Conditions for establishing an advertising - Marketing company in Vietnam for foreign investors

Vietnam is becoming a promising market for the advertising and marketing industry thanks to its fast-growing economy, young population, and high internet penetration. Foreign investors are increasingly interested in setting up advertising companies in Vietnam to capitalize on business opportunities and expand their market share in the region. However, entering this market requires compliance with several specific legal conditions.

1. Is the advertising industry open to foreign investment?

According to WTO commitments and Vietnam’s international agreements, foreign investors are allowed to invest in advertising services, including:

• Advertising services in print media, television, and the internet
• Outdoor advertising, event organization
• Marketing and communication campaign consulting and implementation

However, the form of investment is often restricted:

• Foreign investors are not allowed to establish a wholly foreign-owned company unless a specific bilateral agreement exists.
• Instead, investors must partner with a Vietnamese entity under a joint venture model, in which the Vietnamese side must hold at least 51% of the charter capital.

See also: Procedures for establishing a 100% foreign-owned enterprise

2. Conditions for establishing an advertising - marketing company in Vietnam

Key conditions include:

• Vietnamese partner: Must have a Vietnamese citizen or company participating in capital contribution, ensuring a minimum 51% ownership.
• Investment Registration Certificate (IRC): Foreign investors must obtain an IRC from the Department of Planning and Investment (DPI) in the locality where the head office is located.
• Enterprise Registration Certificate (ERC): After obtaining the IRC, proceed to register the business to receive a tax code and operate legally.
• Registered business lines: Advertising is a conditional business line and must be clearly declared using the legal industry code system in Vietnam.
• Advertising content requirements: Must comply with Vietnam’s Advertising Law, which prohibits offensive, misleading, culturally inappropriate, or legally restricted content.

See also: 59 conditional business sectors for foreign-invested companies

3. Important notes

• It is prohibited to advertise restricted products such as tobacco, alcoholic beverages over 15%, or unlicensed products in Vietnam.
• Online advertising (e.g., on social media, websites) must comply with digital content management regulations, including social network licensing and notification to the Ministry of Information and Communications.
• Cross-border advertising services are also strictly regulated and require tax declaration and a local representative in Vietnam.

4. Procedure for establishing a foreign-invested advertising company

• Prepare and submit application for Investment Registration Certificate (IRC)
• Obtain investment approval (if capital ≥ VND 50 billion or in special sectors)
• Establish the joint venture company and obtain Enterprise Registration Certificate (ERC)
• Make company seal, open a bank account, and register for taxes
• Apply for specific operational licenses (if required)

Establishing an advertising and marketing company in Vietnam as a foreign investor is entirely feasible if all legal conditions are met particularly through the joint venture model. With Vietnam’s digital economy growing rapidly, this is a golden opportunity for international investors to enter the market and achieve long-term success.

Zora Consulting offers full-service legal support for establishing advertising and marketing companies in Vietnam. Our services include: business line consulting, application preparation, obtaining the Investment Registration Certificate (IRC), registering the business (ERC), opening bank accounts, tax registration, and applying for additional licenses if needed. We help foreign investors save time, ensure full legal compliance, and swiftly launch operations.