million VND per year. However, this tax rate may be adjusted by the tax authorities each year.

Tax Declaration and Payment Timeline

According to the regulations of the Tax Department, companies must declare the business license tax within 30 days from the date of receiving the Enterprise Registration Certificate. After completing the declaration, the company must pay the business license tax to the tax authorities within the specified timeframe. This ensures the company complies with its tax obligations and avoids administrative penalties.

Paying the business license tax on time not only helps the company avoid fines but also establishes a foundation for the company to maintain legal and transparent operations.

Business License Tax Declaration Procedure

The company must complete the business license tax declaration using the form required by the tax authorities. The information that needs to be declared includes the company’s charter capital, business lines, and other relevant details. After completing the declaration, the business must submit the business license tax declaration form to the tax authority and pay the tax on time. If the company changes significant information such as its charter capital or business lines, it must also update this information with the tax authority to ensure accurate tax declarations.

Read more: A Complete and Accurate Guide to Declaring Business License Tax

2. Opening a Bank Account for the Company

Opening a bank account for the company is an important and necessary step after establishment. The bank account will serve as the main tool for the company to conduct legal financial transactions, such as payments, receiving funds from customers, and paying taxes. In addition, the bank account helps the business maintain transparency in financial transactions, allowing stakeholders (customers, suppliers, tax authorities) to easily track and conduct transactions clearly.

Documents Required to Open a Bank Account

To open a bank account for the company, the business needs to prepare the following documents:

• Business Registration Certificate: This document is used to confirm that the company has been legally established.
• ID card or Citizen Identification Card (CCCD) of the legal representative: The company’s legal representative must provide a copy of their ID or CCCD for the bank to verify their identity.
• Bank Account Opening Request Form: This is the form provided by the bank for the company’s representative to fill out and sign. Additionally, some banks may require other documents, such as the company’s charter or the company establishment decision (if available).

Process of Opening a Bank Account for the Company

The process of opening a bank account for the company is relatively simple but needs to be followed in the steps below:

1. Prepare Documents: The company must ensure that all the required documents are ready as mentioned above.
2. Visit the Bank: The company’s representative goes to the bank to register the account. At the bank, they will fill out the account opening form.
3. Complete the Procedures: The bank will require the signing of the account service contract and provide information about the company account, such as tax identification number, transaction limits, and available banking services.
4. Receive the Bank Account: After completing the procedures, the company will receive the bank account number and related information for conducting financial transactions.

Notes When Opening a Bank Account for the Company

When opening a bank account for the company, businesses should pay attention to the following:

• Choose the Right Bank: Select a bank that offers services supporting businesses, such as electronic tax payments, international transfers, or business credit services.
• Notify the Tax Authority: After opening the bank account, the company must notify the tax authorities to enable electronic tax transactions. This ensures that the company fulfills its tax obligations legally and promptly.
• Check Transaction Fees: It is important to review the various bank transaction fees, such as transfer fees, withdrawal fees, or service charges, to avoid unnecessary costs while using the bank account.

3. Registering a Digital Signature After Establishing a Company

A digital signature is an important legal tool that helps companies conduct electronic transactions, particularly procedures with tax authorities, signing contracts online, and processing electronic documents legally. Registering a digital signature not only saves time and paperwork costs but also ensures security and transparency in online transactions.

What is a Digital Signature?

A digital signature is a form of electronic signature used to authenticate the legality of electronic transactions. The digital signature replaces handwritten signatures in online transactions and has the same legal value as the signature of the company’s legal representative. It is an essential tool when a company files electronic taxes, signs contracts online, or engages in transactions with government agencies through online systems. With a digital signature, all the company’s electronic documents will be highly authentic and secure.

Process of Registering a Digital Signature

To register for a digital signature, the company needs to contact a licensed digital signature service provider authorized by the General Department of Taxation. The registration process includes the following basic steps:

1. Choose a Digital Signature Service Provider: The business can select a digital signature provider such as VNPT, FPT, Bkav. These services are authorized by the tax authorities and ensure security.
2. Provide Documents: The company must prepare documents, including the Enterprise Registration Certificate, the legal representative’s ID, and the Digital Signature Registration Request Form.
3. Register and Receive the Digital Signature: After completing the registration, the company will receive a digital signature device (USB token) and the electronic signing software. Ensure that the company receives the proper documents and software as required from the service provider.

