• StartupEmpire: Somebody will get funded!

    One thing we wanted to be sure of at StatupEmpire is that there would be a chance for investment-ready startups to meet the right people.

    Are you coming to StartupEmpire? Do you have a mobile startup or an idea for a mobile startup? Do you have Blackberry development somewhere on your roadmap?

    We have a huge opportunity that I am really proud to be able to talk about.

    We have been working with the Blackberry Partners Fund to see as much as $500,000 get invested in to up to 5 mobile startups during the conference.

    Are you thinking about developing a mobile product or application? Are you coming to StartupEmpire? Fill out this form and you might just walk away with a term sheet! These are simple convertible debt deals that will help you get up and running.

    Submit your idea or startup here!


    I would like to thank our Leadership sponsors, Microsoft and HighRoad Communications.

    We are also pleased to announce our champion sponsors,

    PriceWaterhouseCoopers
    Ontario Centers of Excellence, Gowlings
    and JLA Ventures.

    Visit www.startupempire.ca for more information on the conference and to register.

  • StartupEmpire – Student & Startup Tickets

    startupempireIt’s time for startups to buckle down and really understand their expenses. We thought we’d make it a little easier for startups and students to participate in StartupEmpire.

    One thing about a downturn is that it’s not about eliminating spending, it’s about managing cash flows and making every dollar go as far as possible. We are working on putting together the best hands on workshops that will help entrepreneurs go from idea through to customer acquisition and sales – from legal issues to merger and acquisition issues. The goal is to provide valuable and pragmatic advice from real entrepreneurs, funders and service providers. Advice and examples that can help inspire you and hopefully save you the time and effort later.

    Students and startups are the reason we are hosting StartupEmpire. We want to encourage your participation. To help we’ve created a Student Volunteer program. Twenty students will get a complimentary ticket to StartupEmpire in exchange for volunteering and helping with the tasks that make  a conference run smoothly.

    We understand that students and startups are cash strapped. Our goal is been to provide an event that facilitates an opportunity to learn about the mechanics of starting up in Canada; and to facilitate connections between a community of entrepreneurs and funders.

    To this end and with the help of our sponsors, we’ve also created a limited number of Student & Startup Tickets. These tickets are priced at $199/person. They are full tickets, i.e., there are no limitations. From Day 1, this has been about helping entrepreneurs and startups in Canada.

    Student Tickets

    Are you registered full-time in an academic program? High-school, college or university? Then come on down. You might want to consider the student volunteer program. However, if you want to guarrantee your spot at StartupEmpire, purchase a Student Ticket. If you’re selected as a Student Volunteer we’ll obviously refund your fee.

    Startup Tickets

    Who is a startup? We tried to describe a bunch of parameters: privately held; incorporated less than 5 years; less than $5M/year in revenue; less than 5 employees. We just couldn’t figure out a good set of objective criteria to describe startups.

    So, the definition of a startup is kind of like pornography, I’m not sure I could describe it, but I know it when I see it.

    We will let you self-select, although, we hold the ultimate decision on whether you qualify for the startup ticket discount. We are looking for entrepreneurs and startups. You’ve got an idea. You’re building a product.  We’ll let you determine if you think you are a startup.

    If you’ve already purchased a ticket, and you think you qualify as a student or a startup, don’t worry. I’ll be going through the list of participants this weekend and contacting you individually.


    I would like to thank our Leadership sponsors, Microsoft and HighRoad Communications.

    We are also pleased to announce our champion sponsors,

    PriceWaterhouseCoopers
    Ontario Centers of Excellence, Gowlings
    and JLA Ventures.

    Visit www.startupempire.ca for more information on the conference and to register.

  • You better be on the upside of the downturn

    You could argue that we are always in a downturn. Even when things are on the way up, a smart entrepreneur realizes that it will be followed by the downward sloping of the curve. It goes up, it goes down.

    So here we are. I posted just a few weeks ago that I thought things were rough, and were going to be rough. I have to say, even though it was only two weeks ago, things have changed a lot since, at least in terms of people’s outlook.

    So here is the trick. It is time to use this period to your advantage.

