Acronis and Minterest offer cybersecurity, financing to Singapore businesses

Acronis, a global player in cyberprotection, is now offering Singapore businesses financing through a partnership with Minterest, a Singapore-based online financial services solutions provider. The two have joined forces to launch Acronis #CyberFit Financing, Powered by Minterest to provide Singapore-based businesses with financing support to remain resilient and #CyberFit during the COVID-19 pandemic.

Through this partnership, Acronis and Minterest hope to empower businesses by providing easy access to customised financing solutions to tide them through this difficult period while building their cybersecurity capabilities to ringfence their businesses.

The COVID-19 pandemic has forced businesses globally to operate remotely and people to work from home, Acronis observed. Very often, they work with unsecured digital networks and are vulnerable to cyberattacks. As a cyberprotection company, Acronis is dedicated to helping organisations safeguard their data, applications, and systems so they can remain productive and avoid costly downtime. During the COVID-19 outbreak, essential services will need cyberprotection to be #CyberFit, ensuring their IT infrastructure remains protected and operational.

Serguei Beloussov, Founder and CEO of Acronis, said: “Cybercriminals are ruthless— they see the coronavirus pandemic as an opportunity to target new vulnerabilities such as those caused by many staff migrating to home offices. Now more than ever, cyberprotection should be a key concern for every business, as a data breach that costs a company valuable data can cripple even large organisations.

"Acronis Cyber Protect Cloud is a solution we have developed to combat this global threat. Acronis is dedicated to doing our part to help businesses both in the digital and the real world. With support from our capable partners at Minterest, we hope to provide streamlined access to vital funding to ensure business continuity for as many Singapore businesses as possible.”

Beyond the heightened cybersecurity risk, businesses often face urgent cash flow issues. Minterest is able to bring speed to lending, as it is able to process and approve loan applications within 48 hours, upon full submission of necessary documents.
Charis Liau, CEO of Minterest, commented: “The COVID-19 outbreak has sent shock waves throughout the global economy and many companies are facing deteriorating business conditions and cash flow liquidity crunches. We are pleased to partner with Acronis to accelerate the access to financial aid for Singapore-based firms. We want to be here for them; not just get through the pandemic, but beyond that as well.”

Source: Acronis. The new Acronis #CyberFit Financing, Powered by Minterest initiative is a partnership between Acronis and Minterest.

Details:

All companies and limited liability partnerships registered in Singapore can sign up for Acronis #CyberFit Financing, Powered by Minterest

Hashtag: #CyberFit

Dubai Chamber white paper analyses Dubai startup funding environment

Source: Dubai Chamber. Cover for the white paper.

Startups in the UAE need a practical guide to help them navigate the UAE’s funding landscape along with access to a wider network of investors who are eager to finance new business ventures, a new white paper published by the Dubai Chamber of Commerce and Industry has said.

The report, Helping Startups Access Funding, was published in collaboration with Roland Berger, and released during Dubai Startup Hub’s Entrepreneurship Advocacy Series event in March. Dubai Startup Hub is the entrepreneurship arm of the Dubai Chamber of Commerce and Industry. The initiative provides clarity and direction in the journey of a startup entrepreneur through a wide range of programmes, workshops and training.

The white paper also called for allocation of more investment for startup incubators and accelerators, as well as for closer cooperation between universities, government agencies and investment funds to expand the scope of investments, to support the growth of startups in the UAE.

Navigating the complex local funding ecosystem, high hurdle rates to qualify for equity capital, and insufficient risk appetite of debt lenders were listed as key challenges for startups in the UAE. In addition, many banks still require startups to have an established company track record of at least three years before they can qualify for funding. The report also found that investor appetite is limited to a select number of business models, technologies and sectors.

Although the UAE has successfully attracted a diverse set of investors, interest in startups as an asset class is still relatively new, the white paper noted, with the bulk of investment still primarily directed towards other asset classes such as real estate and commodities. The document added that a lack of reliable market data adds complexity, cost and uncertainty when it comes to due diligence.

Building sector and technology specific ecosystems is the way forward to further elevate the role of startups in the economy, the report said. This in turn would help drive the UAE forward in its mission to be a world leader in innovation, and develop an entrepreneurial ecosystem where startups, small and medium sized enterprises (SMEs), and major corporations can promote the use of modern technology, leading to the diversification of the economy, and the creation of new job opportunities.

The white paper also underlined the need to build more incubator capacity to cater to the growing number of entrepreneurs, adding that most of the currently available spaces still come at a cost that require start-ups to run on a self-financed basis for a fair period.

Startups still continue to experience some degree of difficulty in opening a bank account in the UAE, largely due to the various risk policies adopted by banks, the report said, calling on government entities to play a leading role in reducing the risks incurred by banks in financing early-stage startups.
On a positive note, the report said the building blocks for a thriving ecosystem are now in place, noting that the number of startups in the UAE has grown considerably in recent years as the country has become a preferred regional destination for entrepreneurs operating across a wide variety of sectors and fields.

Results of the new white paper were based on insights obtained by a survey of banks, startups, venture capital firms, angel investors, incubators, accelerators, and government entities in the UAE.

Explore:

Download the Helping Startups Access Funding white paper (PDF)

Tech and innovation business club launched in Singapore

 Business club and ecosystem builder provides members access to seven strategic groups for collaboration

 Co-founded by entrepreneur Cheryl Lee and Golden Equator’s CEO Shirley Crystal Chua

 Mistletoe, a collective impact collective founded by renowned serial entrepreneur Taizo Son, will partner SPECTRUM

 First Mistletoe office in Asia outside of Japan based at SPECTRUM

Source: SPECTRUM. From left: Lee, Son, Chua.

