Startup Business in Indonesia
Startup business is one of the best solutions to rejuvenate the economy. A small scale business allows an entrepreneur to do business with less capital. With the slowdown in demand, a startup business is the best way to earn profit with less risk. Therefore, it is not a surprise that micro businesses dominate the local Indonesian economy.
The importance of startup business to the local economy is further shown by the local government aid. From the various numbers of companies in the country, only the micro-sized businesses receive help from the government. This further propels the notion that the local economy is mainly supported by microscale business.
Why Startup Business grows in Jakarta?
When discussing the local economy, it is important to see the business environment in the capital city. Jakarta, with over 20 million population is perhaps one of the densest cities in the world. It is also the favoured place for business activities in Indonesia. It has both the central government and the busiest and advanced port of the country.
For those reasons, a lot of companies decide to operate from the capital city. This in turn drives people from the suburban area to join urbanization. Jakarta becomes the go-to place for locals to find job opportunities and a better future. However, the large number of people moving to the city exceeds the expectation.
There were not enough jobs to absorb the manpower. Those who are not fortunate enough to land a job begins to seek other opportunities to allow them to stay in the city. Others, having found fortune in their own cities look to expand their market in the capital city. Therefore, businesses begin to grow in Jakarta.
Startup Business as Economic Pillar
These small businesses not only grow, but mushrooms across the city. As the number of startup businesses grows, the number of unemployment reduces. Soon the massive number of startup business becomes one of the pillars that hold the country’s economy. The government realizes this and introduces various bills to support microbusinesses.
Incentives were introduced such as a lower tax rate as well as a more lenient setup requirement. These benefits soon drive more people to join the entrepreneurial world. It is no longer employees and entrepreneurs. Employees working in the office works double as small company owners as well. Further contributing positively to money circulation within the country.
The massive growth of startup business numbers also creates competition. This fierce competition urges the young minds of the country to be creative. Which in turn, elevates the quality of the companies in the country. Local unicorn companies begin to emerge and are standing toe to toe with multinational companies. The success stories of these companies entice not only local entrepreneurs, but also foreigners.
A startup business that comes from various countries begins to grow in Indonesia. The need for an affordable solution to support their operations increases. Moreover, with the rapid growth of technology, things become simpler. Technology replaces menial job desks and social behaviour changes. Efficiency has become the key.
Change of Entrepreneurial Behaviour
People become more open to communal facilities too, provided that they are comfortable. Capsule hotels shared houses, and shared subscriptions become the norm. Entrepreneurs also favour services like virtual office and private office. These facilities champion efficiency, affordability, and simplicity.
More reads: Increase Efficiency With Private Office
A virtual office allows an entrepreneur to their business in a premium office address while working from home. While private office becomes the best choice for companies that needs a working place with full furniture and service. Entrepreneurs do not need to trouble themselves with internet, telephone, furniture, and other operational issues.
The availability of these facilities provides more incentives for a startup business to grow and flourish. The capital city of Jakarta is no longer the playground for big companies and giant multinational companies. The metropolitan city is now home to around 64 million microscale companies.