    A handful of VCs in Canada have put together “seed” options in their funds when they raised them a few years ago. These range anywhere from $250k to $500k and are usually simple convertible debt notes. Until now it hasn’t been very cost effective for them to spend much time issuing these. Either an opportunity was good enough that they wanted to invest in it full-tilt from their regular fund, or they just didn’t like it. Most didn’t want to spend much time with the “it might work” group of startups (which is where all good ideas start!).

    Watching the gameMy sense is that this is changing. Some of these VCs are starting to think that these might be just the right instrument to get some startups off the ground in the next little while. Those are the smart VCs, the ones who adapt quickly and who understand that the upside will be coming back in to focus.

    This is your chance to start to hustle while others are taking a breath on the sidelines. The challenge for we startups is to structure our companies in a way that makes sense for the current environment, and for VCs the challenge is to realize that this is a critical point for the industry in Canada, and those who are left have to jump in the game and send a signal.

    And this isn’t all about getting funded. This is the time to hustle even more if you are going to bootstrap. Build your product now and test it, when the upside comes again, you will be ready with a product and some customers, then you can focus on going deeper in to the market.

    The truth is, we will never know when the bottom of this situation will show up. Like it or not, the upside of this downturn is coming and the best way to lose is to stop working hard right now.

  • More on how I was right – Facebook is dead as a platform

    I am sitting here watching my cat chase his tail (what does that say about me?), and it reminded me that I was going to make this post.

    This time last year, just as everyone was getting the Facebook logo tattooed on their butt and while my buddies were trying to figure out the science of breaking up with someone they had listed as a relationship on their profile, I went against the grain.

    Almost exactly 1 year ago, I took the time to tell you that you were all deluded, that the Facebook Platform made no business sense and that this was all going to come crashing down.

    Then, just 4 months later, I got on my high horse (on which I am still firmly mounted) and I wrote that I was right. The house of cards came down even faster than the credit markets.

    So, I am back again, thinking I will gloat a little more, and tell you that if you haven’t moved on yet, then you need to get over it. Your relationship with Facebook is unhealthy. It is a fine place to find old boyfriends and girlfriends from High School, but it is no place to make a business.

    As your mother would say: I told you so.

    Now we are at the point that even the people who were making money off of Facebook applications are willing to admit that the whole thing has gone down the tubes.

    Scott Rafer, the founder of Facebook App shop Lookery, recently declared the Facebook Platform “dead” at the Facebook Developer Conference in Berlin.

    “Lookery’s own statistics from Quantcast suggest that their publisher traffic has been almost halved since the new site design was released. Ultimately, I think we may see an increase in traffic as users become educated on the new design but there is no doubt that developers were impacted significantly.”

    The redesign of Facebook was just the final nail in the coffin of the world of Facebook applications, but it is representatitve of a point I made in my first post on this subject: “You cannot build a business on someone else’s platform when they don’t see you as a partner.”

    As an app developer, you were a customer of Facebook. A guest and a test market. You were disposible.

    Build for a real platform

    What is a real platform? Here are some examples:

    The Web.
    Yes, all those things you loved about Facebook, The Web has them too, and more, and better,. more better.

    The Web has an API, it has users (a lot more than Facebook), and it is pliable and you can apply all sorts of revenue models on top of it. Yes, the web is a wonderful place to put things that have value.

    Sure, the web isn’t for lazy folks. It isn’t like Facebook in November 2007 when you could get 50,000 people running your app which displayed various types of mullets, but you know what, if you put a little elbow grease in to it, you just might get 50,000 users, and you might get 5million, and they will be all YOURS.

    Microsoft Outlook
    I’m not telling you this is a MUST-BUILD platform, but it is worth taking a look at. Outlook has proven itself as a great platform on which to build. From a development perspective I am sure it is a total pain, but once you are in there, you have as much access to someone’s “social graph” as Facebook could ever give you, and your ability to integrate with Outlook is limited only by your imagination and the willingness of your users.

