How to evidence financial capacity for biz in VN (Ho Chi Minh City)
To be clear that there are 03 kind of capital when setting up the company as follows:
- The Charter Capital (it may call paid-up/authorized capital under your understanding) means the actual amount which will be fully subscribed by the expats within 90 days as from the issuance date of the license to set up the company. Failing to this period, the company may be subject to the monetary fine and forced to fully contribute immediately or decrease the Charter Capital down to the actually paid amount. To evidence the financial capacity for subscription of the Charter Capital, expat is required to provide the bank statement of her/his bank account with the balance equivalent to the registered Charter Capital or more.
- The Loan Capital means the total amounts mobilized from the other individuals, organizations and the credit institutions to fund the Company based on the financial demand of the Company from time to time. To prove the mobilized financial capacity for the Loan Capital, expat needs to have one of the following documents: (i) the commitment of financial institutions to provide financial support; (ii) guarantee letter for the financial capacity of the expat; and (iii) description of the financial capacity of the expat.
- The Investment Capital means the total amounts used to running the Company, including the Charter Capital and the Loan Capital.
We hope that the above is informative and useful. Should you have any relevant question, please reach me via my email: Protected content .