SPECTRUM, a curated tech and innovation business club, has launched in Singapore. Co-founded by Cheryl Lee, a former Asia Managing Director at a private bank who also co-founded lifestyle group One Rochester, and Shirley Crystal Chua, Founder and CEO of Golden Equator, a group of Singapore businesses around finance, consulting, technology and innovation, the organisation aims to create a globally connected ecosystem by providing curated counsel, the right resources and strategic networks to businesses looking to springboard into Asia. 

SPECTRUM developed the tripartite partnership with Golden Equator and Mistletoe to bring together seven strategic groups – innovators, learning institutions, executors, backers, enablers, government agencies as well as ecosystem builders and partners to create synergised collaboration and pursue transformational initiatives. SPECTRUM’s international community and networks include key members from the seven strategic groups. 

These groups can empower fellow club members via access to enablement, validation, innovative ideas, capital, resources and strategic business networks. As an integral part of the offering, the SPECTRUM technology platform supercharges the connections between members both online and off. Beyond the human capital facilitating strategic business networks, the platform empowers members to collaborate and create true commercial value around the globe anytime and anywhere. 

The organisation has six focus sectors: financial, education, healthcare, fashion, food and housing. 

SPECTRUM will also welcome Mistletoe, a collective impact collective founded by Taizo Son, as a partner and one of its key resident members.

“Together with Golden Equator and Mistletoe, SPECTRUM wants to redefine how businesses can scale and grow. SPECTRUM curates an ecosystem that facilitates business-making across moments of a company’s growth journey, and we want to provide a powerful and accessible platform that is committed to empowering businesses of the future,” Lee said.

“Asia’s tremendous growth potential and momentum mean there are opportunities aplenty for companies old and new to innovate and succeed by being part of the right ecosystem with networks that could help grow their businesses in a meaningful way.”

As SPECTRUM’s key partner, Mistletoe will also base its first office in Asia outside of Japan at SPECTRUM. Taizo Son, its founder and a serial entrepreneur, was most recently appointed special advisor by Golden Equator.

“We decided to base Mistletoe’s first office in Asia outside of Japan at SPECTRUM because we are aligned in our strategic vision, along with Golden Equator, to revolutionise the business landscape and build an ecosystem through access, networks and connections,” Son said.

Since its launch, SPECTRUM has hosted a closed-door thought leadership roundtable discussion with technology and innovation industry leaders and a closed-door investor pitch session for its resident member C&R Healthcare’s eight Korean healthcare companies. The eight businesses connected with investors on potential investment, mentorship and guidance on strategic partnerships. 

Further into the year, SPECTRUM will develop more collaboration and partnership opportunities with government-level agencies in the region for its anchor member Golden Equator.

AsiaKredit launches consumer lending platform in the Philippines

· AsiaKredit aims to advance financial inclusion in the Philippines by improving both the availability of credit to those with limited or no banking history, as well as their approval rate

Source: pera247 website. Screenshot of the pera247 app.

· Pera247 is a fully digital lending solution that aims to provide unsecured small-ticket, short-term consumer loans for up to 90 days through a mobile wallet

· Credit assessment tools analyse mobile behavioural data and other alternative sources of data to make fast and reliable credit decisions

AsiaKredit, a digital consumer lender focused on Southeast Asia, today announced the launch of pera247 in the Philippines. The digital lending solution aims to provide unsecured small-ticket, short-term consumer loans for up to 90 days to the country’s underbanked population with no existing credit or collateral history, via a mobile app.

As part of the credit assessment process, pera247 considers both traditional and alternative sources of data, such as behavioural mobile data from an applicant’s smartphone. AsiaKredit says pera247 is capable of highly predictive digital credit assessments that increase loan approval rates while reducing its risk. 

At the end of the credit decision journey, the pera247 app also acts as a mobile wallet for the successful applicant, where funds will be disbursed to and linked to thousands of physical payment centres, within hours of the application.

AsiaKredit’s Co-Founder and CEO Mike Singh commented: “We are excited to take consumer lending fully digital in the Philippines as we see a dynamic shift in consumer digital behavior to access financial services through mobile and online channels. Through pera247, AsiaKredit has a huge opportunity to impact the lives of hundreds of millions unbanked clients in Southeast Asia, leveraging the high mobile penetration in the region to foster financial inclusion. 

AsiaKredit plans to expand its product offering to other countries across Southeast Asia, with Indonesia in its sights for 2018.

Scale innovative initiatives in nutrition, water or rural development with Nestlé

Submissions for Nestlé's 2018 Creating Shared Value (CSV) Prize, accepted till the end of October from anywhere in the world, offer all social and commercial enterprises, as well as non-governmental organisations (NGOs) prizes totalling RM2.2 million for innovative business initiatives that address challenges in nutrition, water or rural development which can be scaled up or replicated.

Nirmalah Thurai, Executive Director, Group Corporate Affairs, Nestlé Malaysia said, “There are many innovative socially-conscious projects run by amazing Malaysians. This is a wonderful opportunity showcase these initiatives on a global platform and we strongly encourage Malaysian change makers to submit their ideas.”

This is the 8th edition of the Nestlé CSV Prize, which is held every two years. This year, it celebrates Nestlé’s 10 years of Creating Shared Value, a philosophy which is embedded throughout the group. CSV is based on the belief that for a company to be successful in the long term and create value for its shareholders, it must also create value for society.


