...reduce regulatory burden, startups shall be allowed to self-certify compliance with labour and environment laws. In case of labour laws, no inspection will be conducted for three years. In case of environment laws, startups under ‘white’ category would be able to self certify compliance. 2. Startup India hub – Will be single-point of contact and hand-holding. 3. Simplifying the startup process – A startup will be to able to set up by just filling up a short form through a mobile app and online portal that will be launched in April. 4. Patent protection – PM Modi said patent protection and IP rights are a major concern for Indian startups. The government will make IPR procedure transparent for stratups. Fast track mechanisms of startup patent applications – in order to allow startups to realise the value of their IPRs at the earliest possible. Patent applications of the startups shall be fast tracked for examination and disposal. 5. Panel of facilitators to provide legal support and assist in filing of patent application– Facilitators shall provide assistance for startups in filing and disposal of patent applications related to patents, trademarks and design under relevant Acts. Government shall bear the entire fees of the facilitators for any number of patents, trademarks or designs that a startup may file. 6. 80% rebate on filing patent applications by startups – To enable startups to reduce costs in their crucial formative years, startups shall be provided an 80%...
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...I recently got an email from a founder that helped me understand something important: why it's safe for startup founders to be nice people. I grew up with a cartoon idea of a very successful businessman (in the cartoon it was always a man): a rapacious, cigar-smoking, table-thumping guy in his fifties who wins by exercising power, and isn't too fussy about how. As I've written before, one of the things that has surprised me most about startups is how few of the most successful founders are like that. Maybe successful people in other industries are; I don't know; but not startup founders. [1] I knew this empirically, but I never saw the math of why till I got this founder's email. In it he said he worried that he was fundamentally soft-hearted and tended to give away too much for free. He thought perhaps he needed "a little dose of sociopath-ness." I told him not to worry about it, because so long as he built something good enough to spread by word of mouth, he'd have a hyperlinear growth curve. If he was bad at extracting money from people, at worst this curve would be some constant multiple less than 1 of what it might have been. But a constant multiple of any curve is exactly the same shape. The numbers on the Y axis are smaller, but the curve is just as steep, and when anything grows at the rate of a successful startup, the Y axis will take care of itself. Some examples will make this clear. Suppose your company is making $1000 a month now, and you've made something...
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...402 Industrial Marketing – J Winter 2014 Semester Presented by: Abrar Salim Rafil Zulqarnain Ramsha Khan 28th September 2014 Situational Analysis Internal Analysis Information technology is globally recognized as a vital tool for accelerated ecnonomic growth, efficient governance and human resource developement. Punjab Information Technology Board [PITB] has taken numerous initiatives to deploy swift, effecgtive and innovative IT solutions in Pakistan & has attained massive accomplishments. Plan 9 is an up and running successful project of PITB. Plan 9 is Pakistan's largest tech incubator. Tech incubators are business assistance programs that serve entrepreneurs that deal with technology. Incubators share office space and administrative services but the the core value that they serve is the incubation program to the start up companies. Plan 9 benefits a variety of economic and socioeconomic policy needs, which includes * creating jobs and wealth * Fostering a community's entreprenuerial climate * Technology commercialication * Diversifying local economies * Encouragin women or minority groups Jobs are created as if a team of 5 people successfully incorporate a startup then they would require more workforce and hence more job opportunites would lead to better economic conditions of the country. Plan 9 gives the opportunity to programmers and software developers and other IT personnel to bring out their 'big idea' to the general...
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...How to Raise Money Want to start a startup? Get funded by Y Combinator. September 2013 Most startups that raise money do it more than once. A typical trajectory might be (1) to get started with a few tens of thousands from something like Y Combinator or individual angels, then (2) raise a few hundred thousand to a few million to build the company, and then (3) once the company is clearly succeeding, raise one or more later rounds to accelerate growth. Reality can be messier. Some companies raise money twice in phase 2. Others skip phase 1 and go straight to phase 2. And at Y Combinator we get an increasing number of companies that have already raised amounts in the hundreds of thousands. But the three phase path is at least the one about which individual startups' paths oscillate. This essay focuses on phase 2 fundraising. That's the type the startups we fund are doing on Demo Day, and this essay is the advice we give them. Forces Fundraising is hard in both senses: hard like lifting a heavy weight, and hard like solving a puzzle. It's hard like lifting a weight because it's intrinsically hard to convince people to part with large sums of money. That problem is irreducible; it should be hard. But much of the other kind of difficulty can be eliminated. Fundraising only seems a puzzle because it's an alien world to most founders, and I hope to fix that by supplying a map through it. To founders, the behavior of investors is often opaque—partly because...
