What is an individual business household?

According to Article 79 of Decree 01/2021/ND-CP, a Business Household is established by an individual or household members and is responsible for all of their assets for business activities. household business. In case household members register a business household, one member shall be authorized to act as the business representative. The individual who registers the business household, the person authorized by household members to act as the business household representative, is the business household owner.

Who has the right to register a business?

1. Individuals and household members who are Vietnamese citizens with full civil act capacity according to the provisions of the Civil Code have the right to establish business households according to the provisions of Chapter VIII of Decree 01/ 2021/ND-CP, except for the following cases:
   1. Minors, people with limited civil capacity; people who have lost their civil act capacity; People with difficulty in cognition and behavior control;
   2. Persons who are being prosecuted for criminal liability, detained, are serving prison sentences, are serving administrative measures at compulsory drug treatment facilities, compulsory educational establishments or are being Prohibited by the court from holding certain positions, practicing certain professions or doing certain jobs;
   3. Other cases as prescribed by relevant laws.
2. Individuals and household members specified in Clause 1 of this Article are only allowed to register one business household nationwide and are entitled to contribute capital, buy shares, and purchase capital contributions in the enterprise as personal way.
3. Individuals and household members who register as business households cannot simultaneously be the owner of a private enterprise or general partner of a partnership unless otherwise agreed by the remaining partners. again.

Rights and obligations of business household owners and household members participating in business household registration

1. The business household owner shall carry out tax obligations, financial obligations and business activities of the business household in accordance with the law.
2. The business household owner represents the business household as the person requesting to resolve civil matters, the plaintiff, the defendant, and the person with related rights and obligations before the Arbitrator, the Court and the rights and obligations. Other obligations as prescribed by law.
3. The owner of a business household can hire others to manage and operate the business activities of the household business. In this case, the business household owner and household members participating in business household registration are still responsible for debts and other property obligations arising from business activities.
4. The business household owner and household members participating in household business registration are responsible for the business activities of the business household.
5. Other rights and obligations as prescribed by law.

Related articles:

>>> Procedures for registering business households

>>> How to calculate business household tax

Refer to service:

>>> Business registration/household business registration service

Consultation hotline: 0935289747 – Mr. Tran Huu Toan