StartupNorth

Category: Startups

  • Looking for a direct line to Silicon Valley

    Editor’s Note: This is a guest post by Mark Silva (LinkedIn, @marksilva), SVP Emerging Platforms at Anthem Worldwide. He was in attendance at GrowConf 2011. 

    CC-BY-20 Some rights reserved by JD Hancock
    Attribution Some rights reserved by JD Hancock

    There’s a different business DNA here in Silicon Valley and there’s no other start-up ecosystem like it anywhere in the world.  We are the descendants of miners, pioneers, and manifest destiny. We’re comfortable crafting real value from the clay of chaos. In the 49er days you weren’t a failure if your mine went dry, only if you quit and that attitude persists here today. I always tell startups, if they’re serious, they need to come to Silicon Valley.  It’s tough enough to start a business. Why not start with an unfair advantage and remove some of those obstacles you face with an ecosystem that can help solve your biggest and smallest issues?

    GrowConf Aug 22-24, 2012 in VancouverThat being said, you’re not doomed if you decide to start a business somewhere else.  Events like the GROW Conference in Vancouver have made the Silicon Valley ecosystem mobile and if only for a few days, you can have the Valley brought to you.  Between the speakers, mentors, investors, companies, and accelerators, GROW Week is like a high speed rail to Silicon Valley with exclusive access to the right players.

    As we all know, there’s a serious echo chamber in Silicon Valley, and the chance to get out of our caves and be in new places is healthy and promotes good ideas.  I find that when I attend a good conference or event, I end up having more in depth conversations over the course of a few days with people I care about than I do in any other situation.

    Some of the highlights for me from GROW last year were getting to know Vy Le, CEO of Rudy’s Barbershop, spending time with top Silicon Valley VCs like Chris Redlitz, Jeff Clavier and Rob Hayes, and networking with fellow mentors like Matt Galligan and Lane Becker from Get Satisfaction.  How awesome is that!?

    GROW is the closest thing to a “Valley” experience outside of the Valley, and Vancouver is one of the most beautiful backdrops to inspire collaboration, discussion and innovation. I’ve never met a Canadian I didn’t like, and I’ll put that challenge to the test when I return to GROW in August!

    Join Mark Silva, Julia Hartz, Sean Ellis, Dave McClure, David Cancel and others at GROW August 22-24th in Vancouver, BC

    Register for GROW with a $100 discount using the promotional code “SN” at http://growconf.eventbrite.com/

    Editor’s Note: This is a guest post by Mark Silva (LinkedIn, @marksilva), SVP Emerging Platforms at Anthem Worldwide. He was in attendance at GrowConf 2011. 

  • Why YOU Should Be At Next Year’s StartupFest Montreal

    Editor’s note: This is a cross post from Onboardly blog written by Renee Warren (@renee_warren) & Heather Ritchie (@heatheranne) of Onboardly. Follow them on Twitter @onboardly or Onboardly.com. This post was originally published in July 14, 2012.


    @danmartell of @getmoreclarity presenting – Motivation Trumps Knowledge

    Well, it certainly was a memorable event. With no surprise we heard some excellent speakers and saw the likes of Dave McClure flipping the bird. It wouldn’t be a startup event without such a character. And for the other startups we got the chance to talk to and (finally) meet, it was well worth our time, money and bearing the heat!

    Upon arrival we bumped into the fabulous @Brydon who staggeringly spoke to us about the fun times had on the startup train. Then we quickly sat down to a chat with Caitlin and Neil of @CreamHR. We were wow’d by the projects they are working on. Mixing psychology with real-time job talent hiring, their product quickly allows you to determine if a candidate is in the top 15% of people qualified for a particular position.

    Off to the festival we went meeting brilliant startup after startup, and of course reconnecting with some of our favorite people from events past including the always entertaining/stylish @davidcrow, the lovable gang from @bnotions, and a huge cohort from @launch36, et al.)


    East Coast represent! @launch36 and more startups in attendance.

    On Thursday night, we hosted a founders dinner at Holder – one of Montreal’s finest restaurants. Thanks to everyone who joined us to make the dinner conversation spectacular. We were outnumbered 16-2 guys/gals so considered ourselves very lucky ladies indeed.


    @startupCFO, @DavidCrow, @heatherAnne, @renee_warren, @kenseto, @mattskilly, @zakhomuth, @andrewsider and many more at dinner.

