KUCHING: Alliance Bank Malaysia Bhd (Alliance Bank Malaysia) continues to spearhead innovations in sustaining the small and medium enterprise (SME) industry with the SME Innovation Challenge.
“More than 50 per cent of small businesses fail in the first five years of operations, typically due to lack of experience, insufficient financing, over-investment in fixed assets, and poor credit arrangements, among other reasons.
“The SME Innovation Challenge is our way of nurturing and supporting the SME community, especially the new generation of young businesses, by inspiring them with newer ideas to enhance their businesses,” highlighted Steve Miller, Alliance Bank executive vice president/head of Group Business Banking to The Borneo Post.
This was on the bank’s aim to be the preferred first bank for small businesses and provide incubation support during their initial years; all the way until they become large SMEs that require investment banking services.
“The SME segment remains a core focus for Alliance Bank, representing a substantial proportion of the Bank’s revenues,” Miller said via email.
“We have one of the highest SME loans to Total Bank Loans ratio in the market, and continue to chart double-digit loans and deposit growth.”
“To this end, our loyalty marketing efforts are focused on activities that ‘add-value’ for the business owner, be it through our series of business seminars that we organise annually, ad-hoc conferences on the most relevant business issues of the day, or customer appreciation dinners.”
The one with the best business proposition, Miller said, will receive RM250,000 funding to implement the winning business plan.
This is in addition to a visit to Microsoft’s Centre of Excellence, complimentary Microsoft Office 365 subscription, a year-long recruitment services’ package worth RM25,000 which includes premium employer listing and feature in its newsletter from jobsDB Group, exclusive radio interview and a featured article in a mainstream publication.
“We are extremely encouraged by the response that we’ve seen for the SME Innovation Challenge,” he added.
“We have received hundreds of submissions from all across the country including a sizeable number of entries from Sarawak.
“There is also diverse representation of industry sectors such as food and beverages, education, health & wellness, retail and biotechnology.”
From these submissions, Alliance Bank has shortlisted 13 high-potential young SMEs to undergo structured business coaching and training in Blue Ocean Strategy to enable them to bring their business to the next level.
The finalists will be mentored by top business leaders including SP Setia Bhd president/chief executive officer (CEO) Tan Sri Liew Kee Sin, and will also receive training in recruiting and developing the right talents for their business by jobsDB Group and supported by new technology solutions from Microsoft.
In November, three selected finalists with the best business plan will proceed to the public voting exercise, followed by the identification of the winner in December.