Inderscience Publishers

A preliminary assessment of external support policy to new Japanese founders

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Courtesy of Inderscience Publishers

We examine whether the new Japanese founder's economic performance is positively related to the use of external support agencies. The empirical evidence shows that new founders who have prior related business experience and are provided the financial assistance by public agencies and Small and Medium Enterprises (SME) managers at the time of start-up achieve higher sales than those who are not so. This finding suggests that the new founder does not succeed by the assistance of merely a fund. When offering the fund to the new founder, it is necessary for external supporters to enquire about his or her prior related business experience closely.

Keywords: external support agencies, economic performance, new Japanese founders, prior business experiences, financial assistance, small and medium enterprises, SMEs, business start-ups, Japan, entrepreneurship

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