{"id":7267,"date":"2021-11-23T09:22:29","date_gmt":"2021-11-23T02:22:29","guid":{"rendered":"https:\/\/pl-partners.vn\/?p=7267"},"modified":"2023-12-06T14:56:41","modified_gmt":"2023-12-06T07:56:41","slug":"distinguish-charter-capital-investment-capital-and-capital-contribution-for-the-implementation-of-investment-project-2","status":"publish","type":"post","link":"https:\/\/pl-partners.vn\/en\/distinguish-charter-capital-investment-capital-and-capital-contribution-for-the-implementation-of-investment-project-2\/","title":{"rendered":"Distinguish charter capital, investment capital and capital contribution for the implementation of investment project"},"content":{"rendered":"<p style=\"text-align: justify;\"><span style=\"color: #333333;\">Capital is no longer a strange concept for businesses and investors. However, in order to distinguish between 03 types of capital: charter capital, investment capital and contributed capital for implementation of investment project, people still get confused. <\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\">For the purpose of helping you distinguish charter capital, investment capital and contributed capital for the implementation of investment project, PL &amp; Partners would like to share some basic information as follows:<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_73 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">N\u1ed9i dung b\u00e0i vi\u1ebft<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/pl-partners.vn\/en\/distinguish-charter-capital-investment-capital-and-capital-contribution-for-the-implementation-of-investment-project-2\/#1_CHARTER_CAPITAL\" title=\"1. CHARTER CAPITAL.\">1. CHARTER CAPITAL.<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/pl-partners.vn\/en\/distinguish-charter-capital-investment-capital-and-capital-contribution-for-the-implementation-of-investment-project-2\/#2_INVESTMENT_CAPITAL\" title=\"2. INVESTMENT CAPITAL.\">2. INVESTMENT CAPITAL.<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/pl-partners.vn\/en\/distinguish-charter-capital-investment-capital-and-capital-contribution-for-the-implementation-of-investment-project-2\/#3_CONTRIBUTED_CAPITAL_FOR_INVESTMENT_PROJECT_IMPLEMENTATION\" title=\"3. CONTRIBUTED CAPITAL FOR INVESTMENT PROJECT IMPLEMENTATION.\u00a0\">3. CONTRIBUTED CAPITAL FOR INVESTMENT PROJECT IMPLEMENTATION.\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/pl-partners.vn\/en\/distinguish-charter-capital-investment-capital-and-capital-contribution-for-the-implementation-of-investment-project-2\/#PL_AND_PARTNERS_LAW_FIRM\" title=\"PL AND PARTNERS LAW FIRM\">PL AND PARTNERS LAW FIRM<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"1_CHARTER_CAPITAL\"><\/span><span style=\"color: #003366;\"><strong>1. CHARTER CAPITAL.<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\">The concept of charter capital has been specified in the <span style=\"color: #0000ff;\">Law on Enterprise 2020<\/span>, accordingly,<\/span><\/p>\n<table style=\"width: 100%; border-collapse: collapse; background-color: #f7e4ba;\">\n<tbody>\n<tr>\n<td style=\"width: 100%;\"><span style=\"font-size: 16px; color: #282828;\"><em>&#8220;<span style=\"color: #333333;\">Charter capital means the total value of assets that have been contributed or <\/span><span style=\"color: #333333;\">promised by the members\/partners\/owners when a limited liability company or a partnership is established; or the total par value of the sold or subscribed shares when a joint stock company is established<\/span>&#8220;<\/em><\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\"><span style=\"color: #ed1c24;\"><strong><span style=\"text-decoration: underline;\"><em>Example:<\/em><\/span><\/strong><\/span> <\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\">There are there people A, B, and C wanting to establish a multi-member limited liability company called XYZ, to which:\u00a0<\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li style=\"text-align: justify;\"><span style=\"color: #282828;\"><span style=\"color: #333333;\">Member<\/span> A <span style=\"color: #333333;\">contributes VND 1 billion<\/span>.<\/span><\/li>\n<li style=\"text-align: justify;\"><span style=\"color: #282828;\"><span style=\"color: #333333;\">Member<\/span> B <span style=\"color: #333333;\">contributes VND 1 billion<\/span>.<\/span><\/li>\n<li style=\"text-align: justify;\"><span style=\"color: #282828;\"><span style=\"color: #333333;\">Member<\/span> C <span style=\"color: #333333;\">contributes VND 2 billion<\/span>.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\">Thus, they contribute VND 4 billion in total. <span style=\"color: #333333;\">This figure is called the charter capital of the Company.