EOR vs. your own entity in Vietnam.
Both let you employ engineers in Vietnam compliantly. The right choice comes down to headcount, time horizon, and how much operational overhead you want to own. Here's the honest breakdown.
Short version: for most teams hiring 1–30 engineers, an EOR is faster, cheaper, and lower-risk. A wholly-owned entity only pays off once you have a large, permanent local presence and the internal team to run it.
| Consideration | AppTuring EOR | Own entity |
|---|---|---|
| Time to first hire | ~10 business days | 2–6 months |
| Upfront cost | None | $15k–$30k+ setup |
| Local entity to register | ||
| Payroll, tax & statutory filings | Handled for you | Your responsibility |
| Benefits administration | Included | Build or outsource |
| IP assignment to US parent | Back-to-back, built in | Draft & maintain yourself |
| Ongoing overhead | Flat fee per head | Accounting, payroll, compliance staff |
| Compliance risk owner | AppTuring | You |
| Exit / wind-down | Stop anytime | Formal deregistration |
Choose an EOR when…
- Hiring 1–30 engineers
- Speed matters — you want people shipping this quarter
- You want compliance and payroll off your plate
- You're testing the market before a bigger commitment
Set up an entity when…
- A large, permanent local presence (50+ staff)
- You need a legal entity for local revenue or contracts
- You have in-house legal, tax, and HR to run it
- A multi-year horizon that amortizes the setup cost
Where's your break-even?
Salaries and statutory costs are the same either way, so the real question is whether an entity's setup plus fixed monthly overhead ever beats a flat per-head fee. Our calculator's “EOR vs. entity” tab shows the exact crossover for your team size and time horizon.
Setup-cost and overhead ranges are typical market estimates for illustration and vary by structure, city, and advisers. This is general information, not legal, tax, or accounting advice.