Vietnam Start-up Ecosystem 2015 - Q1/2016 --- If you find any mistakes or info updates, please correct me by comments or e-mail

1. Vietnam Start-up Ecosystem
Duy Bá Phạm - April 2016

2. I. Vietnam Market Overview
Source: Vietnam Mobile Report Q1 2016 (Appota)
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3. II. 9 Elements of VN Start-up Ecosystem
1. Venture Capitals
2. Accelerator &Incubator
3. Seed &Early- Stage Funding
4. Coworking space
5. Key media
6. GOV Institutions
7. Meet-up event
8. Key people
9. Communities
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4. 1. Venture Capitals (Investment fund)
ü VC is not just investors, but is also
mentors and partners who have a
wealth of industry knowledge.
ü The support VCs give range from the
operational to the strategic.
ü A more important area where VCs help
new start-ups is in hiring.
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5. 2. Accelerator/ Business incubator
ü Startup Accelerator provides support through
small amounts of seed capital, mentoring,
training and events for a finite period.
ü Business Incubator supports entrepreneurial
businesses with the provision of resources and
services developed, delivered by a team of
professional managers and staff, and offered both
in the Incubator and through it’s network of
contacts.
The business model is where the Incubator takes a
significant equity share for it’s services; whilst in the
latter case, generally they charge a monthly fee to
participate and utilize the Incubator’s resources over
an extended period of time
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6. 3. Seed & Early-Stage funding
ü A startup requires several rounds of financing before it can generate sufficient
cash flow from sales to finance operations.
ü The earliest funding rounds are seed and early-stage funding. Companies need
these funds to support operations, such as product development, administration
and marketing.
ü Seed funding allows a startup to develop a prototype product and generate
sufficient investor interest for successive financing rounds. Early-stage funding
allows additional operational flexibility over the medium to long term.
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7. Seed funding
ü Seed funding allows a startup to develop a prototype
product and generate sufficient investor interest for
successive financing rounds.
ü The sources of seed funding include the founders'
personal savings and investments from family and
friends.
ü It typically ranges from $25,000 to $1 million.
ü The high-risk nature of seed funding increases the
cost of capital, which means that investors may
demand a larger share of the startup. Therefore,
startups should secure only enough seed funding to
continue operations and develop a viable prototype
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8. Series A
ü Series A refers to the first round of stock offered to
investors during early-stage rounds.
ü It supports a company through the early stages of
building a business, from product development to
hiring to marketing.
ü Because the Series A round is for more significant
cash, investors are usually professional angel
investors or boutique VC firms who specialize in this
first round of financing
ü Amount: Typical It rounds fall in the range of $2-5M,
offer options for 20-40% of the company
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9. Series B
ü Series B refers to second-stage financing.
ü Series B usually happens after the company has
already achieved certain business milestones
and thus proven its potential viability as a
company.
ü This series is also sometimes called a venture
round since it is at this point that venture
capitalists usually get involved.
ü Series B funding is in the $5 million to $10
million range
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10. Series C
ü As companies grow, they might continue to seek
additional funds to meet future milestones.
ü Each successive venture round follows
alphabetically down the line (e.g. C, D, E...).
ü VCs and private equity investors support these
financing rounds as well as future funding rounds
that more established companies may have to
look forward to such as bridge financing,
expansion capital, late-stage capital, and
leveraged buyout.
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11. VN Investments 2015 – Q1 2016
Seed funding Series A Series B Series C Undisclosed Accquisition
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12. 4. Coworking space
ü Most startup founders are starting from
scratch so renting an office—which can
be expensive—is not a viable option.
à That’s why coworking spaces, which
offer a flexible and less expensive
workspace, are the more preferred option
for those starting out in business.