<\/span><\/span><\/p>\n<figure id=\"attachment_7834\" aria-describedby=\"caption-attachment-7834\" style=\"width: 1000px\" class=\"wp-caption aligncenter\"><img fetchpriority=\"high\" decoding=\"async\" class=\"size-full wp-image-7834\" src=\"https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-01-eng.jpg\" alt=\"Example for charter capital\" width=\"1000\" height=\"700\" srcset=\"https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-01-eng.jpg 1000w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-01-eng-269x188.jpg 269w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-01-eng-768x538.jpg 768w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-01-eng-43x30.jpg 43w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-7834\" class=\"wp-caption-text\"><em>Example for charter capital.<\/em><\/figcaption><\/figure>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"2_INVESTMENT_CAPITAL\"><\/span><span style=\"color: #003366;\"><strong>2. INVESTMENT CAPITAL.<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\"><span style=\"color: #0000ff;\">Clause 23, Article 3 of the Law on Investment 2020<\/span> stipulates the concept of investment capital as follows:<\/span><\/p>\n<table style=\"width: 100%; border-collapse: collapse; background-color: #f7e4ba;\">\n<tbody>\n<tr>\n<td style=\"width: 100%;\"><span style=\"color: #000000; font-size: 16px;\"><em>\u201c23. Investment capital is money and other assets as prescribed by civil law and international treaties to which the Socialist Republic of Vietnam is a signatory for the purpose of carrying out business investment activities.\u201d<\/em><\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\">Thus, investment capital is known as the total of all capital contributed to an investment project, which may include charter capital (partially or wholly), capital mobilized as: contributed capital of other investors, loans from banks, etc. to implement one or more investment projects, depending on the financial capacity of the company.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\">The concept of investment capital is often used in foreign-invested enterprises and is shown in the Investment Registration Certificate.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\"><span style=\"color: #333333;\"><span style=\"color: #ed1c24;\"><strong><span style=\"text-decoration: underline;\"><em>Example:<\/em><\/span><\/strong><\/span><\/span><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\">XYZ Company implements an investment project, to which:<\/span><\/p>\n<ul style=\"text-align: justify;\">\n<li><span style=\"color: #282828;\">XYZ Company contributes all of its charter capital which is VND 4 billion.<\/span><\/li>\n<li><span style=\"color: #282828;\">External investors contribute VND 1 billion.<\/span><\/li>\n<li><span style=\"color: #282828;\">Borrow VND 1.5 billion from the bank.<\/span><\/li>\n<\/ul>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\">Thus, the total amount contributed to the above investment project is VND 6.5 billion. This figure is called the :investment capital&#8221; of the project.<\/span><\/p>\n<figure id=\"attachment_7836\" aria-describedby=\"caption-attachment-7836\" style=\"width: 1000px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\"size-full wp-image-7836\" src=\"https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-02-eng.jpg\" alt=\"Example for investment capital.\" width=\"1000\" height=\"700\" srcset=\"https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-02-eng.jpg 1000w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-02-eng-269x188.jpg 269w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-02-eng-768x538.jpg 768w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-02-eng-43x30.jpg 43w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-7836\" class=\"wp-caption-text\"><em>Example for investment capital.<\/em><\/figcaption><\/figure>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"3_CONTRIBUTED_CAPITAL_FOR_INVESTMENT_PROJECT_IMPLEMENTATION\"><\/span><span style=\"color: #003366;\"><strong>3. CONTRIBUTED CAPITAL FOR INVESTMENT PROJECT IMPLEMENTATION.\u00a0<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">Contributed capital for investment project implementation is the amount of capital that an investor contributes to implementing a certain investment project.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #333333;\"><span style=\"color: #ed1c24;\"><em><span style=\"text-decoration: underline;\"><strong>Example:<\/strong><\/span><\/em> <\/span><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">XYZ Company has a charter capital of VND 4 billion.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">This company has spent VND 2 billion implementing an investment project. It also raises from external sources VND 3 billion and borrows VND 1,5 billion from the bank.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">Therefore, the &#8220;investment capital&#8221; of this project is VND 6.5 billion.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">In which, the &#8220;contributed capital for investment project implementation&#8221; of the company is VND 2 billion.<\/span><\/p>\n<div style=\"text-align: justify;\"><span style=\"color: #000000;\">So above, PL &amp; Partners Law Firm has shared with you the concepts and examples of 03 types of capital. Hopefully, the above information will help you understand them clearly and be able to distinguish the above types of capital.