Foreign capitalist plans to open ventural capital facility in Cebu

CEBU, Philippines - After establishing a successful online job portal in Cebu, Silicon Valley based capitalist, John Kim is planning to open up a ventural capital facility in Cebu, recognizing the rich of technology geeks here whose works have good potential the global commercial realm.

Kim’s plan reinforces Cebu’s bid in developing the ventural capital market in order to make the province a “legitimate” information and communication technology hub in Asia, that will make Cebu as the next “Silicon Valley.”

According to Kim, he is impressed of the capability of Cebuano talents in developing programs, and software, and even innovative web applications, and this should be given utmost attention, via providing a facility that would encourage the talents to pursue technology-entrepreneurship, rather than being employed by multinational companies.

Kim established the iTrabaho.com early last year, which also offers the first job listing platform which take advantage of SMS, and social networking.

Operating under the US registered company Media Group, Kim said that the firm is planning to expand its operations here, from offering innovative online job facility, to maximizing the potential of IT talents in Cebu via Venture Capitalism or VC.

Despite several calls for local businessmen to enter into the VC culture, Cebu still has to embrace in this new idea in maximizing technology and talents by providing talented “geeks” enter into entrepreneurship, in partnership with a capitalist’s company of VC.

Kim recognized the serious need for Cebu to develop the culture of VC, in order not to waste the rich supply of talents here, at the same time encourage the upcoming technology developers to enter into techno-preneurship.

Venture capitalists like Kim, are businessmen who will take advantage of a good concept and offer to fund the idea, as well as market the product.

However, the formation of a group of Venture Capitalists here would entail a study on how to go about it, including the establishment of good mechanism that would give an effective venture capital market in Cebu.

Ideas for start-up businesses that could be funded through venture capital would not only limit to Information Technology (IT) related start-ups, but it would fund feasible ideas from the grassroots, or those business concepts that are produced by students.

Although Kim’s plan is still on the immature stage, he said Cebu’s potential in growing its technology advantage need to have a community of VCs.         

In a separate interview earlier with Cebu Chamber of Commerce and Industry (CCCI) chairman for BPO-IT committee Jerry Rapes, he said acknowledged in-ability to attract VCs, unlike in Manila.

What’s missing in Cebu right now, amid its dynamic environment for BPO and ICT, is the serious development for VC community, Rapes said.

“We need more people, capitalists in Cebu to start investing in technology. Although, it is not that simple, but we can learn from successful VC companies in Manila, and even in other countries,” said Rapes.

Businessmen had been encouraged to embrace the VC concept, as this is one of the measures that indicate the maturity of an ICT industry, said Rapes.

Cebu cannot take off as a BPO and IT hub, there is a no strong support from the Venture Capitalists.

Kim, who is seriously considering to start of the VC culture in Cebu also maintains a company in Silicon Valley, California USA, the Human Capital, which is a market-entry firm that has been operating for years. (FREEMAN)