Indonesian Young Entrepreneurs Association Calls on Businesses to Help Startups as Industry Strugges

JAKARTADAILY.ID - Before the pandemic, many start-up companies had sprung up in Indonesia. They were inspired by previous successful startups that earned the unicorn title. Unfortunately, what is happening right now, many startups in the country are threatened with bankruptcy and not a few have even been forced to disband.

Secretary General of the Indonesian Young Entrepreneurs Association (HIPMI) Anggawira assesses the phenomenon of the many startups that are threatened with bankruptcy due to a lack of innovation and a sense of ownership to develop the human resources of the business.

Anggawira also observes the phenomenon of increasing the valuation of a number of startups in this country only to then sell them to investors. In fact, this is actually detrimental to the startup concerned. And this has an impact on the flight of ownership of startup brands to other investors, the majority of which are foreign-owned.

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"There should be awareness for startup owners to try to move up the grade and continue to innovate with creative breakthroughs. Don't take instant steps by simply increasing the company's valuation and selling it to other investors, mostly from abroad," said Anggawira in Jakarta, Thursday, February 23, 2023.

According to Anggawira, these challenges are a separate task not only for the government but also for business association groups to be able to help existing startups upgrade and grow.

"Therefore, we at HIPMI do not stop raising awareness about the importance of entrepreneurship and creating new entrepreneurs to keep moving up the grade. Don't just sell it and then leave it. That mindset is what we will change. Because more and more new entrepreneurs can provide a big multiplier effect,” said Anggawira.

Anggawira added that creating a new entrepreneur is also not an easy job but requires the support of many parties. For example, opening a faucet for financing facilities to banks and other loans in the financial industry can make it easier for new entrepreneurs to develop.

“That way, I think it will be able to develop. On the other hand, HIPMI also continues to be an incubator for the birth of young entrepreneurs who are nurtured from an early age. Both on campus and in other informal sectors. Examples such as digitization, which we continue to push. This means that digitalization is one of the instruments to continue to innovate so that it is adaptive to companies," said Anggawira.

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Finally, Anggawira revealed that in order to strengthen the economy, collaboration from various parties is still needed and provides great ease of access based on the ability of entrepreneurs.

Anggawira himself was appointed by President Joko Widodo as general secretary of the Central Executive Board (BPP) of the Indonesian Young Entrepreneurs Association with Akbar Himawan Buchari as General Chair of BPP HIPMI for the 2022-2025 service period which took place at the Grand Ballroom of the Kempinski Hotel Jakarta on Monday, 20 February 2023. The event The meeting was attended by ministers of the Indonesia Onward Cabinet, the Chairman of ASEAN Indonesia 2023, and thousands of entrepreneurs from 34 provinces of HIPMI's Regional Management Body (BPD) and also representatives of HIPMI's Branch Management Boards (BPC) throughout Indonesia.
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