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...High Potential (+) | 1. Initial capital investment | High | Moderate | Low | 2. Number of revenue drivers (ways in which the company makes money) | One | Two or three | More than three | 3. Time to break even | More than two years | One to two years | Less than one year | 4. Financial performance of similar businesses | Weak | Modest | Strong | 5. Ability to fund initial product (or service) development and/or initial startup expenses from personal funds or via bootstrapping | Low | Moderate | High | 1. Company is still in early stages. Initial capital investment can potentially come from owners and family relatives. The investment can remain low during our product development. However, since the product is quite complicated and high tech, the capital investment may continue to scale and the company need to find the right investors. Chapman, Lizette. "GoPro Going for IPO, Venture Investors Go for Gold." Venture Capital Dispatch RSS. N.p., 7 Feb. 2014. Web. 09 Feb. 2015. Clark, Bill. "How Much Capital Should You Raise for Your Startup?" MicroVentures Blog. N.p., 25 Nov. 2014. Web. 09 Feb. 2015. 2. We will begin by creating a prototype and visually show people how the product works through screens in Photoshop. Once we get a good amount of potential customers, we will then build a functional prototype and attract people through blogs, emails, and launch parties. Kickstarters and Indiegogo are two great sites for crowdfunding that can help us finance in...
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...The Lean Startup The Lean Startup is a methodology published by Eric Ries in 2011 intended to reinvent how we build businesses today. Since publishing the book The Lean Startup, the fundamentals behind the book have become a widely used process for many technology startups and has since progressed into curriculum of renowned universities and established businesses. The comprehensive idea behind The Lean Startup is to hypothesize, test, and refine your product or service as you build your business to ensure success with the least amount of resources. Although these ideas have recently become popular after the release of Ries’ book, the ideas and concept date back much further. Many of the concepts adapted by The Lean Startup were derived from the familiar Lean Manufacturing views. Improving quality, eliminating wastes, reducing time, and reducing costs are all intricate adaptations from lean manufacturing. Ries began to formalize his knowledge of building businesses after several failed attempts at starting technology businesses. The cycle of lean startup practices were intended for businesses to reduce startup costs, test the market, and improve viability. Historically tech startups would begin with an idea, create the product or service, seek large amounts of funding, and then bank their entire company on one grand launch with hopes of instant success. With Ries’ model startups now create their minimum viable product, test various aspects of the product on a small portion...
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...company” Introduction: About STARTUP companies fail? In today’s peer group or in industrial trends, every individual wants to start-up something new products/services lines in Industry. Scrutiny for start-ups are: • It might be because of existing industrial success rate in start-ups • Dominant vocalizations • Due to financial stabilization, • Having minimal skillset in one particular area of interest and finding sensation factor in it can turn into Start-up! • Availability of resources in industry, • Industrial challenges and demand and supply • Risk taking attitude • Innovation • Business process maturity They create new markets, disrupt old ones, get ridiculous amounts of money from venture capital firms, throw wild launch parties, have the best-looking offices — the list goes on. But is it really that easy to reach startup fame, or do these idyllic stereotypes hide a harsher truth? As it appears, the reality is harsh indeed, because 90% of all startups fail. That sounds horrible. Well, let that sink in. It counts for just 1% of total startup funding, as 82% of startups are self-funded and 24% of entrepreneurs rely on friends and family to keep their business dreams afloat. As for wild parties and lavish offices, the more extravagant they are, the more money is being thrown away, reducing the chance of success and abusing the trust of investors. What is the main cause death of startups? Common reason for failure, doing...
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...aims to help digital start-ups with funding, mentoring, access to legal and financial advice, new technologies and premises accelerators are still essential to the growth of entrepreneurial ecosystems not only because they provide a petri dish for innovation, but because they create jobs. In an article on AllThingsD today, Jed Christiansen contends that the fundamental value of seed accelerators lies in their ability to both drive economic growth and foster an entrepreneurial culture within local communities. Why important Startups, small businesses and accelerators are critical pistons in the engine of job creation; there are a few who would argue with that. However, research from the Kauffman Foundation puts into perspective just how important they are. It suggests that, between 1980 and 2005, all net job growth emanated from companies fewer than five-years-old. When it comes to how to best reverse an economic downturn, about the only thing you might find politicians agreeing on is the importance of supporting small businesses. For accelerators, it doesn’t matter whether or not all of their startups raise big rounds of venture capital, it matters how well their graduates can build a network of support for their peers and for future companies. The deeper and more robust it becomes, the more success startups find and the more jobs they collectively create. One of the more interesting results was that the funding they received was the least important aspect of the program...
