Slides for my keynote presentation at Vancouver Startup Week.

1. @paulsingh #VSW2015
THE BUSINESS OF
(TECH) STARTUPS
THE (GROWING) INTERSECTION OF TECH,
VENTURE CAPITAL AND CITIES.

2. @paulsingh #VSW2015
500 STARTUPS

3. @paulsingh #VSW2015
WHY?
1. Technology is the fundamental driver of
growth in the industrialized world.
2. Private market investing is (one of) the few
remaining ways for the average person to
create significant wealth.

4. @paulsingh #VSW2015
BUY WINS
MY PRIMARY GOAL IS TO
NOT NECESSARILY BUYING INTO THE HOTTEST DEALS.

5. @paulsingh #VSW2015
OPPORTUNITIES HAVE NEVER BEEN GREATER

6. @paulsingh #VSW2015

7. @paulsingh #VSW2015
MOBILE IS EATING THE WORLD

8. @paulsingh #VSW2015
INNOVATION WILL COME FROM VENTURE CAPITAL

9. @paulsingh #VSW2015
API TO VENTURE CAPITAL
& FUNCTIONAL EXPERTISE
THE BIG OPPORTUNITY IN EARLY STAGE TECH INVESTING:
(FOR FOUNDERS. FOR INVESTORS. FOR GOVERNMENT.)

10. @paulsingh #VSW2015
A (R)EVOLUTION IN THINKING

11. @paulsingh #VSW2015@paulsingh #VSW2015
EARLY STAGE
STARTUPS
HAVE CHANGED

12. @paulsingh #VSW2015@paulsingh #VSW2015
STARTUP COSTS
LOWER THAN EVERBUT SCALING STILL COSTS MONEY
CLOUD, OPEN SOURCE AND ONLINE DISTRIBUTION DRIVING

13. @paulsingh #VSW2015
September12,2014

14. @paulsingh #VSW2015
BURN RATES ARE INCREASING AT LATER STAGES

15. @paulsingh #VSW2015@paulsingh #VSW2015
WEB GETS BIGGER.
WORLD GETS SMALLER.

16. @paulsingh #VSW2015@paulsingh #VSW2015

17. @paulsingh #VSW2015@paulsingh #VSW2015
TRACTION IS THE NEW
INTELLECTUAL PROPERTYPLATFORMS (SEARCH, SOCIAL & MOBILE) PRIMARILY DRIVING THE CHANGE.
NO LONGER “GOOD ENOUGH” TO DEPEND ON TECH DIFFERENTIATION.

18. @paulsingh #VSW2015

19. @paulsingh #VSW2015

20. @paulsingh #VSW2015@paulsingh #VSW2015
CAPITAL
INCREASINGLY
COMMODITIZEDRISE OF THE ANGELS, YO!

21. @paulsingh #VSW2015@paulsingh #VSW2015
NEW REALITY:
MONEY FOLLOWS
FOUNDERS
RISE OF THE ENTREPRENEURS, YO!

22. @paulsingh #VSW2015
THE LANDSCAPE IS CHANGING

23. @paulsingh #VSW2015
“TRADITIONAL” VC IS CHANGING

24. @paulsingh #VSW2015
PROLIFERATION OF <$50M FUNDS

25. @paulsingh #VSW2015
POST-SEED FINANCING PUSHES OUT LATER ROUNDS

26. @paulsingh #VSW2015
SIGNALS ARE
EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC

27. @paulsingh #VSW2015
SIGNALS ARE
EVERYWHERE
BIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC

28. @paulsingh #VSW2015
TRANSPARENCY IS
SIGNALS ARE
EVERYWHEREBIG DATA + OPEN SOURCE ANALYTICS = NEW TECHNIQUES FOR VC

29. @paulsingh #VSW2015
WALL STREET
BEAT US TO IT

30. @paulsingh #VSW2015

31. @paulsingh #VSW2015
UBS PROPRIETARY
SATELLITE PARKING LOT
FILL RATE ANALYSIS
POINTS TO AN
INTERESTING CADENCE
INTRA-QUARTER AND
POTENTIAL UPSIDE TO
OUR VIEW.
“

32. @paulsingh #VSW2015

33. @paulsingh #VSW2015
TWICE A WEEK A SMALL
HELICOPTER CIRCLES
OVER CUSHING’S TANK
FARMS ON AN OIL
INDUSTRY SPYING
MISSION.
“

34. @paulsingh #VSW2015
WALL STREET
ISN’T ALONETHESE TECHNIQUES ALREADY USED TO UNDERWRITE IN-VITRO
FERTILIZATION LENDING, PAYDAY LOANS, SUBPRIME AUTO
LENDING, HOME/PERSONAL/AUTO INSURANCE AND MORE.

35. @paulsingh #VSW2015
WE CAN DO IT, TOOSURPRISE!
IT TURNS OUT,

36. @paulsingh #VSW2015
+ “GUT” + TRUSTED MENTORS + MUCH, MUCH MORE DATA.

37. @paulsingh #VSW2015
WE CAN DO IT, TOO.

38. @paulsingh #VSW2015
WE CAN DO IT, TOO.

39. @paulsingh #VSW2015
WE’RE DOING IT, TOO.