Trusted Digital Signature Providers

To ensure the legality and safety of using a digital signature, companies need to choose reputable service providers authorized by the General Department of Taxation. Some trusted digital signature providers in Vietnam include VNPT, FPT, Bkav, and Misa. Each provider offers different pricing and services to meet the company’s needs. Companies should choose a provider with excellent support, ensuring security and ease of use when dealing with tax authorities.

Benefits of Using a Digital Signature

Using a digital signature provides many benefits to companies, especially for completing online administrative procedures and electronic transactions. Some of the benefits include:

• Time Savings: A digital signature enables companies to complete administrative procedures quickly without needing to submit physical paperwork.
• High Security: A digital signature protects electronic transactions from fraud, ensuring the authenticity of contracts and documents.
• Easy Electronic Tax Filing: The company can easily complete tax filing procedures through the electronic tax system without having to visit the tax office.

4. Issuing Electronic Invoices

An electronic invoice is an important tool that helps a company manage sales and service transactions legally and transparently. After establishing the company, issuing electronic invoices helps the business save costs, minimize errors, and manage invoices more easily. Electronic invoices have the same legal value as paper invoices and are a mandatory requirement for all businesses, especially since November 1, 2020, as regulated by the General Department of Taxation.

Regulations on Electronic Invoices

An electronic invoice is an invoice issued and stored electronically, replacing traditional paper invoices. Electronic invoices have the same legal value as paper invoices if they fully comply with legal regulations. Companies must use electronic invoicing software and complete the registration procedures with the tax authorities. This ensures the company complies with the law and avoids tax-related legal risks.

In addition, using electronic invoices helps reduce tax fraud and facilitates electronic tax filing. The information on the invoices will be stored online and can be easily retrieved.

Steps to Issue Electronic Invoices

To issue electronic invoices, the company needs to follow these steps:

1. Choose an Electronic Invoice Service Provider: The business needs to select a reputable electronic invoicing software provider authorized by the General Department of Taxation.
2. Register for Electronic Invoice Issuance with Tax Authorities: The company needs to submit an electronic invoice issuance notification to the tax authorities, specifying the type of invoice, invoice template, and software used.
3. Install Electronic Invoicing Software: After registration, the company will receive the electronic invoicing software from the service provider and install it.
4. Issue Invoices: After completing the above procedures, the company can begin issuing electronic invoices for sales and service transactions. Electronic invoices will be sent directly to customers via email or through electronic transaction software.

Benefits of Electronic Invoices

Using electronic invoices brings many benefits to the company:

• Cost Savings: No need for printing and storing paper invoices, the company reduces costs related to paper, ink, storage, and transportation of invoices.
• Easy Management: Electronic invoices make it easy for the company to track and store transaction information systematically. Data can be quickly retrieved and searched through the electronic system.
• Security and Fraud Prevention: Electronic invoices help minimize tax fraud and invoice falsification. Data is securely stored and can be checked at any time.
• Increased Transparency: Electronic invoices enhance transparency in business transactions and help the company complete tax reports accurately and quickly.

After establishing the company, completing administrative procedures such as tax declaration, opening a bank account, registering a digital signature, and issuing electronic invoices is crucial for the company to operate legally and efficiently. These procedures not only help the business comply with the law but also ensure transparent and efficient financial and tax management. Completing these steps on time helps the company avoid legal risks and sets the foundation for sustainable growth in the future.

If you need professional assistance to complete post-establishment procedures or encounter difficulties with tax registration, bank account opening, digital signature registration, or electronic invoice issuance, our accounting services are ready to support you. With an experienced team of experts, we are committed to providing quality services to help you save time, avoid mistakes, and ensure effective legal compliance. Contact us now for the best advice and support!

Read more: Newly Established Company Services

For any inquiries, contact Wacontre Accounting Services via Hotline: (028) 3820 1213 or email info@wacontre.com for prompt assistance. With a team of experienced professionals, Wacontre is committed to providing dedicated and efficient service. (For Japanese clients, please contact Hotline: (050) 5534 5505).