Criteria For Determining SMEs In Vietnam For Applying Preferential Policies From Government

criteria for determining small and medium-sized enterprises

Criteria For Determining SMEs In Vietnam For Applying Preferential Policies From Government

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:

Criteria for determining small and medium-sized enterprises

Criteria for determining small and medium-sized enterprises

 

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.

 

VIVA has been an in-depth consultant on business compliance procedures in Vietnam since 2006, based on our professional - integrated background in Business laws - Accounting and corporate finance - Tax management - Labor relation and payroll – Business administration procedures. VIVA offers exclusive services in an integrated tailor-made, consist of 5 specialized-expertise platforms and the inheritance experience up to hundreds of years for every job.

Our extensive expertise and management system that facilitates us to connect local resources and be ready to deliver exclusive solutions that exceed all standard limits and satisfy all expectations of our clients.

 

Chat with Consultants


Read more:

Statutory Audit Of Financial Statements

Internal Audit Plan – Compliance – Tax – Accounting – HR

Assistance Policies For SMEs From Government Of Vietnam

Internal Labor Regulations Mandatory Requirements In Vietnam