    Also a ton of fun was the Wavo launch party, where they turned l’Augerge Saint-Gabriel into a booming hotspot, DJ’ed by none other than Real Ventures Mark MacLeod (@StartupCFO) & FounderFuel’s Ian Jeffery (@ianmtl). True (semi-hidden) talent exposed!

    We could go on to mention every single person we met (all amazing!), but this post would go on for years. Instead, we’ll do our best to explain how awesome it was in a few key points in hopes of enticing you to do next year (or go again!).

    Why You Should Attend @StartupFest Montreal:

    1. It’s a mini SXSW without the pressure to attend every open bar party
    2. There is less swag than SXSW, which means you aren’t paying for extra weight for your suitcase with all the new T-shirts you’ve accumulated
    3. You get to see the same people more than once and actually get to know them (smaller groups = more meaningful conversations)
    4. The caliber of attendees is amazing – no fluff; just good people/good ideas
    5. You get the chance to pitch your startup to grandmothers and teenagers
    6. Investors galore throughout the mix of attendees; lots of opportunity for 1-on-1’s
    7. It is in one of Canada’s most amazing cities: Montreal
    8. The speakers are amazing; short 20-minute talks keep things moving swiftly
    9. The organizers ride around on scooters. Catch them if you can
    10. $50k Startup Prize! (Congrats @Jintronix!; and runner-up @openera on the @founderfuel prize.)
    11. Local food vendors in lieu of cafeteria fare; crepes, pasta, international delights
    12. Ice cream truck. Enough said
    13. Mentor tents, live TV interviews, and cold beer

    While we’re just now coming down from our conference high (and catching up on our sleep), we wanted to take this opportunity to sincerely thank organizers for a great time. Philipe Telio, (@ptelio) you have done it again!  You guys killed it. And you can guarantee we’ll be there next year.

    Au revoir Montreal. A bientot!

    Renee & Heather

  • Meet StartupNorth’s Rich New Benefactor…

    Yes, that’s right. Our very own Jevon Macdonald reportedly has sold GoInstant to Salesforce for $70mm big smackers.

    Forbes – http://www.forbes.com/sites/ericsavitz/2012/07/09/salesforce-com-reportedly-to-buy-goinstant-for-70m-plus/

    Tech Crunch – http://techcrunch.com/2012/07/09/salesforce-com-reported-to-buy-goinstant-for-70-million/

    Somehow missing from the GoInstant story is that they had picked up an extremely impressive list of customers, including several of the top ecommerce brands for whom I’m sure salesforce.com wanted deeper presence.

    In fact its a double pay day for startupnorth. Jonas Brandon also was one of the super early investors in GoInstant and I’m sure is taking home a nice chunk of change.

    Big Congrats to Jevon and the GoInstant Team, its not every day a small startup based out of Halifax builds $70mm of value in a short 2 year period and gets acquired by one the most successful technology companies.

  • June 2012 in Review

    Market Analysis & Industry News

    “2.3 billion people are now globally connected by the Internet. There are 1.1 billion mobile 3G subscribers. Almost 30 percent of all US adults now own a tablet. Mobile is cited as source of 8% of all e-commerce.” from Forbes citing Mary Meeker’s 2012 Internet Trends

    A must read post by Rick Segal on the Secret VC Handbook. If you are considering raising institutional money, you should read Rick Segal’s (@ricksegal) The Secret VC Handbook:

    “The debate between building native applications vs. mobile web sites has raged.” from Adam Nash’s (@adamnash) User Acquisition: Mobile applications and the Mobile Web

    “Global population 7 billion. Mobile phone subscriptions 6 billion. Internet users 2.3 billion.” from The App Generation

    What are the typical top sources of customers for early-stage SaaS companies?

    Company Announcements

    Mike Beltzner joined Wattpad as Head of Product.

    Extreme Startups Demo Day featured keynotes from 500 Startups Paul Singh (@paulsingh) and Mayfield Fund’s Tim Chang (@timechange), with launch of Shoplocket, Granify, Gijit, and SimplyUs and Verelo.

    Plug and Play Tech Center announces cohort of Canadian startups for StartupCamp that includes Pinerly and Willet.

    Ryerson’s Digital Media Zone announced four new tech startups moving in including: Komodo OpenLab, YC grad KytePhone, Electric Courage and Virtual Next.

