Cognizant of the fact that not a lot of startup businesses in the country today are able to scale up their operations right away, the Department of Trade and Industry (DTI) announced recently that it is studying an initiative that would allow it to support promising MSMEs to expand their business.
According to Trade Secretary Alfredo Pascual, they are currently in the process of identifying micro, small, and medium enterprises (MSMEs) in their registry that they can help scale up so they can become larger firms in the near future.
He said that they are making an inventory of all the MSMEs in their roster to determine how many have the potential to expand their businesses. Their initial assessment, however, shows them that there is not much movement among entrepreneurs in their list as of now due to various concerns.
“We want the small enterprises to grow so that they can contribute more to the development of our country and provide employment to our growing population,” he said in his speech during the summit entitled “Rebound: MSME summit in Bicol.”
Pascual said they want to see which of these MSMEs have the real potential to grow given the products they have or the services they offer, adding that they will direct more support to them while continuing assistance to others.
The trade official also said that the government’s MSME development plan currently focuses on three key areas: business environment, business capacity, and business opportunities.
For his part, Go Negosyo founder Joey Concepcion urged MSMEs to digitalize their businesses, saying that it is the “great equalizer.” He also cited the many benefits that it has for small entrepreneurs.
“The pandemic has accelerated the digital transformation of many MSMEs. They benefited immensely from e-wallets, delivery apps, and social media, which allowed them to compete [against] big players,” he said.
DTI urged to make sure that MSMEs are given ample opportunities
In his recent inaugural State of the Nation Address (SONA), president Ferdinand “BongBong” Marcos Jr. reiterated the government’s commitment “to work hand-in-hand with every stakeholder to make certain that MSMEs are protected and provided with ample opportunities.”
In a recent press release, the president was also quoted as saying, “We should be ready to bring our support one step further. There should be a support system to assist start-ups and our MSMEs by opening doors to new connections, get them to the digital world to help them connect with private companies for support,” Marcos was quoted as saying.
“We should be ready to bring our support one step further. There should be a support system to assist start-ups and our MSMEs by opening doors to new connections, get them to the digital world to help them connect with private companies for support,” he added.
The current administration has also been urging the DTI to come up with a public-private partnership (PPP)-style of “support system” that would allow it to assist the development and growth of start-ups and micro, small and medium enterprises (MSMEs).