Vanzbon, leveraging its deep local knowledge, extensive resource network, and rich practical experience, has successfully guided numerous companies to expand their footprints in the Vietnamese market. The following case studies showcase how Vanzbon customizes solutions for enterprises across different industries and scales, helping them achieve significant growth in Vietnam.

1. Electronics Manufacturing: Large Enterprises with Precision Tax Planning

Client Background: A Chinese A-share listed company with an annual revenue of 12 billion RMB, specializing in smartphone components production.
Requirement: Establish a production base in northern Vietnam with an annual capacity of 10 million units, benefiting from the most favorable tax policies.

Site Selection and Investment Scale Determination

• Recommended Location: Que Vo Industrial Park, Bac Ninh Province
• Total Investment: $200 million
• Reason: Meets priority investment sectors eligible for the highest level of tax incentives.

Tax Incentives Application

• Regulatory Basis: Articles 15 and 75 of the Law on Investment 2020
• Application Process:
  a. Prepare a detailed investment proposal
  b. Submit the application to the Bac Ninh Provincial People’s Committee
  c. Cooperate with the tax authority for on-site inspections
• Incentives Obtained:
  a. Corporate Income Tax (CIT) rate: 0% for the first 4 years, 5% for the next 9 years, and 10% for the subsequent 2 years (standard rate is 20%)
  b. Exemption from import duties on production equipment and raw materials

Financial Impact Calculation
Assuming an annual profit of $20 million:

• Total Tax Payable at Standard Rate for 15 Years: $20 million × 20% × 15 years = $60 million
• Total Tax Payable After Incentives for 15 Years: 0 + ($20 million × 5% × 9 years) + ($20 million × 10% × 2 years) = $13 million
• Tax Savings: $47 million

Environmental Impact Assessment (EIA)

• Regulation: Environmental Protection Law 2020, Decree No. 72
• Process:
  a. Hire a certified EIA agency recognized by the Ministry of Natural Resources and Environment of Vietnam
  b. Prepare an EIA report (approx. 2 months)
  c. Submit the report to the Bac Ninh Department of Natural Resources and Environment
  d. Expert review meeting (address inquiries, revise the report)
  e. Obtain approval (total time approximately 4 months)

Labor Recruitment and Training

• Regulation: Labor Code 2019
• Actions:
  a. Establish partnerships with four local vocational schools
  b. Set up a $10 million training fund
  c. Recruit 500 skilled workers with an average salary of $450/month (20% higher than the local average)
  d. Develop an employee handbook and training plan in compliance with labor laws

Quantifiable Results:

• Company Registration Completion Time: 45 working days from application submission
• Various Licenses Processing Time: A total of 3 months
• Mass Production Achieved: 9 months after project initiation
• First-Year Output: $150 million
• Employment Impact: Direct employment for 700 people, indirectly creating around 2000 jobs

Client Feedback: “Vanzbon’s professional team not only helped us secure the most favorable tax policies but also provided invaluable support in environmental assessment and human resources. Their deep understanding of Vietnamese laws and regulations reduced the risks associated with our overseas expansion.”

2. Cross-border E-commerce: Small and Medium-sized Enterprises Warehouse and Logistics Optimization

Client Background: A cross-border e-commerce company from Zhejiang with an annual turnover of 300 million RMB, focusing on beauty and personal care products.
Requirement: Establish a Southeast Asian operation center and warehouse logistics base in Ho Chi Minh City.

Company Registration and E-commerce Qualification Acquisition

• Registration Location: Hi-Tech Park, Ho Chi Minh City
• Company Type: Single-member limited liability company (reference Enterprise Law 2020, Article 47)
• Registered Capital: $500,000
• Special Permits: Cross-border e-commerce business license (reference Electronic Transaction Law 2005, Decree No. 51)
• Processing Time: 25 working days for registration from the submission of documents, an additional 15 days to obtain e-commerce licenses

Warehouse Site Selection and Leasing Optimization

• Location: Saigon Logistics Center, Ho Chi Minh City
• Area: 3000 square meters
• Rent Negotiation: Reduced from $4/m²/month to $3.5/m²/month
• Annual Savings: 3000 × 0.5 × 12 = $18,000

Logistics Process Optimization

• Implemented a Warehouse Management System (WMS), improving inventory accuracy from 92% to 99.5%
• Introduced an automated sorting system, increasing daily order processing capacity from 1000 to 3000 orders
• Signed preferential contracts with three local courier companies, reducing average logistics cost per order by $0.5

Cross-border Payment Solutions

• Regulation: Foreign Exchange Management Ordinance 2005, Decree No. 124
• Plan:
  a. Open foreign currency accounts at Vietcombank
  b. Integrate with global mainstream payment platforms (Paypal, Stripe, etc.)
  c. Design a compliant fund repatriation mechanism, with monthly exchange rate locking to reduce exchange losses

Tax Planning

• Regulation: Notification No. 22/2020 (on e-commerce taxation)
• Strategy:
  a. Establish a localized website in Vietnam to benefit from the local corporate tax rate (20% instead of 5% turnover tax for foreign suppliers)
  b. Implement transfer pricing strategies to retain some profits in lower-tax areas
• Expected Tax Savings: About $50,000 annually

