Playing catch up for startups

• “Getting more alternative pools of capital from GLCs (government-linked companies) and ultra-high-net-worth (UHNW) families who invest in venture capital funds or create their own venture capital fund is very important,” shared Khailee Ng, Managing Partner, 500 Global.
• Why? We believe in universal basic innovation and that it is everyone’s right to be able to build great things. There is a funding gap for companies in Malaysia, which can be filled by new GLCs, financial institutions, and family offices investing in or becoming venture capitalists.
• Then, comes the question of one’s knowledge to start and operate a venture capital fund. Khailee shared that is why 500 Global set up the ‘VC Unlocked: Silicon Valley’ program in collaboration with the Stanford Center for Professional Development. This educational course is for emerging leaders who want to hone their skills as venture capitalists.
• Taught by Stanford University faculty and 500 global leaders, the 2-week program imparts knowledge and expertise through live, interactive sessions.
• Retention of start-ups in Malaysia is another challenge. More often than not, Malaysian companies founded and nurtured here, then relocate to other countries.
• Khailee breaks retention down into a few factors: where a company’s domicile or holding company is registered, where most employees are located, where most of the business’ revenues are coming from, the company’s headquarters location, and the nationality of the shareholders on the cap table. Solutions need to be applied to address each of these factors individually to improve retention.
• Read the full story on The Edge Malaysia.