With 20 years’ experience in the industry, Benjamin Koh could see both the problems and the opportunities. It's why he set up Addicon Logistics Management (S) Pte Ltd, he knew he had to try something new.
Benjamin explained his initial thought for the business (quoted from Business.gov.sg):
“I wanted to be different,” he said. “The conventional business model of logistics businesses being mere transporters – in the sense that we simply move all sorts of goods from point to point – is not sustainable because of low profit margins and intense competition.”
Benjamin decided to focus on fashion logistics, a niche industry segment that provides integrated transport, storage and ancillary services for fashion manufacturers and retailers.
He said, “People in Singapore and the region are becoming more educated and informed. With this increase in sophistication comes more refined tastes. Naturally, people also want to wear nicer clothes, which would drive demand for fashion products.”
Prior to fund raising through SPRING, his team prepared business proposal elaborating how the project would help the business to create new value-added services for clients. Business proposal also demonstrated innovation in developing new service concept to create a new market niche.
A month after his submission, Addicon's application was approved. He received S$300,000 under Logistics Capability Development Programme (LCDP) grant. This fund covered half of consultancy fees, manpower expenses as well as equipment and material costs for the project. It also helped his company to increase its budget and incorporate all desired features into its project.
Read the full article at Business.gov.sg
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