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Conditions for establishment travel company

Index

With the advantage of being a country with many tourist attractions, in recent years, Vietnam has attracted a lot of tourists and the travel business has also made great strides. This is considered a potential business field and brings a lot of huge profits. Therefore, the need to establish and operate travel agencies is increasing day by day. The following article Vo Consultants will provide information on the conditions for establishing a travel agency.

Basic concepts

  • What is travel tourism?

Tourism and travel are always two parallel and complementary activities. This is a form of tourism organized with long trips by tour, with a unit that organizes and supports customers during the trip, which can be a company that both organizes travel and takes care of food services. drink, rest, even transportation.

  • What is the travel business?

Pursuant to the provisions of Clause 9, Article 3 of the Law on Tourism 2017: “Travel business is the construction, sale and implementation of part or the whole of a tourist program for tourists.”

The scope of travel service business is also specified in Article 30 of the 2017 Tourism Law:

“1. Business domestic travel services to serve domestic tourists.

2. International travel business serving international tourists to Vietnam and tourists going abroad.

3.An international travel service business may provide international travel and domestic travel services, except for the following cases:

4. Foreign-invested enterprises may only provide international travel services for international tourists to Vietnam, unless otherwise provided for in an international treaty to which the Socialist Republic of Vietnam is a host country. Vietnam is a member.”

Travel business is a typical economic business field and brings many profits and economic benefits to the tourism industry in general. However, to be able to do business in this field, business entities must comply with specific conditions as prescribed by law.

Laws on conditions for establishing a travel agency

  • Domestic travel agency
  • Conditions for establishing a domestic travel agency

Pursuant to Clause 1, Article 31 of the 2017 Tourism Law stipulates: “1. Conditions for providing domestic travel services include: a) Being an enterprise established in accordance with the law on enterprises; b) Depositing domestic travel service business at a bank; c) The person in charge of the travel service business must have an intermediate or higher degree in tourism; If you graduate from an intermediate level or higher in another major, you must have a certificate of domestic tourism operations.”

In there,

First: about the manager. The operator of a travel business upon establishment must have at least 3 years of operation in this field and must have graduated from the tourism industry at least at the intermediate level. And must be trained in the specific specialties specified in Clause 2, Article 3 of Circular 06/2017/TT-BVHTTDL, if graduating from another major, they must have a certificate of domestic tourism management including the following contents: The training content is specified in Clause 2, Article 4 of the Law on Tourism 2017.\

Second: about margin capital. Pursuant to Clause 1, Article 14 of Decree 168/2017/ND-CP, Amended and supplemented by Article 1 of Decree 94/2021/ND-CP effective from October 28, 2021: “1. Deposit level for domestic travel service business: 20,000,000 (twenty million) VND”.

  • Procedures and procedures for applying for a domestic travel business license

To set up a domestic travel agency, you need to take the following steps:

b.1/ Dossier: Pursuant to Clause 1, Article 32 of the Law on Tourism 2017 and Point d, Clause 2, Article 18 of Circular 06/2017/TT-BVHTTDL, a company establishment dossier includes:

“1. An application file for a license to provide domestic travel services includes: a) An application form for a license to provide domestic travel services, made according to the form prescribed by the Minister of Culture, Sports and Tourism. ; b) A certified copy of the certificate of enterprise registration; c) Certificate of deposit for travel service business; d) A certified true copy of the appointment decision or the labor contract between the tour operator and the person in charge of the travel service business; dd) A certified true copy of the diploma or certificate of the person in charge of the travel service business specified at Point c, Clause 1, Article 31 of this Law.”

b.2/ Order, procedures and competence to grant permits: Pursuant to Clause 2, Article 32 of the 2017 Tourism Law

“2. The order, procedures and competence to grant a license to provide domestic travel services are prescribed as follows: a) The enterprise applying for a license to provide domestic travel services shall submit 01 application to the agency. specialized in tourism at the provincial level where the enterprise is located; b) Within 10 days from the date of receipt of the valid dossier, the specialized tourism agency of the province shall appraise and grant the domestic travel service business license to the enterprise; In case of refusal, it must be notified in writing and clearly state the reason.”

The Minister of Culture, Sports and Tourism shall prescribe the form of a domestic travel service business license. (guided by Point a, Clause 3, Article 18 of Circular 06/2017/TT-BVHTTDL effective from February 1, 2018)

Dossier to be submitted at: Vietnam National Administration of Tourism

  • International travel agency

International travel business is a conditional business, which is a form of enterprise planning, selling and organizing tours for foreign tourists entering Vietnam or Vietnamese tourists going abroad.