    The Blackberry
    I might get a rough ride for this one, but the Blackberry is the ultimate platform. Blackberry users are addicted. They are fiends and they ALL HAVE MONEY. Here is the other thing: Blackberry has been getting a lot of grief for not having an app store like Apple does for the iPhone. I have to agree that it seems silly, but there is a reason: RIM does not want to be a gatekeeper. You can install whatever you want on a Blackberry, and through that, RIM ensures that they are not the broker of success on thier hardware. The web is where Blackberry apps compete.

    Now, sure RIM recently announced carrier-specific app stores, but those will probably die off, and they are about RIM pleasing the carrier. The ability for anyone to be able to install your app will still live on.

    So go on, get out there and build on top of things that care about you, your users and your business.

  • Byte Club launches – Behind the scenes at b5media

    A new web video show has launched. It is called Byte Club and the first episode is a profile of Toronto based b5media.

    Here is the first episode:

  • Calling all startups: Demo Pods available

    We are making room at StartupEmpire to provide free demo pods to up to 10 great startups.

    We first did this at StartupCamp Toronto and then in Montreal. Both times they were incredibly valuable and the feedback was really positive. People seemed to enjoy them more than the event itself.

    So, we want to do the same thing again. You will be expected to have someone at your pod at all times, and I suggest you have a few people during the breaks and cocktail. You will have a chance to demo your app and pitch you dream to Founders, Funders, Mentors and the people who make this community tick.

    So, please fill out this form to submit your startup.

    Spots are filling up fast, don’t forget to register at StartupEmpire.


    I would like to thank our Leadership sponsors, Microsoft and HighRoad Communications.

    We are also pleased to announce our champion sponsors,

    PriceWaterhouseCoopers
    Ontario Centers of Excellence
    and JLA Ventures.


    Visit www.startupempire.ca for more information on the conference and to register.

  • Anthony Lacavera to speak at StartupEmpire

    I am happy to announce that Anthony Lacavera will be speaking at StartupEmpire. Anthony is an example of the kind of guy we can all learn a lot from.

    The story of Globalive is really one of true entrepreneurial hustle. Anthony, now 34 years old, has gone from graduation day at the University of Toronto, to over $125million in revenue in just under 10 years. From just himself to over 175 employees and he is now the force behind Canada’s next wireless carrier.

    I don’t have to tell you how I feel about the current state of wireless in Canada and how it has a negative effect on mobile startups in this country. Tom has been tracking a lot of that activity on WirelessNorth.ca, and wow are we hurting right now.

    There is great news for startups however, Globalive says they will likely release a variety of monthly all-you-can-eat plans, and then open their network up to other brands and cellphone companies. This means more than just a 4th national wireless carrier in Canada, it means a whole new level of competition.

    I invited Anthony because he, to me, represents the sort of ambition and vision that every startup should have. How many folks have the guts to say they are going to be the next national wireless carrier in Canada and then go make it happen? Just one, that is Anthony.

    Globalive has not been an easy ride, they have consistently iterated over their business model, have found new markets when the needed them and their brands, such as Yak, have been growing in prominence.

    The story of Globalive is also one of uninhibited ambition. When Anthony needed to raise a few billion dollars to bid in the wireless spectrum auction, he just picked up the phone. “I cold-called about 100 parties, from investors to operators to advisors, people that look at the wireless industry.

    That takes guts.

    Anthony will be keynoting on Day 2 of the conference. This is your chance to meet one of Canada’s next great success stories.


    I would like to thank our Leadership sponsors, Microsoft and HighRoad Communications.

    We are also pleased to announce our champion sponsors,

    PriceWaterhouseCoopers
    Ontario Centers of Excellence
    and JLA Ventures.


    Visit www.startupempire.ca for more information on the conference and to register.

  • Riffing on being a startup in Canada

    I think we sound like a couple of nerds stuck in an elevator, but we gave it our best shot.

    Dave and I were hanging out last week and decided to stand in front of a camera, this is what we had to say.

    We have some big announcements to make about the conference in the next week. New speakers, some incredible opportunities for startups one of the coolest parties all year! And don’t forget, the final schedule as well.

    Thanks to everyone who has registered so far. There was a big rush before the early bird deadline, and we are watching the remaining tickets as the go. This is going to be a lot of fun, and we hope you will walk away with everything you need to go to the next level.