<\/span><\/div>\n<div>\n<figure id=\"attachment_7839\" aria-describedby=\"caption-attachment-7839\" style=\"width: 1000px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" class=\"wp-image-7839 size-full\" src=\"https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-03-eng.jpg\" alt=\"Example for contributed capital for investment project implementation\" width=\"1000\" height=\"700\" srcset=\"https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-03-eng.jpg 1000w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-03-eng-269x188.jpg 269w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-03-eng-768x538.jpg 768w, https:\/\/pl-partners.vn\/wp-content\/uploads\/2021\/11\/phan-biet-cac-loai-von-gop-03-eng-43x30.jpg 43w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><figcaption id=\"caption-attachment-7839\" class=\"wp-caption-text\">Example for contributed capital for investment project implementation.<\/figcaption><\/figure>\n<\/div>\n<div style=\"text-align: justify;\"><\/div>\n<hr \/>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">If you need further legal support, please contact us immediately:<\/span><\/p>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"PL_AND_PARTNERS_LAW_FIRM\"><\/span><span style=\"color: #ed1c24;\"><strong>PL <\/strong><strong>AND<\/strong> <strong>PARTNERS<\/strong><strong> LAW FIRM<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\"><span style=\"color: #000000;\"><em><strong>Head<\/strong><strong>quarters<\/strong><strong>:<\/strong><\/em><\/span> <span style=\"color: #000000;\">46<sup>th<\/sup> Floor, Bitexco Financial Tower, No. 2 Hai Trieu, Ben Nghe Ward, District 1, Ho Chi Minh City, Vietnam<\/span><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\"><em><span style=\"color: #000000;\"><strong>O<\/strong><strong>ffice:<\/strong><\/span><\/em> <span style=\"color: #000000;\">Lot 1.16 Viva Riverside, 1472 Vo Van Kiet, Ward 3, District 6, HCMC<\/span><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #282828;\"><em><span style=\"color: #000000;\"><strong>Hotline:<\/strong><\/span><\/em> <span style=\"color: #000000;\">093.1111.060<\/span><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\"><strong><em>Email:\u00a0<\/em><\/strong><a style=\"color: #000000;\" href=\"http:\/\/info@pl-partners.vn\/\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">info@pl-partners.vn<\/a><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\"><strong><em>Facebook:<\/em><\/strong>\u00a0<a style=\"color: #000000;\" href=\"https:\/\/www.facebook.com\/PLLaw\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">www.facebook.com\/PLLaw<\/a><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\"><strong><em>Website:\u00a0<\/em><\/strong><a style=\"color: #000000;\" href=\"https:\/\/pl-partners.vn\/\"><em>www.PL-PARTNERS.vn<\/em><\/a><em> \u2013 <\/em><a style=\"color: #000000;\" href=\"http:\/\/www.hoidapluat.net\/\" target=\"_blank\" rel=\"noopener noreferrer nofollow\"><em>www.HOIDAPLUAT.net<\/em><\/a><em> \u2013 <\/em><a style=\"color: #000000;\" href=\"http:\/\/www.thutucphaply.org\/\" target=\"_blank\" rel=\"noopener noreferrer nofollow\"><em>www.THUTUCPHAPLY.org<\/em><\/a><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">We are always ready to assist you.<\/span><\/p>\n<hr \/>\n<table style=\"font-size: 14.4px; height: 93px; width: 100%; border-collapse: collapse; background-color: #ebf2ff;\" border=\"1\/2pt\">\n<tbody>\n<tr style=\"height: 93px;\">\n<td style=\"width: 100%; height: 93px;\">\n<p style=\"text-align: justify;\"><span style=\"color: #0000ff; font-size: 16px;\">The article is based on the current legal regulations at the time of writing, and it may no longer be valid or relevant at the time you are reading it due to changes of the law. The article, therefore, is seen as reference only.<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>Capital is no longer a strange concept for businesses and investors. However, in order to distinguish between 03 types of capital: charter capital, investment capital and contributed capital for implementation of investment project, people still get confused. For the purpose of helping you distinguish charter capital, investment capital and contributed capital for the implementation of [&hellip;]<\/p>\n","protected":false},"author":18,"featured_media":3986,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-7267","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/posts\/7267","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/users\/18"}],"replies":[{"embeddable":true,"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/comments?post=7267"}],"version-history":[{"count":0,"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/posts\/7267\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/media\/3986"}],"wp:attachment":[{"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/media?parent=7267"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/categories?post=7267"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pl-partners.vn\/en\/wp-json\/wp\/v2\/tags?post=7267"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}