Mr Lee Yi Shyan at the ETDF gathering

OPENING SPEECH BY MR LEE YI SHYAN, MINISTER OF STATE FOR TRADE & INDUSTRY, AT THE ETDF GATHERING ON FRIDAY 15 SEPTEMBER 2006, 4.00 PM AT THE NATIONALUNIVERSITY OF SINGAPORE

Dr Lily Chan, Chief Executive Officer, NUS Enterprise

Ms Elim Chew, Chairperson of ACE Culture Action Crucible

Ladies and Gentlemen

Good Afternoon

Introduction

It is my pleasure to be here this afternoon amongst our budding entrepreneurs. Compared to my days as an undergraduate, I think our education system has made significant and commendable progress, especially in introducing content on entrepreneurship. Discussion on entrepreneurship is one way to close the gap between a pure academic pursuit and the requirements of the real business world out there.

One common question asked about entrepreneurship is: Is an entrepreneur born or made? I know we could debate the whole afternoon on this interesting subject. But for me, I think there are some amongst us who are more inclined to entrepreneur-like undertaking and pursuits. For would-be entrepreneurs, a nurturing environment would, in my view, definitely increase the chances for success in entrepreneurial undertaking.

Learning by Doing

A vital part of building an entrepreneurial environment in Singapore is to equip our budding entrepreneurs with the skills and process know-how to take innovative ideas to the market. Beyond just having brilliant ideas or innovative technologies, budding entrepreneurs must know how the real market works. They need to learn to pitch their products and services to the customers. They need to learn how to assemble and motivate a team. They need to learn about managing cash flow.

The $25 million ETDF was launched in June 2004 for this purpose. It provides matching funding to Institutes of Higher Learning (IHLs) to help seed their students' business ventures. We have reviewed the programme with the IHLs to ensure continued usefulness. For example, we agreed with the IHLs’ suggestion to extend the alumni eligibility period to two years upon graduation. In fact, this ETDF gathering is also a result of co-ordination with the IHLs after requests for a common sharing and networking platform. Through the ETDF programme, we hope that more students will have the opportunity to start a business and develop entrepreneurial skills through learning-by-doing.

Role of IHLS in Nurturing Spirit of Enterprise

The business community and schools need to work together to help our youths understand the practical relevance of what they are learning, and encourage them to think in enterprising ways. The IHLs play a critical role in the enterprise eco-system to nurture future entrepreneurs. They can strengthen this role in three ways.

First, IHLs can provide an entrepreneurial learning environment where independent thinking, innovation and value-creating approaches to problem solving are encouraged. We could challenge students to think out-of-the-box. Students themselves, on the other hand, could improve their creative process by forming mixed and cross-disciplinary teams amongst themselves.

Second, the IHLs can work together with enterprising students who have ideas to commercialize the IP and technologies developed in-house.

Third, with their rich networks, the IHLs’ alumni and faculty body could play a crucial role in mentoring and providing support to the student ventures. They could connect them to actual entrepreneurs, people who have already done it. Having an avenue to seek advice would be invaluable to our young entrepreneurs as they encounter various challenges in running businesses.

Dare to Dream

Now let me address the students. For those who are so inspired, doing something entrepreneurial, creating something valuable out of a new business concept might just be a viable life pursuit. You must believe in your ideas, and yet at the same time be open enough to take in feedback from mentors, customers and markets and modify your ideas.

You will need to learn basic business skills, such as organizing a team, articulating your ideas to potential investors, and marketing your ideas to would-be customers. You will need to know how to manage cash flow, and be prepared to work very hard. You must also be prepared to fail, perhaps many times, before you see success. Entrepreneurial undertaking is full of risk. But the reward can be most satisfying.

Above all, you need to dream big even though you start small. I believe your future success will depend on your vision today. Amongst you, I hope to see the next generation of Sim Wong Hoos, Olivia Lums and Ron Sims.

To date, the ETDF report card looks healthy. We have supported 33 student ventures from the eight participating IHLs, involving some 100 students. We are also happy to note that there is a good mix in the participation, with students from various disciplines, as well as both local and foreign students. Some $1.4 million has already been committed.

Indeed, I was told that three NUS student ventures have attained valuations of at least $2 million each, and also secured second round of investments ranging from $200,000 to $1 million. I would like to congratulate them on their progress and on turning their ideas into compelling businesses.

I would also like to commend two individuals who persevered in their business while still in National Service - Bing Qiang and Ming Hua. Their company, M-DEAS Pte Ltd, provides software solutions for mobile and web services. Through the help of their alma mater Temasek Polytechnic, they obtained approval to hold directorship while serving their National Service. Today, Bing Qiang and Ming Hua have completed their National Service and are taking their company into full-fledged operations. They have delivered six software solution projects and secured another six, and their client base continues to grow.

Conclusion

I would like to close by leaving you with the words of the great inventor, Benjamin Franklin: “The man who does things makes many mistakes, but he never makes the biggest mistake of all – doing nothing". To the many of you who dare to try, we will be there to cheer you on.

Thank you