Since the Nestlé CSV Prize was established, Nestlé has supported nine initiatives, helping them unlock their potential and create a greater impact.

Details:

Online applications for ideas on nutrition, water or rural development are accepted until October 31, 2017. Shortlisted entrepreneurs will have the opportunity to participate in the 2018 World Water Forum in Brazil to pitch their initiatives live to the Nestlé CSV Council.

Fintech investment in Asia Pacific heats up

Investments in Asia-Pacific financial technology (fintech) ventures, primarily in China, reached US$9.62 billion as of July 31, more than twice the US$4.26 billion invested in the region in all of 2015, according to Accenture.

An analysis of CB Insights data also showed that investments in Asia-Pacific have eclipsed North America, which as of July 31 garnered US$4.58 billion in fintech investments; and also tops Europe, which attracted US$1.85 billion in the same period.

By deal volume however North America and Europe, show more activity as the Asia-Pacific increase is due to big investments in a few select fintech companies in China, Accenture said. There have been 192 deals in the Asia-Pacific region so far this year, as compared with 509 in North America and 230 in Europe.

In fact, the top 10 investments in Asia-Pacific fintech ventures occurred in mainland China and Hong Kong, accounting for 90% of overall Asia-Pacific investments and valued at US$8.75 billion. In total, China and Hong Kong fintech ventures have attracted US$9 billion in investments to date in 2016.

“China’s established companies, rather than nascent startups, are at the forefront of the fintech trend in the region,” said Beat Monnerat, Accenture Senior MD, Financial Services Asia-Pacific. “Fintech companies with major backers such as Alibaba and JD.com are focused on providing positive end-to-end customer experiences, which includes payments and lending. This is transforming China’s financial services industry and is consistent with the global ‘Fourth Industrial Revolution’, which is bringing innovation from non-traditional competitors to the financial services industry.”

Ant Financial Services Group, the financial-services affiliate of e-commerce giant Alibaba Group Holding that operates China’s online-payments platform Alipay, closed a US$4.5 billion fundraising round in April. Ping An-backed Lufax, which is now using the name Lu.com, completed a US$1.2 billion round of fundraising in January. In that same month, China’s second largest e-commerce company, JD.com, raised US$1 billion in new funding for its consumer finance subsidiary, JD Finance.

In recent years, major Alibaba affiliates and China’s biggest social network company, Tencent, have also invested in other smaller startups, such as Fenqile, a micro-loan site which literally means “happy instalments,” Qufenqi, an electronics retailer that lets buyers pay in monthly instalments, and India’s One97 Communications, a mobile Internet company.

“The fintech trend in China continues to skew toward online payments and lending, including peer-to-peer (P2P), which is creating market-share dilution for banks,” said Albert Chan, MD, financial services for China, Accenture. “China’s banks, whether building their own competitive platforms or not, should consider investing in collaborative fintech ventures in order to remain competitive.”

Malaysia Debt Ventures launches Bumiputera Technology Fund

Malaysia Debt Ventures (MDV), a wholly-owned subsidiary of the Minister of Finance Inc., in collaboration with Unit Peneraju Agenda Bumiputera (TERAJU), has launched the Bumiputera Technology Fund (BTF) for technology-based companies.

The development of the new BTF programme is a step forward in the collaboration between MDV and TERAJU, which has helped to create a pipeline of quality and sustainable bumiputera* entrepreneurs. MDV and TERAJU are continuing the momentum with the new fund, totalling RM100 million. Bumiputera technology-based companies that are listed under TERAJU’s SUPERB and Syarikat Bumiputera Berprestasi Tinggi (TERAS) programmes are eligible for BTF funding..

Nizam Mohamed Nadzri, MDV’s Senior Vice President of Corporate Services said, “The BTF is envisaged to ensure a more comprehensive financing ecosystem for bumiputera companies, in particular, technology-based companies. The fund also targets to fill in the funding gap that exists for startups under SUPERB, as a follow-on funding programme to the grants received from TERAJU.”

He further explained that the BTF is a progressive proposition for MDV from the perspective of MDV’s dual mandate to provide development financing and nurturing to technology SMEs in a sustainable manner, particularly as the fund will fund graduates of the SUPERB programme who may require nurturing to achieve their goals.

Apart from improving access to finance, particularly for startups in the technology sector, the shari'ah-compliant fund also serves to fulfill customer demand for more diverse Islamic facilities.

To be eligible for financing under the BTF programme, TERAS and SUPERB companies must be incorporated in Malaysia with a minimum paid-up capital of RM100,000 and possess viable projects that are within the technology space. Financing facilities offered will be from a minimum of RM500,000 to a maximum of RM5 million. All applications made for financing under the fund will be subject to assessment based on MDV’s credit risk criteria as well as risk assessment processes, which are geared towards financing technology companies and projects.

MDV was established by the government of Malaysia in 2002 to provide flexible, innovative credit financing to developing high-impact and technology-driven sectors of the economy, identified and prioritised by the government as future engines of growth. As one of the agencies in Malaysia solely focusing on technology-related sectors, MDV aims to be the leading technology financier in the country. Since its establishment more than a decade ago, MDV has financed numerous technology projects in various sectors as it strives to fulfil its mandate and developmental role in the technology industry.

*Also spelt 'bumiputra', the term typically refers to people of indigenous Malay ethnicity.

