What is brand franchise?

Franchise is to allow an individual or organization to trade in goods or services in a flexible manner, including: Trademark, technology management of the franchisor at a location, for a certain period of time with a fee, a percentage of profit, an agreement revenue.

Franchising is one of the forms that can help scale up business quickly with the lowest costs and risks, The cost of opening a new store is absolutely huge, so many investors decided to choose the form of brand franchise to reduce the cost of business investment.

Forms of franchise

First of all, you need to determine whether you want to replicate your business model by transferring the right to use or transfer ownership to the brand.

In case you want to replicate your business model, but you are still the owner of your trademark, you can transfer the right to use the trademark to others: That is the trademark owner. allow another legal entity or individual to use their trademark in a certain territory for a certain period of time. The condition of this form is that the transferred trademark must be registered.

In case you want to replicate the business model in the form of transfer of ownership: Transfer of the brand, the trademark is the owner's transfer of his ownership of the brand of such goods for other organizations and individuals. Owners of trademarks are entitled to use them exclusively during the period of protection stipulated in the protection titles throughout the territory of Vietnam. Other organizations and individuals wishing to use trademarks that are in the protection period for commercial purposes must be permitted by the brand and trademarks owners.

The transfer is done in the form of signing a contract of transfer of industrial property rights (brand name, trademark). The condition is it must have protection titles for brands that want to transfer.

Procedures for franchising

After the parties agree on the transfer, you will need to prepare the transfer documents as follows:

a) 02 copies of the Declaration of registration of the contract on transfer of industrial property rights, made according to form 01-HDCN

b) 01 contract (original or certified copy as prescribed); if the contract is made in a language other than Vietnamese, it must be accompanied by a translation of the contract into Vietnamese; If a contract has many pages, each page must be signed by the parties or sealed;

 c) Original protection title;

d) The agreement of co-owners on the transfer of industrial property rights, if the corresponding industrial property rights are under joint ownership;

e) Power of attorney (if filing through representative);

g) Copies of vouchers of payment of charges and fees (in case of paying fees and charges via postal services or directly remit into accounts of the National Office of Intellectual Property) ”.

Time for franchising

Within 5 working days after receiving a complete and valid dossier, the competent state agency shall register the franchise operation in the commercial franchising register and notify in writing  a copy for traders about that registration.


In case the dossier is incomplete or invalid, within 02 working days from the date of receiving the dossier, the competent state agency must issue a written notice to the intended franchisor to complete the dossier.

The above-mentioned time limits do not include the time when the intended franchisor modifies or supplements the dossier of application for commercial franchising registration;

Time of 2 months / procedure working at Intellectual Property Department.

For further information, please contact our Firm by these information:

Dragon Law Firm - 1900. 599.979

Website: dragonlaw.vn

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Address: Room 6, floor 14, Vimeco Building, Pham Hung Street, Cau Giay District, Hanoi, Vietnam 


or No 24, Alley 29, Tram street, Long Bien ward, Long Bien district, Hanoi, Vietnam