Business operating licence (sector licence) in Laos: statutory documents, competent authority and legal basis

Who can apply

Both Lao citizens and foreigners may apply; the documents differ.

Competent authority: The Industry and Commerce sector issues it at three levels (Art. 3): central, the Industry and Handicraft, Domestic Trade or Import-Export Department; provincial, the provincial or Vientiane Capital Industry and Commerce Department; district, the district or municipal Industry and Commerce Office. Other sectors license their own activities, and controlled-list activities go to the Planning and Investment one-stop window

At a glance

Where to apply: File at the level set for your activity (Art. 3): central means the Industry and Handicraft, Domestic Trade or Import-Export Department; provincial means the provincial or Vientiane Capital Industry and Commerce Department; district means the district or municipal Industry and Commerce Office. Other sectors are licensed by their own authority.

Steps:

First check whether your activity appears in the three catalogues; if it does not, you do not need this licence
Work out whether you need an operating licence or an investment licence: controlled-list activities go to the Planning and Investment one-stop window
Prepare three items: the department form, the red-sealed registration certificate copy, and the guidance letter from the registration office

The full list has 5 items; work through them in the guided form — Open the guided form

How long: The collection date is at most 10 working days from the receipt; a refusal must be in writing within 10 working days of filing (Art. 5). After issue the licence copy goes to the registration office within 5 working days.

Cost: The 2021 fee ordinance Art. 19, Industry and Commerce section: issuing, amending or replacing an operating licence costs 50,000 kip each time. Factory operating certificates use the same rate plus a size-based element: 83,000 and 15,000 go by size, while 100,000 is the replacement copy for a damaged, soiled or destroyed certificate. That table is damaged in our scan and its size wording is inconsistent, so the posted rate at the counter prevails.

Statutory document list

Apply for a new operating licence

Application for an operating licence, on the form set by the Industry and Handicraft, Domestic Trade or Import-Export Department for the activities in its own remit; there is no single common form (Art. 6.1) (required)
The enterprise registration certificate: the red-sealed original or one copy (Art. 6.2) (required)
The guidance letter for the licence application, issued by the office that issued the enterprise registration certificate: red-sealed original or one copy (Art. 6.3). This is the item most often forgotten, and without it the file is not accepted (required)
If someone acts for you: a power of attorney (optional)

Renewal, filed 30 days before expiry

Application for an operating licence, on the form set by the Industry and Handicraft, Domestic Trade or Import-Export Department for the activities in its own remit; there is no single common form (Art. 6.1) (required)
The original operating licence (Art. 7) (required)
A copy of the previous year annual tax payment certificate (Art. 7) (required)
If someone acts for you: a power of attorney (optional)

Change the content stated on the licence

Application for the change. Art. 2 only says the enterprise files directly with the issuing department and does not itemise attachments, so follow what the counter asks for (required)
The existing operating licence (required)
If someone acts for you: a power of attorney (optional)

Statutory requirements

The regulations use two Lao names for one and the same document. It is not the enterprise registration certificate: registration says the enterprise exists, the operating licence says this particular activity may be carried on.
The registration certificate is not the finish line: within 90 days of registration the enterprise must apply to the relevant authority for an operating or investment licence for the activities listed in its statement of purpose. After 90 days without an application it must explain itself within 10 working days, and if it does not appear or the reason is insufficient the registrar revokes the registration certificate (2018 linkage guidance Art. 4).
Which activities need a licence is settled by the catalogues: built on the ISIC classification and split into processing industry and handicraft, domestic trade, and import and export, each entry marked with the central, provincial or district approval level (Agreement 0044 Art. 3; the scope of activities needing a licence is in Art. 2). A trade or industry activity listed in none of the three catalogues does not require an operating licence. Note: the itemised catalogue in our scan is badly damaged and cannot be reconstructed, so the ministry current catalogue prevails. Each revision needs the approval of the minister (Art. 4).
Three duties follow the licence: carry on the activity exactly as stated on it, file periodic activity reports with the issuing department, and comply with the law (Art. 8).
A new application takes three items: the application form set by the competent department, the enterprise registration certificate as a red-sealed original or one copy, and the guidance letter issued by the registration office, likewise red-sealed or one copy (Art. 6). The guidance letter comes from the registration counter; it is not something you write yourself.
Time limits (Art. 5): if the file is complete the office issues a receipt stating the date and time of filing and the appointment date for collection, which may be no later than 10 working days from the receipt; if the file is incomplete the office says so at once and guides the correction, the guidance being signed by the officer who gave it; a refusal must be given in writing within 10 working days of filing with detailed reasons; after issue, a red-sealed copy goes to the registration office within 5 working days.
You chose another sector: such activities are licensed by the authority for that sector rather than by Industry and Commerce, for example transport by Public Works and Transport, telecoms and internet by the Technology and Communications sector, banking and finance by the Bank of the Lao PDR, and medical practice and medicines by the Health sector. This page describes the Industry and Commerce route; for other sectors follow that authority own published list.
Renewal is filed 30 days before expiry with three items: the application, the original licence and a copy of the previous year annual tax payment certificate (Art. 7). There are two kinds of validity: activities that need no periodic technical monitoring get a licence issued once and valid for the whole life of the business, while activities that need monitoring get a term set by the needs of that activity.
A change to the content stated on the licence is filed by the enterprise directly with the issuing department; after each change the department sends one red-sealed copy of the new licence to the registrar within 5 working days (Art. 2). The content and form must also comply with Art. 17 of the 2019 enterprise registration agreement No. 0023.