InnoVen invests in e-commerce startups in Malaysia, Thailand

United Overseas Bank (UOB) and Temasek joint venture InnoVen Capital (InnoVen) has signed two venture debt* financing agreements with e-commerce startups in Southeast Asia. The startups are among a list of 20 Southeast Asian, Indian and Chinese companies which InnoVen has identified for venture debt funding in the next six months, in sectors such as e-commerce, financial technology, logistics and big data.

In the first quarter this year, InnoVen signed financing deals with Malaysia-based KFit Holdings, an e-commerce health and fitness company that has raised funding from Sequoia Capital, and Thailand-based Pomelo Fashion, an e-commerce fashion company which is backed by Jungle Ventures. 

Both companies will be using the venture debt loans to develop their business in the region. InnoVen will provide loans totalling US$5 million to help KFit Holdings and Pomelo cater to the fitness habits and fashion trends of Asia’s growing affluent population, which is expected to account for two-thirds of the world’s middle class consumers or about 3.2 billion people by 2030**. 

Pomelo Fashion has been identified by InnoVen as having high growth potential. The company uses e-commerce to market and to sell its brand of apparel, accessories and footwear to the rising affluent in Southeast Asia. Casey Liang, Co-Founder of Pomelo Fashion said, “For a startup such as Pomelo, funding is often critical as we accelerate our growth, expand into new markets and invest in new capabilities. The venture debt from Innoven will help us accomplish these goals more efficiently. Innoven has been a great partner who understands our business dynamics and was able to tailor a financing structure that met our business needs.” 

Eric Tham, Managing Director and Head of Group Commercial Banking, UOB, said venture debt is important in nurturing Asia’s entrepreneurs and in encouraging innovation. “UOB was formed by enterprising minds and has been supporting the growth of SMEs for more than eight decades. We see the importance enterprise plays in economic growth and are committed to ensuring that the best startups have the necessary funding support to develop into world-class businesses. This in turn will help to drive the economies of Asia,” said Tham. 

Chin Chao, CEO of InnoVen, Southeast Asia, said: “The current momentum of InnoVen demonstrates the importance of venture debt as an alternative funding source to traditional equity financing by venture capitalists. As part of InnoVen’s investment mandate, the company is seeking companies with differentiated business models that have the potential to become leading global businesses.” 

InnoVen Capital had announced the start of its operations in Southeast Asia a few days before the venture debt announcement. Ajay Hattangdi, Group COO and CEO India said, “We continue to invest heavily in building our India business but also want to be able to support our clients and their investors across markets. Having one unified platform across the region helps us to work seamlessly with clients who are increasingly looking to expand beyond just one market and therefore have requirements for risk capital across geographies. We are seeking to leverage our experience of working with high-growth startups and close relationships with VC investors in creating a regional platform for InnoVen Capital.” 

UOB and Temasek have each committed up to US$100 million in paid-up capital to InnoVen, which was set up in 2015 to provide high-growth and innovative Asian startups with up to US$500 million in venture debt loans over the next five years. According to an EY report on venture debt***, the potential market size for venture debt in Singapore, China and India between 2015 and 2019 is US$2.2 billion. InnoVen Capital recently announced the completion of over 100 venture debt deals in India by disbursing over Rs275 crore across 27 transactions in 2015. It witnessed 100% growth over the previous year in terms of number of clients and loan volumes. This year, InnoVen Capital aims to provide fresh funding in excess of US$65 million.

Venture debt financing is part of UOB’s commitment to support the growth of Asian enterprises, from startups to listed companies. The bank offers end-to-end financing solutions such as equity crowdfunding, venture debt financing, term loans and capital market solutions. 

*Venture debt is a type of loan provided to venture capital-backed startups to help bridge their funding needs and finance their business growth. 

**Brookings Institution, The New Global Middle Class: A Cross-Over from West to East, March 2010 

***Building a venture debt business in India, China and Singapore, EY, 28 August 2014 

QIB signs up for Al-Dhameen SME funding programme

Source: QIB. Abdulaziz Bin Nasser Al-Khalifa, CEO of Qatar Development Bank (QDB), and Bassel Gamal, Qatar Islamic Bank (QIB) Group Chief Executive Officer, signed the Al-Dhameen agreement. The ceremony was attended by QDB officials Khalid Abdulla Al Mana, Executive Director of Business Finance and Jawaher Al Noaimi, Al Dhameen Programme Manager. QIB was represented by Tarek Fawzi, General Manager, Wholesale Banking Group, Mazen Al Thalathini, Assistant General Manager-Corporate Banking, and Basem Shahrouri, Head of Business Banking Division. 

Qatar Development Bank (QDB) has signed a new Al-Dhameen Programme Portfolio Agreement with Qatar Islamic Bank (QIB) for small and medium enterprise (SME) financing in Qatar.

Al-Dhameen, which is sponsored by QDB, helps startups and existing companies with lack of collateral to obtain funds for growing their businesses. All main sector business activities are eligible for support under Al-Dhameen except the agriculture, fishing and livestock; non-oil mining and quarrying; wholesale and retail trade; financial and insurance, and real estate industries.

The programme does not provide direct finance to SMEs, instead offering the business owner access to the required finance from a partner bank in the form of guarantees in favour of the bank. Al-Dhameen guarantees 85% of the finance value not exceeding QR15 million). 

The Al-Dhameen programme was enhanced after feedback from partner banks and related parties, primarily to expand the base of beneficiaries, allow partner banks to determine which SMEs receive financing, and to fund them more flexibly. A record QR846 million in guarantees have been disbursed to over 348 SMEs since the beginning of the programme in 2010. 

