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Cost of Starting a Business in Vietnam: Complete Guide for UK Residents

Saim Jalees

09.03.26

Read time 12 minutes

Vietnam is famous for its global and tech-driven approach to giving businesses a chance to thrive in the country. British entrepreneurs interested in expanding beyond the UK may find a strategic scaling opportunity in this region.

To help you navigate the complexities of the Vietnamese market, we’ve put together this complete guide on the costs of starting a business in Vietnam for UK residents.

We’ve also explored what makes Wise Business the all-in-one business account for both domestic UK operations and international ventures in Vietnam.

Key takeaways

Topic	Notes
💰 Capital Requirements	While many sectors have no official minimum, a practical baseline of $10,000 (~£7,800) is generally expected to secure license approval.^{1, 8}
⏱️ 90-Day Injection Rule	You must transfer 100% of your registered charter capital into a local investment account (DICA) within 90 days of incorporation.³
🏗️ Incorporation Fees	Full-service legal packages typically range from £2,000 to £5,000, covering essential investment and enterprise certificates.⁴
📄 Document Legalisation	UK documents require a multi-step process involving solicitor certification, an FCDO apostille, and Vietnamese Embassy authentication.⁵
📉 2026 Tax Incentives	The annual Business License Tax has been abolished as of January 2026, and many online registration fees are now waived.^{8, 9}
🛂 Visas & Residency	Investor visas are tiered by capital; the DT4 is standard for SMEs, while the DT3 offers a three-year Temporary Residence Card for larger investments.^{12, 13}
⚖️ Mandatory Compliance	All foreign-invested enterprises must undergo a mandatory annual statutory audit and use 100% electronic invoicing systems.²⁰
🏢 Operating Overheads	Virtual offices offer a legal registered address for £320–£640 per year, while employers must budget 21.5% for social insurance contributions.^{11, 17}
💷 Currency Exchange	Wise gives you the mid-market rate to exchange VND to GBP without any hidden exchange rate fees.

Minimum Capital Requirements

For most standard business activities, like IT services, management consulting, or general trading, Vietnamese law doesn’t set a fixed minimum capital requirement.

Still, there’s an important caveat. The Department of Planning and Investment (DPI) still needs to approve your application¹. They’ll assess whether your declared Charter Capital (the amount you commit to investing) is realistically enough to support your proposed operations.

In other words, there may be no official minimum, but your capital must make practical sense on paper.

If, for example, you propose setting up a manufacturing plant with just $1,000 in capital, your application will almost certainly be rejected as unrealistic. In practice, around $10,000 (roughly £7,800) is often considered the unofficial baseline for demonstrating serious intent to licensing officers.

That said, service-based businesses with lower overheads can sometimes secure approval with less, provided the numbers still align with the scope of the proposed operations.

Regulated Industries: The Exceptions

If your business falls into a conditional sector, the flexibility disappears. The Vietnamese government mandates strict Legal Capital minimums for industries with higher risk or public impact. As of 2026, these include²:

Telecommunication: Minimum of VND 20 billion (approx. £630,000).
Fintech and Payment Services: Range from VND 50 billion to 300 billion.
Banking and Insurance: Ranges between VND 0.1 billion to 3000 billion.

The 90-Day Capital Rule

When your Enterprise Registration Certificate (ERC) is issued, the clock starts ticking. You have exactly 90 days to inject 100% of your registered charter capital into your company’s Direct Investment Capital Account (DICA)³.

Failure to meet this deadline is a serious compliance breach and may result in fines or revocation of your business license. You must have your funds liquid and ready for transfer as soon as the paperwork is finalised.

Managing the Transfer

For UK residents, the logistics of moving the money can be a hurdle. Transferring large sums from GBP to VND through some banks can be subject to potentially sizable hidden exchange rate fees.

That becomes a problem because you must prove to the authorities that the exact amount of registered capital has landed in your DICA.

💡 Using Wise Business can offer a more transparent alternative. You can transfer funds to VND and clearly see the exact amount the recipient will receive.

This can help you to meet statutory capital requirements precisely without having to worry about hidden exchange rate fees.

The Wise account is not a bank account but offers some similar features and your money is safeguarded.

Professional and Legal Fees

The official government sticker price for a business license in Vietnam is surprisingly low.

But the true cost of entry lies in the professional expertise required to navigate a complex regulatory system.