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...How to Raise Money Want to start a startup? Get funded by Y Combinator. September 2013 Most startups that raise money do it more than once. A typical trajectory might be (1) to get started with a few tens of thousands from something like Y Combinator or individual angels, then (2) raise a few hundred thousand to a few million to build the company, and then (3) once the company is clearly succeeding, raise one or more later rounds to accelerate growth. Reality can be messier. Some companies raise money twice in phase 2. Others skip phase 1 and go straight to phase 2. And at Y Combinator we get an increasing number of companies that have already raised amounts in the hundreds of thousands. But the three phase path is at least the one about which individual startups' paths oscillate. This essay focuses on phase 2 fundraising. That's the type the startups we fund are doing on Demo Day, and this essay is the advice we give them. Forces Fundraising is hard in both senses: hard like lifting a heavy weight, and hard like solving a puzzle. It's hard like lifting a weight because it's intrinsically hard to convince people to part with large sums of money. That problem is irreducible; it should be hard. But much of the other kind of difficulty can be eliminated. Fundraising only seems a puzzle because it's an alien world to most founders, and I hope to fix that by supplying a map through it. To founders, the behavior of investors is often opaque—partly because...
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...Most startups that raise money do it more than once. A typical trajectory might be (1) to get started with a few tens of thousands from something like Y Combinator or individual angels, then (2) raise a few hundred thousand to a few million to build the company, and then (3) once the company is clearly succeeding, raise one or more later rounds to accelerate growth. Reality can be messier. Some companies raise money twice in phase 2. Others skip phase 1 and go straight to phase 2. And at Y Combinator we get an increasing number of companies that have already raised amounts in the hundreds of thousands. But the three phase path is at least the one about which individual startups' paths oscillate. This essay focuses on phase 2 fundraising. That's the type the startups we fund are doing on Demo Day, and this essay is the advice we give them. Forces Fundraising is hard in both senses: hard like lifting a heavy weight, and hard like solving a puzzle. It's hard like lifting a weight because it's intrinsically hard to convince people to part with large sums of money. That problem is irreducible; it should be hard. But much of the other kind of difficulty can be eliminated. Fundraising only seems a puzzle because it's an alien world to most founders, and I hope to fix that by supplying a map through it. To founders, the behavior of investors is often opaque—partly because their motivations are obscure, but partly because they deliberately mislead you. And the misleading...
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...trying to convince investors. They try to convince with their pitch. Most would be better off if they let their startup do the work—if they started by understanding why their startup is worth investing in, then simply explained this well to investors. Investors are looking for startups that will be very successful. But that test is not as simple as it sounds. In startups, as in a lot of other domains, the distribution of outcomes follows a power law, but in startups the curve is startlingly steep. The big successes are so big they dwarf the rest. And since there are only a handful each year (the conventional wisdom is 15), investors treat "big success" as if it were binary. Most are interested in you if you seem like you have a chance, however small, of being one of the 15 big successes, and otherwise not. [1] (There are a handful of angels who'd be interested in a company with a high probability of being moderately successful. But angel investors like big successes too.) How do you seem like you'll be one of the big successes? You need three things: formidable founders, a promising market, and (usually) some evidence of success so far. Formidable The most important ingredient is formidable founders. Most investors decide in the first few minutes whether you seem like a winner or a loser, and once their opinion is set it's hard to change. [2] Every startup has reasons both to invest and not to invest. If investors think you're a winner they focus on the former, and...