The new QR100 million Al Dhameen portfolio aims to speed up approvals to guarantee the value of the funding provided by the partner bank to small and medium enterprises lacking sufficient guarantees. QDB has prepared a special portfolio guide that describes the terms, conditions, and international standards, due diligence, credit monitoring, applications and guidelines development, to help QIB to take the necessary decisions without referring to QDB.

Abdulaziz Bin Nasser Al-Khalifa, CEO of QDB said: "The Al Dhameen programme primarily facilitates financing to some of the most important sectors of industry, such as education, healthcare, and value-added services. The programme targets mainly companies and startups. We are delighted with this partnership with QIB, which (reinforces the priority) that all banks operating in Qatar have to support and develop the SME sector, diversifying the private sector and building a knowledge-based economy.” 

Bassel Gamal, QIB Group Chief Executive Officer said: “This agreement underscores QIB’s commitment towards supporting the country’s economy, by enhancing the role of the private sector and contributing to a suitable economic diversification as part of the Qatar National Vision 2030. It enables our existing and potential customers to get what they need swiftly and seamlessly, thus supporting the establishment of new SMEs and helping operating companies with their business expansion plans.

“We are proud of our strong ties with QDB, and we are committed to further enhance the mutual cooperation to achieve the agreement’s objectives which will contribute significantly in speeding up the process to provide financing solutions for SMEs. Supporting the SME sector is one of our top priorities, and for that reason, we have a dedicated programme, Aamaly, designed to cater for all the financial needs of SMEs in Qatar.”

Commercial Bank and Doha Bank are also partner banks for Al-Dhameen, having signed agreements with QDB in July 2015.

Interested?

SMEs can enquire about applications at the nearest QIB branch.

Golden Equator Consulting helps SMEs, startups progress to success

Golden Equator Consulting (GE Consulting), a business consultancy, has launched their Singapore operations to cater to SMEs and startups around the region. “...These businesses are crying out for strategic and execution partners that are able to shortcut the growth process, so that they can focus on the important parts of running their business,” commented Sharon Chong, CEO, GE Consulting.

The company features consultancy on all aspects of running a business, from advice on business strategy and sales positioning, financial support, to working on marketing, technology, HR and legal requirements. It is partnered with an independent asset management and private equity investment firm, Golden Equator Capital, giving it access to a wide network of investors and sources of funding.

SMEs today account for more than 96% of all enterprises in ASEAN with 170,000 located in Singapore alone*. “We see Singapore as a hotbed for tech startups due to the financial capital, government support and investment, infrastructure, stability, and a safe and transparent place to do business, with the added security of IP protection,” said Chong, observing that more than 170,000 SMEs account for over 99% of all businesses in Singapore**. 

GE Consulting’s projects include Campore, a retail and distribution company for international brands in Cambodia. Campore branched out with GE Consulting into the retail sphere via Central Mall, a department store. GE Consulting also helped the company secure distribution deals with international brands, including the sole distributorship of Vertu phones in Cambodia.

GE Consulting is also working with Eunoia, billed as the world’s first food and beverage (F&B) technology ecosystem that connects both new and legacy solutions with F&B merchants. This allows F&B merchants to select the best front-of-house and back-of-house technology solutions for their brand, and have them integrated into one consolidated platform and centralised dashboard for easy management. The company will be launched in Singapore and later regionally.

Singapore-based YOLO, another GE Consulting customer, works on the concept that healthy food should actually taste good. The company is the brainchild of Asia Apprentice finalist Alexis Bauduin, who is also Director, GE Consulting.

*Department of Statistics, Singapore
**ASEAN SME Policy Index, 2014

More help for Malaysia's SMEs through Bank Muamalat

Bank Muamalat Malaysia (Bank Muamalat) signed an MOU with Perbadanan Usahawan Nasional (PUNB), Malaysia's national entrepreneur development corporation in early December under which PUNB will provide a financial guarantee to Bank Muamalat with respect to advances, credit facilities or financing provided by Bank Muamalat to established SMEs.

With the collaboration, Bank Muamalat will work together with PUNB to play an important role in the development of business community, especially for SMEs in Malaysia. The partnership with PUNB will allow the bank to add to the pool of credit available for SMEs in line with government aspirations. Bank Muamalat and PUNB also agreed to collaborate and participate in entrepreneur development activities such as joint training programmes, workshops, business matching and related activities for the benefit of SMEs. 

The bank has also enhanced its SME portfolio.

SMEs get incentives galore in Malaysia's Budget 2015

Offering a helping hand for small and medium sized enterprises (SMEs) was a big part of the Malaysian Budget 2015, which was announced by Prime Minister and Finance Minister Datuk Seri Najib Tun Razak on October 10. 

"Currently, SMEs contribute 33% to GDP and the share is targeted to increase to 41% by 2020," he noted in his speech.

To accelerate the participation of SMEs in economic activity, the Malaysian government proposes the implementation of the SME Investment Partner programme. Under the programme, SMEs will be given financing assistance in the form of loans, equity or both, particularly at the startup stage. An initial fund totalling RM375 million will be provided for a period of five years, of which RM250 million is from SME Bank and RM125 million from private investors. In addition, RM10 million will be allocated for the Business Accelerator Programme under SME Corp.

To enhance use of new technology, automation and innovation in the development of SMEs, RM80 million is allocated for a Soft Loan Scheme for Automation and Modernisation of SMEs under Malaysian Industrial Development Finance.

