Mr Teo Ser Luck at the Junior World Entrepreneurship Forum (JWEF) 2011 Opening, 25 July 2011

SPEECH BY MR TEO SER LUCK, MINISTER OF STATE FOR TRADE AND INDUSTRY, AT THE JUNIOR WORLD ENTREPRENEURSHIP FORUM (JWEF) 2011 OPENING ON MONDAY, 25 JULY 2011, 10.40AM, AT NANYANG TECHNOLOGICAL UNIVERSITY

Distinguished guests,

Ladies and Gentlemen

Introduction

Good morning. I am pleased to join you at the opening of the Junior World Entrepreneurship Forum. This is part of a global entrepreneurship movement, and I am proud that this event is one of 10 such events being held around the world this year. I would like to commend the Nanyang Technological University for leading the organisation of the event, together with other Institutes of Higher Learning. This is an excellent platform for our youths to play a part in shaping the “World of 2050 with an Entrepreneurial Impact”, which is the overarching vision of the World Entrepreneurship Forum. I encourage all of you to participate actively in the discussions.

A favourable environment and culture for entrepreneurship

The Singapore government strongly believes that entrepreneurship is an important pillar to drive our next phase of growth.Therefore over the past ten years or so, we have been working hard alongside the private sector to build an entrepreneurial Singapore.Our efforts have paid off.

We sought to create a conducive environment for businesses. The Pro-Enterprise Panel, which comprises established entrepreneurs, professionals and government leaders, was set up to garner feedback from the public on ways to simplify regulations and make it easier to do business here. The Action Community for Entrepreneurship or ACE, a public-private sector movement, initiated the Pro-Enterprise Ranking of Government Agencies to raise awareness in the public service of the impact of their regulations on businesses.We worked with financial institutions to make financing easier for entrepreneurs.With these and other initiatives, we have been ranked for the past five years by the World Bank as the easiest place to do business.

We also sought to build an enterprising culture among our people.Entrepreneurs reach out to universities, polytechnics and schools to inculcate the spirit of enterprise.YES! Startups was launched in 2008 to help entrepreneurial youths who are ready to launch their first entrepreneurial ventures. Through this concerted effort, the Global University Entrepreneurial Spirit Students' (GUESS) Survey, conducted in 2009, indicated that four out of five tertiary students here would like to eventually start a business.This compares very favourably with many other countries.

The government also adopts a holistic approach to seed and nurture innovative startups. Beside direct funding programmes such as SEEDs, and the Technology Enterprise Commercialisation Scheme, we also provide various incentives to involve enablers such as incubators, venture capitalists and angel investors, in our efforts to help the startups grow. For instance, the Incubator Development Programme has indirectly supported over 300 startups in accessing critical support such as mentoring, financing, or market access.

Start young; think global

However, in spite of the enabling environment and many supporting schemes, we have not seen many youths actually become entrepreneurs in the end. The same GUESS survey I mentioned earlier revealed that although four in five youths would like to eventually own their business, only one in five have started some concrete action towards fulfilling their entrepreneurial dream. Only 1.2% of youths actually have a business running.Why?

From my previous experience in the private sector working with startups, I fully appreciate the challenges of starting a business. It is a leap into the unknown, with many risks involved and thus requires thorough consideration. Nevertheless, my advice is, if you have a good business idea and truly want to live your entrepreneurial dream, start young.

Why is it important to start young? Because it is the best time to do so. As a young person, you have the advantage of time. You are not tied down with commitments. Studies have shown that entrepreneurs usually succeed only on their second or third attempt. The first venture is usually to gain experience and learn from mistakes and missed opportunities. And this is the time you can probably afford to fail, and learn from your failure.I am sure many serial entrepreneurs like Kok Choong from Hoiio would agree with me. Kok Choong’s first venture when he was a graduate did not take off.But he was not discouraged and went on to establish Hoiio in 2007.Today, the company is a leading Internet telephony service firm in Singapore and has expanded into the Europe and North Asia markets

You may worry if you have what it takes to be an entrepreneur. Even if you then discover that being an entrepreneur is not your cup of tea, your experience as one would make you very valuable to employers. This is especially true for those employers who understand the challenges of entrepreneurship and the inherent quality of someone who has gone through the entrepreneurship journey.

And there are others who have succeeded at their first attempt too.Just look at tenCube. The co-founders, Darius, Varun, Indradeep and Rishi were students at NUS when they started the mobile phone security company. Last year, tenCube was acquired by McAfee, reportedly for a handsome sum. Another example is Smoov, a mobile solutions company started in 2007 by Steve, Zave and Guanghao who were in NTU. Over the past three years, Smoov won the Asia Pacific ICT Award for their innovation, and Smoov is expanding into Asia. One more example is Progeniq, which was started by Darran Nathan from Ngee Ann Polytechnic. Progeniq has also leapt onto the global stage with multi-national clients from around 15 countries. I understand that it is well-received within the industry and has attracted international investors.

tenCube, Smoov and Progeniq succeeded because their founders started with a vision that looked beyond our small local market and recognised the opportunities in the global market. As the global economy becomes increasingly borderless, new business opportunities will emerge. For those who are thinking about starting your own business, I urge you to follow in their footsteps.Start young, think global.

Conclusion

Let me now conclude by saying that I believe the Junior World Entrepreneurship Forum is a good platform for young enterprising minds to meet and exchange ideas and views on entrepreneurship. I hope it will set you thinking, and more than that, inspire you to action, to make your entrepreneurial dream come true.And as you do so, I call on those who have gone ahead of you to partner you on this journey, to be a friend, a guide, a mentor.

On this note, I wish all of you a fruitful experience over the next few days. Let this be the beginning of a journey to achieve your entrepreneurial dreams and shape our country’s future together. Thank you.