A factory for rent affects production efficiency, operational costs, and profitability for businesses. This article will provide you with valuable insights into considerations for renting a factory, and introduce Tan Thuan Export Processing Zone – an ideal facility provider for companies looking to expand operations or establish a new presence in Vietnam.
Demand for factory for rent in Vietnam’s manufacturing landscape
The demand for factory for rent in Vietnam is growing rapidly due to several key factors. Vietnam's strategic location, bordering the sea and lying on the Trans-Asia highway, makes it easy to connect with potential markets, enhancing supply chain efficiency. The development of transportation infrastructure ensures quick and cost-effective goods transportation, benefiting production and business activities.
Vietnam's stable socio-political environment attracts investment, supported by clear legal policies and consistent economic strategies that build investor confidence. The Vietnamese government offers numerous incentives, such as tax exemptions and administrative support to facilitate business operations. An abundant, young, and educated labor force, combined with competitive labor costs, makes Vietnam an attractive destination for enterprises.
Furthermore, the cost of the factory for rent and related services in Vietnam manufacturing is relatively low compared to other countries in the region, helping businesses save on investment costs and optimize profits. The government is actively developing industrial zones with modern infrastructure and comprehensive utility services, creating favorable conditions for business operations. Vietnam's large domestic market, with over 100 million people, presents significant potential for manufacturing businesses.
The demand for factory for rent in Vietnam is steadily increasing
Considerations factory for rent in Vietnam manufacturing
Location
When choosing a factory for rent in Vietnam, prioritize facilities with convenient transportation access to facilitate efficient goods transport to nearby areas and provinces. Optimal locations are near major transportation hubs, which streamline the import of raw materials and the distribution of finished products. Ensure the factory is on high ground to prevent flooding during the rainy season, which could affect storage and production. Additionally, consider the factory's feng shui for business prosperity.
Terms of contract
Some businesses sometimes overlook carefully reviewing the terms of the contract before signing, leading to conflicts of interest between the lessor and lessee later on. Because leasing quality office or warehouse space is an important service, representing both parties should carefully evaluate the terms of the lease agreement.
Key lease terms that businesses should consider and pay attention to include:
- Security deposit and rent amount (monthly or yearly)
- Lease duration and the possibility of contract renewal
- Obligations and responsibilities of both the lessor and lessee
- Procedures for establishing additional appendices if adjustments or supplements are needed.
- Investment procedure
Rental costs
Establish a company budget before consulting potential partners about rental prices. Research and compare rental costs across different locations to get a comprehensive market overview. Typically, the size of the factory for rent determines rental costs in Vietnam, so ensure the space meets your specific requirements. Consider long-term contracts as they often offer more favorable terms than short-term agreements.
Evaluate whether the facilities inside the factory justify the rental costs. Additionally, check for the availability of necessary utilities such as fire safety systems, waste treatment, electricity and water systems, maintenance services, canteens, and offices. Feel free to negotiate the rental price to secure the best possible terms. Remember, a cheaper factory might only sometimes be the best fit; prioritize benefits and convenience for your business.
You evaluate whether the factory's size and facilities justify the rental costs
Investor reliability
Choose reputable and reliable developers or those with industry expertise to ensure the factory conditions align with your business goals, including aspects like space, infrastructure, and amenities. Investors should demonstrate their ability to resolve issues promptly and support maintaining production infrastructure and other related matters. Developers must provide a comprehensive and transparent rental contract detailing the terms, pricing, and specific regulations to protect the company's rights and manage costs effectively.
Tan Thuan Export Processing Zone: A Pioneer Factory For Rent in Vietnam’s Manufacturing Landscape
Tan Thuan Corporation (TTC) is a joint venture between Tan Thuan Industrial Development Company (IPC) and Central Trading & Development Group (CT&D) from Taiwan. With over 30 years of establishment and development, the 300-hectare Tan Thuan Export Processing Zone has become a modern, multifunctional center hosting approximately 254 companies from 22 countries and territories. At TTC, we envision ourselves as the leading developer and operator of industrial zones in Vietnam, driving economic growth and delivering superior value and quality.
Here are the reasons why TTZ stands out as the top choice for a factory for rent in Vietnam manufacturing.
Tan Thuan Export Processing Zone - The factory for rent in Vietnam
Prime location
TTZ is strategically located in District 7, merely 4 kilometers from the current city center in District 1. TTZ offers businesses significant cost savings and efficient transportation of goods to seaports and airports within Ho Chi Minh City. Its central location also provides easy access to a young, dynamic, and highly skilled workforce, including international experts.
Comprehensive infrastructure
TTZ offers state-of-the-art factory facilities with solid reinforced concrete structures, high ceilings for ventilation, and advanced fire protection systems. The complex features an anti-flooding tidal gate system, modern firefighting stations, and CCTV surveillance checkpoints to ensure the safety of production activities.
With a power supply capacity of up to 120 MW and a water supply capacity of 30,000 m3/day, TTZ ensures uninterrupted business operations. It also boasts a wastewater treatment plant utilizing microbiological technology for environmental safety and partners with reputable telecommunication companies to provide high-speed internet services.
Convenient amenities
Apart from industrial facilities, the factory for rent TTZ offers various amenities and services to enhance the convenience and efficiency of businesses. These include training programs, recreational centers, industrial catering services, banking facilities, postal services, and a gas station within the premises. Workers residing in Phu My Hung urban area can access international-standard amenities in education, healthcare, shopping, and entertainment.
Read more: Factory for Rent - Your Guide to the Top 6 Must-Consider Factors for a Successful Deal
Streamlined procedures
TTZ provides a transparent and efficient procedure for investors to register and commence operations swiftly. Interested parties can easily contact TTC to choose suitable floor plans, and unit sizes, and obtain quotations, ensuring a seamless rental process.
The article has outlined the increase in factories for rent and provided some considerations when renting factories in Vietnam manufacturing. If you're seeking a reputable provider of factory rentals that ensures quality at reasonable prices, don't forget to contact Tan Thuan Export Processing Zone using the following methods:
- Address: Tan Thuan Export Processing Zone, Tan Thuan Dong Ward, District 7, Ho Chi Minh City, Viet Nam
- Hotline: 0901 821 669
- Email: marketing@tanthuan.com.vn
- Website: tanthuan.com.vn