How is spa business regulated by law?

The currently busy lifestyle leads to a lot of pressure and stress, thus, to relieve these negative emotions, most people choose to relax at spa facilities as well as take care of their appearance. As demand increases, countless spas have emerged. However, not all establishments require  business licenses, and issuing one is not always straightforward. Due to specific regulations, many businesses face difficulties, losing time and money in establishing and issuing spa business licenses. Let’s join NPLaw in exploring articles below to gain more legal knowledge about spa business!

I. What is a spa business?

A spa business can be understood as a type of business that provides beauty services for individuals who wish to care for and improve their appearance. Enterprises in this field make profits by offering body care and beauty services. Additionally, spa businesses often combine with selling health care products for home uses.

1. The current state of spa business

The demand for beauty services among women is continuously increasing, and even men are paying more attention to their looks as much as women. Each year, our country sees the establishment of about 2,000 new spas and beauty salons. And this trend is not only seen in Vietnam but also in other countries in the region and around the world.

Many experts believe that the next decade will be the “golden period” of the spa business and beauty care field. It is forecasted that 2,000 new spas will be established to meet the population’s needs each year, corresponding to tens of thousands of job vacancies that need to be filled. 

This is an inevitable consequence of the increasing demand for beauty as people’s lives and economies become more stable. Spa and beauty services are no longer exclusive to the wealthy; even those with medium incomes can now afford beauty services and body care.

2. Industry code for the spa business

Pursuant to Decision No. 27/2018/QD-TTg dated July 6th, 2018, issued by the Prime Minister on the promulgation of the business classification system, an industry code for business registration related to beauty care services (spas) include:

9610: sauna, massage, and similar health promotion services (excluding sports activities). Details of this group include: sauna, massage, tanning, non-surgical cosmetic services (such as losing belly fat, etc.)

9631: haircutting, hairdressing, and shampooing. Details of this group include:

- Haircutting, shampooing, curling, blow-drying, dyeing, straightenting, pressing, and other hair services for both men and women; cosmetic tattooing for eyebrows, eyes and lips.

- Beard cutting, trimming and shaving.

- Facial massage, manicures, pedicures, makeup, etc.

Exclusion: Wig-making is classified under group 32900 (Other manufacturing not elsewhere classified).

Therefore, under the above legal provisions, beauty care services (spa) are beauty care activities that do not cause bleeding or involve surgery on the human body, like hospitals or cosmetic clinics, and fall under codes 9610 and 9631.

3. Examples of current business types of the spa service

Nowadays, there are many various types of spas meeting the beauty care needs of customers, including:

- Traditional Spa: This type of spa is also known as a Day Spa. Customers can visit the spa facilities at any time during its opening hours, they can choose a type of treatments or individual services like massage, body scrub, facials, full-body care, or a combination of spa services.

- Clinic Spa: A combination of a clinic and a treatment center that specializes in resolving skin issues like acne, pigmentation, allergies, etc. These services include a process from consultation, examination, treatment and post-treatment medication. 

- Holistic Spa: This type of spa helps reduce stress, fatigue and muscle pain by combining massage with psychological therapy. Treatments are based on herbal medicine, healthy diet, body detoxification and yoga meditation.

- Hydrotherapy Spa: There are two main types of hydrotherapy spas – natural hot spring spas and artificial seawater therapy spas. Both types share a common feature of using hydrotherapy treatments. Hot spring spas are typically built near areas with natural underground springs. Meanwhile, artificial seawater therapy spas are usually built and located in center areas. Water is beneficial for detoxification, blood circulation and weight loss.

II. What are the conditions for spa business?

Spa business is considered an aesthetic service business, as defined in Article 37 of Decree No. 109/2016/ND-CP. However, this regulation is only for reference, as it has been repealed and no replacement regulations have been issued. Specifically:

-  Aesthetic service facilities are only allowed to perform activities such as tattooing, micropigmentation and embroidery on the skin without using injectable anesthetics, and must meet the following conditions:

+ Facilities: must have a fixed location and meet hygiene standards.

+ Equipment: must have sufficient equipment, tools and materials suitable for the facility’s scope of operations, with clear origins.

+ Personnel: Individuals performing tattooing, micropigmentation and embroidery on the skin without using injectable anesthetics at aesthetic service facilities must have a certificate or training diploma in tattooing, micropigmentation or embroidery issued by a legitimate training or vocational institution. 

+ Aesthetic service facilities are not required to obtain an operation license but must send a written notice confirming they meet the necessary conditions to the Department of Health where the facility is located at least 10 days before commencing operations. 

