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Mobilizing capital for production and business is one of the very important and vital issues for businesses, especially in the context of the COVID-19 pandemic which has had a very serious impact on the economy in general and the Vietnamese business community in particular.

Citing the survey results of VCCI, Mr. Nguyen Quang Vinh, General Secretary of VCCI said, besides the shortage of markets and raw materials due to the COVID-19 pandemic, nearly 10% of enterprises lack capital and cash flow.

When it comes to capital for businesses, Vietnamese enterprises often think first (top-of-mind) about bank credit, while they can also mobilize many other sources of capital besides bank loan. Speaking at the Workshop, Mr. Dang Duc Thanh – President of VEC – said that the capital structure of the enterprise is still unreasonable in that the equity only accounts for about 20-30%, the rest is loans from commercial banks, while this sector often cannot meet the medium and long-term capital needs of enterprises.

Analyzing new trends to attract investment capital of enterprises in the world and lessons learned for Vietnam, Dr. Le Anh Tu, Vice President of VEC, highly appreciates the cryptocurrency system, the model of fintech companies, or crowdfunding that has been growing strongly on a global scale.

Meanwhile, Dr. Can Van Luc, chief economist at BIDV, said that there are six sources of capital (resources) for enterprises, including state budget (subsidy, guarantee, insurance, incentive, tax exemption/reduction), foreign capital (ODA, loan, bond issuance, share sale, etc.), capital from business partners (deferred payment, trade credit), mobilized from capital market (stocks, bonds, investment funds, etc.), credit sources (banks, supply chain financing, FINANCE LEASE), and finally equity / paid-up capital.

Finance lease is a popular and effective resource (capital) mobilization channel for enterprises around the world for a long time, and in Vietnam, FINANCE LEASE has also been born since the late 20th century but up to now still few enterprises know about it. The proportion of finance lease in Vietnam’s total medium and long-term credit balance is just under 1%. Mr. Hoang Van Phuc – Deputy Chief Executive Officer of BSL emphasized at the Workshop “finance lease helps enterprises save significantly the initial investment capital for large investments in equipment and machinery for production and business without giving collateral assets. Finance lease not only helps enterprises acquire machinery and equipment for new projects, expand production and business, but also can help them supplement working capital by selling their owned assets to the financial leasing company then lease back such assets pays it off in the future”.

As part of solutions to support capital for enterprises in the new context, especially enterprises facing difficulties due to the COVID-19 epidemic, BSL is currently offering many preferential interest rate lease programs, and financing ratio up to 100% of assets’ value for brand-new assets.

Kim Hoa