TEKUN, the national agency  which provides business opportunities, business capital financing and guidance and support services for entrepreneurs, has already channelled loans totalling RM3.1 billion to nearly 300,000 borrowers with loan limits of between RM1,000 and RM100,000. "In 2015, TEKUN will provide additional funds of RM500 million which will be distributed as follows:

First: RM350 million is allocated for Bumiputera entrepreneurs to provide financing to nearly 33,000 new borrowers;
Second: RM50 million will be allocated to Indian Entrepreneurs Financing Scheme that will benefit 5,000 Indian entrepreneurs;
Third: RM50 million will be allocated to the Young Professional Women Entrepreneurs Development Programme that will benefit 5,000 professional women; and
Fourth: RM50 million will be allocated to the Armed Forces Veteran Entrepreneur Development Programme that will benefit 5,000 veterans," said Najib. "To assist SME entrepreneurs from the Chinese community, the Government will provide soft loans totalling RM50 million, and RM30 million for hawkers and petty traders."

Additional help for SMEs in the service sector is also forthcoming. The government wants the services sector to contribute 60% of GDP by 2020, up from 55.2% in 2013. To boost the services sector, Malaysia is implementing various initiatives, including:

• Setting up a Services Sector Guarantee Scheme amounting to RM5 billion for SMEs in the services sector;
• Establishing a Research Incentive Scheme for Enterprises (RISE) with an allocation of RM10 million to encourage companies to set up research centres in high technology, ICT and knowledge-based industries;
• Reintroducing the Services Export Fund (SEF) totalling RM300 million to encourage SMEs to conduct market feasibility studies and undertake export promotion to penetrate new markets; and
• Strengthening the Franchise Development Scheme under the Ministry of Domestic Trade, Co-operatives and Consumerism in collaboration with the Malaysian Franchise Association. 

"The RISE addresses several longstanding economic agendas, and to have them refreshed in the new fiscal budget underscores the criticality of these goals in the nation's long-term roadmap. With RM10 million set aside to encourage the founding of research centres in high-tech, ICT and knowledge-based industries,  IDC expects this capital injection to further catalyse the inflow of foreign direct investment (FDI).  Although it was not made clear if RISE's coverage would be fully extended to include foreign investors, such a motion would be extremely relevant and well-timed – large multinationals such as Intel and AMD have long flagged Malaysia for its competitive advantage in the R&D sector relative to peer Asian nations, and further incentives would serve to validate this view," Ho Sui-Jon, Market Analyst, IDC Financial Insights Asia/Pacific, representing IDC Malaysia commented.

"Additionally, RISE will also play a none-too-small role in pushing Malaysia forward in the high-tech goods value chain. This pursuit was last backed by policy-makers during the announcement of the latest Financial Sector Master Plan, where it was stated that value-added manufacturing will replace the nation's dependence on parallel medium industries moving forward.

"Should IDC's assumptions hold true, we can expect cross-sector spillovers that will far surpass the RM10 million outlay in scope, taking the form of more aggressive enterprise resource planning (ERP) investments moving forward."

The Government will also introduce a new Islamic finance product for investment in 2015 called the Investment Account Platform (IAP). The IAP is expected to provide opportunities for developing viable SMEs, he added. 

Automation is being encouraged in the manufacturing industry, with high labour intensive industries such as rubber products, plastics, wood, furniture and textiles to enjoy an automation capital allowance of 200% to be provided on the first RM4 million expenditure incurred within the period from 2015 to 2017. For other industries, the automation capital allowance of 200% will be provided on the first RM2 million expenditure incurred within the period from 2015 to 2020.

To develop creative industries such as animation, filming, designing and cultural heritage, the Government has allocated RM200 million to MyCreative Ventures in 2012. To further promote the industry, a Digital Content Industry Fund will be set up under the Communications and Multimedia Commission with an allocation of RM100 million.

"The  Digital Content Industry Fund, an extension of the MyCreative Ventures fund of 2012 will be set up under the Communications and Multimedia Commission, with RM100 million allocated. Given that this directly benefits the film, animation, design and other associated industries, all of which are data-intensive, IDC expects a significant portion of the fund to be channelled back into Third Platform IT investments. Ranging from the management of proprietary data through virtual, cost-effective and secure services, to the delivery of media on various alternative channels beyond mass broadcasting, it is hoped that this initiative heralds the conception of a much more vibrant app/ media/ mobility ecosystem in Malaysia," said Ho.

A more specialised incentive package is to be offered for investment projects based on technology, innovation and knowledge, particularly involving highly qualified employees with high salaries. RM1.3 billion has been set aside for the Ministry of Science, Technology and Innovation to implement several programmes including:

• A target of 360 high-impact innovative products to be commercialised within the next five years;
• Research funds of RM290 million to implement high-impact R&D&C programmes;
• Rebranding of SIRIM, the national agency for R&D and quality standards. For this, an SME Technology Penetration and Upgrading Programme and technology auditing will be implemented;
• Introduce a new Public Private Research Network spearheaded by Ministry of Education in collaboration with the Malaysian Technology Development Corporation with an allocation of RM50 million; and
• Strengthen the Technology Commercialisation Platform Programme by Agensi Inovasi Malaysia with an additional allocation of RM50 million.

For infrastructure, the High-Speed Broadband (HSBB) network will continue to be implemented in areas of high economic impact, covering state capitals and selected major towns nationwide. A sum of RM2.7 billion will be spent over the next three years to build 1,000 new telecommunication towers and laying of undersea cables.

