BUSINESS ARTICLES

Company signs and issues to note

Company signs and issues to note
Company signs and issues to note

According to the provisions of the Enterprise Law, the enterprise name must be affixed at the head office of the enterprise and must be printed or written on the transaction papers, documents, and publications issued by the enterprise. Therefore, businesses need to put up signs containing the business name at their headquarters. This regulation also applies to affiliated business units such as branches, representative offices, and business locations. In this article, we will provide general regulations regarding the display of signs after completing the establishment of a business.

The placement of signs must comply with the following regulations:

Contents of the company’s signboard must include:

  • Name of the direct managing agency (if any);
  • Name of the direct managing agency (in case the signboard is hung at the dependent units of the enterprise such as branches, representative offices, and business locations);
  • Tax code: This information is not required; however, businesses are encouraged to include this content on their signs;
  • Address and phone number.

Written text:

Content must be in Vietnamese, except for the following cases:

  • Trademarks, slogans, brandings, proper names in foreign languages, or internationalized words that cannot be replaced by Vietnamese;
  • Books, newspapers, websites and other publications permitted to be published in Vietnamese ethnic minority languages and foreign languages; radio and television programs in Vietnamese and foreign languages.

In case both Vietnamese and foreign languages are used, the foreign font size must not exceed three-quarters of the Vietnamese font size and must be placed below the Vietnamese word.

The size of the signboard is specified as follows

  • For horizontal signs, the maximum height is 02 meters (m), the length does not exceed the width of the front of the house;
  • For vertical signs, the maximum width is 01 meter (m), the maximum height is 04 meters (m) but does not exceed the height of the floor where the sign is located.

Signage form:

Currently, there are no specific regulations on this content, in fact, businesses often choose forms of signs such as boards, signs, light boxes, neon light system bending letters, etc.

Points to note

  • Signboards must not cover fire escapes and firefighting spaces; must not encroach on sidewalks, or roadbeds, affecting public transport.
  • The placement of signs must comply with the provisions of the Law on Advertising and technical regulations promulgated by competent agencies.
  • The display area of the logo, brand, or trademark shall not exceed 20% of the signboard area.
  • Depending on each type of business and specific service, there will be specific requirements such as signs of foreign language centers, karaoke service businesses, dance halls, etc.
  • Failure to comply with regulations on hanging signs will be considered and sanctioned in accordance with the law.

For businesses or affiliated units (Branches, Representative Offices) when newly established or with a change of headquarters, the placement of signs should be done within a certain period of time as prescribed by law. Businesses should also note that, not all but most of the local management agencies where they are headquartered will conduct an initial inspection to identify the business and whether the subsidiaries meet the original operating regulations such as the placement of signs. This inspection can be announced in advance or unscheduled, so businesses need to pay attention to avoid potential penalties.

The article is based on applicable law at the time noted as above and may no longer be appropriate at the time the reader approaches this article as the applicable law has changed and the specific case that the reader wishes to apply. Therefore, the article is only for reference.