Vietnam has rapidly emerged as a rising economic powerhouse in Southeast Asia. With its expanding middle class, young population, and government-led push for digital transformation, it presents compelling opportunities for Singapore SMEs. From food and beverage to technology, education, and consumer goods, the Vietnamese market is hungry for high-quality foreign brands — and Singapore businesses are uniquely positioned to meet that demand.
For Singapore SMEs eyeing entry into Vietnam, the Market Readiness Assistance (MRA) Grant is a powerful enabler. Administered by Enterprise Singapore, this grant provides co-funding support to help defray market entry costs into overseas markets like Vietnam. In this article, we explore how to make the most of the MRA Grant for Vietnam and how consultants like Koh Management and its partners can streamline the application and execution process.
Why Expand into Vietnam?
Vietnam’s economic growth trajectory has remained strong over the past decade, making it an attractive destination for Singaporean companies looking to internationalise. Key reasons include:
- Fast-Growing Consumer Market: Vietnam’s population exceeds 97 million, with a growing urban middle class hungry for foreign brands and experiences.
- Digital Savviness: Over 75% internet penetration and an active social media landscape make digital marketing and e-commerce viable.
- Favourable Bilateral Ties: Singapore is one of Vietnam’s top investors, and both governments have signed multiple economic cooperation agreements.
- Affordable Talent and Costs: Labour and operational costs are lower compared to Singapore, making it ideal for scalable business models.
Whether you are in retail, F&B, education, or software services, Vietnam offers a ready market if you know how to enter strategically — and this is where the MRA Grant comes in.
What is the Market Readiness Assistance (MRA) Grant?
The MRA Grant is a government scheme by Enterprise Singapore to help SMEs expand internationally. For Vietnam, it supports up to 50% of eligible costs, capped at S$100,000 per new market per fiscal year. The grant is split into three categories:
- Overseas Market Promotion
- Overseas Business Development
- Overseas Market Set-up
Eligible Activities in Vietnam
To make the most of the MRA Grant for Vietnam, it’s crucial to align your planned activities with the grant’s supported categories.
1. Overseas Market Promotion
This includes raising awareness of your brand and offerings in the Vietnamese market.
Eligible expenses:
- Digital marketing campaigns (Google Ads, Facebook, Zalo – Vietnam’s local platform)
- Local influencer and KOL engagement
- In-country trade shows or exhibitions in Hanoi or Ho Chi Minh City
- Design of Vietnamese-language marketing materials or packaging
2. Overseas Business Development
Activities that help establish your network, build partnerships, or test your business model.
Eligible expenses:
- Engaging local business development consultants or agents
- Conducting detailed market research or feasibility studies
- Business matching services to identify Vietnamese distributors or franchisees
3. Overseas Market Set-up
This category supports initial operations setup in Vietnam.
Eligible expenses:
- Legal and accounting consultation for Vietnam incorporation
- Trademark and intellectual property registration
- Advisory services on regulatory compliance and tax issues
These activities must be executed by third-party vendors with no related party relationship, and the project must be approved before it begins.
Eligibility Criteria
To qualify for the MRA Grant for Vietnam, your business must meet the following Enterprise Singapore conditions:
- Registered and operating in Singapore
- At least 30% local shareholding
- Company group revenue ≤ S$100 million, or ≤ 200 employees
- New to Vietnam market, defined as having less than S$100,000 in annual sales from Vietnam in the past 3 years
How to Apply for the MRA Grant for Vietnam
Here’s a simplified version of the application and claim process:
Step 1: Planning & Vendor Quotation
- Define your expansion goals for Vietnam
- Identify suitable vendors for marketing, business development, or incorporation
- Obtain official quotations from each vendor (must include a breakdown of scope and pricing)
Step 2: Application Submission via BGP
- Submit your application through the Business Grants Portal (BGP)
- Include all necessary supporting documents: vendor quotes, company financials, ACRA profile
Step 3: Wait for Approval
- Enterprise Singapore reviews your application
- Only begin your project after receiving approval, or your claims will be invalid
Step 4: Project Execution
- Execute your Vietnam expansion project with selected vendors
- Maintain clear documentation for all expenses
Step 5: Claims Submission & Reimbursement
- Submit your post-project report and claims through BGP
- Claims must include all receipts, proof of payment, and completion documentation
- After review, the approved grant amount will be disbursed
Challenges Businesses Face
Vietnam is an exciting market, but businesses unfamiliar with local nuances may face challenges. Some common issues include:
- Language Barriers: Vietnamese is the primary business language. Ensure your marketing materials are properly localised.
- Regulatory Environment: Vietnam’s rules on foreign company registration and ownership differ from Singapore. Professional guidance is essential.
- Cultural Differences: Business practices and negotiations often require a longer lead time and relationship-building.
This is where working with experienced partners becomes crucial.
How Koh Management Supports Your MRA Application for Vietnam
Koh Management, along with its trusted partners, offers end-to-end support for companies seeking to use the MRA Grant to enter the Vietnamese market.
1. Strategic Consultation
We help define your Vietnam market entry goals, suggest eligible activities, and structure your project to meet MRA requirements.
2. Vendor Matching
We work with pre-approved third-party service providers in Vietnam for:
- Market research
- Business matching
- Digital marketing
- Legal and tax advisory
3. Application Preparation
Our consultants prepare your complete application package, from project brief to budget summary, and submit it through BGP.
4. Claim Management
We also handle the claims process after project execution to help you get reimbursed without administrative hassle.
By partnering with Koh Management, you reduce the risk of application errors and maximise your chances of successful grant disbursement.
Ideal Sectors for Singapore SMEs in Vietnam
Based on market trends and business demand, these sectors are especially suitable for expansion into Vietnam:
1. Food & Beverage
Vietnamese cities are hungry for high-quality dining experiences, franchises, and processed food imports.
2. Education & Training
There is growing demand for English-language programs, digital learning platforms, and Singapore-style pedagogy.
3. Retail & Fashion
Singapore’s fashion and lifestyle brands have seen traction in Vietnam’s growing consumer class.
4. Technology & Software
Vietnam is investing heavily in digital transformation, creating opportunities for Singaporean SaaS, cybersecurity, and fintech companies.
5. Healthcare & Wellness
There is increasing demand for premium wellness products, supplements, and telemedicine services.
Tips to Maximise Your MRA Grant Usage in Vietnam
- Bundle Related Activities: Apply for business matching, marketing, and incorporation in one application to streamline execution.
- Work with Experts: Use only experienced, compliant vendors and consultants.
- Track Milestones and Deliverables: Maintain a tight schedule and clear deliverables for claim success.
- Localise Your Messaging: Translate materials and campaigns into Vietnamese with cultural nuance.
Final Thoughts
The Vietnamese market offers a rich landscape for growth and internationalisation. With strong consumer demand, digital adoption, and increasing openness to foreign brands, Vietnam should be on every Singapore SME’s radar.
By leveraging the MRA Grant for Vietnam, you can confidently reduce the risks and costs associated with market entry. With the support of experienced consultants like Koh Management, your business gains not only financial assistance but also strategic direction and operational efficiency.
If your business is ready to go regional, Vietnam is the opportunity — and the MRA Grant is your gateway.