Da Nang – “fertile land” for startups

Creating an attractive startup and innovation ecosystem, Da Nang City has become a "fertile land" for startups.

Incubated 172 projects, established 72 innovative startups

In September 2024, FiveSS Technology Joint Stock Company continued to be honored at the 2024 North Central and Central Coast Innovation and Startup Festival (Techfest). This is one of the successful startups in Da Nang.

Launched in 2021, FiveSS is a platform that provides comprehensive connectivity solutions for the construction industry. With more than 14,000 products and services, FiveSS helps simplify the connection process between investors, contractors and suppliers, optimizing costs and quality for projects.

The success of this start-up has been greatly supported by Da Nang City. In 2024, FiveSS received a start-up support of VND200 million from the City. In addition, the company also successfully raised capital at Shark Tank Season 7, with an investment of more than VND2.1 billion for 12.5% ​​of shares.

Mr. Do Quy Su, Director of the 5Sao e-commerce platform (FiveSS), shared: “Da Nang City has played an important role in nurturing and developing startups. The city has issued policies to prioritize startups, creating a favorable ecosystem that helps startups easily access financial resources, professional advice and opportunities to expand their networks. This is a solid foundation that helps young businesses like FiveSS quickly move from ideas to realizing products and services.”

In recent times, Da Nang has implemented many policies to support innovative start-up projects and enterprises. In the period of 2020 - 2023, the City supported 27 enterprises. Of which, it directly supported funding for 19 enterprises to complete technology and develop products, with a total budget of more than 3.6 billion VND; supported 8 enterprises and institutes to implement incubation and acceleration programs with a total budget of more than 1.4 billion VND. To date, Da Nang has incubated 172 projects and established 72 innovative start-up enterprises.

According to the survey and assessment results of the Department of Science and Technology of Da Nang on the operation of incubated and supported projects and enterprises, 55/72 enterprises (76.4%) and 90/172 projects (52.3%) are operating and continuing to develop products.

Recently, many organizations, businesses, and incubators have been established to support the City's innovative startup activities, such as Da Nang Business Incubator, Song Han Startup Incubator Center, Evergreen Labs Incubator, Innovation Startup Support Center (under the Department of Science and Technology)...

Da Nang has been honored by the Vietnam Software and Information Technology Services Association (Vinasa) as an “Attractive City for Innovative Startups” in 2020, 2022 and 2023. Notably, along with Hanoi and Ho Chi Minh City, Da Nang has entered the top 1,000 cities with the highest startup ecosystem index globally. Regarding the results of the assessment of the Local Innovation Index, Da Nang ranked fourth in the country…

Many policies to support startups

Director of the Danang Center for Supporting Innovative Startups, Mr. Nguyen Viet Toan said that the City has issued many mechanisms and policies to support startups, aiming to turn Danang into a center for innovative startups.

In the coming years, Da Nang's innovative startup ecosystem will have more momentum. According to Resolution No. 136/2024/QH15 of the National Assembly on organizing urban government and piloting a number of specific mechanisms and policies for the development of Da Nang City, there are 4 groups of specific policies on science and technology management and innovation, creating great opportunities for the development of Da Nang's innovative startup ecosystem.

Firstly, the group of policies exempting corporate income tax and personal income tax to create a favorable environment, increase international competitiveness, promote the development of innovative startups in the city and attract innovative startups, technology enterprises, experts, scientists, investment funds, and startup support organizations to Da Nang.

Second, the policy group supports the development of innovative startup projects to promote the formation and development of innovative startups, especially in the early stages.

Third, the policy allows controlled experimentation, in the form of limited-term licensing, of new innovative technologies, products, services, and business models.

Fourth, the policy of exploiting scientific and technological infrastructure assets to serve innovative startups, helping innovative startups have space to work, test products, develop projects, etc.

According to the Department of Science and Technology of Da Nang, the city will continue to improve mechanisms and policies to support innovative startups and develop elements in the ecosystem, and implement activities to support the development of startups. In addition, it will strengthen international cooperation, attract investment funds for startups and connect partners to support projects and businesses in the city...

Concluding the Conference on Dissemination and Implementation of Resolution No. 136/2024/QH15 and the recent working session with the leaders of Da Nang City, the Prime Minister assigned the Ministry of Science and Technology to urgently decide within its authority the establishment of the National Center for Supporting Innovative Startups in Da Nang.

Persistently building a solid foundation for the startup and innovation ecosystem, Da Nang has become a "promised land" for startups.