Types of Companies in Vietnam: Choosing the Right Structure

The Law on Enterprises 2020 provides several company forms in Vietnam. Foreign investors most often choose between a limited liability company and a joint-stock company.

Main forms

• Single-member LLC — one owner (individual or organisation); simple governance, limited liability.
• Multi-member LLC — 2 to 50 members; limited liability; transfers subject to members' pre-emption rights.
• Joint-stock company (JSC) — at least 3 shareholders, share capital; suited to raising capital and future listing.
• Partnership and private enterprise — less common for foreign investors.

How to choose

An LLC offers simpler governance and tighter control — often preferred for wholly owned subsidiaries. A JSC suits multiple investors, share-based fundraising or an eventual public offering, at the cost of more formal governance (general meeting, board, supervisory arrangements).

Frequently asked questions

Which structure do foreign investors usually pick?

A single-member LLC for wholly owned subsidiaries; a JSC where multiple investors or future fundraising is planned.

How many owners can an LLC have?

A single-member LLC has one owner; a multi-member LLC has 2 to 50.

Why choose a JSC?

For share-based capital raising and potential listing, accepting more formal governance.

How LTV Law helps

LTV Law advises on the right structure and incorporates it. See our company-formation guide or contact our team.

This article is for general information only and does not constitute legal advice.