UAE: Startups shouldn’t keep their own ideas, experts say – News

Despite setbacks around the world, there is still plenty of scope for funding, they say

Dunja Poetschke (right) at the New Age Finance and Accounting (NAFA) conference Khaleej era.

Despite unexpected collapses of Silicon Valley Bank (SVB) and US Signature Bank, startups in the region shouldn’t hold back their ideas, say experts harrij times.

“Ideas come quickly, but other ideas come faster,” said Dunja Poetschke, chief financial officer of Invygo, a monthly car subscription app. “If you have an idea for a company, there’s no good time or bad time. If you wait, someone else might come up with the same idea, and you’re not the first to market. So be bold and embrace it.”

Dunja, one of the speakers at the event, was on a panel discussing the CFO’s role in bridging the gap between strategy and finance and how to stay ahead.

Amit Agarwal, Trukker’s chief financial officer, agrees with her. “I would advise anyone with an idea to do it,” he said.

“In fact, I think the best startups are born in the face of adversity. This is when startup owners need to think long term and not be dragged down by the news.”

In Amit’s view, SVB’s demise is also a lesson for startups. “This is something no one expected,” he said.

“So it’s a reminder for startups not to rely solely on banks, to diversify their funds.”

Despite the setbacks around the world, Dunja said there is still plenty of room for startups to secure funding.

“The question is can you get funding,” she said. “If you’re looking for funding in the U.S., now might not be a good time. But if you’re looking for funding from the region, then I think there’s a lot of interest in new startups, VCs and disruptors. I speak regularly with Talking to VCs, I know they are always looking for new companies and ideas.

According to Amit, now is the financial winter, but there is never a better time for a startup to take root. “They should think about the product, build a good team, and think about strategy,” he said. “Capital will come to you. Companies should invest time in infrastructure. When the market returns, they will be at the forefront of absorbing capital and accumulating capital.”

Trukker, a logistics and transportation company, spent three of its six years in operation just laying the groundwork for a premium product, he said. “Initially we were a company focused only on the UAE and Saudi markets,” he said. “We did our research, developed our product and now we operate in nine different countries.”

He also added that investments would not be altered by such events. “Yes, it might create some tension in the short term, but I don’t think it will have any significant impact in the long run.”