Starting a travel company in Vietnam offers many opportunities for foreign investors. From the bustling streets of Hanoi to the UNESCO World Heritage site of Ha Long Bay, Vietnam is an attractive destination for tourists worldwide.
This article will explore the prospects of starting a travel company in Vietnam, its supportive business environment, and how foreign investors can invest in this industry.
What services can a foreign-invested travel company offer in Vietnam?
According to Vietnam’s 2017 Tourism Law, foreign-invested travel companies can only provide international tours for inbound tourists. This means they can organize trips for international travelers who want to visit different places in Vietnam
How to start a travel company in Vietnam as a foreigner
Starting a travel company in Vietnam involves several steps. Here is a simplified process:
Legal entity registration
The investor has to first register a legal entity for starting a travel company in Vietnam. Foreigners can only invest in the tourism business of Vietnam by establishing a joint venture with a Vietnamese partner. 100% foreign ownership is not allowed in the tourism sector.
Application for Investment Registration Certificate (IRC)
Foreign investors need to obtain an Investment Registration Certificate (IRC) from the Department of Planning and Investment. The IRC is a document that recognizes foreign investment in Vietnam
Application for Business Registration Certificate (BRC)
The investor must apply to the Department of Planning and Investment for a Business Registration Certificate (BRC). This document officially recognizes the business as a legal entity in Vietnam. To apply for BRC you need the following documents:
- Application form for business registration
- Draft of the company’s charter
- List of members/shareholders
- Copies of relevant personal identification
Tourism license from VNAT
To start a tourism business in Vietnam, you need a license for the provision of international tours from the Vietnam National Administration of Tourism (VNAT). This license allows a business to organize and sell tourism services, and arrange accommodations, transportation, and other related activities.
As per Article 31 of the 2017 Law on Tourism in Vietnam, businesses aiming to secure a tourism license has to meet the following criteria:
- The business must be legally established in accordance with the Law on Enterprises in Vietnam.
- The business has to deposit an amount of 50 million VND (approximately $2129) in a bank as a security measure.
- The person in charge of managing tour operations should hold at least a diploma in tourism management, or be certified in international travel management.
To apply for a tourism license in Vietnam you need the following documents:
- An application form for issuance of the license for the provision of domestic tours according to the form prescribed by the Minister of Culture, Sports, and Tourism;
- A certified true copy of the BRC;
- A certificate of deposit payment;
- A certified true copy of the decision on appointment or employment contract between the travel service provider and the person in charge of the provision of travel services;
- A certified true copy of the qualifications of the person in charge of the provision of travel services.
Emerhub facilitates the process for foreign businesses to obtain necessary licenses and arrange all required documentation.
Opportunities for foreign investors interested in starting a travel company in Vietnam
Vietnam won the title of “Asia’s Leading Destination 2022” which speaks volumes about the potential of Vietnam in tourism. Foreign investors can explore a broad range of activities in Vietnam’s tourism industry. Here are a few areas:
Adventure tourism company in Vietnam
Vietnam offers a wide range of adrenaline-pumping activities. Investors can venture into the adventure tourism sector in the country. This involves creating tour packages that include trekking, wildlife spotting, kayaking, and other outdoor activities, including rock climbing in Ha Long Bay and canyoning in Da Lat.
Wellness and health tourism company in Vietnam
Investors can tap into the expanding wellness and health sector by setting up wellness retreats. Investors can partner with local retreats to offer traditional Vietnamese therapies like acupuncture, and herbal treatments. With the global wellness tourism industry projected to grow by 20.9% and reach $1.1 trillion by 2025, targeting luxury travel segments in regions like Europe and the U.S. presents a promising opportunity in Vietnam.
Cultural tourism company in Vietnam
With its rich culture, Vietnam has above 40,000 historical landmarks, ranging from ancient temples to imperial citadels. Vietnam is also home to eight UNESCO World Heritage Sites, capturing the interest of tourists worldwide.
Starting a travel business in Vietnam with Emerhub
Starting a tourism business in Vietnam as a foreigner has various challenges, and Emerhub is here to streamline the journey. If you’re looking to visit Vietnam for market research, Emerhub’s visa services ensure a smooth application process, granting you quick access to the Vietnamese market.
When it comes to investing in the tourism sector, Emerhub offers more than just market entry. If you’re unable to travel to Vietnam, our comprehensive all-in-one service takes care of your business setup. All you need to do is provide the necessary documents related to your business establishment, and we handle the rest – from registering your company to seeking out the best investment opportunities.
Embark on your business journey with Emerhub today and make your mark in Vietnam’s tourism sector. Fill in the form below to get started.