Many difficulties FPT had to face at the first period of hardship. FPT’s start-up capital in 1998 was about US$ 1M. FPT made a decision of spending US$ 1M for going abroad.
However, the first problem is that where is money?
Fortunately, BIDV Bank was willing to help. I met with Mr. Le Dao Nguyen, BIDV’s Deputy General Director, to discuss the way of doing the business. US$ 1M was too easy to lend. The only difficulty was that FPT has no pledge, as well as no guarantor.
The dialogue between I and Mr. Nguyen was as the following:
Le Dao Nguyen (LDN): Why is US$ 1M?
Le Quang Tien (LQT): Because we have 100 programmers, 5k for each programmer a year, 1M is needed for 2 years.
LDN: Capacity of success?
LQT: 50/50
LDN: Anything for mortgage?
LQT: 100 programmers + Mr. Binh and me. If we have no ability to pay our debt, we will work for BIDV for 3 years.
LDN: What can programmers do for a bank?
LQT: Anything. Cashiers, recovering debts, maintaining computers, arts performance, etc.
LDN: How difficult!
LQT: How about our houses in Thu Le for mortgage?
LDN: OK.
Finally, BIDV granted credit terms of US$ 1M to us for doing software outsourcing.