How to start a preschool in Vietnam

Grasping Vietnam's burgeoning early childhood education market presents a significant opportunity for astute entrepreneurs. The nation's young populace and the escalating demand for premium early learning experiences create a fertile landscape for foreign investment, including 100% foreign-owned kindergartens. However, prospective founders must meticulously navigate Vietnam's regulatory framework, particularly regarding capital provisions and professional protocols defined by the Law on Education. The Department of Education and Training (DoET) plays a pivotal role in the licensing process, ensuring all establishments adhere to stringent national standards. This guide will illuminate the essential steps and requirements to successfully establish a kindergarten in Vietnam, helping you contribute to the country's educational advancement while building a sustainable enterprise.

Regulations

Health safety: Health and safety regulations are paramount. Kindergartens must obtain fire prevention and food safety certificates. Facilities must ensure a healthy environment with clean water and drainage systems, along with appropriate, safe, and clean toilets. Regular inspections will cover safety, hygiene, and food safety, including reviews of health and meal records. All construction designs, equipment, utensils, and toys must be safe for children. Blocks for different age groups and service personnel must be separated to ensure safety. Immunisation and illness exclusion policies are implied given the focus on child health, though not explicitly detailed in the sources. Incident reporting procedures would also be a general requirement under such stringent regulations.

Licensing overview: Establishing a kindergarten in Vietnam necessitates a dual licensing process overseen by the Department of Education and Training (DoET). Initially, investors must secure an Investment Registration Certificate (IRC) followed by an Enterprise Registration Certificate (ERC) from the provincial Department of Planning and Investment. This preliminary stage involves the DoET confirming that the proposed location aligns with the city's preschool development plan and zoning regulations. Post-company establishment, typically within 90 days, the investor must apply for the crucial Education Operation License from the DoET. This final license confirms adherence to capital, facility, safety, staffing, and curriculum requirements, involving an inspection process that typically concludes in approximately 45 working days. Kindergartens are subject to regular inspections.

Licensing authority: Department of Education and Training (DoET)

Staff qualifications: The Principal or Director of a kindergarten must hold a university degree in Early Childhood Education or management and possess a minimum of five years of management experience. Teachers are required to have at least a college-level pedagogy degree in early childhood education. Caregivers and support staff must complete recognised training in their respective fields. Healthcare and accounting staff must hold an intermediate degree in their assigned areas, while treasurers, librarians, archivists, cooks, and security guards need training relevant to their duties. All employees must undergo health checks and possess valid labour contracts. Background checks for all staff are implicitly part of the rigorous approval process for ensuring child safety and welfare.

Facility requirements: Kindergartens must be located in a healthy environment, not within residential apartments or mixed-use spaces. The construction area must accommodate the number of classes and children, with at least 1.5 m² per child (Source 2). More broadly, facilities must provide a minimum of 8 m² per child in urban areas or 12 m² per child in rural areas (general, based on Source 3). Facilities must include classrooms, restrooms, playgrounds, kitchens, and sleeping areas, ensuring proper lighting, ventilation, and safety. Dedicated functional rooms, including a medical room and administrative offices, are mandatory. If meals are served, kitchens must adhere to a one-way process for food safety and hygiene. Fire prevention and food safety certificates are compulsory, along with secure playgrounds, surrounding walls, and emergency exits. Access for children with disabilities is also a requirement.

Curriculum requirements: The curriculum must align with Vietnam's preschool education framework, though it may incorporate international elements for bilingual or multicultural learning. Any foreign curriculum must be accredited by a recognised quality assurance body, have been taught for at least five years in its country of origin, and obtain approval from Vietnam’s Ministry of Education and Training (MOET). Critically, it must integrate mandatory Vietnamese educational content for all Vietnamese students, ensuring alignment with national education goals. The curriculum must demonstrate educational objectives and be free from content detrimental to national defence, security, public interests, or that promotes religion, distorts history, or negatively impacts Vietnamese culture, morality, and customs. Approval from the DoET is mandatory before operation.

Startup costs

Startup costs are heavily influenced by the minimum capital requirement of VND 30 million per child of designed capacity, excluding land use levy. For a 100-child facility, this translates to VND 3 billion. The higher end reflects investment in larger, purpose-built centres with premium facilities and international curriculum integration, potentially in major cities where higher capital may be required. Monthly operating costs vary depending on student enrolment, staff salaries (which are a significant factor given the demand for qualified teachers), rental costs for premises, ongoing maintenance, and curriculum materials. Marketing and utilities also contribute to the monthly expenditure, with premium offerings naturally incurring higher costs.

Timeline

1. Obtain Investment Registration Certificate (IRC) and Enterprise Registration Certificate (ERC) (Variable, up to 30 working days for preliminary approval): The initial step involves securing an Investment Registration Certificate (IRC) from the provincial Department of Planning and Investment, followed by an Enterprise Registration Certificate (ERC). During IRC evaluation, the Department of Education and Training (DoET) is consulted to confirm the proposed location complies with the city's preschool development plan and zoning. This foundational step establishes the legal entity and its business lines, with capital contribution required within 90 days of the ERC being granted. This process is crucial before any further steps towards operational licensing.

2. Establishment Approval from People’s Committee (Variable, part of IRC/ERC process and subsequent application): Once the IRC is granted, the investor must apply for an Establishment Decision from the relevant level People's Committee (e.g., District Level People's Committee). This step ensures that the proposed kindergarten aligns with local development plans and regulatory frameworks. A complete dossier with all required information concerning financial capacity, facility plans, and educational objectives must be submitted. This approval is a precursor to applying for the Education Operation Permit and confirms the project's viability at a local administrative level.

