Household businesses selling silver jewellery in HCM City’s District 5 (Photo: VNA)HCM City (VNA) - The People’s Committee of HCM City’s District 5plans to transform more than 1,200 household businesses into companies everyyear from now until 2020, a local official said.
This is part of the city’s effort to develop 500,000 enterprises by2020, Le Thi Loan, head of the committee’s economic office, said.
With its long-standing culture of trading and services, the district is home to9,018 business households and 7,000 enterprises.
Of them, more than 2,000 have great potential to expand into enterprises, shetold a recent dialogue to disseminate the benefits of the transition toenterprises.
More than 140 household businesses participated in the dialogue, which offeredthem consultancy on establishing companies and tax declaration procedures.
The business households thought to have potential for expansion all haveregistered capital of more than 100 million VND (4,420 USD) and pay taxes ofmore than 20 million VND (885 USD) a month, she said.
Besides, more than 1,500 household businesses frequently need tax invoices, shesaid.
The district People’s Committee and various other agencies would facilitate thetransition in the first stage, including through policies like freeregistration of their enterprise and free legal consultancy, she added.
Le Minh Trung, Director of the HCM City Centre of Supporting and EnterpriseDevelopment, said: “When a household business transforms into an enterprise, itoperates more transparently, becoming eligible for incentives from theGovernment and support from local authorities.”
On June 12, the National Assembly passed the Law on Support for Small-andMedium-sized Enterprises (SMEs).
The law regulates the principles, contents and resources to support SMEs,including support for bank loans, tax breaks, market expansion, land access,and human resource development, Trung said.
SMEs account for 95 percent of the country’s companies, contributing more than40 percent of the gross domestic product (GDP) and employing more than 50 percentof the workforce.-VNA
This is part of the city’s effort to develop 500,000 enterprises by2020, Le Thi Loan, head of the committee’s economic office, said.
With its long-standing culture of trading and services, the district is home to9,018 business households and 7,000 enterprises.
Of them, more than 2,000 have great potential to expand into enterprises, shetold a recent dialogue to disseminate the benefits of the transition toenterprises.
More than 140 household businesses participated in the dialogue, which offeredthem consultancy on establishing companies and tax declaration procedures.
The business households thought to have potential for expansion all haveregistered capital of more than 100 million VND (4,420 USD) and pay taxes ofmore than 20 million VND (885 USD) a month, she said.
Besides, more than 1,500 household businesses frequently need tax invoices, shesaid.
The district People’s Committee and various other agencies would facilitate thetransition in the first stage, including through policies like freeregistration of their enterprise and free legal consultancy, she added.
Le Minh Trung, Director of the HCM City Centre of Supporting and EnterpriseDevelopment, said: “When a household business transforms into an enterprise, itoperates more transparently, becoming eligible for incentives from theGovernment and support from local authorities.”
On June 12, the National Assembly passed the Law on Support for Small-andMedium-sized Enterprises (SMEs).
The law regulates the principles, contents and resources to support SMEs,including support for bank loans, tax breaks, market expansion, land access,and human resource development, Trung said.
SMEs account for 95 percent of the country’s companies, contributing more than40 percent of the gross domestic product (GDP) and employing more than 50 percentof the workforce.-VNA
VNA