Common issues

If you do not apply within 90 days of getting the registration certificate, that certificate is revoked (2018 linkage guidance Art. 4)
The registration certificate is not the operating licence: two documents, two offices, two steps

The full list has 8 items; work through them in the guided form — Open the guided form

Legal basis (Lao Official Gazette texts)

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 1 (2019-01-18) — Read the law · Lao Official Gazette

Excerpt: Principles for Issuance of Business Licenses in the Industrial and Commercial Sector: Business activities in the industrial and commercial sector that require the issuance of a business license refer to activities such a …

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 2 (2019-01-18) — Read the law · Lao Official Gazette

Excerpt: Content and changes to the content of the business license: The content and form of the business license shall comply with the regulations of the relevant department and shall conform to Article 17 of the Enterprise Regi …

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 3 (2019-01-18) — Read the law · Lao Official Gazette

Excerpt: Hierarchical Approval for Issuance of Business Licenses: The approval for issuance of business licenses is divided into 3 levels, namely: 3. …

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 5 (2019-01-18) — Read the law · Lao Official Gazette

Excerpt: Procedures and Timeframes for Review and Issuance of Business Licenses: Applications for business licenses in the industrial and commercial sector shall be processed according to the following procedures and timeframes: …

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 6 (2019-01-18) — Read the law · Lao Official Gazette

Excerpt: Required documents for applying for a business license: For applying for a business license in the industrial and commercial sector, the required documents are as follows: 6. …

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 7 (2019-01-18) — Read the law · Lao Official Gazette

Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors · Article 8 (2019-01-18) — Read the law · Lao Official Gazette

Agreement on Approval of Business Activities Requiring Licenses in the Industrial and Trade Sectors (Ministry of Industry and Commerce, No. 0044/MOIC.DBR, January 18, 2019) · Article 2 (2019-01-18) — Read the law · Lao Official Gazette

Agreement on Approval of Business Activities Requiring Licenses in the Industrial and Trade Sectors (Ministry of Industry and Commerce, No. 0044/MOIC.DBR, January 18, 2019) · Article 3 (2019-01-18) — Read the law · Lao Official Gazette

Agreement on Approval of Business Activities Requiring Licenses in the Industrial and Trade Sectors (Ministry of Industry and Commerce, No. 0044/MOIC.DBR, January 18, 2019) · Article 4 (2019-01-18) — Read the law · Lao Official Gazette

Guidelines on Integrating Business Registration with Investment or Operation Permit Applications – Pursuant to Prime Minister’s Order No. 02 (February 1, 2018) · Article 4 (2018-05-04) — Read the law · Lao Official Gazette

Order on Improving the Issuance of Investment Licenses and Business Operation Licenses · Article 2 (2020-01-21) — Read the law · Lao Official Gazette

Order on Improving the Issuance of Investment Licenses and Business Operation Licenses · Article 3 (2020-01-21) — Read the law · Lao Official Gazette

ENTERPRISE LAW (Amended) · Article Article 25 (2022-12-29) — Read the law · Lao Official Gazette

Decree of the President of the Lao People's Democratic Republic on Fees and Service Charges (No. 002/PP) · Article 19 (2021-06-17) — Read the law · Lao Official Gazette

Frequently asked questions

Who can apply for a Business operating licence (sector licence) in Laos?