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... than 10 percent.” of those actually playing. An analysis of this industry’s components using Porter’s Six Forces sheds light on the likelihood of Zynga’s continued success following what is “, sure to be a blockbuster initial public offering.” Threat of Entry: Threat of entry in this industry is huge, largely due the low cost to developers and the huge interest from venture capital firms. Tech startups have but to look and the funding availability is nearly limitless as “Firms such as Union Square Ventures, O'Reilly AlphaTech Ventures and XG Ventures are devoting an increasing amount of time and money to financing wireless apps.” And it’s not just start-ups looking to get in on the action “, Yahoo wants to be the company that brings apps to the wider world,” with the revenues being realized; there is increasing interest from the well established companies to get involved with the research and development of social gaming apps. At present the “,torrid growth has attracted money…,Kleiner, Perkins, Caufield &Byers… launched a $100 million investment fund specifically to back startups creating software applications for the iPhone…Research In Motion (RIMM) unveiled a $150 million venture fund, with investments from Thomson Reuters (TRI) and RBC Venture Partners, to develop apps and services for its BlackBerry and other phones. And…U.S. mobile operator Verizon Wireless (VZ) announced an initiative to...
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...Abstract The purpose of this study is to identify most common strategies in managing employee engagement in startup companies in Seattle, Washington, US. Although many research and studies has been conducted to identify strategies to manage the employee engagement, many companies are still unsuccessful to improve their engagement level and their turnover rate. Therefore, this research will narrow the study of employee engagement to a specific type of company, so the result of this study will be most possible to be adopted and referred by other companies in the same category. Engagement level in thirty sample startups will be determined using ISA Engagement Scale and common HR strategies will be evaluated among companies with higher employee engagement score. In the future, the findings of this study can be use as a reference for practitioners at startup companies to develop a better human resource strategy, improving their employee engagement level. Keywords: engagement, startups, human resources, strategy Introduction According to State of the Global Workplace Study by Gallup, there are only 13% of employees are engaged at work in the world. In other word, only one in eight employees that are emotionally committed to their work, contributing to the company’s growth by working effectively and efficiently. Studies have proved that engaged employees contribute to the company’s performance (Arrowsmith & Parker, 2013; Reilly, 2014; Pollitt, 2008) and strategies to improve...
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...hood 4 2.2 Risk Taker 5 2.3 Open source 5 2.4 Education 5 2.5 Work freedom 6 2.6 Work in diversity 6 2.7 Weather and environment 6 3.0 Comparison Between Silicon Valley and Hong Kong IT Industry 6 3.1 Business nature 7 3.2 Financial Capital 7 3.3 Infrastructure 7 3.4 Cultural factors 8 4.0 Hong Kong Limitations 9 4.1 Lack of Young IT Expertise 9 4.2 High Rental Cost for Companies 10 4.3 Lack of Local Venture Capital 10 4.4 Copyright and Patent Issue 11 5.0 Conclusion 11 References 12 1.0 Introduction Silicon Valley is in the southern portion of the San Francisco Bay Area in the United States. It is home to many of the world's largest technology corporations and small startup companies (Ref 1). In summer 2014, we took a technology field study trip to Silicon Valley with an aim to analyze the characteristics of IT industry in Silicon Valley and compare with Hong Kong. Through our study and information gathered from the site visits, we compare the synonym and antonym of the two places from different aspects. During the week of 18 Aug, we visited several technology companies like Google and CISCO, visited and attended lectures at 3 famous universities, and also spent the evenings experiencing local cultures. These are the highlights of these places: Technology companies: Google Inc. | Internet related services and products, online advertising, search engine, Android | Presentation by Julian ChuGoogle...
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...This case study features John, a CFO of a startup company. He reports to the recently hired CEO, Ralph. They work at a small tech startup company that is funded through venture capital. There is a great deal of pressure being placed on John to produce successful results as only 10% of startups actually succeed (Patel, 2015). Ralph has asked John to record the revenue of an impending sale to reflect on this quarter’s financial statement, which will be prepared in a few days time. John is hesitant about recording unrealized revenue because it does not follow standard financial reporting guidelines. Ralph insists though, because the next round of funding in coming up as well and would make the company appear more attractive to the investors. Using the five ethical tests: The Utilitarian Approach, The Rights Approach, The Justice Approach, The Common Good Approach, and The Virtue Approach, I will demonstrate the ways in which this case is unethical and show that John should not recognize the revenue until the sale is complete. The first test we will examine for this case is the Utilitarian Approach. We begin by asking if everyone involved benefits more than they suffer from inflating the revenue. In the short term, everyone in the company could benefit from John’s decision to add the potential sale as revenue because it would appear that the company was more financially successful. This fact alone could permit the second round of venture funding to be accessed. The CFO...
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