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13. 5. Key media
TECHINASIA.COM
Language: English Coverage: Asia market Key contact: Anh-Minh Do
INFO TV
Language: Vietnamese
Coverage: Mostly Vietnamese market
VTV2
Language: Vietnamese/ English Coverage: Mostly Vietnamese market
ictnews.vn
Language: Vietnamese
Coverage: Mostly Vietnamese market
Key contact:
action.vn
Language: Vietnamese
Coverage: Mostly Vietnamese market
Key contact: Le Huynh Kim Ngan
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14. 6. GOV institutions
It is founded from Government Programs to
Encourage Innovation by Startups & SMEs
It offer in startup development and
mentoring, accelerators, and venture capital
funding and investing
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15. 7. Meet-Up Events
Annual:
HATCH! FAIR/ Vietnam Startup Festival
DEMO ASEAN
Bar Camp
Tech Camp
Vietnam Mobile Day PHP Day
Monthly:
Startup Grind
Founder Matching Day Business
Thursdays
Hackathon:
Teckathon & Mobile Hackathon Hackathon
Vietnam
Competition:
Startup Weekend Hanoi & HCMC Kawai Startup
Competition
VCCI Startup Competition
VYE Bootcamp
Global Competition:
Seedstars World Code for Resilience
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16. 8. Key people
Anh-Minh Do
Editor in Chief TechInAsia Vietnam
Bobby Liu
Founder Hub.IT
Nguyen Hong Truong
Vice President
IDG Ventures Vietnam
Hung Dinh
JoomlArt
CEO & Founder
Pham Minh Tuan
Director
TOPICA Founder Institute
Nguyen Manh Dung
Head Representative
CyberAgent Ventures Vietnam
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17. 9. Community
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18. Vietnam Start-Up Ecosystem
Source: topica-founder-institute-vietnam-startup-funding-2015-report
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19. III. Vietnam Investment Deals 2015
67 deals investments
4+ series C
5 acquisitions
1 big series A
48% angel/seed deals come from oversea investors
Top 4 industries: eCommerce, Media, Fintech, Edtech
Wishlist for 2016: more exits & more Vietnamese angels more round C,D+, $10-
30M+ each more serious investors from oversea
Source: topica-founder-institute-vietnam-startup-funding-2015-report
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20. Vietnam Investment Deals 2015
Source: topica-founder-institute-vietnam-startup-funding-2015-report
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21. VN Investments 2015 – Q1 2016
Seed funding Series A Series B Series C Undisclosed Accquisition
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22. Outstanding Startup
MOMO
ü Total Equity Funding: $33.75M in 2 Rounds from 2
Investors
ü Most Recent Funding: $28M Series B on March 17,
2016
ü Headquarters: Ho Chi Minh City, NA - Vietnam
ü Description: Momo is an ewallet and payments app
that allows users to pay online and transfer money
to each other digitally.
ü Categories: Finance, FinTech, Mobile Payments
ü Website:https://momo.vn
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23. Outstanding Startup
Appota.com
ü Acquisitions: Jan 1, 2015 -Applancer
ü Total Equity Funding: April/ 2014/ Undisclosed Amount/
Series B
ü Headquarters: Hanoi
ü Description: Appota is an innovation company serving mobile
developers, content providers, advertisers and mobile
internet users.
ü Founders: Do Tuan Anh, Quang Tran Vinh, Toan Tran, Kien Ha
ü Categories: Mobile, Local
ü Website:http://www.appota.com
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24. Outstanding Startup 2015
ü Total Equity Funding: $40M in 2 Rounds from 5 Investors:
AIF Capital (Series B)
Fortress Capital (Series B)
New Asia Partners (Series B)
Templeton Asset Management
Welkin Capital Management
ü Headquarters: Ho Chi Minh City
ü Description: Huy Vietnam Group Limited owns and operates a chain of restaurants in VN
ü Founders: KY Huy
ü Categories: Restaurants
ü Website: http://www.huyvietnam.com/
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25. Outstanding Startup
Coccoc
ü Total Equity Funding: $14M Venture on February 20,
2015 (Hubert Burda Media)
ü Headquarters: Hanoi
ü Description: Vietnam Search Engine
ü Founders: Nguyen Binh, Le Thanh
ü Categories:Search, Internet
ü Website:http://coccoc.com
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26. Outstanding Startup
Foody.vn
ü Total Equity Funding: Undisclosed Amount in 4 Rounds from
4 Investors
ü Most Recent Funding: Series C on July 28, 2015 / Undisclosed
Amount
ü Headquarters: Ho Chi Minh City
ü Description: Foody is a restaurant review media that helps
customers find the best food and dining experiences in South
East Asia.
ü Founders: Yoni Livne, Minh Dang, Dai Nguyen, Dzung Nguyen
ü Categories:Hospitality, E-Commerce, Search, Restaurants
ü Website:http://www.foody.vn/
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27. IV. STARTUP TRENDS
Top movements:
1. Gaming
2. E-Commerce
3. Mobile app
4. Online booking
And more:
5. E-learning & education
6. Food security & agriculture
7. Business platform
8. Hardware application
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28. THANKS!
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