Both Lao citizens and foreigners may apply; the documents differ. Competent authority: The Industry and Commerce sector issues it at three levels (Art. 3): central, the Industry and Handicraft, Domestic Trade or Import-Export Department; provincial, the provincial or Vientiane Capital Industry and Commerce Department; district, the district or municipal Industry and Commerce Office. Other sectors license their own activities, and controlled-list activities go to the Planning and Investment one-stop window.

What documents are required for a Business operating licence (sector licence) in Laos?

7 statutory items: Application for an operating licence, on the form set by the Industry and Handicraft, Domestic Trade or Import-Export Department for the activities in its own remit; there is no single common form (Art. 6.1); The enterprise registration certificate: the red-sealed original or one copy (Art. 6.2); The guidance letter for the licence application, issued by the office that issued the enterprise registration certificate: red-sealed original or one copy (Art. 6.3). This is the item most often forgotten, and without it the file is not accepted; The original operating licence (Art. 7); A copy of the previous year annual tax payment certificate (Art. 7); Application for the change. Art. 2 only says the enterprise files directly with the issuing department and does not itemise attachments, so follow what the counter asks for; The existing operating licence. Competent authority: The Industry and Commerce sector issues it at three levels (Art. 3): central, the Industry and Handicraft, Domestic Trade or Import-Export Department; provincial, the provincial or Vientiane Capital Industry and Commerce Department; district, the district or municipal Industry and Commerce Office. Other sectors license their own activities, and controlled-list activities go to the Planning and Investment one-stop window.

What is the legal basis for a Business operating licence (sector licence) in Laos?

Based on Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 1; Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 2; Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 3; Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 5; Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 6; Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 7; Guiding Opinion on the Issuance of Business Licenses in the Industrial and Commercial Sectors Article 8; Agreement on Approval of Business Activities Requiring Licenses in the Industrial and Trade Sectors (Ministry of Industry and Commerce, No. 0044/MOIC.DBR, January 18, 2019) Article 2; Agreement on Approval of Business Activities Requiring Licenses in the Industrial and Trade Sectors (Ministry of Industry and Commerce, No. 0044/MOIC.DBR, January 18, 2019) Article 3; Agreement on Approval of Business Activities Requiring Licenses in the Industrial and Trade Sectors (Ministry of Industry and Commerce, No. 0044/MOIC.DBR, January 18, 2019) Article 4; Guidelines on Integrating Business Registration with Investment or Operation Permit Applications – Pursuant to Prime Minister’s Order No. 02 (February 1, 2018) Article 4; Order on Improving the Issuance of Investment Licenses and Business Operation Licenses Article 2; Order on Improving the Issuance of Investment Licenses and Business Operation Licenses Article 3; ENTERPRISE LAW (Amended) Article Article 25; Decree of the President of the Lao People's Democratic Republic on Fees and Service Charges (No. 002/PP) Article 19. The full texts are available in the LaoPaniti law library, sourced from the Lao Official Gazette.

Are there time limits or hard requirements for a Business operating licence (sector licence) in Laos?

The regulations use two Lao names for one and the same document. It is not the enterprise registration certificate: registration says the enterprise exists, the operating licence says this particular activity may be carried on. The registration certificate is not the finish line: within 90 days of registration the enterprise must apply to the relevant authority for an operating or investment licence for the activities listed in its statement of purpose. After 90 days without an application it must explain itself within 10 working days, and if it does not appear or the reason is insufficient the registrar revokes the registration certificate (2018 linkage guidance Art. 4). Which activities need a licence is settled by the catalogues: built on the ISIC classification and split into processing industry and handicraft, domestic trade, and import and export, each entry marked with the central, provincial or district approval level (Agreement 0044 Art. 3; the scope of activities needing a licence is in Art. 2). A trade or industry activity listed in none of the three catalogues does not require an operating licence. Note: the itemised catalogue in our scan is badly damaged and cannot be reconstructed, so the ministry current catalogue prevails. Each revision needs the approval of the minister (Art. 4). Three duties follow the licence: carry on the activity exactly as stated on it, file periodic activity reports with the issuing department, and comply with the law (Art. 8). A new application takes three items: the application form set by the competent department, the enterprise registration certificate as a red-sealed original or one copy, and the guidance letter issued by the registration office, likewise red-sealed or one copy (Art. 6). The guidance letter comes from the registration counter; it is not something you write yourself. Time limits (Art. 5): if the file is complete the office issues a receipt stating the date and time of filing and the appointment date for collection, which may be no later than 10 working days from the receipt; if the file is incomplete the office says so at once and guides the correction, the guidance being signed by the officer who gave it; a refusal must be given in writing within 10 working days of filing with detailed reasons; after issue, a red-sealed copy goes to the registration office within 5 working days. You chose another sector: such activities are licensed by the authority for that sector rather than by Industry and Commerce, for example transport by Public Works and Transport, telecoms and internet by the Technology and Communications sector, banking and finance by the Bank of the Lao PDR, and medical practice and medicines by the Health sector. This page describes the Industry and Commerce route; for other sectors follow that authority own published list. Renewal is filed 30 days before expiry with three items: the application, the original licence and a copy of the previous year annual tax payment certificate (Art. 7). There are two kinds of validity: activities that need no periodic technical monitoring get a licence issued once and valid for the whole life of the business, while activities that need monitoring get a term set by the needs of that activity. A change to the content stated on the licence is filed by the enterprise directly with the issuing department; after each change the department sends one red-sealed copy of the new licence to the registrar within 5 working days (Art. 2). The content and form must also comply with Art. 17 of the 2019 enterprise registration agreement No. 0023.