Quantifiable Results:

• Logistics Efficiency Improvement: Order fulfillment time reduced from an average of 72 hours to 24 hours
• Customer Satisfaction: Increased from 85% to 95%
• Market Share: Grew from 2% to 5% in the Vietnam cross-border e-commerce market for beauty and personal care products
• First-Year Revenue: $10 million (a 40% year-over-year increase)

Client Feedback: “Vanzbon not only helped us efficiently complete company registration, but more importantly, their professional advice on warehouse logistics optimization and cross-border payment enabled us to achieve rapid growth in the Vietnamese market. Their tax planning also saved us significant costs.”

3. Education and Training: Compliance Operations for Online Education

Client Background: A well-known online English education platform from Beijing with over 1 million paying users in China.
Requirement: Legally operate online education business in Vietnam and establish a localized operation team.

Education Industry Regulatory Analysis and Compliance Planning

• Core Regulations: Education Law 2019, Decree No. 86/2018 (regarding online education)
• Compliance Essentials:
  a. Must obtain an approved curriculum outline from the education department
  b. At least 51% of teaching content must be in Vietnamese
  c. Foreign teachers must obtain work permits in Vietnam

Company Registration and Education Operation License Application

• Registration Location: District 7, Ho Chi Minh City
• Company Type: Limited liability company
• Registered Capital: $2 million (meeting the minimum requirement for the education sector)
• Special Permits: Online education operation license (apply to the Department of Education and Training of Ho Chi Minh City)
• Total Processing Time: 30 working days for company registration, an additional 60 working days for the education license

Intellectual Property Protection and Content Localization

• Trademark Registration: Completed registration of 5 core trademarks with the Vietnam Intellectual Property Office
• Course Copyright: Registered copyrights for 50 core courses with the Vietnam Copyright Office
• Content Localization:
  a. Hired 10 local Vietnamese education experts for course adaptation
  b. Translated 60% of course content into Vietnamese
  c. Developed 5 Vietnam-specific courses (e.g., Vietnamese history, culture)

Teacher Recruitment and Training

• Regulation: Labor Code 2019, Decree No. 11/2011 on Foreigners Working in Vietnam
• Actions:
  a. Recruited 50 local Vietnamese English teachers (average salary $1000/month)
  b. Introduced 10 foreign teachers, assisted with work permits (about $1500 cost per person)
  c. Implemented a 200-hour training plan to ensure teaching quality meets standards

Data Compliance and Security

• Regulation: Cybersecurity Law 2018
• Measures:
  a. Established a data center in Vietnam with a $500,000 investment
  b. Implemented data localization storage
  c. Developed strict user privacy protection policies

Financial Planning and Tax Optimization

• Designed cross-border collection schemes compliant with Vietnamese tax law
• Implemented transfer pricing strategies to optimize the group’s overall tax burden
• Expected Annual Tax Savings: About $100,000

Quantifiable Results:

• Platform Launch Time: 6 months after project initiation
• First-Year Registered Users: 100,000
• Paid Conversion Rate: Increased from the industry average of 3% to 5%
• User Satisfaction: 95% (5 percentage points higher than the industry average)
• Localization Level: 60% of courses conducted in Vietnamese
• Compliance: Successfully passed all reviews by education and cybersecurity departments

Client Feedback: “Vanzbon’s team demonstrated impressive expertise, especially in navigating complex education regulations and data compliance issues. They not only helped us complete all necessary registrations and licenses in a short period but also provided valuable advice for our localization strategy. Their support was crucial to our success in the Vietnamese market.”

Conclusion

These detailed case studies illustrate how Vanzbon provides in-depth, customized market entry and operational optimization services in Vietnam for enterprises of various industries and sizes. Vanzbon’s strengths lie in:

1. Precise Interpretation of Laws and Regulations: The legal team continuously monitors the latest regulatory changes in Vietnam, ensuring clients always operate in compliance.
2. Quantitative Financial Analysis: Through detailed financial models, Vanzbon helps clients maximize tax incentives and optimize operating costs.
3. Comprehensive Local Resource Network: From government relations to talent recruitment, Vanzbon’s local network offers comprehensive support to clients.
4. Innovative Problem-Solving Ability: Vanzbon provides innovative and practical solutions to address complex cross-border operational challenges.
5. Continuous Value-Added Services: Vanzbon not only assists clients with initial setup but also offers long-term operational optimization support.

With its deep understanding of local regulations, extensive government and business network, innovative problem-solving capabilities, and continuous value-added services, Vanzbon has become the best partner for businesses seeking to establish a foothold and grow in Vietnam.

Whether you are a multinational giant or a growing enterprise, Vanzbon can provide you with tailored, one-stop solutions. Choosing Vanzbon means choosing an experienced and trustworthy partner, helping you navigate the Vietnamese market and achieve success.

At Vanzbon, we not only help you set sail but also accompany you on your journey.