In the long term, we need to nurture entrepreneurs from an early age by promoting entrepreneurship as a career choice among school children.
|R K Garg
Chief General Manager,
State Bank of India (NE)
Budding entrepreneurs need to be trained and exposed to different industries as part of their summer assignments. This will arm them with first-hand knowledge of the world of business.
Alongside, government agencies and financial institutions must facilitate cheap finance to young entrepreneurs with the backward and forward linkages coming from mentoring business houses.
There is a need for a substantial scale up of the incentives, support and services provided by government and other sources to young entrepreneurs and far greater awareness of these facilities. The Ministry of Small and Medium Enterprises should consider setting up a special fund to provide start-up capital at nil or nominal interest rates.
To be viable, young entrepreneurs need to start ventures with the right economy of scale.The Credit Guarantee Trust for Micro and Small Enterprises (CGTMSE) is playing a stellar role in this respect. However, the maximum extent of CGTMSE cover could be enhanced to `200 lakh, with 75 per cent cover for the first Rs100 lakh and 50 per cent cover for the remaining Rs100 lakh.
Lastly, as entrepreneurship is inherently about risks, banks must learn to take failures in their stride and respond to them with rehabilitation and restructuring efforts.
Young entrepreneurs need to be groomed, nurtured and mentored to succeed, and as quality entrepreneurship is rare, they need to be treated specially.
written by dsquared2 polo shirt, March 15, 2011
|< Prev||Next >|