Egypt PM, Japan's JBIC head explore deeper cooperation    Egyptian pound wavers vs. USD in early trade    SCZONE showcases investment opportunities to eight Japanese companies    Egypt urges Israel to accept Gaza deal amid intensifying fighting    Egypt, ADIB explore strategic partnership in digital healthcare, investment    Egypt's PM meets Tokyo governor, witnesses signing of education agreements    Egypt welcomes international efforts for peace in Ukraine    Al-Sisi, Macron reaffirm strategic partnership, coordinate on Gaza crisis    Egypt's Sisi, France's Macron discuss Gaza ceasefire efforts in phone call    Contact Reports Strong 1H-2025 on Financing, Insurance Gains    Egypt, India's BDR Group in talks to establish biologics, cancer drug facility    AUC graduates first cohort of film industry business certificate    Egypt to tighten waste rules, cut rice straw fees to curb pollution    Egypt prepares unified stance ahead of COP30 in Brazil    Egypt recovers collection of ancient artefacts from Netherlands    Egypt harvests 315,000 cubic metres of rainwater in Sinai as part of flash flood protection measures    Egypt, Namibia explore closer pharmaceutical cooperation    Fitch Ratings: ASEAN Islamic finance set to surpass $1t by 2026-end    Renowned Egyptian novelist Sonallah Ibrahim dies at 88    Egyptian, Ugandan Presidents open business forum to boost trade    Al-Sisi says any party thinking Egypt will neglect water rights is 'completely mistaken'    Egypt's Sisi warns against unilateral Nile measures, reaffirms Egypt's water security stance    Egypt's Sisi, Uganda's Museveni discuss boosting ties    Egypt, Huawei explore healthcare digital transformation cooperation    Egypt's Sisi, Sudan's Idris discuss strategic ties, stability    Egypt to inaugurate Grand Egyptian Museum on 1 November    Greco-Roman rock-cut tombs unearthed in Egypt's Aswan    Egypt reveals heritage e-training portal    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Building a venture capitalist network to promote entrepreneurship
Published in Daily News Egypt on 05 - 11 - 2009

CAIRO: To promote entrepreneurial activity, Egypt needs to work on developing a risk-taking culture as well as access to capital, said an expert at a venture capital conference Wednesday.
Victor Hwang, co-founder and managing director of T2 Venture Capital, also stressed the importance of building ideas, interaction with world markets as well as investing in top talent.
Endeavor Egypt hosted an event titled "Building a Thriving Venture Ecosystem: A Round Table for Entrepreneurs, Venture Capitalists and Angel Investors, bringing together leaders in Egyptian business to build a network of support and mentorship for the country's most promising entrepreneurs.
Ahmed Ezzat, managing director of Endeavor Egypt, moderated the discussion, which featured Hwang, who is also a Kaufman Fellow.
Those in attendance represented the "top talent and expertise component, bringing together a diverse range of potential mentors, from investment bank EFG-Hermes to the Institute for International Education.
Ideavelopers, the dedicated venture capital subsidiary of EFG-Hermes Private Equity and one of the region's first companies dedicated to venture development services, was represented by CEO Ahmed Gomaa, Hany Al-Sonbaty and Tarek Assaad, all of whom expressed interest in Endeavor's goal of "transforming emerging countries by establishing high-impact entrepreneurship as the leading force for sustainable development.
All those in attendance appeared enthusiastic. Many criticized the notion that Egypt is an environment that does not produce entrepreneurs, clarifying that other factors produce an environment that often "kills off potential innovators.
"If a potential entrepreneur manages to overcome the hurdle of the Egyptian education system, he might be killed off by bureaucracy. If he survives bureaucracy, he might be killed off by lack of funds, explained Hussein El-Sheikh from Proseed Venture Capital.
He asked Hwang to provide an idea of how much Egyptians ought to be able to expect from the government in terms of support, based on other countries' experiences.
Ezzat cautioned that companies mired in bureaucratic constraints would achieve more success by presenting their prepared plans to government agencies and thus pressuring them to change outdated policies, rather than waiting for the policies to change on their own.
Mohamed El-Hawary from Andalucia Financial Consultancy asked Hwang to compare the state of the Egyptian legal framework, in terms of its conduciveness to business, to the United States. Jokes rang out around the table that compared to the level of development in the US, (which Hwang pointed out is by no means 100 percent business-friendly), Egypt's legal framework is maybe 15 percent developed.
Yet the attitude remained optimistic as participants voiced their support, although Sameh Makram Ebeid warned against trying to construct a formula for creativity.
Hwang emphasized the importance of diaspora businesses, such as those begun by Egyptians abroad, in spotting regional niches and capitalizing on them.
"There is money to be made in fixing regional disparities. I would invest in training young people to go after opportunities for pan Arab businesses, Hwang stated, citing the example of a young entrepreneur in Palestine who developed software to convert legal texts in Arabic, including Sharia, to electronic format.
Ezzat pointed out that "in other contexts around the globe, we have seen time and again that once development begins to occur, it occurs fast regardless of previous generalizations about the culture's conduciveness, or lack thereof, to innovation. Hwang agreed, pointing out the importance of an environment in which failure is acceptable.
"American venture capitalist John Dor says that he only ever invests in entrepreneurs that have already failed. They are the most motivated to succeed, Hwang laughed.
Ahmad Gomaa from Ideavelopers and Amr Rezk from EFG-Hermes each asked Ezzat for marching orders, wanting to know what those assembled could do to assist Endeavor's mission. Rezk asked particularly for a consolidated statement with which to approach other potential mentors, investors and supporters, as the necessity of entrepreneurship to economic development is not always universally acknowledged.
As Endeavor Egypt says in its statement, "there is no word for 'entrepreneurship' in Arabic.
As Egypt's first non-profit dedicated exclusively to the business sector, Endeavor has already received support from many of Egypt's top businesspeople, its board includes Hassan Al-Sayed Abdalla (vice chairman of Arab African Bank), Elijah Bassily (CEO of Virgitech), Khaled Bichara (Group COO, Orascom Telecom Holding), Tarek Mansour (country senior partner, PricewaterhouseCoopers), Hythem El-Nazer (TA Associates), and is headed by chairman Naguib Sawiris (CEO Orascom Telecom Holding).
Endeavor launched as a global initiative in 1997, founded by Linda Rottenberg and operates in developing economies around the world. Founded in 2007, Endeavor Egypt already partners with entrepreneurs Nadia and Hind Wassef from Diwan, Fatma Ghaly from Azza Fahmy Jewelry and Khaled Ismail from SySDSoft.
Endeavor Egypt will host its inaugural International Selection Panel in March 2010.


Clic here to read the story from its source.