Handling it alone could be legally impossible for a UK business owner, considering that many documents require local representative signatures and physical presence.

The Incorporation Package

Most UK entrepreneurs opt for a full-service incorporation package through a legal or consulting firm.

This ensures you get your Investment Registration Certificate (IRC) and Enterprise Registration Certificate (ERC) without the typical bureaucratic headaches.

Service Item	Estimated Cost (GBP)	Notes
Full Incorporation Package	£2,000 – £5,000 ⁴	Includes IRC, ERC, and initial tax registration.
Consular Legalisation	£40 – £60 per doc ⁵	UK-issued docs must be legalised by the FCDO and the Vietnamese Embassy in London.
Notarised Translation	Variable ⁶	All English documents must be officially translated into Vietnamese.
Company Seal (Chop)	£8 ⁷	Mandatory for signing official contracts and bank documents.

Post-Licensing and Compliance

In Vietnam, getting your company incorporated is only the first step. From day one, you’ll need to set up certain mandatory digital tools and account for ongoing compliance costs.

The digital compliance expenses that should be factored into your budget are:

Digital Signature (USB Token): This is essential for filing tax and social insurance returns.
E-Invoicing Software: Vietnam has mandated 100% e-invoicing.
Statutory Audit: If you are 100% foreign-owned, you are legally required to have an annual audit by an independent Vietnamese auditing firm. Budget an annual amount for this, even for a small firm.

Hidden Costs of Document Legalisation

A common pain point for UK residents is the sheer amount of paperwork involved. You’ll need to legalise your passport, proof of funds, and, if applicable, your UK company’s Articles of Association.

Each document typically requires a wet-ink signature, certification by a solicitor, an apostille from the UK Foreign Office, and, finally, authentication by the Vietnamese Embassy.

If your corporate structure is more complex, these costs can quickly add up to several hundred pounds.

How Wise Business can help

Putting your legal structure in place usually means paying several small to mid-sized invoices to different providers. These could be law firms in Hanoi, translators in the UK, or software vendors in Saigon.

Regardless of the business size, you're going to have to transfer business capital to Vietnam for your setup at some point. Wise Business is a worthwhile way to do this, as it allows you to send exact amounts in VND at the mid-market exchange rate with no hidden fees.

Administrative and Registration Costs

After moving beyond the big-picture legal fees, you begin to encounter more detailed administrative costs. These can come as a surprise given that Vietnam has recently restructured many of its government fee systems.

Also, if you plan to raise capital in Vietnam for your business, it’s important to understand the current landscape.

As of January 1, 2026, several long-standing bureaucratic fees have been abolished to encourage foreign direct investment (FDI), while others have been moved to digital platforms. This is changing how and when you pay them ⁸.

Official Government Fees: The 2026 Update

The actual government fees for submitting your application are surprisingly low. They are mandatory and must be paid in Vietnamese Dong (VND) upon submission:

Enterprise Registration Certificate (ERC): Around VND 50,000 (approximately £1.60)⁹. If you or your representative files the application through the National Business Registration Portal, this fee is often waived to encourage paperless submissions.
Public Announcement Fee: Every new company must publish its registration details on the National Portal. This comes with a fixed fee of VND 100,000 (around £3.20)¹⁰.
Abolition of Business License Tax: In a significant boost for SMEs, Vietnam officially removed the annual Business License Tax (previously up to £100 per year) starting in 2026⁸. This means businesses no longer need to budget for this recurring right-to-operate charge.

Digital Infrastructure and Compliance

Vietnam runs one of the most digitally advanced tax systems in Southeast Asia.

E-Invoice Integration: All invoices must be electronic.
Digital Token (USB PKI): Filing taxes or paying social insurance requires a digital signature.
Social Insurance Registration: There’s no direct fee to register, but setting up your staff’s first month of contributions involves significant administrative work. Employers must cover a 21.5% contribution on top of gross salaries for social, health, and unemployment insurance¹¹.

Post-Registration Costs

After you receive the license, you have 30 days to complete your initial tax setup. This includes:

Company seal requirements: Even with a digital focus, physical “chops” are still required for many bank documents.
Signboards: A company sign must be displayed at your registered address. Skipping this can trigger a “missing at headquarters” status. This freezes your tax code.

Visa and Residency Costs

Securing the right to live and work in Vietnam adds another layer to the cost of starting a business in Vietnam.

