The year 2020 will long be synonymous with the term “pivot”, where companies focus on survival rather than growth.
The year 2020 forced companies to digitize and make inefficient business processes superfluous.
Gaps were also revealed in all industries and companies had to revisit the typical way of doing business.
If you’ve been wondering if now is the best time to start a business, there are three reasons why 2021 will be a great year to start your business.
Higher consumption of online content
The coronavirus pandemic has accelerated the digitization of the nation by leaps and bounds.
It has now become easier and more accessible for everyday people to set up businesses such as e-commerce, virtual assistant work or coaching.
For one, after Covid-19, e-commerce has increased almost 40 percent if you want to start an online business.
Photo credit: TechCrunch / Glassdoor / Lazada / Qoo10
The number of digital talent platforms has also increased, creating a new marketplace for high-quality freelance work as the world focuses on remote work. With these digital talent, it’s now easier than ever to hire freelancers for your business.
According to the Harvard Gazette, the digital transformation has created a growing ecosystem of more than 300 talent platforms.
Online content consumption is also higher than ever when people stay at home and work remotely. This means that companies operating in the online space may have more customers or talent to join them.
In fact, the number of people using the internet around the world rose to 4.54 billion in January 2020, up 7 percent (298 million new users) from January 2019. Covid-19 has further increased internet usage by 70 percent cents.
Additionally, those over 65s will continue their online shift during Covid-19 as they increasingly shop online and adopt digital payments, suggesting that the internet is not just for younger people.
A survey of 2,000 Internet users aged 16 and over found that 43 percent of those surveyed in this age group have shopped more online since the beginning of the crisis, compared with 42 percent for all adults.
In comparison, in May 2019 only 16 percent of people over 65 bought online at least once a week.
Emergence of new opportunities
While 2020 may have killed many companies, it also sparked the birth of brilliant business ideas.
For example, we saw 3D printing companies using 3D personal protective equipment (PPE) technology to address the shortages.
3D printing has helped us see the possibilities of the technology for ourselves. Thanks to this, important life-saving ventilators and respiratory protective devices have been 3D printed and delivered faster in other countries.
Photo credit: Dezeen / MOGUL.sg / Accredify / MIRxes / Float Foods / CGTN.com
As a result, many companies are rethinking how products are manufactured and some are considering how to resume manufacturing on site.
The Asia Pacific 3D printer market is expected to grow 21.4 percent over the 2020-2030 period. Despite the impact of COVID-19, its total addressable market cap is $ 58.83 billion.
We have also seen the creation of more herbal options to curb food insecurity, such as: B. a plant-based egg or cell-based shrimp.
To this end, Singapore has stepped up its efforts to grow the alternative protein industry in recent years, for example a $ 50 million fund raised by Big Idea Ventures – supported by Temasek, Tyson Foods and Buhler – to turn into innovative startups investing in alternative proteins.
The government also took an important step to allocate a total of S $ 144 million to catalyze and facilitate further investments in the agri-food area, which included priority areas such as urban agriculture and alternative proteins.
These innovative business ideas would not have been realized without the virus. While these needs existed before, there was less of a urgency to develop solutions for them.
If you think about which solutions you wanted and which ones are not currently being met, there are likely others out there looking for the same solutions.
So 2021 could be the best time to take advantage of these opportunities.
When starting a business, make sure it is specialized and focused. Instead of conquering the entire market with a unique idea, target an underrepresented customer or industry.
Lack of time is no longer an excuse
It is true that the pandemic has displaced millions of people from their jobs.
This gives us the opportunity to implement the business idea that we have always wanted and to start our own company.
Remote working is becoming the norm and also means that we have more time to implement this business idea.
Photo credit: Founding Institute
So now there is no excuse that “there is no time” when it comes to doing business.
In fact, there are some companies that started out as passion projects before they made it big.
For example, Love, Bonito was founded when its three founders were selling clothes online to make extra pocket money. They pooled a total of S $ 500 to start the business and the home business quickly became a full-fledged business.
The duo behind Vintagewknd started the brand as a passion project and sold their carefully curated vintage pieces on Carousell.
They juggled their full-time jobs before taking a leap of faith and starting Vintagewknd as a full-time project.
Further grants for S’pore companies
Singapore is considered to be one of the best places to start a business, and the good thing is that there are many programs available to help new businesses get a kickstart early on.
In August, the government announced improvements to the startup founder’s SG program.
One of those improvements is a new three-month venture building program to help entrepreneurs build their startup.
First-time entrepreneurs from Singapore can now access a grant of S $ 50,000 (previously S $ 30,000) to help bring their business ideas to life.
The government had also pledged an additional S $ 300 million for Startup Equity through the Department of Commerce and Industry (MTI) 2020 Supply Committee.
Startup Equity was founded to catalyze more investment in deep-tech startups based in Singapore in key emerging sectors such as advanced manufacturing, pharmbio / medtech and agro-food technology.
As part of the Startup SG Equity program, the government will invest in suitable startups together with independent, qualified third-party investors.
According to the MTI Committee of Supply 2020, the programs will be expanded to increase the investment cap for deep tech startups from the current S $ 4 million to S $ 8 million and to invest in selected venture capital companies, which in turn will invest in deep tech startups. Startups will invest.
Additionally, the cost of renting retail and office space is now significantly lower, so now could be a good time to start a business.
A year of new beginnings
Overall, 2021 should be a year of renewal as companies rethink their strategies and see how they can do things differently than before.
It is also a clean thing for us to reassess our goals and act accordingly, for example to become an entrepreneur.
While 2020 may not have been the best year, from 2021 you can take advantage of opportunities and start your own business.
Selected image source: Tran Mau Tri Tam on Unsplash