Multinational companies are now more interested in travelling to Vietnam than anywhere else in Southeast Asia. Businesses from all over the world want to do business in Vietnam because it has strong trade agreements, a young and skilled workforce, and a steady rise in GDP. But most businesses find it hard to get into the Vietnamese market without setting up a local business or entity.

The good news? With flexible Vietnam market entry solutions, businesses can test the waters, hire staff, and start doing business without the cost, time, and hassle of full incorporation.

This guide will show you how to get into the Vietnamese market, the different ways to do it, and why Employer of Record (EOR) solutions and Vietnam PEO services are becoming the best choice for foreign businesses.

Why Foreign Businesses Are Coming to Vietnam

Vietnam has changed a lot in the last ten years. It used to be a place where things were made cheaply, but now it has a wide range of businesses, from traditional ones to high-tech ones. There are a few reasons why this growth happened so quickly:

• Located in Southeast Asia, it has great links to the supply chain.
  
• FTAs with partners in Asia, the US, and the EU.
  
• Costs of labour that are lower than those in Thailand or China, two nearby countries.
  
• The government gives incentives to attract foreign investment.
  

International companies that want to do business in Vietnam can benefit from both a growing customer base and new talent in areas like manufacturing, e-commerce, fintech, and IT outsourcing.

The Vietnamese legal system can make it hard to set up an entity, even though the chances are clear.

The Trouble with Setting Up a Local Group in Vietnam

In the past, foreign businesses that wanted to do business directly in Vietnam had to set up a legal entity, like a branch, representative office, or limited liability company.

But there are a number of things that make this hard:

• Long registration process: It could take months to get started.
  
• Costs: Costs can add up quickly for things like setting up an office, paying legal fees, and following the rules.
  
• Regulatory complexity: If you don't know much about Vietnam's labour, tax, and foreign ownership laws, it can be hard to figure them out.
  
• Limited flexibility: Once you've set up, it's expensive and time-consuming to change things or shut down.
  

Because of this, many international companies are looking into ways to expand in Vietnam without starting a business.

Ways to Get Into the Vietnamese Market Without a Local Company

Instead of full incorporation, companies now use other ways to get into the Vietnamese market that let them work quickly and legally. These are the most popular ones:

1. Vietnam's Employer of Record (EOR)

In Vietnam, your local workers are legally hired by an Employer of Record. You can hire people and pay them wages without starting your own business, and you can still follow Vietnamese labour laws.

• The EOR is in charge of payroll, benefits, taxes, and following the rules.
  
• You still have full control over your daily tasks, output, and business plan.
  
• Great for companies that want to hire specialised workers or see how the market works.
  

2. PEO Services in Vietnam

A Professional Employer Organisation (PEO) is like an EOR in that it usually focusses on co-employment agreements. In this setup:

• The PEO is in charge of HR management, payroll outsourcing, and making sure the company follows the law.
  
• You are still the direct employer, even though you share job duties.
  
• PEO services are best for businesses that need help with HR but want to grow their business in Vietnam without moving there.
  

3. People Who Work for Themselves

Businesses can hire independent contractors to work on short-term projects. But there are also risks, such as penalties for misclassification, not following the rules, and weaker quality control. Because of this, most businesses eventually switch to EOR or payroll outsourcing from Vietnam.

Benefits of Growing Without an Organisation

Expanding your business in Vietnam without incorporating has a number of advantages:

• Speed: You can start in a few weeks instead of months.
  
• Flexibility: You can change your size to fit the market's response.
  
• Savings: Avoid costs for setup, legal issues, and ongoing compliance.
  
• Assurance of compliance: Work with partners who know Vietnamese labour laws to make sure you follow them.
  
• Focus on growth: Let leaders focus on sales and strategy instead of dealing with red tape.
  

This makes it not only possible but also practical for multinational companies that are growing quickly to hire people in Vietnam without a legal entity.

TransFi's Benefits for Product Integration

TransFi is good at making it easier for businesses to grow internationally. Our PEO and Employer of Record services in Vietnam can help you:

• You can hire people in Vietnam without having to set up a business. You can also onboard them quickly and legally.
  
• Use one platform to manage compliance, payroll outsourcing, and benefits in Vietnam.
  
• Enter the Vietnamese market with full control over costs and full openness.
  
• Get professional help with rules about hiring, taxes, and human resources.
  

TransFi lets you focus on building your team and growing your business instead of just keeping up with compliance and incorporation. Are you ready to confidently enter the Vietnamese market? Talk to an expert right now.

A Complete Guide to Growing Your Business in Vietnam from Afar

1. Set goals: Are you hiring for a specific project, testing the waters, or starting a business that will last for a long time?
   
2. Choose between payroll outsourcing, PEO, or EOR based on what you need.
   
3. Pick a trustworthy friend: Work with suppliers like TransFi who know a lot about Vietnam's labour, payroll, and compliance issues.
   
4. Onboarding new employees: Your partner handles contracts, payroll, and compliance while you manage work.
   
5. Check on growth: Review performance and decide whether to invest, grow even more, or set up a permanent business later.
   

Conclusion 

Incorporation isn't always the best first step, but expanding into Vietnam is a great chance. Using Employer of Record solutions, payroll outsourcing, and Vietnam PEO services, businesses can hire people in Vietnam without having to set up a business, stay compliant, and grow in a flexible way.

If your business wants to grow into Vietnam without starting a new company, now is the time to do something about it. With the help of trustworthy partners like TransFi, global companies can easily enter the Vietnamese market, test it out, and put together teams—all without having to deal with the costs and delays that come with setting up a business in Vietnam.

Call Sales right now to find out how TransFi can help you grow in Vietnam.

FAQs

1. Can you hire people in Vietnam without setting up a business?
Yes. You can legally hire workers with Vietnam Employer of Record (EOR) or PEO services. A local partner will take care of payroll, contracts, and compliance.

2. What is the difference between Employer of Record services and Vietnam PEO services?
An EOR is your legal employer, while a PEO is your co-employer and handles HR tasks. Both let you work without becoming a corporation.

3. How long does it take to use an EOR to grow your business in Vietnam?
Setting up an entity can take a few months, but you can usually start doing business in just two to four weeks.

4. Is it safe and legal to hire someone in Vietnam to do your payroll?
Yes, as long as you use trustworthy suppliers like TransFi. It makes sure that workers are paid correctly, on time, and in accordance with local labour and tax laws.

5. How can someone get into Vietnam without being a citizen?
Most businesses should work with a Vietnamese Employer of Record (PEO) to get things done. This lets you run your business from far away, pay your employees, and hire new people while still following the rules.