Sure, Silicon Valley may be the first place that comes to mind when you think about startups. If you have entrepreneurial dreams, why not launch your start-up in Mauritius? Mauritius is ranked among the first countries in Africa and surely has a lot to offer to new entrepreneurs.
What is a Start-up?
A startup is a young company that is just beginning to develop. Startups are usually small and initially financed and operated by a handful of founders or one individual. These companies offer a product or service that is not currently being offered elsewhere in the market, or that the founders believe is being offered in an inferior manner.
Start-up VS SME
It’s no surprise that many are confused with start-ups and SMEs. They’re both established by entrepreneurs. They’re small in terms of revenue and number of employees. So, how are they different? Both are pursuing different business models and with significant differences in intent, function and funding options.
A start-up is temporary (usually lasts for 6 months) and it’s all about trial and error. For a start-up, it’s all about experimenting and testing your business model. The entrepreneur is usually uncertain about its target group or they are looking for a proper channel. Then they will start experimenting and searching for answers to the product they are trying to sell, checking out the market’s niche and how to maximize your revenue from the right customers. Finally, they will be able to grow it faster once your business model is settled and stabilized.
An SME is more permanent and it starts out with a structured organisation that focuses on the delivery of value to its already-known customers. An SME does not need to change its business model. Which means, at this stage, an SME is established with a stable and successful business model. SMEs are driven by making a profit and intend to secure a financially sustainable spot in a local market for the long run.
Launch your start-up in Mauritius
Now is an exciting time to witness the making of a startups scene, boosted by the returning Mauritian diaspora and local change-makers. And on a small island, you have the privilege to feel part of something huge! Want to launch a start-up? Why not?
Over the last 18 months, coworking spaces have popped up in each major business hub of the island. If you’re looking for a startup’s hub, The Turbine which a converted sugar factory turbine is the place to go and is the first startups incubator of the island.
Startups fill the void in society and create new ways to provide products and services to consumers. Mauritius being a developed island has still many unknown possibilities for new businesses for some beautiful years ahead.
8 steps to follow to Launch your Start-up in Mauritius:
- Conception of project/Business idea
- Preparation of business plan
- Deciding on form of business
- Choosing the right location
- Registering the business
- Look for funding sources for the project
- Implementing the project
- Planning and Organising Business Activity
How much does it cost to initiate a start-up?
Many people underestimate startup costs, and start their business in a haphazard, unplanned way. This can work, but it is usually much harder. A start-up might cost nothing but can also cost a lot of money depending on business nature. The 3 main costs incurred by start-ups are as follows:
- Startup expenses: These are expenses that happen before the beginning of the plan, before the first month. For example, many new companies incur expenses for legal work, logo design, brochures, site selection and improvements, and other expenses.
- Startup assets: Typical startup assets are cash (in the form of the money in the bank when the company starts), and in many cases starting inventory. Other starting assets are both current and long-term, such as equipment, office furniture, machinery, etc.
- Startup financing: This includes both capital investment and loans. The only investment amounts or loan amounts that belong in the startup table are those that happen before the beginning of the plan. Whatever happens during or after the first month should go instead into the Cash Flow table, which will automatically adjust the Balance Sheet.
These will vary upon business nature – a simple Marketing Agency might need only some thousands of rupees to start but a small manufacturing agency might need some hundreds of thousands to start.
How can La Turbine help start-ups?
As an incubator, La Turbine help start-ups (businesses with either a tinge of innovation or an innovative concept/idea) to be established sustainably in their respective market. In their incubation program which lasts a year, La Turbine accompanies the entrepreneurs in taking the best decisions to achieve their milestones and objectives.
They are provided with a one to one weekly coaching and access to field experts in La Turbine’s network, potential investors, business angels and in many cases their first clients. A series of tailor-made workshops are designed for them to level up their entrepreneurial skills.
The incubated start-ups get free access to our networking and entrepreneurial events. Basically, they are considered as being a part of La Turbine. As mentioned before, La Turbine is a start-ups incubator with a co-working space. For the first six months, the incubated start-ups get to use the co-working space and its amenities freely. The last six months, they get a preferential rate. (This soothes their numbers)