Discoveries and Inventions That Anyone Can Make 2.3.2 How the public subsidy should be
There has never been a time when the measures for starting a business, the subsidy system, the interest supply system, etc. were as complete as they are now. Many measures and systems are the ones that bureaucrats have come up with on their desks. Since these are self-satisfying for themselves, there are a lot of operational complications and dissatisfactions when we actually use them. (Example: Payment at the end of the fiscal year, low payment rate (1/2, 2/3 payment), necessity of much paperwork, etc.)
What is the real reason for the low start-up rate in Japan, even with so much support and subsidy programs? I think there is a problem with the current support and subsidy method of "spoiling ".
Will the people and companies that receive support and subsidies at the time of startup really lead to a truly strong entrepreneurship? It may seem cold, but at first it is necessary for the entrepreneurs to stand up on their own and experience the pain at the time of startup. No one lends a single yen to others without guarantees. None of the successful people have started with a well-equipped office or factory from the beginning. In the process of growth after starting a business, the hardships, ingenuity, and vitality at startup become a great asset and confidence.
In order to grow, it is absolutely necessary to have a painful experience at startup on your own. An entrepreneur who has no such experience and is simply helped by support and subsidies cannot walk on his own later. For that reason, there is a high probability that many entrepreneurs will fail, and there are many cases around us that result in wasteful use of taxes.
The Ministry of Finance (now the Ministry of Treasury) has once acted in large format without a credit check to save the financial crisis of small and medium-sized enterprises due to the recession, deflation, bank lending crunch, and lending. This just revealed to the world that the companies were spoiled and their debts were passed on to the people. But I have not heard anyone took the responsibility for this bad politics.
I think that bad companies should leave the stage. Instead, healthy companies will come out. Poor support is even plucking the buds of healthy companies. It's the same story of a big debt waiver, debt bargaining, and publicly funded big companies unfairly surviving, winning a bid at an unreasonably low price, and crushing serious and healthy companies. This is the same as raising children. Spoiling them can be easy and temporary, but in the long run it's the same as ruining them. Pampering can be no solution.
If you want more reliable and powerful entrepreneurs, it's better for the entrepreneurs to start up on their own without any support or subsidy at first. Then, after a while, they should be provided support and subsidies to "praise" their jobs that can be evaluated objectively, or businesses and ideas that have received awards, and to encourage further new entrepreneurs and jobs. This will increase chances of a successful entrepreneurship and avoid wasting taxes.
Government officials should not make the same mistakes indefinitely. Government agencies that plan and implement support and grants that stick to precedent and desk principles must reflect and change direction.Please refer to the following site for the pictures and/or references.
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