Nepal has always been a land of ideas — from the bustling alleys of local markets to the quiet workshops of skilled artisans. But in the world of entrepreneurship, ideas are only the beginning; turning them into sustainable businesses is the real challenge.
Our previous blog explored how entrepreneurship has long been part of Nepal’s culture, even before formal education recognized it. But having ideas alone isn't enough — the real test lies in turning those ideas into sustainable businesses. For that, Nepal’s entrepreneurial ecosystem still faces some deep-rooted challenges. An Entrepreneurship ecosystems includes aspiring and active entrepreneurs, supportive businesses, banks, venture capitalists, academic institutions, and the actions and policies that help new ventures launch and grow. Nepal is becoming a more entrepreneurial country, but it still does not have a well-connected support system. We can not say that Nepal's startup environment is getting better. Mentorships, finance and investment, and policies are just a few of the places where the startup ecosystem is failing.
Mentorship is a very important part of starting a new business. People who want to start their own business need mentoring and help to learn about the startup market. This lack of knowledge and guidance can make things harder at the beginning, rather than easier, and it can also make it harder for the start-up to stay alive. One of the biggest hurdles for startups is the lack of mentorship. Early-stage entrepreneurs often face challenges navigating the market without experienced guidance — leading to a high failure rate. Studies globally suggest that startups with strong mentorship are significantly more likely to succeed. The other problem is finance and investments. A lot of regular banks do not like to lend money to startups because they think they are risky businesses. But the idea of an angel investor has also taken hold with startups, though most of them are still in cities like Kathmandu. An early-stage investor is someone who puts money into a business when it needs it most, usually before banks and other financial institutions are willing to take a risk. Because of this, a lot of new businesses have trouble getting the money they need to grow or come up with new ideas. Startups also have to deal with policies that slow them down. Delays caused by bureaucracy, high taxes, and a lack of business-friendly laws all make long-term growth harder. Entrepreneurs often have a hard time focusing on new ideas because licensing processes are not always clear and rules are always changing.
These challenges, mentorship gaps, limited access to early-stage financing, and unclear, business-unfriendly policies continue to hold back Nepal’s entrepreneurs from realizing their full potential. However, conversations around these issues are finally gaining momentum. One platform stepping up to address them is the Nepal Entrepreneurship Forum (NEF) 2025.
With this year’s theme, "Towards a Sustainable Entrepreneurship Ecosystem," NEF aims to bring together policymakers, investors, and innovators to confront these gaps head-on — and collectively rethink Nepal’s future as an entrepreneurial nation.
Nepal is home to countless creative and ambitious individuals, but ideas need nurturing to grow into sustainable businesses. With the right mix of mentorship, financial backing, and business-friendly policies, Nepal’s entrepreneurs can shape not just their futures, but the future of the country. NEF 2025 aims to be a catalyst for this transformation, creating an ecosystem where ideas don't just survive but thrive.