3. Curriculum Approval (Variable, part of the Education Operation License application): Before applying for the Education Operation License, the kindergarten must submit its curriculum to the Department of Education and Training (DoET) for approval. The curriculum must align with Vietnam's preschool education framework, potentially incorporating international elements, but crucially must integrate mandatory Vietnamese educational content. Any foreign programmes must be accredited and approved by Vietnam’s Ministry of Education. This approval is a mandatory component of the dossier for obtaining the final operational licence and ensures pedagogical compliance with national standards.

4. Obtain Education Operation License (Approximately 45 working days): After successfully establishing the company and securing all necessary preliminary approvals, the investor must apply for the Education Operation License from the Department of Education and Training (DoET). This is the final and most critical step before the kindergarten can legally open and enrol students. The application dossier includes the IRC, ERC, proof of capital, lease agreements, facility photos, safety certificates, staff qualifications, and the approved curriculum. The DoET conducts inspections to confirm compliance with all capital, facility, safety, staffing, and curriculum requirements before issuing the license.

5. Post-Licensing Compliance and Inspections (Ongoing): Following the issuance of the Education Operation License, kindergartens are subject to regular inspections by the Department of Education and Training and other relevant authorities. These inspections cover safety, hygiene, teacher qualifications, and curriculum compliance, and may include reviews of health and meal records for food safety. Maintaining standards is crucial, as failure to do so can result in fines, suspension, or even license revocation. Compliance is an ongoing commitment to ensure the continued provision of high-quality early childhood education in Vietnam.

6. Financial Capital Contribution (Within 5 years of establishment license): Investors are required to commit to contributing their full registered capital within five years of receiving the establishment license. This demonstrates the investor's financial capacity to sustain the project long-term. The minimum investment capital is calculated based on VND 30 million per child of designed capacity, excluding land use costs. Timely and complete capital contribution is a critical compliance aspect that ensures the financial stability and operational viability of the kindergarten in Vietnam.

Next steps: explore the IPC curriculum, read about preschool enrollment, or browse all start-a-preschool guides.

Frequently asked questions

What are the minimum capital requirements for opening a kindergarten in Vietnam?

Foreign-invested kindergartens in Vietnam must demonstrate adequate financial capacity, with a minimum investment capital of VND 30 million per child of designed capacity, excluding land use levy. For example, a kindergarten designed for 100 children would require a minimum capital of VND 3 billion. Investors must commit to contributing the full registered capital within five years of receiving the establishment license, showcasing their long-term financial commitment. Projects located in major cities might necessitate higher capital investments to ensure the establishment of robust infrastructure and long-term operational sustainability, as guided by the Department of Education and Training (DoET) during the investment registration process.

Can foreigners own 100% of a kindergarten in Vietnam?

Yes, Vietnam's early childhood education sector is open to 100% foreign ownership. Foreign investors can establish wholly foreign-owned kindergartens or enter into joint ventures with Vietnamese partners. This openness is facilitated under Vietnam's Law on Education and further clarified by decrees such as Decree No. 86/2018/ND-CP and its subsequent updates. However, all foreign-invested kindergartens must meet strict conditions regarding facilities, capital, staffing, and curriculum, and must be approved and licensed by the Department of Education and Training (DoET) before they can commence operations and enrol students. This ensures adherence to national educational standards.

What qualifications does a Principal/Director need in Vietnam?

To serve as a Principal or Director of a kindergarten in Vietnam, an individual must possess a university degree in early childhood education or management. Additionally, they are required to have at least five years of management experience in the early childhood education sector. They must also have a clean record and demonstrate political, ethical, lifestyle, and professional quality, prestige, and capacity for school and preschool organisation and management. Furthermore, the Principal must complete a manager training course and be physically fit. These stringent requirements are in place to ensure high leadership and educational standards.

What are the common challenges for foreign investors in Vietnam's preschool market?

Despite significant opportunities, foreign investors in Vietnam's preschool market face several challenges. Navigating the country's evolving regulatory landscape, particularly recent updates to government decrees, requires meticulous compliance. A significant hurdle is the critical shortage of qualified teachers, often necessitating recruitment from higher education institutions. Furthermore, ensuring curriculum alignment with Vietnamese education principles while integrating foreign programmes requires careful planning and approval from the Ministry of Education and Training. Meeting the crucial minimum capital requirements and adhering to stringent facility standards for safety and hygiene also demand significant investment and attention. Seeking expert legal support is highly recommended.

What is the role of the Department of Education and Training (DoET)?

The Department of Education and Training (DoET) is the primary licensing authority for kindergartens in Vietnam. It plays a crucial role throughout the establishment process, from the initial consultation during the Investment Registration Certificate (IRC) evaluation to confirming that a proposed location complies with preschool development plans and zoning regulations. The DoET is responsible for approving the curriculum, ensuring alignment with Vietnamese educational principles. Most importantly, it issues the final Education Operation License, which confirms that the kindergarten meets all stringent conditions regarding capital, facilities, safety, staffing, and curriculum. The DoET also conducts regular inspections to ensure ongoing compliance.

Are there specific space requirements for kindergarten facilities in Vietnam?

Yes, kindergarten facilities in Vietnam must adhere to specific space requirements to ensure a suitable learning environment. The minimum area rule dictates at least 1.5 m² per child, although more broadly, sources suggest a minimum of 8 m² per child in urban areas and 12 m² per child in rural areas. Facilities must include dedicated classrooms, restrooms, playgrounds, kitchens, and sleeping areas, all with appropriate space, lighting, and ventilation. Furthermore, the construction area must match the number of classes and children. This includes specific requirements for administrative offices, medical rooms, and proper separation of areas for different age groups and service personnel to ensure safety and educational efficacy.