    Financings

    Company Description Amount Investors
    Wattpad Wattpad is the world’s largest online community of readers and writers. $17.3MM Khosla Ventures, Yahoo co-founder Jerry Yang, Union Square Ventures, Golden Venture Partners
    Lightspeed LightSpeed’s technology provides retailers with powerful tools that reinvent the shopping experience using Mac computers, iPads, and iPhones for retail management tools $30MM Accel Partners
    BuildDirect BuildDirect is North America’s largest online destination for heavy weight building materials $16MM OMERS Ventures
    Blacksquare BlackSquare is a leading market innovation for direct to consumer wine ecommerce globally. Seed Undisclosed
    CommunityLend $3MM non-brokered private placement from a single investor
    Novidev Santé Active Novidev Santé Active is a Québec agri-food business that has developed Vegetal IntelligenceTM, a unique process that preserves all the fruit’s natural bioactive compounds, and will be marketing its first ’super fruit juices’ under the Anti+ brand. $1.3MM 15 private Anges Québec investors including Charles Boulanger and Desjardins Innovatech

  • Why The Idea is Bigger Than Everything

    I was doing some thinking a few weeks ago about why I am a founder. Everyone has different reasons they look to in order to get through the long grind of being a founder. It’s tough and very thankless, so you need to find the tangible reasons that you can look to both to measure progress and to remind yourself that you are making progress on all fronts.

    Those reasons are all important ones, but they pale in comparison to what drives you to go beyond simply being a founder to being an obsessed, irrational and irrepressible builder: The Idea.

    When it comes to building a lasting company The Idea is more than just a problem you’ve identified. The idea is some new insight in to the world. When you have an idea then you get a lot of things for free along with it:

    • Vision
    • Strategy
    • Product concept

    The entire business will continue to evolve, but truly great ideas are unshaken through constant change. Having an idea that is worthy of spawning a startup is a standard that you should hold yourself to. You’ll know the big one when it comes.

    There are things that come up along the way that make you think you’ve had a big idea and those are the reasons that so many startups get started but lose steam quickly: you find a simple problem, you have an idea for a feature but mistake it for a product, or you find a “vision” which is really just a statement.

    These things do not last, but ideas do. An idea should be novel, unexpected and impossibly big.

    • Reddit wanted to create a front page for the internet
    • Salesforce wanted to make enterprise software as easy to use and buy as Amazon.com and Ebay.com
    • Google wanted to make search useful (and late went on to aspire to organize the world’s information)
    • Elon Musk thought we should drive in electric cars and fly to space one day.
    These are companies who show us the future and promise to take us there. We use them, buy from them and care about them because they aspire to a big idea and when the stumble along the way it makes it far easier for us to be patient with them.
    Mine? At GoInstant we thought the web should be a multi-player experience.
    What’s your big idea?

  • Why I’m a Founder

    Dave says we can’t all be founders.

    He’s probably right. At some point though, I decided that I wanted to be a founder. Lately I’ve been thinking about why it has been so important to me over the last 10+ years to keep at it, even when it didn’t make a lot of sense.

    A lot of different things have driven me to be a founder, I’ll try to be as honest about them as I can.

    A need for control: Don’t get me wrong on this one. I don’t need to control others. I think you could ask any of my current co-founders and they would tell you that I don’t need to control, I just need results. What I do need control over however is my own life. Every morning I wake up that I am ploughing my own path I am happy and ready to take on the day. The moment I sense I have lost that control I am anxious and ineffective.

    A desire to make a lasting difference: There are few things I can do to make a difference, but I feel strongly that providing awesome opportunities for other people to fulfill their own dreams can make a huge difference. I want nothing more than for those who come to work in my startups to see it as a place they can achieve their dreams. Watching people buy homes, raise families and pursue their own passions is probably the most rewarding result of all the work you pour in to your startup.

    Watching people grow: The first feeling of failure when a startup is going sideways is always the sense that you are letting these people down. Startups are demanding and gruelling for everyone. It’s inspiring when these early employees suffer through long hours and low wages with you, but it is the never ending belief that you can make their lives truly better in the end that drives you to keep pushing and often asking for more when you know they have little to give.

    When a startup is going well you get to give people new opportunities and the great thing about people is that they seem to thrive in new situations. Hard problem? Tough decision? If you’ve hired the right people then you never think twice about letting them dive in to the thick of it.