Ho noted:  "The recalibration of various subsidy schemes is likely to have a positive, albeit delayed, impact on the adoption of consumer and enterprise technologies. However, the national budget has also disclosed more direct interventions – the RM2.7 billion earmarked for the development of a national HSBB being the more significant of these – which will potentially have more far-reaching effects.  While there seems to have been a shift away from the goal of providing universal access to HSBB across Malaysia, there is hope that this investment will bring the nation into a more competitive positions – in terms of cost, speed, and coverage – with other countries in the region.

"The amount of investment ploughed into fast-tracking the establishment of a truly 'barrier-less' nationwide retail internet infrastructure will serve as both precedent and stepping stone for future higher-value, higher-sophistication technological propositions with broader commercial applications.  More importantly, such an infrastructure should align itself seamlessly with the Digital Malaysia initiative, and will prove to be a crucial enabler for the 'Third Platform' of technology development (comprising of the Big Data, Cloud, Social and Mobility domains).

Ho noted that changes under 'Mainstreaming Technical and Vocational Education', under which the government has committed RM1.2 billion to enhance vocational and community college programmes, could also impact the IT industry.  "While it was not made clear exactly how these initiatives will be iterated, IDC is cautiously optimistic that they would take a form beyond tuition subsidies and fee waivers, to include actual enhancement of education facilities as well as, quite possibly, the establishment of new academic programmes. If that should be the case, it would give rise to significant potential in new applications of IT and ICT in the country, as well as preparing next-generation talent with the tools to compete locally and globally," he said.

Ho added that enforcement of GST in mid-Q2 2015 will disrupt the local sale of personal devices such as mobile phones, tablets, and PCs during the periods near to the launch date. "IDC expects a measureable acceleration in purchasing trends in the first quarter, in anticipation to the impending pricing hikes and commensurately, we will witness a reduction in sales numbers after its implementation.  We expect that this will only be a short term phenomenon and that the market will normalise by the end of the year," he said.

Ho observed that a budget item overlaps with existing Digital Malaysia initiatives, relating to the technological uplifting of the local SME sector. "RM150 million has been provisioned for qualifying enterprises to purchase GST-compliant accounting software. In IDC's opinion, this would have been an exemplary move, had it been made one year ago.  Given the short remaining time left before the planned enforcement of the new tax model, it is unlikely that end-users and system integrators will be able to meet the deadline if they are indeed only now beginning to embark on the transition. The subsidy will nonetheless find some utility if and when the compliance deadline is extended, depending on the number of non-compliant SMEs remaining come Q2 2015," he said.

"However, it would also be interesting to see if this programme would accommodate organisations which have already completed or are in the process of their transformation in complying with the GST – for instance, rebates to reimburse/reward the relevant parties for being on or ahead of schedule with compliance."

Customisable cufflinks for men available on Indiegogo

CuffloCs, customisable cufflinks for men, are currently undergoing a crowdfunding campaign on Indiegogo. The cufflinks consist of a hollow area in which small items can be securely placed. According to entrepreneur Josh Jablonski, CuffloCs are designed to work with small objects such as jewelry charms, pebbles, or a photograph.

Source: Indiegogo.

"The screw/on off design keeps your items securely inside the double sided glass and (the cufflink) can easily be taken apart to change the design," states Jablonski on his Indiegogo page. "Being able to change the charms or even put your own picture in them makes them the only pair of cufflinks you need. You can create your own unique piece to match any outfit... and any occasion."

For US$40, backers receive a pair of CuffloCs and a pair of charms, one for each cufflink. Available charms include a buffalo, anchor, eagle, American flag, clover leaf, breast cancer ribbon, American football, soccer ball and basketball. International shipping costs an additional US$5. 

Crowdfunding revenue will go towards growing the business and establishing CuffloCs as a brand, Jablonski said. The campaign ends September 7, 2014. View the associated video here.

CrowdsUnite provides handy crowdsourcing news in one place

CrowdsUnite aims to be the 'Yelp' of crowdfunding with over 800 crowdfunding platforms in its database. The site offers crowdfunding advice and directs startups to platforms that best suit their needs. 

CrowdsUnite CEO Alex Feldman notes that different sites differ in their functionality, customer service, and transparency. The main issue with crowdfunding, he said, is that it is possible to run a fraudulent campaign and run away with the donors’ money.

Source: CrowdsUnite blog. Feldman introduces
crowdfunding at a July 2014 talk in New York, US.

The CrowdsUnite blog featured an infographic for the top 10 crowdfunding sites in April 2014. Kickstarter, while popular, ranked no. 5 out of 10 and no. 2 only for funding. It was not in the top three for either customer support or ease of use.

CrowdsUnite recently added international crowdfunding platforms to its scope, including Singapore-based Crowdtivate. The company includes a growing number of crowdfunding platforms in Asia in its database.

Free registration is required to browse the CrowdsUnite site.

Kickstarter focus: Solar power for the rest of us

Spor Solar Charges promises portable solar battery chargers for the rest of us. According to the company, Spor is a self-regenerating battery charger for USB devices. It can be charged with AC power, or via the sun. "It can charge multiple devices at once, and can charge your phone practically as fast as a wall outlet," says the company on the Kickstarter page.

Source: Kickstarter. Spor Solar Chargers hope that the compact solar chargers will be the start of bigger things.

For US$50, a backer can get a 3D printed limited edition Spor charger, with an additional US$10 required to ship overseas.

The funding campaign ends on June 30. View the associated video here.

Kickstarter focus: iFind, powered by ambient electromagnetic radiation

WeTag's iFind tags communicate with iOS or Android devices using Bluetooth and do not need to be charged. As with other locator systems, a tag is placed on the item and tracked through the phone. 