    This has been a lot of work, the blood, sweat and tears kind of work you all put in to your own startups every day. Seeing your smiling faces will be the reward! 😉

    If you haven’t registered yet, head over to StartupEmpire.ca and do it now!

  • Back to the Basics

    This is a guest post by Christopher Pyper Co-founder and Lead Developer of MyWebVine.


    When I finished school and first hit the job market it was right in the middle of the dot-com bust. When I finally found a job it was at a company called Hostopia. The company sold web hosting, email, and application services for businesses through large ISPs and Telcos like Rogers, Bell, Telus, and Verizon. Working there was a very intense learning experience for me. The rapid growth meant I had to learn fast, work even faster, innovate always, and adopt as quickly as possible.

    Hostopia was almost entirely bootstrapped by it’s owners – who worked there every single day. It had a solid business model and an awesome core team of employees with whom the founders had worked with in the past (they had previously founded Tucows and Look Communications). Just a few months ago Hostopia was acquired for $124 million, not too shabby for a Canadian tech startup. There is undoubtedly something to learn from a team that can produce three successful Canadian start-ups in a row.

    This company succeeded when everyone else was failing during the dot-com bust by having solid fundamentals. Have no doubt that we as Canadians and Entrepreneurs will be hit with the repercussions of this credit crisis. Getting the basics right is even more important now that financial meltdown has tightened a lot of purse strings.

    BUSINESS MODEL

    Does the world really need another Twitter clone? Is your Facebook application going to stand out from Vampire Bites? Why in hell are you gambling on an acquisition to profit? Are you actually going to make money? If not, go do this right now: Climb to the top of the CN tower – or take the elevator – and look around, you will see businesses and consumers in every direction stretching to the horizon. The world is a big place and there is still plenty of room for good ideas.

    Most of the successful web based start-ups I have seen were great because they brought something to the web that was never there before. And they had a way of drawing profits now or in the near future from sales or advertising. In other words, they made money directly from their service. Hostopia resold it services through large ISPs and Telcos. They didn’t give away free accounts, cheapen themselves by fighting for the bottom, or over-hype their products. They simply sold a good reliable service for money.

    FUNDING

    Too many start-ups burn through too much cash with no tangible results. The fact is, many web-based start-ups actually need very little funding; at least to build their service. Whatever happened to a little sweat equity and bootstrapping? A distributed team can get a lot done collaborating through voip, email, im, and wikis; all while managing source code through tools like Git or CVS. As for hosting costs, those can be easily be kept down in early stages by using a reliable shared hosting service, or a cloud service like Amazon EC2 or Google App Engine. If you do require funding, at least try and develop something tangible to bring to the table. This shows you have enthusiasm, proves your concept, and demonstrates you can deliver – it also greatly increases your chances of securing the sought after financing.

    TEAM

    You need a great team if you really want to succeed. This goes for every department, not just technology. Your lawyer, accountant, marketing director, and sales people are just as important. Hostopia’s founders have been using the same core team through three successful start-ups (going on four now I think), that’s how important they are. I have seen first hand what a small powerful team can do.

    Make sure your team members have the four E’s: Education, Experience, Enthusiasm, and Equity (tangible direct equity in your start-up); otherwise, your just spinning your wheels. Bringing on employees that don’t have the same enthusiasm as the founders is the surest way to fail, the company is just a paycheque to them.

    Don’t forget, recessions can mean opportunity for your start-up, if you have nailed down the fundamentals.

  • Garage Canada in the deadpool?

    Garage Canada has had, to say the least, a poor reputation as of late. Fundings that happened, and then didn’t happen, a lack of activity and general uncertainty about just how serious they were.

    It seems that things may have finally come to pass, and Garage Canada appears to have called it quits.

    Lawyer Suzie Dingwell-Williams notes

    Now, the Garage Canada web site is down, there is no reference to the affiliate on Garage’s US site (although Tom used to be listed as an advisor) and there comes news that some of the former fund staffers are forming a new entity St Lawrence Capital(no website yet). What happened to the portfolio, and the undeployed capital contributed by Quebec LPs like Caisse and Soldiarity Fund QFL?

    I have sent out a few emails to find out what is going on. If you have any insight, comment below.