+ Aesthetic services that use drugs, substances or equipment to intervene in the human body (such as surgeries, procedures, or interventions involving injections, pumping, lasers, radiation, waves, burning or other invasive methods) changing skin tone, body shape, weight or defects of body parts (such as skin, nose, eyes, lips, face, chest, abdomen, buttocks and other parts of the body), and tattooing, micropigmentation and embroidery on the skin using injectable anesthetics, can only be performed in hospitals with aesthetic departments, specialized aesthetic clinics or medical facilities with the appropriate authorization for aesthetic speciality as approved by competent authorities. 

Thus, if the spa business does not use drugs, substances or equipment to intervene in the human body, only a professional certification is required. 

III. What are the regulations for operating the spa business?

In addition to the spa business industry codes and conditions in the previous sections, specifically for massage service facilities, one of the spa business activities, are prescribed in Article 38 of Decree 109/2016/ND-CP. However, this regulation is also only for reference, as it has been repealed and not yet replaced.  

- Regarding the facilities for massage service facilities, the following conditions must be met:

+ A fixed location with adequate lighting, separated from residential living areas. 

+ Each massage room must have an emergency bell connected one-way from the massage room to the doctor’s office or reception area;    

+ A large, easy-to-read massage technique process printed on A1-sized paper must be posted or hung on the massage room’s walk. 

+ There must be a hygienic bathroom with sufficient electricity, water and other sanitary conditions for caring customers. 

- Regarding the equipment for massage service facilities, the following conditions must be met:

+ There must be suitable massage beds, chairs or cushions; and bed sheets, pillows and towels must meet hygiene standards; 

+ There must be examination beds, first-aid kits, desks and some medical tools (stethoscope, blood pressure monitor, thermometer and syringe) in the doctor’s office; 

+ Sufficient common emergency medications must be available.

- Regarding personnel for massage service facilities, the following conditions must be met: 

+ The person responsible for technical expertise at the massage service facility must be a doctor, physician or technician specializing in one of the following areas: rehabilitation, physiotherapy or traditional medicine, or must have a training certificate in these areas. If medications are only prescribed, the person responsible for technical expertise must be a doctor specializing in rehabilitation, physiotherapy or traditional medicine. 

+ Employees performing massage techniques must have a certificate or training diploma in massage issued by a legitimate training institution. Massage technicians must wear neat, clean and professional uniforms with name tags clearly indicating the name of facility and employee, and a 3x4 cm photo.

+ Massage service facilities are not required to obtain an operating license, but within 10 days before starting operations, they must submit a written notice confirming that they meet the conditions outlined in sections 1, 2, and 3 of this Article to the Department of Health where the facility is located for management purposes. The notice form is provided in Appendix IX attached to this Decree.

Thus, depending on the specific activities of the spa, it must ensure compliance with legal requirements and properly register its business activities.

IV. What are the requirements for operating the spa business?

Operating the spa is considered a type of aesthetic service business, so it must meet the requirements for aesthetic service business under Article 37 of Decree No. 109/2016/ND-CP. Additionally, if the spa business includes massage services, it must also meet the conditions prescribed in Article 38 of Decree No. 109/2016/ND-CP, as described in Sections II and III of this article.

Furthermore, the spa business must register for a business license and ensure that they hold the necessary professional certificates if their activities require the registration. However, these requirements are for reference only, as the regulation has been repealed and not yet replaced.

V. What legal documents are needed to operate a spa?

The business entities must register for a business license through one of two methods: registration of an individual household business or registration of establishing a company according to the processes and procedures prescribed in Article 27 of the Law on Enterprise 2020. When registering for business lines, the following contents must be noted: …

- If the business entity registers for the beauty care service that does not include massage, the entity can proceed with normal business registration and will be allowed to operate after being issued an enterprise registration certificate.

- If the business entity registers for the beauty care service that include massage, the business entity must proceed with business registration and meet the following conditions: 

   + Firstly, the application of a certificate of sufficient conditions for security and order in accordance with Decree 96/2016/ND-CP.

   + Secondly, the business line meets the requirements specified in Article 38 of Decree 109/2016/ND-CP, which regulates the issuance of professional certificates to practitioners and licenses to medical examination and treatment facilities. However, this requirement is for reference only as the regulation has been repealed and has not yet been replaced.

VI. What are common challenges in running a spa business?

One of the common challenges faced when operating the spa is the establishment process and the application of the necessary licenses. Due to a lack of understanding of the regulations, spa owners often spend a significant amount of time and face difficulties during the registration process. Because of incompleting or missing documents submitted to the competent authority, or the inability to prove that the establishment fully meets the legal requirements. As a result, applications are returned for revision, re-declaration and additional documentation, which wastes time and incurs additional costs, and can delay the establishment and its business plans.

Ngoc Phu Law Firm is a reputable law firm committed to providing timely and high-quality advisory and resolution services at reasonable fees. If you have any questions or need assistance with procedures related to issue a business license for beauty services, especially for spas, you can confidently contact NPLAW at the following information: