Covid-19 turmoil creates fresh openings for new startups

Those who founded theirs around 2008 crisis say hard times can build resilience

Sharanya Pillai

Published Thu, Sep 17, 2020 · 09:50 PM

Singapore

THE economic downturn can in fact be an opportunity for entrepreneurs to launch new ventures, startup veterans and investors tell The Business Times. While funding may be tougher to secure, new startups can capitalise on permanent disruptions created by Covid-19.

The founders of two Singapore startups that were set up around the 2008 Global Financial Crisis reckon that turbulence can actually help startups sharpen their business strategy.

One of them is Royston Tay, former chief executive of Singapore software startup Zopim, founded in 2008. In six years, the startup was famously bought by US giant Zendesk for a reported US$30 million.

Mr Tay says the recession did not factor into the decision by him and his three fellow co-founders to start Zopim that year. They were then fresh gr…