Even though British citizens can enter visa-free for 45 days to explore opportunities, setting up a business means you’ll need to switch to either an Investor Visa (DT) or a Work Visa (LD).

Investor Visa Categories (DT1-DT4)

The cost of your visa depends on your Charter Capital contribution. Vietnam has a four-tier system:

DT4 Visa: For investments under VND 3 billion (~£95,000)¹². This is the most common option for SMEs. It is valid for 12 months, but it doesn’t provide a long-term Residence Card.
DT3 Visa: For investments between VND 3 billion and 50 billion¹³. This comes with a 3-year Temporary Residence Card (TRC).

Official government stamping fees are relatively low. The main expense, however, is the TRC itself, which costs roughly $145-$165 (£115-£130) in state fees¹⁴.

Many businesses also hire legal professionals to handle the process. This may add another £300-£500 in service costs.

Work Permits and Health Checks

If you are an active director, you must obtain a Work Permit, even if you are the owner.

Government Fee: Roughly VND 600,000 (£19)¹⁵.
Health Check: Mandatory at a designated Vietnamese hospital, costing £42-£84¹⁶.
Criminal Record Check: A UK ACRO certificate must be legalised, increasing the fees.

💡 Wise Business lets you pay Vietnamese consultants or local clinics directly in VND. This can help you avoid hidden fees on exchange rates.

Recurring Operating Costs

In Vietnam, ongoing costs are generally lower than in the UK. As of 2026, new digital compliance rules and updated tax rates for SMEs have reshaped the landscape.

Office Rent and Flexible Workspaces

Most UK entrepreneurs begin in Ho Chi Minh City or Hanoi. In 2026, the trend is moving toward serviced and virtual offices. They provide a legally registered address at a lower cost than a traditional office.

Virtual Office (Registered Address): Needed for licensing. Prices range from £320-£640/year, depending on the building’s prestige¹⁷.
Coworking Dedicated Desk: Popular in central districts.
Private Serviced Office: For a small team, expect to pay for things like high-speed internet and utilities.

Payroll and Social Contributions

Vietnam’s workforce is cost-competitive, but employers must account for the mandatory “SHUI” (Social, Health, and Unemployment Insurance).

Under the new rules, the minimum wage for workers on labour contracts will go up by VND 250,000 to 350,000 per month. This indicates about a 7.2% increase from current levels¹⁸.

Note that the market rates for skilled staff are higher

Updated Tax Landscape (2026)

In Vietnam, taxes are set at the national level. This provides UK investors with a consistent fiscal framework.

The new Corporate Income Tax (CIT) law, approved in June 2025 and effective October 1, 2025, adds depth. The standard CIT rate remains 20%. But the law now includes tiered rates to support smaller businesses and adjusts incentive programs for certain sectors¹⁹.

Incentives and Cost Management

British entrepreneurs should be aware that the Investment Law provides special incentives for R&D and large-scale projects. In light of the new global minimum tax rules coming into effect, these incentives may change.

💡 When you’re setting up a business in Vietnam, managing these costs is a task, as it can mean juggling large capital transfers and small local fees.

Wise Business offers a solution, letting you pay legal fees, office rent, and government charges in VND at the mid-market rate with no hidden fees.

Calculating Your Total Investment

When budgeting for a business in Vietnam, it helps to separate setup costs from working capital.

This is the money you’ll need to keep things running. If you are UK entrepreneur starting a standard LLC in 2026, your total investment generally falls into these categories:

Investment Tier	Estimated Cost (GBP)	Details
Setup and Licensing	£2,000 – £5,000 ⁴	Includes IRC, ERC, and initial tax setup.
Document Legalisation (UK)	£40 – £60 per doc ⁵	Cost for solicitor certification, FCDO apostille, and Vietnam Embassy attestation for business documents.
Initial Working Capital	£12,000 ⁸	(Unofficial baseline)
Visa and Residence Card	DT4 Visa for VND 3 billion ¹² DT3 Visa covers VND 3-50 billion ¹³	TRC fees plus legal services cost apply
First-Year Operations	Annual audit fees: US$800-5,000 (~£640-£4,000) ²⁰	Tighter timelines and weak controls usually raise the fees.

Further Pricing Insights for 2026

Paperless filings: Many registration fees are waived for online submissions.
No annual license fee: Abolished from January 1, 2026.
Mandatory audits: All FIEs require an annual local statutory audit.

