CHAPTER 7

ENTREPRENEURIAL SOURCES &

SUPPORT SYSTEM
By: Engr. Muhammad Muizz Bin Mohd Nawawi

Source Of Capital
Capital refers to any form wealth employed to produce
more wealth for a firm.
Personal Funds/personal savings
Family and friends
Retirement account, pension fund, EPF
Banks and other financial institutions Long term
financing, Medium term financing, Short term financing
Government loan SME Corp, MTDC, PNB, MIDA, SME
Bank, MARA
Stock market

BUSINESS SUPPORT SYSTEMS

facilities provided by government agencies and private to help
implement and develop the enterprise
There are seven forms of entrepreneurship support facilities
that will be discussed in this module is :
1. Financial
2. Management Training and Entrepreneurship
3. Technology
4. Location and business space
5. Marketing
6. Research and Project Identify
7. Information

1. Financial
provided by financial institutions, commercial banks,
merchant banks and government agencies concerned.
aims to provide loans to entrepreneurs to implement a
business
construction of the factory site, the purchase of office
equipment, purchase of machinery and also for use as
working capital.

Financial facilities provided by banks and

agencies in Malaysia
Agency

Financial facility

Majlis Amanah Rakyat (MARA)

Provides assistance in the form of

loans and equipment to SME
entrepreneurs.

Commercial banks

Provided loans that are allocated by

the Bank Negara Malaysia to be
distributed to qualified applicants.

Bank Pembangunan dan

Infrastruktur Malaysia Berhad
(BPIMB)

Gives financial credit to industrial

businesses.

Malaysian Industrial Development

Finance Berhad (MIDF)

Provides fixed asset financing to

manufacturers in Malaysia.

Bank Pertanian Malaysia (BPM)

Gives financial assistance and

equipment to agriculture-related
industries.

2. Entrepreneur and Management

Training
The program aims to train entrepreneurs to
obtain skills in the relevant field and knowledge
in the area of management.

The program also provides encouragement and

support to enhance the entrepreneurs.

Training Management and

Entrepreneurship
Agency

Entrepreneur and management training

Majlis Amanah Rakyat (MARA)

Provides training and guidance to SME

entrepreneurs so that they are highly
skilled in their area of interest.

Malaysian Entrepreneurship
Development Centre (MEDEC)

Plans and implements entrepreneurship

development programs such as training,
education, research and consultancy

National Productivity Corporation

(NPC)

Provides training in enhancing quality and

productivity, consultation services and
guidance in Total Quality Management
(TQM)

State Economic Development

Corporation (SEDC)

Its general aim is to provide and promote

commercial, industrial and socio-economic
development in the states.

3. Technology Support
An Entrepreneurs can increase their technical knowledge by
attending educational courses provided by several agencies in
Malaysia.
Technical assistance is offered to exposes the entrepreneur to
the latest production methods and systematic management.
Transfer of modern technology is very important in order to
create a culture of competitiveness in line with our economic
development

Technical assistance provided by agencies

in Malaysia
Agency

Technical assistance

Palm Oil Research Industry Malaysia

(PORIM)

Develops quality product using the latest

technological advancement.

Forest Research Institute of Malaysia

(FRIM)

Promotes sustainable management and the

optimal use of forest resources by
generating knowledge and technology
through research, development and
application.

Malaysian Institute of Microelectronic

System (MIMOS)

Promotes innovation in information

technology. Strives to be premier applied
research centre in frontier technologies.

4. Infrastructure support
( Location and premise)
There are agencies that provided suitable
business location which are appropriate with the
business whereby the location or premise is
equipped with all types of facilities including
utilies.

Infrastructure assistance provided by agencies in

Malaysia
Agency

Infrastructure assistance

Urban Development Authority (UDA)

Provides and carries out projects at

urban settlements in terms of
development, housing, commercial
and industrial issues.

Majlis Amanah Rakyat (MARA)

Provides business sites to carry out

business activities.

State Economic Development

Corporation ( SEDC)

Develops basic utilities and areas like

pathway and recreational facilities

5.Marketing
The Agency will provide support services to entrepreneurs in the
distribution, promotion and marketing of goods and services produced by
entrepreneurs in the country and overseas.
Agency

Marketing Assistance

Federal Agricultural Marketing

Authority (FAMA)

Markets agricultural products locally

and abroad

Malaysian External trade

Development Corporation
(MATRADE)

Exposes the entrepreneur to

available business opportunities

Ministry of international Trade and

Industry (MITI)

In charge of affairs related to foreign

trade, high technology,
environmental protection an
industrial location, energy and other
areas.

6.Information
Help information available to entrepreneurs in business
opportunities, statistics, new discoveries, technology,
research and so on.
Most of the department or agency has a resource center
or library that contains the collection of information for
public use.

Informational assistance provided by agencies in

Malaysia
Agency

Informational assistance

Forest Research Institute of Malaysia

(FRIM)

Provides research and development, transfer of

technology and testing services for the forest
and timber industry

Malaysian Industrial Development

Authority (MIDA)

Provides information on business opportunities

such as investment, trade, financing,
productivity pertaining to manufacturing and
service sectors and facilities companies who are
looking for joint venture partners and promotes
and coordinates the industrial development in
Malaysia.

Malaysian External Trade Development

Corporation (MATRADE)

To organize training programmed to improve the

international marketing skills of Malaysian
exporters

Standard and Industrial Research

Institute of Malaysia (SIRIM)

Ensures the quality of local products, penetrates

the market potentiality and provides information
on new discoveries in production.

7.Research and Project Recognition

The research and analysis that will be performed include
project possibilities, marketing research and research on
technology.

Studies conducted by government agencies help the

entrepreneur to increase efficiency, technological achievement,
production as well as produce better quality products.

Research assistance provided by agencies in Malaysia

Agency

Research assistance

Malaysia Agricultural Research and

Development Institute (MARDI)

Carries out research on the output of

agricultural products, improves the quality
of agricultural products and produces new
seeds for farmer.

Research Rubber Institute Malaysia(RRIM) Carries out research on the quality of

rubber and produces new rubber based
products.

Malaysian Palm Oil Board (MPOB)

Carries out research on product produced

from the output of palm oil, spreads over
the market of palm oil and improves the
quality of palm oil.

Standard and Industrial Research Institute

of Malaysia (SIRIM Berhad)

Focus on discovering and developing new

technologies to enable industries to move
up the value chain.

Questions.??????