Entrepreneurs warned to keep business and personal belongings separate

Business

THE biggest challenge facing entrepreneurs in Papua New Guinea is the separation between business and personal possessions, says National Development Bank chief executive Des Yaninen.
He said this during the 2018 Summer Plan Seminar at the University of Papua New Guinea (UPNG) yesterday.
It was organised by the Department of Higher Education Research Science and Technology in collaboration with UPNG and the Handong Global University of Korea.
Yaninen said it was important for entrepreneurs to separate their personal belongings and resources from what belonged to the small businesses they were operating.
“Most small to medium-sized enterprises initiated by Papua New Guineans, about 90 per cent, fail within the first five years or so,” he said.
“They don’t make it further due to a lack of discipline by the owners, the entrepreneurs themselves.
“You need to separate what belongs to you and what belongs to your business.
“What income you make from your small business is not your personal money to make personal expenses, but from the salary or wages you receive as an employee of your business.”
He said this was apart from the challenges at national level like lack of market accessibility, lack of start-up capital, lack of infrastructure to enhance growth of SMEs and high cost of production.