Young Entrepreneurs: The Secret is in the Legal Stage

(Baonghean) - The concept of "startup" is no longer new, however, with only creative ideas and supporting capital, many young people still do not know how to start a business and where to start.

Launching the program "Youth Entrepreneurship 2016 - 2021". Photo: SGGP

Many difficulties

As the young owner of a tea processing facility in Thanh Chuong district, Mr. Nguyen Ngoc Phuc had to research and learn from many places to gain certain understanding of concepts related to charter capital, taxes, markets, etc. Returning home after a period of working abroad in Taiwan, with a fair amount of capital, Mr. Phuc began to nurture the idea of ​​getting rich from the potential available in his homeland, which is tea trees.

What he cherished was to establish a tea processing company with a factory scale of up to thousands of square meters. However, how to mobilize capital and the steps to establish a company were really difficult questions for him. After a long time of learning and accumulating experience, he has now become the director of Phuc Hung Thinh Tea Company Limited with a total revenue of up to tens of billions of VND/year.

Mr. Phuc shared: “At first, I thought that I only needed capital to start a business. But when I actually started the process of realizing the idea, I encountered countless difficulties due to my lack of understanding of legal issues.”

Like Mr. Phuc, many other young people are in a situation of “running out of breath” when, in addition to the inherent challenges of starting a business, there are also the so-called “forest” of administrative procedures or “mountains” of licenses. This is truly a huge barrier on the path to realizing the dream of getting rich of many young people.

Even in the Youth Union General Teams - enterprises and organizations established and operated by the Youth Union - they cannot avoid confusion and passivity in legal issues.

The Youth Volunteer Corps 8 and Youth Volunteer Corps 10 based in Ky Son district are moving towards building brands for agricultural products, including Shan Tuyet tea.

Although the design is available, to have a product with a solid position with its own "brand" is still a headache for the Youth Union. Brand building, brand promotion campaigns, intellectual property policies and many related concepts require business owners to have a thorough and detailed understanding.

Providing support for youth start-up models. (Photo: Thanh Duy)

Not met requirements

Many young people believe that there is not much legal support for the investment and economic development process. Most of the content is integrated into seminars, propaganda, and legal consultation in general, but there is no specific guidance on the process, regulations, and policies related to startups. Therefore, young people are still mainly trying to figure things out on their own.

Mr. Phan Van Hien - Secretary of Nghia Dan District Youth Union said: "Recently, relevant departments and branches have organized many propaganda sessions on the law, including content related to the legal corridor for young people to develop the economy. However, it has not really gone deep, closely followed and met what young people currently need."

Every year, the Center for Investment Promotion and Development Consulting coordinates with the Nghe An Youth Development Support Center to organize business start-up training courses for young people who are good at economics. However, knowledge about start-ups should be widely disseminated and not limited to a group of young people who have achieved certain success. The Nghe An Youth Development Support Center also needs to further promote its role to be able to answer and resolve the problems of young people whenever they need it.

Mr. Pham Tuan Vinh - Secretary of the Provincial Youth Union said: In fact, for a long time, the activities to support young people to start a business have been focused on by Youth Union organizations. However, it must also be objectively recognized that the legal content is not really specialized and many young people do not have basic knowledge of the legal corridor; leading to limitations and risks in the investment and business process.

Youth Union members visit the red-fleshed dragon fruit growing model of Mr. Nguyen Canh Phuong (Thanh Phong commune, Thanh Chuong district). (Photo: Dinh Ha)

Talking about the direction of implementing support activities in the future, the Secretary of Nghe An Provincial Youth Union emphasized that the youth start-up movement has never been so strongly stirred and widely spread as it is now. This is also the time when the Youth Union in particular and the whole society in general create all favorable conditions to support young people to turn creativity into reality.

Therefore, Nghe An Provincial Youth Union has been implementing a series of start-up activities with many contents such as training on business start-ups, seminars for young people participating in economic development, exchanging experiences in starting a business, consulting and supporting legal procedures... Through that, providing detailed instructions and solving all problems related to the start-up process for young people when they have a need.

The concern of many young people today is that they want to get rich, want to start a business but they have almost nothing in hand except for creative ideas. Although their business plan is convincing, if they go to the bank, it will certainly be difficult to get a loan because there is nothing to mortgage. Therefore, they need a startup environment with an open and transparent policy system; develop abundant sources of startup funds, have more consulting offices and support services.

Phuong Thao