Southeast Asia’s startup boom has been impressive, but recent financial scandals have exposed serious governance gaps. Weak oversight, poor internal controls, and inactive boards have led many promising ventures off track.
As a startup lawyer, I’ve seen how focusing on rapid growth often comes at the cost of proper governance—until it’s too late.
The region faces a critical moment with funding slowing and investor scrutiny rising. Launching the Maturation Map offers a timely opportunity to raise governance standards and build stronger, more resilient startups.
About the Maturation Map: Southeast Asia’s New Governance Framework
The Maturation Map: Corporate Governance in Southeast Asia Private Markets is the region’s first unified framework to help startups scale responsibly and prepare for global growth. It aims to set a common standard for governance across Southeast Asia’s private markets.
The initiative is a joint effort led by the Singapore Venture and Private Capital Association (SVCA) in collaboration with the Indonesia Venture Capital Association for Startups (Amvesindo), Thai Venture Capital Association (TVCA), Vietnam Private Capital Agency (VPCA), and Malaysian Venture Capital and Private Equity Association (MVCA).
Why is the Maturation Map important for founders and investors in ensuring better governance?
Founders and investors should pay attention to the maturity map, as recent regional financial scandals have highlighted serious governance issues. Take Fishery, a leading agritech startup in Indonesia, which faced allegations of financial misconduct after securing over USD 300 million in funding. Or Zilingo, a fashion tech startup that collapsed due to corporate governance failures and a messy boardroom conflict.
These problems stem from startups scaling too quickly without proper governance in place. Investors, focused on returns, often overlook these issues. The result? Damage to reputation, loss of capital, and a trust deficit could slow down regional innovation.
What’s Next After the Maturation Map?
The Maturation Map isn’t a one-time release. Its creators plan regular updates, board training workshops, and open-source governance toolkits to keep improving startup governance.
As a lawyer advising early-stage startups, I see this as a great way to make good governance more accessible.
For investors, it sets a consistent baseline across markets, helping them manage risk, meet LP expectations, and push for stronger oversight in all their portfolio companies.
The Five Pillars of the New Maturation Map to Guide Founders and Investors
The Maturation Map addresses the governance gap by offering a framework built around five key pillars that guide founders and investors through each stage of a startup’s journey, from formation to exit:
Active Diligence: Shifting from one-time checks to continuous accountability mechanisms.
Use of Technology: Encouraging the adoption of tech tools and dashboards for real-time financial and operational oversight.
Advisor Ecosystems: Enhancing the quality and independence of legal, financial, and strategic advisors.
Higher Standards: Establishing best practices for board conduct, transparency, and internal controls.
Enforcement Mindset: Fostering collective action against misconduct and nurturing a culture of compliance.
The document provides practical steps for founders and investors, including governance maturity matrices, sample whistleblower policies, and region-specific benchmarks addressing unique local challenges.
For founders, embracing the governance playbook is more than meeting compliance requirements. It’s about building credibility. Strong governance becomes a key competitive advantage in a funding environment with tighter capital and increased scrutiny.
Final Thoughts
Founders and investors should treat the Maturation Map as a go-to guide for strong governance.
For startup teams, that means adopting its practices early—like setting up solid financial controls, working with credible advisors, and committing to transparency, even when it’s not required. These actions build lasting trust with both customers and investors.
For investors, it means making these standards non-negotiable—embedding them in term sheets, reinforcing them in board meetings, and implementing the safeguards in the guide.
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