Thanks to its world-leading public policies, Singapore is generally considered to be fertile ground for entrepreneurship and innovation. However, the success of any budding enterprise is largely dependent on the quality of the founding team. And to make a strong team, you need to make good hires.

Below are 6 major qualities you need to look for in people when you set up your venture’s core team in Singapore. Make sure to check out this resource if you’re currently exploring  how to set up a company in Singapore.

1.) Understands Local Business Culture

Though Singapore is a modern, cosmopolitan country, most locals from all three major ethnic groups share traditional Asian values. Singaporeans tend to be more communitarian and less individualistic than many westerners are used to. And while Singaporeans can be as upfront as anyone else, most will give more weight to seniority and age when communicating with colleagues and clients compared to people of European or North American backgrounds.

This is all to say that you cannot expect to hire foreigners into your core group and expect them to succeed immediately in Singapore. If you are going to operate within the social, cultural, and political frameworks that Singapore provides, the members of the core team must be familiar with how things are done.

2.) Values Clear Communication

Knowing how to communicate well is an underrated quality, especially in your new company’s core team. In new business ventures, core team members are expected to grow in their roles, manage teams, and mentor others. Doing these and growing the business sustainably will be a challenge if they cannot communicate accurately and appropriately.

3.) Should Embody Your Company’s Values

Regardless of the roles and positions they fill, core team members have to believe in the company’s mission and vision. Sharing these values and ideas ensures that everyone can stay on the same page, regardless of what’s going on. Having values and attitudes in common can also prevent early turnovers, which is important when you’re building a startup.

4.) Possesses Appropriate Skill Levels

A member of your core team should always be highly proficient in whatever area you hire them for. In many cases, they may have to wear multiple hats, but they should always be able to do the job you hired them to do. This will ensure that they can help maintain the company’s momentum in its critical early period.

5.) Is Willing to Evangelise Your Venture

Singapore is a global hotspot for tech innovators, investors, and entrepreneurs. Because it’s a relatively small place, you and members of your core team are inevitably going to meet other talented individuals who work in adjacent or similar business spaces as your venture. 

Thus, hiring true believers in your new business can increase the odds of finding more qualified individuals to work with your team. Additionally, it may be key to developing contacts who may be beneficial for your nascent company.

6.) Has Life Experience

While there is a pervasive belief that founding startups is a young person’s game, new research suggests that most successful startups are most likely to be started by people in their mid-30s to mid-40s. An earlier study even found that the most common age for successful startup founders to be 45, much older than is often suggested by pop culture.

In both studies, the life experience of older founders was found to be crucial to their success. The same reasoning likely applies to the people you will rely on to set up a company in Singapore. While there’s no reason you can’t make a bet on younger, talented hires, the safer bet is likely to be on individuals who have been around the block a few times.

The Cost of Poor Hiring Decisions

Not hiring employees conscientiously can be potentially fatal to a business venture. Enterprises that try to penetrate unfamiliar markets can be especially vulnerable to poor hiring practices, as foreign business founders are sometimes not able to spot certain issues until it’s too late. Here are some of the potential consequences of poor hiring decisions:

• Financial Costs. It usually takes a substantial amount of money to hire and retain an employee. All the cash invested in them is effectively lost if they resign or need to be let go. In the case of employees in senior positions, you may also have to consider the cost of their severance package. Altogether, the cost of replacing a qualified employee might be substantially more than their annual salary. 

• Lost Time. Poor hiring decisions often result in a lot of wasted time. This can be expensive in the context of Singapore’s extremely fast-paced business environment, with competing enterprises likely to beat you to the punch in terms of innovations and market share.

• Ruined Momentum. New startups with small numbers of employees, in particular, are often vulnerable to sudden shifts in momentum. Each time a member of the founding team is replaced, there is an added potential for disruption that not all new startups can risk.

• Reputational Risks. High turnover rates in an organisation are often seen as red flags by potential employees and customers alike. Employee turnover can usually be reduced by hiring more deliberately, particularly for so-called core teams that will form the foundation of your new venture.

Build Your Team Right

Newly established enterprises operate in more tenuous circumstances than well-established businesses, and hiring practices must reflect this fact. New hires for your core team should not only have the requisite technical skills but also the initiative and values that are compatible with your goals. 

Thankfully, setting up a company in Singapore is much easier than it is in most other countries. If you have the right team behind your venture, they will enjoy a unique environment that breeds success and innovation.