40. @paulsingh #VSW2015

41. @paulsingh #VSW2015
VENTURE CAPITAL IS
OPEN TO ATTACK BY
DISRUPTIVE NEW
BUSINESS MODELS AND
TECHNOLOGY.
“
-- NAVAL RAVIKANT (@naval)

42. @paulsingh #VSW2015
EARLY STAGE VC
IS CHANGING
HAS CHANGED

43. @paulsingh #VSW2015
STATE OF THE ART IN EARLY
STAGE INVESTING IS NOT
VERY SOPHISTICATED

44. @paulsingh #VSW2015
UNBUNDLING OF
ADVICE, CONTROL
AND MONEY

45. @paulsingh #VSW2015
USED TO BE ABOUT
CAPITAL, DEALFLOW
AND JUDGEMENTTODAY, IT’S ABOUT ACCESS.

46. @paulsingh #VSW2015
THE BUSINESS OF INVESTING
IS ABOUT CHOOSING THE
LEAST-WORST OPPORTUNITY
NOT TRYING TO PREDICT THE NEXT GOOGLE, FACEBOOK OR LINKEDIN.

47. @paulsingh #VSW2015
ECONOMIC
DEVELOPMENT
HAS CHANGED

48. @paulsingh #VSW2015
THE AGE OF THE
INDUSTRIAL CITY
IS OVER

49. @paulsingh #VSW2015
NOW POSSIBLE TO BUILD
BILLION DOLLAR
COMPANIES IN T-SHIRTS
FROM A COUCH

50. @paulsingh #VSW2015
FROM ANYWHERE*

51. @paulsingh #VSW2015
MORE THAN TRADITIONAL INDUSTRIES, THE
KNOWLEDGE ECONOMY HAS AN INHERENT
TENDENCY TOWARDS GEOGRAPHIC
AGGLOMERATION. IN THIS CONTEXT, INITIAL
ADVANTAGES MATTER, AND THE FUTURE
DEPENDS HEAVILY ON THE PAST.
THE SUCCESS OF A CITY FOSTERS MORE
SUCCESS, AS COMMUNITIES THAT CAN
ATTRACT SKILLED WORKERS AND GOOD
JOBS TEND TO ATTRACT EVEN MORE.
“
-- ENRICO MORETTI

52. @paulsingh #VSW2015
NEAR PERFECT
CORRELATION BETWEEN
URBANIZATION AND
PROSPERITY

53. @paulsingh #VSW2015
NEAR PERFECT CORRELATION
BETWEEN PRESENCE OF SMALL
FIRMS AND THE LATER
GROWTH OF A REGION*

54. @paulsingh #VSW2015
TECH COMPANIES WILL
NEVER CREATE THE
MAJORITY OF JOBS

55. @paulsingh #VSW2015
TECH COMPANIES HAVE A
DISPROPORTIONATELY
POSITIVE EFFECT ON THE
ECONOMY

56. @paulsingh #VSW2015
WHAT HAPPENS IN THE TECH
SECTOR DETERMINES THE
SALARY OF MOST PEOPLE,
WHETHER THEY WORK IN
TECH OR NOT

57. @paulsingh #VSW2015
ALTHOUGH JOBS IN LOCAL SERVICES
CONSTITUTE THE VAST MAJORITY OF JOBS,
THEY ARE THE EFFECT, NOT THE CAUSE, OF
ECONOMIC GROWTH.
“
-- ENRICO MORETTI

58. @paulsingh #VSW2015
PROXIMITY IS
VALUABLE

59. @paulsingh #VSW2015
MODERN ECONOMIC DEV
PEOPLE > STRUCTURES

60. @paulsingh #VSW2015
INVESTORS:
INVEST OUTSIDE YOUR
REGION, BRING THE BEST
FOUNDERS TO YOUR CITY

61. @paulsingh #VSW2015
HUGE OPPORTUNITY
AT THE POST-SEED,
PRE-A LEVEL

62. @paulsingh #VSW2015

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65. @paulsingh #VSW2015
BY ITS NATURE, THE
INTERNET UNDERMINES
ANYONE WHOSE STATUS
DEPENDS ON
PRIVILEGED ACCESS TO
INFORMATION.
“
-- MICHAEL LEWIS

66. @paulsingh #VSW2015
THE PRIVATE MARKET IS
BECOMING MORE
ACCESSIBLE.

67. @paulsingh #VSW2015
THE PRIVATE MARKET IS
BECOMING MORE
TRANSPARENT.

68. @paulsingh #VSW2015
Demo DayVideos ⟹ livestream.com/500startups
Sample Pitch Decks ⟹ slideshare.net/500startups
Venture Capital 101 ⟹ venturehacks.com/archives
Investor Thoughts:
Brad Feld ⟹ feld.com
Fred Wilson ⟹ avc.com
Chris Dixon ⟹ cdixon.org
Mark Suster ⟹ bothsidesofthetable.com
angel.co/valuations and angel.co/salaries

69. @paulsingh #VSW2015
THE PRIVATE MARKET IS
BECOMING MORE
EFFICIENT.

70. @paulsingh #VSW2015
YOUR KEY TAKEAWAYS
Focus on Traction.
Learn to Communicate and Inspire.

71. @paulsingh #VSW2015
ALSO...Distribution > Product
Tactics > Strategy
Notability > Credibility
Get on AngelList
Raise 12-18+ months of funding
Learn the basics of VC economics
Don’t confuse due diligence with progress & probability...
Shameless plug: resultsjunkies.com

72. @paulsingh #VSW2015
TECHNOLOGY IS THE
FUNDAMENTAL DRIVER OF
GROWTH IN THE
INDUSTRIALIZED WORLD

73. @paulsingh #VSW2015
LEARN MORE: resultsjunkies.com
THE BUSINESS OF
(TECH) STARTUPS
THE (GROWING) INTERSECTION OF TECH,
VENTURE CAPITAL AND CITIES.