Foreigners who open a company in Vietnam and serve as its director often assume “my own company means no work permit”. In reality, the dividing line is the VND 3 billion capital-contribution threshold under Article 7 of Decree 219/2025/ND-CP (effective 07/08/2025).
The 3-billion threshold: work permit exemption
Foreign investors contributing VND 3 billion or more to a Vietnamese company are exempt from the work permit requirement (Article 7.2, 7.3). This group uses the notification-only track: the employer notifies the competent authority at least 3 working days before work begins (name, date of birth, nationality, passport, employer name, workplace, period) — no confirmation document needed.
Proof: the investment registration certificate / enterprise registration certificate showing the contributed capital, plus the company charter.
Under 3 billion or a non-contributing director: permit still required
Below VND 3 billion, the investor does not qualify for this exemption and must obtain a work permit like any foreign worker — typically as a manager (title proved under the Law on Enterprises) or an executive director (under Decree 219/2025: at least 3 years of experience in the relevant field).
Distinguish: the owner (capital contributor) vs the hired director (appointed to manage but contributing no capital). A hired director enjoys no investor exemption — a manager/executive-director work permit is required.
Board chair or small-stake member?
A board chair or member contributing under VND 3 billion is not automatically exempt. Exemption requires fitting one of the 15+ Article 7 cases (e.g., married to a Vietnamese national and residing in Vietnam; under 90 days per year in Vietnam). Otherwise the route is a manager-category work permit, proving the managerial title under enterprise law.
Does a VND 3 billion contribution need an exemption confirmation?
No — investors contributing VND 3 billion or more use the notification-only track (Article 9.4): notify at least 3 working days before starting work; no confirmation document required.
Director of a single-member LLC I own myself, capital VND 1 billion?
Below the 3-billion threshold, so no investor exemption. A manager or executive-director work permit is required (executive director needs 3 years of relevant experience).
Is a hired director (no capital contribution) exempt?
Not as an investor. A hired director needs a manager/executive-director work permit, or must qualify under another exemption case.
What if capital is raised above 3 billion after a permit was issued?
Once the investor threshold is met, the worker moves to the exemption lane — the employer files the Article 9.4 notification; the old work permit is no longer needed for that employment relationship.
Is a private-enterprise owner exempt?
A private-enterprise owner is an investor — the same VND 3 billion investment threshold applies. Below it, apply for a regular manager-category work permit.
For detailed advice on investor/director exemptions, contact FLAT Law Firm.
This article has been quality-reviewed by the FLAW AI Legal Council. Content was prepared by the FLAT Law Firm AI Legal Council and has not been reviewed by a human lawyer.