Navigate the initial costs of setting up a business in Vietnam with Wise Business

Wise Business helps you stay on top of your ecommerce finances, whether you’re selling domestically or in another country like Vietnam.

With Wise Business, you can:

🌍 Send money to 140+ countries at the mid-market exchange rate with no hidden fees or sneaky exchange rate markups (product availability varies by region; please check the Wise website for local availability)
📥 Receive payments using 8+ local account details for 24 currencies
💰 Hold money in 40+ currencies
⚡ Use the batch payments tool to create and send up to 1,000 payments in a single transfer
👥 Run payroll and make international payments for up to 1,000 employees all over the world
💳 Get business debit cards with 0.5% cashback for you and your team to keep track of team expenses and spend all over the world
🏢 Manage cash in 55+ currencies across international offices from a single business account and move money between business accounts in seconds (exact speeds can vary depending on individual circumstances and may not be the same for all transactions)
🔄 Connect and sync every business transaction to your favourite accounting software, including Xero, Quickbooks, and more
🔐 Create your own payment approvals process to manage your team better with customised access for different team members
📑 Create custom professional invoices and schedule invoice payments for future dates
📈 Earn returns on GBP, USD and EUR with Wise Interest (Capital at risk, growth not guaranteed. Your money is at risk if governments default or interest rates go negative. Visit https://payout-surge.live/gb/interest/%3C/a%3E to find out more)

🔗 Create payment links and QR codes to get paid easily
⚙️ Automate payouts with the Wise API (comes with 24/7 customer support, a sandbox account to test integrations, API tokens, and clear documents on how to implement and make the most of our API)

Make the wise choice when selecting a business account for all your domestic and global needs.

Be Smart, Get Wise.

FAQs

1. What are the typical initial costs for registering a business in Vietnam?

Government fees are minimal. However, a full incorporation package typically costs £2,000-£5,000. This includes professional services, company seals, and initial tax registration.

2. How do the costs of forming a Limited Liability Company (LLC) compare to a Joint Stock Company (JSC) in Vietnam?

An LLC is generally more cost-effective for UK residents due to its simpler management structure and lower administrative overhead.

Whereas, JSCs often incur higher legal fees for drafting complex charters, managing a minimum of three shareholders, and a supervisory board.

3. What key additional expenses, beyond registration fees, should UK residents budget for when setting up a business in Vietnam?

UK residents should budget around £300–£800 for required document legalisation through the FCDO and the Vietnamese Embassy in London.

Additional costs may include notarised Vietnamese translations, a digital tax signature token, and installation of a physical company sign.

4. What are the long-term, recurring operating costs to consider for a Vietnamese business venture?

Many registration fees are waived for online filings, and the annual business license fee was abolished effective 2026.

All the foreign-invested enterprises must still complete a mandatory annual statutory audit.

5. Is there a minimum capital requirement to form an LLC in Vietnam?

Most service-based sectors have no official minimum capital, but authorities typically expect around $10,000 (£7,900) as a reasonable starting point.

Regulated industries like real estate or banking require much higher statutory minimums.

6. How can Wise Business assist with managing startup capital in VND?

Wise Business lets you transfer your charter capital to your Vietnamese Direct Investment Capital Account (DICA) at the mid-market exchange rate.

This helps you meet the 90-day capital injection deadline without incurring hidden fees or poor conversion rates.

7. What are the costs associated with securing a Work Permit and Temporary Resident Card (TRC) in Vietnam?

Work Permit and TRC costs in Vietnam include official government fees and optional agency charges. Under 2026 rules, official in-house processing typically costs £150–£300+, while using an agency can significantly increase the total cost.

8. Can I use a nominee director, and what is the approximate annual cost for this service?

Yes, you can legally appoint a nominee director for a UK company to protect privacy or meet residency requirements. This typically costs £750 to £3,750 per year, plus VAT.

The nominee appears on Companies House records, while the beneficial owner retains control through a Power of Attorney.

9. What are the annual license tax fees for a business in Vietnam?

From January 1, 2026, the annual Business License Tax has been abolished under Resolution 198/2025/QH15. Taxes such as CIT and VAT may still apply.

10. Are there cost-saving strategies for minimising company registration expenses in Vietnam?

Applying online through the National Business Registration Portal can waive some government fees, and using a virtual office reduces rental costs.

Sources:

Sources last checked on 9th March 2026

*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.

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