    Working with the best: Simply put: I never have to work with anyone other than those who I think are the smartest, most honest, diligent and incredible people I could meet. Every single one of them amazes me in some way every day and I am a better person because of the example they set.

    Constant learning: There are brilliant people everywhere in the startup world. I think they are more varied, interesting and available than any other community I have been a part of. I love it. I leave every coffee meeting, late night drinks and impromptu meetup feeling like I have learned something new. I love that feeling and I love being a part of a community that provides it.

    Never knowing what’s next: I have no idea what my future holds. I really don’t. I know I am married to a woman I love dearly and who loves me back. I know I have a family I love and can rely on. Those are just about my only constants. Some people call it “instability”, but the founders I know thrive on it. You aren’t going in to the darkness, you are hurtling towards some future you have dreamt up on your own and which you will achieve for yourself, no matter what. Whatever that might be.

     

    We can’t all be founders, but what drives YOU to break out and become one?

  • Round13 Capital puts founders first

    Scott Pelton, Bruce Croxon and John Eckert - Round13 Capital

    Round 13 CapitalWhat’s interesting about the Round13 Capital announcement today isn’t the size of the fund – they are targeting $100MM. It isn’t the people who are involved – they are amazing. It isn’t the LPs – they are different. The team, Bruce Croxon, John Eckert and Scott Pelton, are bringing together a group of entrepreneurs to serve as mentors. This is not uncommon in the US with a number of funds like SoftTech VC, Felicis Ventures, Founders Fund and similar to Founder Collective (if you are interested read the Kauffman Foundation’s Do Entrepreneurs Make Good VCs? [PDF]).

    “Venture capital firms with a greater fraction of entrepreneur VCs have better firm performance. The positive relation between entrepreneur VCs and performance is stronger for venture capital firms specializing in high-tech industries and in early-stage investment.”
    — Do Entrepreneurs Make Good VCs – Entrepreneurial Finance and Innovation Conference – The Kauffman Foundation

    The Round13 Capital team has done an amazing job of bring together founders with exits as both LPs in the fund, and more importantly as mentors for their portfolio companies. This is a critical differentiator for Canadian entrepreneurs. Hopefully the Round13 fund will close and they can start funding Canadian entrepreneurs soon.

    Round13 Investors/Founders

    This is great new for Canadian entrepreneurs!

  • Crazy train

    On the trip home from a conference last year, it struck me how lonely it was. Yes I talked with people on the train. I had wifi and a phone but I didn’t have anyone who had shared the awesome conference experience I’d just been through, I wanted to keep it going. Returning to my city, I wanted to keep it the momentum rolling there as well.

    I happened to have attended an amazing conference named BitNorth. In the case of the crap conferences, the travel back and forth is even more torturous. BitNorth is unique in that it really attempts to leverage what are typically considered the fringe elements of conferences.

    All this left me wondering if we could make crappy conferences better and great conferences awesome by explicitly building up the fringes. We, at ThreeFortyNine, are taking our first shot at it this July. We’re cheating by starting with an amazing conference with The International Startup Festival in Montreal. We’re getting ourselves our own first class car on a Via train to travel to the conference and back from Toronto, Guelph, or Kitchener-Waterloo. We’re filling the car with founders, funders and startup junkies. For us this experience starts when we hop on the train and it doesn’t end when the conference ends. It won’t even end when we get off the train since you’ll be returning to your city with a group of friends who’ve shared this experience with you. We’ll conspire, plan, meet and keep the momentum going.

    In the case of the best roadtrips of my youth, I can hardly recall what our destination was. It’s the getting there I remember. It’s the getting there that was the starting point of something bigger.

    Join us this July as we bring the Ontario startup scene to Montreal and give them a peek at who we are and what we’re building. Clearly we have limited seats on our train car so when we sell out, we’re sold out for realz.

  • Hot Sh!t List 2012

    CC-BY-20 Some rights reserved by kyz
    Attribution Some rights reserved by kyz

    We have been tracking startups and people for a while. In 2011 was the first Hot Sh!t List, but it won’t be the last. There are a number of amazing individuals in the ecosystem like Mark MacLeod (LinkedIn, @startupcfo), Boris Wertz (LinkedIn, @bwertz), Dan Morel (LinkedIn, @dpmorel), Debbie Landa (LinkedIn, @deblanda), Chris Arsenault (LinkedIn, @chrisarsenault), Dan Martell (LinkedIn, @danmartell), Jesse Rodgers (LinkedIn, @jrodgers) and others. Over the past 7 years the community has grown, and connected, and continues to help each other.

