Da Nang – a "fertile ground" for startups.

By creating an attractive startup and innovation ecosystem, Da Nang City has become a "fertile ground" for startup businesses.

Incubated 172 projects and established 72 innovative start-ups.

In September 2024, FiveSS Technology Joint Stock Company was once again honored at the 2024 Innovation and Startup Festival (Techfest) in the North Central and Central Coastal regions. This is one of the successful startups in Da Nang.

Established in 2021, FiveSS is a platform providing comprehensive connectivity solutions for the construction industry. With over 14,000 products and services, FiveSS simplifies the connection process between investors, contractors, and suppliers, optimizing costs and quality for projects.

The success of this start-up is largely due to the support of Da Nang City. In 2024, FiveSS received a start-up grant of 200 million VND from the city. In addition, the company successfully raised capital on Shark Tank Season 7, securing an investment of over 2.1 billion VND for 12.5% ​​of its shares.

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

Over the past period, Da Nang has implemented many policies to support innovative startup projects and businesses. During the 2020-2023 period, the city supported 27 businesses. This included direct financial support for 19 businesses to improve technology and develop products, totaling over 3.6 billion VND; and support for 8 businesses and institutes to implement incubation and acceleration programs, totaling over 1.4 billion VND. To date, Da Nang has incubated 172 projects and established 72 innovative startup businesses.

According to the survey and assessment results of the Da Nang Department of Science and Technology on the operational status of projects and businesses that have been incubated and supported, 55 out of 72 businesses (76.4%) and 90 out of 172 projects (52.3%) are currently operating and continuing to develop their products.

In recent years, many organizations, businesses, and incubators have been established to support the city's innovative startup activities, such as the Da Nang Business Incubator, the Song Han Startup Incubator, Evergreen Labs, and the Center for Supporting Innovative Startups (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 Innovation and Startups" in 2020, 2022, and 2023. Notably, along with Hanoi and Ho Chi Minh City, Da Nang has ranked among the top 1,000 cities with the highest startup ecosystem index globally. Regarding the results of the Local Innovation Index assessment, Da Nang ranked fourth nationwide…

Many policies support startups.

According to Mr. Nguyen Viet Toan, Director of the Da Nang Innovation and Startup Support Center, the city has issued many mechanisms and policies to support startups, aiming to make Da Nang a center for innovation and startups.

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

Firstly, the policy group aims to exempt 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 companies, experts, scientists, investment funds, and startup support organizations to Da Nang.

Secondly, the policy group supports the development of innovative startup projects to promote the formation and development of innovative startup businesses, especially in their nascent stages.

Thirdly, the policy allows for controlled testing, in the form of time-limited licensing, of new and innovative technologies, products, services, and business models.

Fourth, policies should be implemented to utilize science and technology infrastructure assets to support innovative startups, providing innovative startups with space to work, test products, and develop projects…

According to the Da Nang Department of Science and Technology, the city will continue to refine mechanisms and policies to support innovative startups and develop components within the ecosystem, implementing activities to support the development of startup businesses. In addition, it will strengthen international cooperation, attract investment funds for startups, and connect partners to support the city's projects and businesses…

Concluding the Conference on the Implementation of Resolution No. 136/2024/QH15 and the recent working session with the leaders of Da Nang City, the Prime Minister has instructed the Ministry of Science and Technology to urgently decide, within its authority, on the establishment of a National Center for Innovation and Startup Support in Da Nang.

By persistently building a solid foundation for the startup and innovation ecosystem, Da Nang has become and continues to be a "promised land" for startup businesses.