Cutting red tape to fund Việt Nam's startup future

Cutting red tape to fund Việt Nam's startup future

The removal is expected to establish a clear legal framework, reduce administrative burdens and significantly boost investment capital flows into startups in Việt Nam.

This move is expected to encourage venture capitalists to invest in SMEs, especially innovative startups. Photo doanhnhansaigon.vn

Red tape is being slashed to give innovative startups in Việt Nam a much-needed boost. Under the newly issued Decision No 2915/QĐ-BTC from the Ministry of Finance, many administrative procedures related to supporting small- and medium-sized enterprises (SMEs), especially innovative startup investment funds, will be removed from September 15.

This significant reform is set to create a clearer legal corridor, ease administrative burdens and encourage stronger flows of investment capital into Việt Nam’s startup scene. A key change is the abolition of the requirement to publish fund information, such as establishment, capital changes, extensions, or dissolutions, on the National Portal for Supporting SMEs.

Instead, responsibility for receiving and processing these notifications will transfer to provincial business registration agencies. After handling the procedures, these agencies will send the information to the Ministry of Finance for monitoring and management consistency without imposing extra steps on businesses.

Enterprises can now submit applications regarding the establishment, capital adjustments, extensions, dissolutions, or capital transfers of innovative startup investment funds directly to the provincial business registration agency or online through the provincial People’s Committee’s administrative procedure system.

This online option marks an important milestone in digital transformation, offering transparency, convenience and significant time savings.

Applications will be processed within 15 working days, with authorities obliged to provide written feedback if any submission falls short of requirements, including reasons and guidance for correction.

By simplifying these administrative procedures, the Government is not only reducing costs and delays for businesses but also reaffirming its commitment to fostering a transparent and favourable investment environment.

This move is expected to attract more venture capital into SMEs and innovative startups, further energising Việt Nam’s dynamic and sustainable startup ecosystem. 

Bizhub