Creating a favorable environment for small and medium enterprises to develop

Many businesses stop operating and dissolve

In recent years, businesses in the province have made strong progress in terms of quantity, scale and quality. The number of newly established businesses has increased steadily over the years, of which small and medium enterprises account for about 95% of the total number of businesses in the province.

Production line at LGG Bac Giang Garment Corporation Joint Stock Company.

According to Mr. Nguyen Cuong, Vice Chairman of the Provincial Business Association, small and medium enterprises are increasingly asserting their core and pioneering role in the socio -economic development of the locality. The reform of administrative procedures has achieved important results, and the province's investment and business environment has been greatly improved. Along with the development of the country, small and medium enterprises have made positive contributions to the economic growth of the province.

The province currently has more than 17,500 enterprises. Of these, there are 489 private enterprises, 3,500 limited liability companies, more than 10,700 single-member limited liability companies, more than 2,900 joint stock companies and more than 1,700 branches and representative offices. Enterprises operate in a variety of fields, creating new jobs for more than 33,000 workers each year, with an average income of more than 11.8 million VND/person/month (2024).

To date, the province has more than 17,500 enterprises. Of these, there are 489 private enterprises, 3,500 limited liability companies, more than 10,700 single-member limited liability companies, more than 2,900 joint stock companies and more than 1,700 branches and representative offices.

According to the representative of the Department of Finance, in order to thoroughly grasp the Government 's spirit of accompanying businesses and taking businesses as the target of service, in the past time, the province has focused on directing departments, branches and sectors to build a favorable environment for businesses to confidently invest, develop production and business... However, in 2024, the number of businesses temporarily suspending business and dissolving is still high. The whole province has 164 dissolved businesses (up 14% compared to 2023), 846 businesses registered to temporarily suspend business (up 3% compared to 2023) and 970 businesses, branches and representative offices are not operating at the registered headquarters...

According to a representative of ETC Vietnam Electronics Co., Ltd., located in Hung Lam 1 residential group, Hong Thai ward (Viet Yen town), the company has temporarily stopped operating for many months due to difficulties in product output. HH4 Housing Development Investment Co., Ltd., located in Nham Bien ward (Bac Giang city) has also just had to dissolve due to the recent difficulties in the real estate market, which has greatly affected the business performance of the enterprise...

In addition to market difficulties, businesses also face high cost pressures, especially international transportation costs and sharp increases in raw material prices. Many businesses do not have enough access to capital to maintain and expand production and business activities; they face difficulties and challenges in completing investment, land, construction, environmental, fire prevention and fighting procedures, etc., so they have to dissolve or temporarily suspend operations.

Create a favorable environment

According to economic experts, in Bac Giang, the number of enterprises using high technology, operating in the fields of supporting industries, high-precision mechanical processing, enterprises with the ability to lead, connect... is still limited.

Frozen potato production line at Vifoco Import Export Joint Stock Company (Bac Giang city).

In order to create a favorable investment and business environment, helping small and medium enterprises develop, recently, the Chairman of the Provincial People's Committee requested departments, branches and localities to continue to uphold the spirit of responsibility, take people and businesses as the center, consider the difficulties of people and businesses as their own difficulties to proactively support, accompany and resolve in the spirit of "not saying no, not saying difficult, not saying yes but not doing", high determination, great effort, drastic action and assigning specific tasks in the spirit of "clear people, clear work, clear progress, clear results, clear responsibilities".

All procedures related to businesses must be carried out online, smoothly, seamlessly and effectively, ensuring transparency and minimizing paperwork. By 2025, the province strives to reduce at least 30% of the time to handle administrative procedures.

At the same time, promote the role of associations and associations representing the business community, acting as a bridge between businesses and state management agencies; regularly dialogue, exchange information, and resolve difficulties and problems for businesses in the process of investment, production and business.

Continue to effectively implement activities to support the training of high-quality human resources for enterprises, focusing on training to improve qualifications and professional skills for workers; in-depth training in business administration and according to actual needs of enterprises; support enterprises in management, investment in machinery and equipment, factories, technological innovation, brand building, product promotion and market search. In addition, the province implements many mechanisms and policies to promote investment attraction; provide full data on planning, related mechanisms and policies to create conditions for enterprises to grasp, start and develop.

Currently, the Department of Finance is focusing on reviewing and simplifying administrative procedures to reduce hassles and save costs for people and businesses; implementing the Law on Support for Small and Medium Enterprises, ensuring the most effective and practical use of state budget support. In particular, focusing on supporting small and medium enterprises to start up creative businesses, improve competitiveness to participate in value chains, digital transformation, green transformation, develop new business models, promote technology application, innovation and digital transformation...

Article and photos: Nguyen Huong

Source: https://baobacgiang.vn/tao-moi-truong-thuan-loi-de-doanh-nghiep-nho-va-vua-phat-trien-postid418171.bbg