How much does a Business operating licence (sector licence) cost in Laos and how long does it take?

Cost: The 2021 fee ordinance Art. 19, Industry and Commerce section: issuing, amending or replacing an operating licence costs 50,000 kip each time. Factory operating certificates use the same rate plus a size-based element: 83,000 and 15,000 go by size, while 100,000 is the replacement copy for a damaged, soiled or destroyed certificate. That table is damaged in our scan and its size wording is inconsistent, so the posted rate at the counter prevails.. How long: The collection date is at most 10 working days from the receipt; a refusal must be in writing within 10 working days of filing (Art. 5). After issue the licence copy goes to the registration office within 5 working days..

Can LaoPaniti obtain the Business operating licence (sector licence) for me?

LaoPaniti organises the document list, offers online form filling, document upload and pre-check hand-off by staff. It is not a government filing, does not represent acceptance or approval by any authority, and promises neither results nor expedited handling. Formal processing follows the current requirements of the The Industry and Commerce sector issues it at three levels (Art. 3): central, the Industry and Handicraft, Domestic Trade or Import-Export Department; provincial, the provincial or Vientiane Capital Industry and Commerce Department; district, the district or municipal Industry and Commerce Office. Other sectors license their own activities, and controlled-list activities go to the Planning and Investment one-stop window.

Organise documents online and submit for pre-check →

Other matters

Taxpayer identification number (TIN) · tax registration · Land title (land use certificate): registration / transfer / inheritance / mortgage / reissue · Business licence (enterprise registration certificate): new / change / reissue / dissolution · Driving licence (civil vehicle) · Investment licence · Construction (building) permit: new build / extension / change of use / repair / rebuild / demolition · Environmental certificate · Environmental impact assessment of an investment project (IEE / detailed ESIA) · Social security registration (employer registering the unit and its workers / individual voluntary enrolment) · Certificate of Origin for exports (preferential origin: Confirmation of Product Originality + preferential Certificate of Origin / exporter self-certification) · Employment registration and foreign-worker permit (quota · entry approval · work permit · renewal) · Import-export licence and trader registration certificate · Mineral licences: field data collection, prospecting, exploration, feasibility study and mining · Tourism business licence: accommodation, restaurants, entertainment, guiding, travel agency and other categories · Electricity business licence: general electricity services, specific power generation, and transmission line concessions · Food registration certificate for industrial plants, family-scale workshops and imported food · Road transport business licence: passenger transport, freight, terminals, vehicle hire and logistics · Licence for a pharmaceutical or medical product business, and product registration · Sign permits: use, installation and the sign business licence · Insurance business licences: insurer, reinsurer, broker and agent · Printing and publishing: the printing permit and the licences for publishers, print shops and distributors · Internet service business licence: domestic, international and satellite · Postal service business licence: international, nationwide, provincial and postal financial or product services · Setting up and operating a wood-processing factory: sawmills, processing plants and furniture factories · Divorce registration and the divorce certificate, by agreement or by court judgment · Inheritance: opening a will, certifying estate documents and registering the transfer of property · Tourist visa T-B3: where to apply, how it may be extended, and when it is the wrong visa · Health checks and health certificates: who must be examined, and how often · Household book reissue / update · Birth certificate · Single / marital status certificate · Marriage registration · No-criminal-record certificate · Residence / address certificate · Kinship certificate · Land / house basic documents · Vehicle sale / transfer documents · Stay permit / residence permit card · Work visa / work permit pre-check