One-person business model set to spur mass entrepreneurship

One-person business model set to spur mass entrepreneurship

By 2045, Việt Nam envisions a start-up economy as a core pillar, aiming to see one in 10 citizens engaged in entrepreneurship, one enterprise for every 35 people, one innovative start-up per 5,000 people and $10 billion in venture capital.

Việt Nam is prioritising the development of a pilot policy framework for the one-person business model. — Photo sggp.org.vn

Việt Nam is moving to pilot a one-person business model under its newly issued National Strategy on Innovative Start-ups in a bid to accelerate growth, fuel innovation, and strengthen national competitiveness.

The strategy outlines bold targets by 2030, including one million one-person businesses, five million business entities, 10,000 tech start-ups, 45 start-up support networks, a position among the world’s top 40 innovation ecosystems and US$1.5 billion in venture capital.

By 2045, Việt Nam envisions a start-up economy as a core pillar, aiming to see one in 10 citizens engaged in entrepreneurship, one enterprise for every 35 people, one innovative start-up per 5,000 people and $10 billion in venture capital.

To kick-start this vision, the Government is prioritising the development of a pilot policy framework for the one-person business model.

Experts say household businesses still dominate Việt Nam's economic landscape, but remain constrained in scaling up and integrating into modern value chains. The proposed model is expected to offer a more transparent, flexible alternative.

Deputy Minister of Science and Technology Hoàng Minh described the model as vivid evidence of a new wave of mass entrepreneurship. Leveraging digital platforms, individuals can register, manage finances, fulfil tax obligations and run operations entirely online, making it a potential driver of digital economy growth.

Phạm Đức Nghiệm, deputy head of the ministry’s National Agency for Start-ups and Technology Entrepreneurship, noted that dynamic economies typically average around 30 people per enterprise, while a ratio above 60 may signal rising unemployment risks. 

Việt Nam's current ratio exceeds 100, underscoring the need to expand enterprise numbers, create jobs and tap into individual creativity through models like one-person businesses.

The ministry is working with the Ministry of Finance to streamline tax and reporting procedures, while pilot schemes are being developed in Hà Nội, HCM City and Đà Nẵng ahead of a nationwide rollout.

Associate Professor Dr Nguyễn Văn Minh, director of the Institute for Business Training and Consultancy at the Foreign Trade University, said that rapid advances in digital technology and artificial intelligence are reshaping business models worldwide, with the emergence of one-person billion-dollar companies powered by automation.

He warned that businesses slow to adapt risk being left behind. In Việt Nam, a growing number of freelancers in fields such as consulting, design and technology are already operating in ways similar to this model. 

Formalising and expanding it could help cultivate a new generation of flexible, creative and tech-savvy entrepreneurs, Dr Minh said. 

Bizhub