Up to 96% of businesses registered in Vietnam are, because of the important role of small and medium-sized enterprises, the same with many other countries, Vietnam has focused on encouraging this type of business to grow, especially since 2018 with the Law for small and medium-sized businesses that provide regulations on principles, contents, and resources of assistance for small and medium-sized enterprises. The following are the criteria for determining small and medium-sized enterprises before applying for the preferential policies from government:
SMES ARE CLASSIFIED BY SIZE, INCLUDING MICRO-ENTERPRISES, SMALL ENTERPRISES, AND MEDIUM-SIZED ENTERPRISES
Micro-enterprise
- A micro-enterprise in the sector of agriculture, forestry and aquaculture and industry and construction has an annual average of 10 employers or fewer who have made contributions to social insurance and total annual revenue is not more than VND 3 billion or total capital is not more than VND 3 billion.
- A micro-enterprise in the trade and service sector has an annual average of 10 employers or fewer and total annual revenue is not more than VND 10 billion or total capital is not more than VND 3 billion.
Small enterprise
- A small enterprise in the sector of agriculture, forestry and aquaculture and industry and construction have an annual average of 100 employers or fewer who have made contributions to social insurance and total annual revenue is not more than VND 50 billion or total capital is not more than VND 20 billion, other than the micro-enterprise as prescribed.
- A small enterprise in the trade and service sector has an annual average of 50 employers or fewer who have made contributions to social insurance and total annual revenue is not more than VND 100 billion or total capital is not more than VND 50 billion, other than the micro-enterprise as prescribed.
Medium-sized enterprise
- A medium-sized enterprise in the sector of agriculture, forestry and aquaculture and industry and construction has an annual average of 200 employers or fewer who have made contributions to social insurance and total annual revenue is not more than VND 200 billion or total capital is not more than VND 100 billion, other than the micro-enterprise small enterprise as prescribed.
- A medium-sized enterprise in the trade and service sector has an annual average of 100 employers or fewer who have made contributions to social insurance and total annual revenue is not more than VND 300 billion or total capital is not more than VND 100 billion, other than the micro-enterprise and small as prescribed.
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