How dynamic business collaborations help power Singapore’s vibrant start-up ecosystem

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It is said that necessity is the mother of invention. In that vein, the adversity faced by start-ups amid the Covid-19 pandemic can be seen as both a bane and a boon: either a fatal blow to revenues that could sink the business for good, or an opportunity to forge new successes by pivoting products via powerful collaborations.

Subscribers to the latter mindset include Quah Zheng Wei, CEO and co-founder of verification solutions start-up Accredify, which issues verifiable documents. By enabling the automated exchange of secure information, this four-year-old company has worked with more than 600 enterprises across nine markets to simplify traditionally complex processes. When the firm launched it focused mainly on the higher education sector. But that changed after the coronavirus disease hit.

“We looked at the endemic state of Covid-19 in the future, and realised that testing may very well become a daily routine for domestic movement and international travel,” Quah says.

By the time the pandemic was in full swing, Accredify had expanded into the healthcare sector and was working with the Singapore government to support testing needs.

Together with the Singapore Ministry of Health, government agency GovTech and investment company Temasek, it co-developed HealthCerts – the city state’s national set of digital standards and schemas for issuing digital Covid-19 test results, which are recognised across four continents and can be verified by scanning a QR code.

One way to grow, amid global headwinds

Following HealthCerts, one of Accredify’s investors introduced Quah to fellow home-grown start-up Beep, which builds Internet of Things (IoT) – the online connection of data-sharing devices within everyday objects – automation platforms.

Beep, too, was tapping into new opportunities amid the pandemic to distribute critical items, such as TraceTogether tokens, via its network of vending machines.

Both start-ups saw the same opportunity to combine their capabilities and create a powerful global solution.

They launched a partnership that let businesses use Beep’s IoT solution to upgrade any vending machine into an Antigen Rapid Test (ART) test kit dispenser. Staff obtain kits from the machine with a tailored QR code, and once the test is complete, Accredify issues verifiable results within 20 minutes. This helps workers in high-risk settings, such as hospitals and food and drink outlets, quickly conduct routine self-testing and report results reliably.

With their joint offering, Accredify and Beep attracted a global test kit provider and several regional healthcare providers. In all, Beep dispensed over 4 million test kits, and Accredify issued more than 1 million test results.

“With our technologies complementing each other so well in addressing this imminent challenge, the partnership made perfect sense,” Quah says.

Kristoffer Jacek Soh, Beep’s co-founder and CEO, says: “Working together allowed us to offer an integrated, cohesive solution that effectively solved various pain points customers faced in adapting to operating with the pandemic. We integrated our platforms to close the loop.”

Collaborating with all types of players

Stories such as Accredify’s illustrate the power of collaboration between players in the Singapore start-up ecosystem. Innovative partnerships can open new doors and propel business growth locally and beyond, even amid a challenging economic climate.

As the realities of the VUCA (Volatility, Uncertainty, Complexity and Ambiguity) era loom, strong collaborations could be one way for start-ups to leverage their nimbleness to respond quickly to changing conditions.

“The [pandemic] situation was unpredictable, with policies changing very rapidly to safeguard public health,” Quah says. “We recognised that speed of development was important, as our joint solution was something that the world needed urgently. Start-ups like us are able to quickly reprioritise tasks to achieve the required agility and speed.

“As solo companies, we may not have enough resources or expertise to serve large multinationals facing big challenges. However, as partners and consortiums, our combined strengths are enough to address complex problems that large enterprises grapple with daily.”

Yet it is not only partnerships between start-ups that have the potential to supercharge growth and further global business. Collaborations between all members of the vibrant start-up ecosystem in Singapore – from investors to corporates, mentors, accelerators, infrastructure partners, community networks and the government – point to the value of being active members of the community who network, connect and contribute back.

Case in point: Accredify has tapped into connections with multiple ecosystem players to achieve its current market position. For one, it took part in start-up incubator and accelerator programmes such as Tribe Accelerator by Tribe, HyperSpark by StartupX, and Gen E by Temasek.

It also worked with venture capital (VC) firm TRIVE to apply for the Startup SG Founder grant. The programme provides first-time entrepreneurs with mentorship, training and funding support from venture build-partners.

“The programme was instrumental in helping us scale, as it enabled us to hire our first few core team members,” Quah says. “The entire process was clear and efficient. It was a very positive experience.”

Building a relationship with the VC firm also paid off in a big way. “Beyond helping us find financial support, TRIVE went the extra mile to assist us with business advice,” he adds. “They regularly held sessions to keep track of our progress, and offered support whenever we faced roadblocks.”

Now, Accredify is continuing its momentum of mutually beneficial partnerships with more contemporaries across sectors – including edtech player Kinobi and fintech start-up firm GoalsMapper – as it opens its office in Australia and adds to a roster of clients that spans nine markets.

“We would not be where we are today, if not for the support we found in the local start-up ecosystem,” Quah says. “We’re exploring ways to give back meaningfully, such as advising and mentoring.”

How to get to 1 + 1 = 3

By 2035, an estimated 2 per cent of Singapore’s gross domestic product will come from start-ups, according to a PwC report. This means opportunities for the already global mix of start-ups based in the city state are expected to grow even larger.

Home-grown unicorns such as Carousell, ShopBack and Carro, whose valuations have made headlines, show Singapore’s maturing ecosystem is growing increasingly fertile, Quah says.

For peers looking to sign productive partnerships such as Accredify’s, Quah’s advice is: be clear about your business strengths.

“With that clarity, you will be able to find partners that can complement your strengths, and forge valuable partnerships that are able to elevate your offerings beyond what you can achieve alone,” he says. “More can be achieved if we work together – this is an undeniable truth.”

He urges players to continue investing back into the very ecosystem that enables them to flourish: “It is important to nurture start-ups and thus groom the next generation. This will transform our developing ecosystem into a thriving innovation hub.”