    But this list is different.

    It’s not about the people who have raised the most money, or who have the biggest social graphs. It’s about who we expect to talk about over the next 12 months. Be it the ideas, the companies, the impact, etc. My goal was to find a mix of the unsung heroes, the founders, the developers, the doers, the troublemakers and the faces of different companies across Canada that we think are amazing/interesting. What do I mean by “interesting”? Well it depends. But these people are doing the stuff we’ll be talking about over the next 12 months.

    The list is no particular order. But there is no denying it, these folks are the:

    StartupNorth Hot Sh!t 2012 BadgeHot Sh!t List 2012

     

  • Canadian VCs are being cut loose, and that’s a good thing

    Mark MacLeod just wrote a post about Canadian VC that cuts to the chase

    If there are any clouds on the horizon, they relate to the disappearance of the US / Canadian border when it comes to VC. When I first entered the startup World, you had no choice but to raise seed and series A in Canada. Only then could you tap the US funding markets. That’s no longer the case.

    [ . . . ]

    There is a perception (rightly or wrongly) that US investors are better than Canadian ones. And that given the choice, founders would raise in the US. Whether this is true or not is not the point. It’s the perception and with the borders coming down it represents a real risk to Canadian investors.

    Mark did it in the nicest possible way, so a lot of people may not have noticed that he just condemned the entire Canadian VC model. It was something I didn’t even have the guts to do lately, so I was surprised to see Mark call the spade a Spade and get on with the conversation.

    The border is gone and the game has changed. Mark argues that Canadian VCs need to pay up more, build their brands and build their networks. That’s a great start.

    Canadian entrepreneurs have been told for years to step up and build global companies. It was hard and confusing to hear at first, but I think we’ve managed to do it. Whether it is Tobi in Ottawa, Kirk in Toronto, Ryan in Vancouver, Oleg in Toronto, Mike in Toronto, Kenshi Wilkins and Eric in Vancouver, Yona in Montreal, Temo in Montreal etc etc etc [I’ve missed so many here — more to come on David’s Hot Shit List] — I would argue that Canada is producing more world-class entrepreneurs more quickly than ever before.

    We’ve spent the last 10 years being told we weren’t bold enough and need to think bigger. The argument has shifted and our startups now know what it means to be world class and they are doing it.

    It’s time for the Canadian VCs to step up and do the same.

    It doesn’t take nearly as much to get a US based VC to take a look at a Canadian deal anymore. If they have never done a deal in Canada before they usually have a friend who is just a call away who has and it can be demystified pretty quickly. The legal headaches are gone as well.

    If you are a VC in Canada, focused on the Canadian market, then you have far more competition for deals now than you did even a few years ago and the job is more thankless than it has ever been.

    So here’s the challenge for the the new players in Canada. Rho, Celtic, OMERS, iNovia, Relay, Golden, Klass, Wertz, Round13, etc…

    Entrepreneurs are going to start telling a story about under-paying, small thinking and isolated VCs. As US VCs roll off the redeyes in to Vancouver, Edmonton, Toronto, Montreal, Halifax and elsewhere it should be you who is bringing them to town to see great deals which are priced right and which are built to succeed from right here in Canada.

    The challenge is that you, like the entrepreneurs you fund, now have to be world class. That probably means being on a plane more often and pulling the trigger on deals within days, not months.

    Nobody should start a VC fund in Canada today unless they want to work as hard or harder than any startup founder they will fund.  It is no longer a job for ex-bankers and management consulting dropouts. The job is hard, mostly thankless, and more competitive than ever.

    That’s why I love this shakeout we have undergone and the one that is continuing today. VC in Canada had to go through the wringer so that we could end up with a handful of the best and most capable operators who can help springboard Canada further on to the world stage. We aren’t going to do it through myopic provincial funds, big corporate funds or economic development agencies.

    It’s going to happen through hungry hustler GPs who have something to prove and only a little time to do it in.

    Canadian VCs need to be startups themselves, because in the end only Startups can save venture capital in Canada.