Things you didn't know about Singapore startups

One of the most casual and common question you get asked in life is “What do you do for a living?”

There are three ways to go about it:

First, most people will say which industry they are in – banking, retail, law, entertainment and etc. The likelihood is that they are shy to go into detail but to the asker, it could mean that he or she is either at an unknown firm or holds an insignificant position. Conversation topic drifts away to other topics while your value remains neutral or slightly lower than average.

Second, others who work at well-known MNCs, will drop the name with gusto. This usually puts the wow in the conversation and the next few minutes will be all about how great things for someone in that position. The name card will be kept closely for future social or career advancement calls.

Third, the least common answer, “I work in a startup” or “I’m an entrepreneur”. He or she will explain the business in a 30-second elevator pitch on deaf ears. The conversation takes a condescending dive into how great that it is to have passion for a job (read: no money); how revolutionary the business is (read: no one cares); how busy it must be (read: wasting time). Sooner than later, the person and conversation is forgotten.

The question is seemingly innocent, when in fact, you are being judged. Needless to say, I fall in the unstructured third category of wishful daydreamers. While the scenario described is overly pessimistic and cynical, it is not that far from the truth. It is a cruel world out there and everybody judges books by their covers. There is of course, more than meets the eye.

The facts about working in a startup

According to Spring Singapore, 99% of all enterprises in Singapore are SMEs (companies with annual sales turnover of less than $100M or less than 200 staff). They employ seven out of every 10 workers, and contribute nearly half of national GDP. This means, most people you know work in a SME that you probably never ever heard of. Yet, these entrepreneurial minnows contribute up to half of the nation’s income.

There are now immense amounts of money in the entrepreneurial scene courtesy of the government. As evidenced by the $100 million fund for innovative startups and other schemes, anyone with a decent business plan can get up to $250,000 in grants.

All these efforts are in hopes that one day, such entrepreneurial ventures will spawn a Singaporean billion dollar company like Facebook or Google that will change the world. This is not  that far from reality. Viki, Singaporean based video site, was recently purchased for a cool $200 million USD by Rakuten in Japan.

Starving tech startups are all the rage these days – with many attempting to bootstrap to success. While founders usually have to take a pay cut or no pay, the average tech can command up to $4,000 a month, in fact, some rock star coders require agents to represent them. On top of a decent salary, they are rewarded with stock options (which may be worth a ton one day).

It is easy to form the connection that it is a bunch of kids who are experimenting with their youth before they “grow up” and get a corporate job. But the Founder Institute reveals that the average age of their graduate founders are at 34.4 years old.

These will be people who have families, bills, mortgages and careers that are quitting their corporate careers and taking a leap into the unknown. The likely answer is that the opportunities and possibilities there are better than staying stagnant on the corporate ladder.

These days, everyone works hard and long – with 1 in 5 Singaporeans working more than 11-hour days. While most corporate drones trudge into their cubicles to sharpen pencils and push paperwork all day with no respite, startups pride themselves in work-life balance.

Some of the startup offices are jam packed with R&R options that make employees not want to go home. Besides that, there is the non-tangible fact that founders and employees believe in the work that they do.

The stigma that is often attached to startups is often unfair. With the absence of an “iron rice bowl” anywhere, working for one’s self or taking a role with a startup is no different from a “normal” job.

At least startups aim to make an impact on the world and even a pot of gold when they exit at the end of the rainbow. Perhaps, next time you meet an entrepreneur or startupper, you will pay at least as much attention as to an average salaryman/woman.