Metro Manila (CNN Philippines, November 25) – It takes guts to start a company, especially in times of pandemic when the economy is not that stable. However, some entrepreneurs are still taking the risk of building their own companies or establishing startups.
A startup is a company that is still in initial stages and focuses on a product or services that founders want to bring to the market.
For Carlo Calimon, president and co-founder of Startup Village, the meaning of startups has now also involved the use of technology.
“Ito ay mga innovative na companies, mga bagong companies na gumagamit ng teknolohiya para sa pang araw-araw na ginagamit natin, tulad ng mga apps at platforms,” he explained to CNN Philippines’ Newsroom Ngayon.
[Translation: These are innovative companies, new companies that use technology for the things we use daily, like apps and platforms.]
Startups are usually funded by their owners and sometimes even by family and friends. They actively seek investors for their companies.
Startup Village is an organization which seeks to offer mentorship and support to startup companies in order to find linkages and resources for the business.
Calimon said it is important to prepare a good pitch to attract potential investors.
Here are the important things to remember in a business pitch, according to Calimon:
Identify your product or service. Calimon said that startups should know what their products or services aim to solve.
“Don’t just start a business, solve a problem,” he said. “Dapat kapag nag-iisip tayo ng bagong kumpanya, isipin natin kung anong problema ang sinolusyunan natin (Whenever we think of starting a company, we should think of the problem that we solved),” he said. “Yung mga kinakainisan natin sa pang araw-araw, pwede natin siyang i-convert into possible businesses (The things that make us upset every day, we can turn them into possible businesses).”
The people behind the company. A good pitch should also emphasize the minds behind the product or service.
“Pakita natin yung team,” Calimon noted. “Sino ba yung mga tao sa likod ng negosyong ito at bakit kayo yung may kaya magbigay ng solusyon sa problemang ito.”
[Translation: We should present our team. Who are the people behind this business and why you are the right people who could give solution to a certain problem.]
Know the potential of the business. Calimon said investors should also know the potential of a startup.
“Siyempre, kailangan natin makita yung potential ng negosyo at viability nung ating financial,” he said.
[Translation: Of course, we need to see the potential of the business and our financial viability.]
Calimon said startup companies usually venture into different industries such as financial technology, agricultural technology, health technology, and energy, among others.
Moreover, he said that startups usually start small with the founders being the employees themselves.
“Yung iba ginagawa nila ang tinatawag natin na sweat equity,” Calimon said. “Sila mismo yung nagtatrabaho muna ng libre habang binubuo ito.”
[Translation: Some are doing the so-called sweat equity. They are the ones who work for the meantime while building the company.]
He added that it would take ₱500,000 up to ₱2 million worth of investment if the company needs to look for an angel investor.
“Pero depende lang po talaga kung ano po yung negosyong sisimulan nila,” said Calimon.
[Translation: But it really depends on what kind of business they will start.]