If the item moves out of range, the owner is alerted through the 'Rope' feature, and nearby phones can help detect the object through Bluetooth via the 'UHelp' feature. A fascinating feature for iFind is that shaking the iFind tags will cause the phone to vibrate, WeTag said.

Source: Kickstarter.

The difference is that the iFind tag does not contain a battery and is powered by ambient electromagnetic radiation, WeTag says. "It recycles electromagnetic energy and stores it in a unique power bank. This exciting feature frees you from the trouble of charging batteries or replacing them through the manufacturer," say the makers on the Kickstarter page.

For US$16, a backer is entitled to one locator in one of a dozen colours. Overseas shipping costs US$10.

The funding campaign ends June 30. View the associated video here.

This blog has posted on two other location-based projects: Tile, and Phone Finder.

Kickstarter focus: Sit cross-legged on a CrossChair

Want to sit with your legs up on your office chair? Dave McClintock has created one which allows this. The chair is so versatile, he says it can allow yoga practitioners to perform the sukhasana pose while sitting on it.

"We made this chair for the millions of workers who sit for hours per day and suffer the consequences of fatigue, back pain and stiff muscles," he said. "Sitting cross-legged would help immensely, but it is a difficult or impossible position for many of us – especially in a conventional office chair. The CrossChair makes this new option accessible to all, and allows frequent posture changes to avoid fatigue and reduce back pain."

Source: CrossChair.

Called the CrossChair, McClintock's invention allows both conventional sitting positions and cross-legged seating. The CrossChair seat has various sections which can be swung into place to accommodate different sitting arrangements. See how the chair adjusts on the Kickstarter campaign page.

CrossChairs are available for the early bird price of US$499. A shipping fee of US$100 applies for international orders.

View the associated video here. The Kickstarter campaign ends June 6.

Kickstarter focus: the quick Phone Finder

The Phone Finder does just that, and with any lost smartphone, even one that is on silent mode, and will continue to do so in a no-fuss way for the next three years. Once the Phone Finder device is clicked within a 15 metre radius, the missing phone will ring, vibrate and flash even if it is on silent mode, so that the owner can find it. If the phone is out of range, the Phone Finder website will show where it is on a map.
 

Source: Kickstarter

Entrepreneur Gabsow Tom chose Bluetooth 2.1 as the underlying technology for a reason. He says on the Kickstarter page: "Bluetooth v2.1 is the only Bluetooth version to have both forward and backward compatibility, which allows Phone Finder to work on every Smartphone. It is not limited to an iOS or Android version. In comparison, Bluetooth v4.0* based products only support a very limited number of smartphone models."

Tom also promises that a Phone Finder used approximately five times a week should last up to three years. "We had to design it to consume energy only when pressed, and only for the necessary amount of time. This was a huge technical challenge...We manipulated Bluetooth to activate, transmit and communicate with the phone and then shut off automatically in order to drastically conserve energy. This way we guaranteed that if you own a Phone Finder you never have to think about charging it or maintaining it in any way," states Tom on the Kickstarter page.

A pledge of US$25 will provide the backer with a single Phone Finder and the choice of either a keychain, magnet or a sticker to use it with. The funding request expires on June 2. The associated video can be viewed here.

*A post about Tile, which uses Bluetooth 4 to locate objects, is here.

Kickstarter focus: A USB cable that charges smartphones twice as fast

Minsoo and Emily Seo have come up with a USB charging cable that charges iPhones and Samsung Galaxy phones roughly twice as fast as ordinary charging cables. 

As they explain on their Kickstarter page, USB cables automatically try to communicate with the attached device while providing limited electric energy, whereas their DouBBleTime USB charging cable has a switch that limits the cable to charging only, shortening charging times substantially.

Source: Kickstarter.

"A simple yet ingenious special chip inside the switch talks to your computer saying, ‘I’m not a phone; I’m not going to sync, so give me maximum charging energy.’ This message allows the cable to bypass the capped out maximum power a USB can output and connect straight to the mainboard. The special chip also provides over current protection (OCP) and short circuit protection, which guarantees the safety of both your computer and device while charging," say the Seos on their Kickstarter page.

The second wave of backers can get their choice of a Lightning or Micro USB cable for US$18, with US$5 more for international shipping.
 
View the associated video here. The Kickstarter campaign ends May 23, and is already heavily oversubscribed.

Kickstarter focus: The standing desk

Need a desk that you can stand comfortably at, but still stay productive? Steven Yu may have the answer. The StandDesk is height-adjustable from 71cm to 114cm and has various design features that allow for the fact that the desk will be adjusted quite often. 
 

Source: Kickstarter. The all-black StandDesk version.

"StandDesk is more than just a product: it is a step in the right direction to change the lives of people everywhere, for the better," said Yu on his Kickstarter page.
 
A nifty 'up/down' control button automatically raises or lowers the desk to a desired height, stopping just by tapping the button again. A customised motor balances reliability, power, and price. 

There is an optional integrated cable management tray for power cords, for example, that moves up or down as the desk moves so the wires don't get dislodged.

Yu has thought of everything, and offers the desks in black or white as well as desk surfaces in three colours and various levels of customisation. A pledge of US$399 will get a backer a StandDesk in either gloss grey or matte black with the standard two-button control, plus a laminate top in either midnight black or frosty white, for example. For US$499 backers have the privilege of joining a hackathon where they may design or create new features for the StandDesk, with prizes for the top three designs. Shipping is extra, however.
 
The funding request ends May 17. View the associated video here.