  • Conditions for establishing an international travel agency

Clause 2, Article 31 of the Law on Tourism 2017 specifies the conditions for establishing an international travel agency as follows:

“2. Conditions for doing business in international travel services include: a) Being an enterprise established in accordance with the law on enterprises; b) Depositing international travel service business at a bank; c) The person in charge of the travel service business must have a college degree or higher in tourism; If you graduate from a college or higher in another major, you must have an international tourism management certificate.”

In there,

First: about the founder, the subject of the business must have graduated in tourism majors at least college level and follow the majors specified in Clause 2, Article 3 of Circular 06/2017/TT-BTC. BVHTTDL takes effect from February 1, 2018.

Business founders and business owners who have graduated from a college in another major must have a professional certificate in international tourism management. In case the diploma does not show details of the profession or major, the graduation transcript or any diploma showing the major must be supplemented with the phrases: Tourism, travel, tour guide…

The founders, business owners must have at least 4 years of experience in the following fields: Management of travel activities; Tourguide; Promotion and promotion of tourism; Building and operating tourism programs; Research and teach about travel, tour guide.

If not, the enterprise will have its business license revoked for less than 12 months from the time of application for re-issuance of the license.

Not subject to the law, enterprises conducting international travel business in violation of the law shall be administratively sanctioned less than 12 months from the time of applying for re-issuance of the license.

Second: about the margin level. Pursuant to Clause 2 of Decree 168/2017/ND-CP, Amended and supplemented by Article 1 of Decree 94/2021/ND-CP effective from October 28, 2021 as follows: “2. Deposit level for international travel service business: a) Travel service business for international tourists to Vietnam: VND 50,000,000 (fifty million); b) Business travel services for tourists going abroad: 100,000,000 (one hundred million) dong; c) Business travel services for international tourists to Vietnam and tourists abroad: 100,000,000 (one hundred million) dong.

For an international travel agency, the other conditions for establishment are as follows:

For international travel agencies, guides must be Vietnamese citizens.

An international travel agency must have at least 3 guides with international tour guide cards.

Support foreign tourists entering Vietnam and Vietnamese tourists going abroad in immigration and customs related matters.

An international tour company registered to operate within the scope of sending Vietnamese tourists abroad must be responsible for buying insurance for customers during the time of participating in the tour program.

  • Procedures and procedures for applying for an international travel business license

b.1/ Dossier: Pursuant to Clause 1, Article 33 of the Law on Tourism 2017 stipulates:

1. An application file for an international travel service business license includes: a) An application form for an international travel service business license, made according to the form prescribed by the Minister of Culture, Sports and Tourism. ; b) A certified true copy of the certificate of enterprise registration or the certificate of investment registration issued by a competent state agency; c) Certificate of deposit for travel service business; d) A certified true copy of the diploma or certificate of the person in charge of the travel service business specified at Point c, Clause 2, Article 31 of this Law; dd) A certified true copy of the appointment decision or the labor contract between the tour operator and the person in charge of the travel service business.”

b.2/ Order, procedures and competence to grant permits: Pursuant to Clause 2, Article 33 of the 2017 Tourism Law

“2. The order, procedures and competence to grant an international travel service business license are prescribed as follows: a) The enterprise applying for an international travel service business license shall submit 1 set of documents to the General Department of Tourism. Travel; b) Within 10 days from the day on which the valid application is received, the Vietnam National Administration of Tourism shall appraise and grant an international travel service business license to the enterprise and notify the issuing tourism authority. the province where the enterprise is headquartered; In case of refusal, it must be notified in writing and clearly state the reason.”

The Minister of Culture, Sports and Tourism shall prescribe the form of an international travel service business license (guided by Point b, Clause 3, Article 18 of Circular 06/2017/TT-BVHTTDL effective from January 1, 2017). February 2018)

Dossier to be submitted at: Vietnam National Administration of Tourism where the enterprise’s head office is located.

Above are the sharing of Lawyers, providing information for the purpose of not consulting and not consulting opinions, Vo Consultants is not responsible in all cases.

For each specific case, please contact Vo Consultants for detailed advice.

Lawyers for business legal advice: 0909 865 891 – 0901 476 391

Or send request via email: hello@voconsultants.vn

Office address: 8th floor, Callary Building, 123 Ly Chinh Thang, Vo Thi Sau Ward, District 3, Ho Chi Minh City.

Best regards./.

Author

Author

Lawyer Vo Thi Man

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