Importance of Mentorship for Senior Entrepreneurs

ISO 25550 for age-inclusive workforce published

It is well-known that social participation is a factor relevant to avoid mental frailty of older persons (1). Working is a way of social participation and ISO 25550 was published in 2022 to provide requirements and guidelines to achieve an age-inclusive workforce (2). Several methods of accepting older persons in organizations are listed in ISO 25550 including recruitment/re-entry of older workers and senior entrepreneurs/self-employment, in addition to extension of retirement age.

Regarding senior entrepreneurship, ISO 25550 lists recommendation ranging from raising awareness of and self-belief in senior entrepreneurship to using experiences senior entrepreneurs in the community to mentor older workers.

 

Following wind blows in Japan for senior entrepreneurs

Japan Finance Corporation Research Institute has been conducting a survey every year since 1991 to grasp the actual situation of new business start-ups (3). According to the latest survey conducted in 2023, 6.1% of founders were older than 60 years when they started their business. In 2003, the figure was 4.2%, and the number of older people trying to start businesses is on the rise.

The Government of Japan started "Start-up Development Five-year Plan! in 2022 (4). The plan has three main policy measures. The first is to build human resources and networks for start-up creation, the second is to strengthen funding for start-ups and diversify exit strategies, and the third is to promote open innovation.

The first policy measure includes expansion of "mentor" support services that responds to the recommendation of using experienced senior entrepreneurs  in ISO 25550. There are also specific policy measures for start-up capital. Through Japan Finance Corporation, preferential interest rates are applied to those starting a new business or those who have been in business for around seven years or less, including women, younger persons under the age of 20, and older persons aged 55 or over, to support the creation of new businesses. The five-year plan targets to create 100 unicorns and 100,000 start-ups to make Japan the largest start-up hub in Asia. In Japan, the wind is blowing in the direction of facilitating senior entrepreneurs.

Mentorship programme for senior entrepreneurs in Singapore

In Singapore an education program for senior entrepreneurs is provided from Singapore University of Social Sciences (5). The Venture Builder "Silver Track" Programme is an 8-week programme for individuals aged 50 years and above who are looking to embark on entrepreneurial journeys.

Experienced entrepreneurs provide guidance to support participants to successfully launch the company. Free access to the co-working and a monthly stipend of SGD$1,500 for 8 weeks are given to the participants who meet certain requirements. Also, complimentary mentoring services with subsequent support are provided to eligible start-ups to apply for the SUSS Start-up grant and/or SGD $50,000 government grant.

Government of Singapore launched "Start-up SG" Program in 2017. The program includes six scheme regarding talent, funding, business environment, digital/innovation capabilities incorporation process, and corporate tax rate. One of the policy measures under the schemes is "Start SG Founder" that provide mentorship and start-up capital grant to first-time entrepreneurs. The "Silver Track" provided from Singapore University of Social Services is a practical example of "Start-up SG Founder".

It is interesting that Japan and Singapore both emphasises the importance of mentorship for senior entrepreneurs.

 

(1) For example, H. X. Wang et.al., “Late-Life Engagement in Social and Leisure Activities Is Associated with a Decreased Risk of Dementia: A Longitudinal Study from the Kungsholmen Project”, Am J Epidemiol, vol. 155, pp. 1081–7 (2002)

(2) ISO 25550:2022 “Ageing societies — General requirements and guidelines for an age-inclusive workforce”

(3) Japan Finance Corporation Research Institute, "Survey on the Actual Situation of New Business Startups"

(4) Cabinet Office of Japan, “Startup Development Five-year Plan”

(5) Singapore University of Social Sciences, “Venture Builder (Silver Track)”

(6) Government of Singapore, “Startup SG - The Singapore Startup Ecosystem