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How Singapore Government Support Startups One of the most business friendly countries in the world is Singapore. If there is one reason why, it is because the government of Singapore assisted startups to get funds and succeed. Usually, people would not want to push through a business due to insufficient capital. Hence, it is the government’s role to take action on motivating its people not just to work but to establish their own business. In Singapore, the government does their best to contribute to the success of small and medium enterprises. They have always been supportive and pro-business so as to help maintain the country a perfect one for entrepreneurs to set up their business. For start-ups, Singapore provided some funding initiatives that are instituted by the different agencies of the government that includes: Equity financing systems This is the fund lent by the investors for a business. In exchange, a share of company ownership will be given. This is among the many types of financing appropriate for startups. Some of the government backed equity financing methods includes: - SPRING SEEDS (Startup Enterprise Development Scheme) - BAF or Business Angels Fund Scheme - EVFS or Early Stage Venture Funding Scheme Cash grants To start up a business in Singapore is a smart move. It is because the aspiring businessmen can be eligible to have access to business grants that are disbursed by the various agencies of the government. Business incubator methods One essential resource for startup entrepreneurs is business incubators. These are those people who are not just after to getting funds but would also like to get assistance and information for their endeavor. For biotechnology startups, it is common to seek research centers as incubators to perform their research. I have a friend who is researching an easier and more efficient HIV test in Singapore and he managed to attach to incubators in Singapore to perform his experiments. Debt financing For those who would like to raise the startup funds without the need to give up a share on their profits, this is a good option. If there is a disadvantage to this method, is that the loan repayments should be settled promptly. The borrowers are indebted to the lenders. It is regardless if their start up is generating earnings or not. Tax incentive plans The government offered quite a few benefits for entrepreneurs. One of such that is considered noteworthy would be their initiative to introduce the several tax benefits for startups. The tax breaks served as a bonus for the industrialists to establish more companies as well as to provide more jobs for the economy. By getting in touch with the government agencies, you are able to get information regarding the best way to get the appropriate funds for the business. For the various types of funding method except the family and friend assistance, it is essential that the person looking to get a loan is: - A first-time entrepreneur - The decision maker that is fully committed to the company - Given consent from the parents if 18 year old during the application. To be employed can be considered a great achievement especially by a multinational company. However, there is nothing more rewarding than to be the boss of your own company. Thus, the government of Singapore encourage their locals to start-up their business.
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