Step into the startup hub of Singapore and you will find Beemers, Mercedes and Audis. How did this happen?
As startup founders, we have all seen this before.
Back in the day, when government grants were readily available, entrepreneurs were appearing out of nowhere, living this lifestyle of “yea, I run a startup, a very cool one”. Plus, they could back it up by saying, “I was featured in Straits Times, which means I am doing great!”
When VCs started to be more active, startups started getting all the necessary funding, making high-impact moves into regional markets. At the same time, we (entrepreneurs) wondered, “How is that business sustainable?” Why are the investment funds justified? Why did the VC pick that company?
Now, don’t go ga-ga about all those investment philosophies and this potential exit opportunity or that 5-year-plan. I respect the ROI talk, but how does this actually benefit the economy? Or the lay-person living and breathing here in Southeast Asia?
How should we handle VCs and entrepreneurs that seem to be raising cash to live the good life?
Copyright: NejroN / 123RF Stock Photo
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