Sramana Mitra's ISBA 2012 talk

1. Building India’s
Entrepreneurship Pipeline
Sramana Mitra
Founder, One Million by One Million
1M Entrepreneurs x $1M+ Revenue by 2020
http://1Mby1M.com

2. Entrepreneurship is a
Darwinian Numbers Game
High Infant Entrepreneur Mortality
600,000 companies go out of business every year in the US
But, 600,000 business startup every year as well

3. 99% of Entrepreneurs who
seek Financing get rejected
Yes, even in Silicon Valley

4. Why?
Not enough Validation
Not enough TAM
Inadequate Team
Poor Positioning
etc.

5. But, Silicon Valley has a
HUGE Pipeline
US too. 600,000 businesses starting up each year.
Even with 10% failure, enough succeed.

6. How does India get
there?
And soon.

7. With Virtual + Physical
Incubation
By democratizing entrepreneurship education

8. 1M/1M: Virtual
Incubator
We partner with physical incubators

9. 1M/1M Core Focus on
Scalable, Effective
Mentoring
Mentoring = (Curriculum + Strategy Consulting)
Gap in most communities
Mentoring Networks Do Not Work

10. Silicon Valley Methodology
and Insider Network
1M/1M offers all local incubators instant and credible
access to the Valley

11. Methodology, Curriculum, Mentoring,
Consulting,
Biz Dev, Financing, Media Access
1M/1M augments local organization’s offerings

12. Supplement, not
Competition

13. Step 1: Virtual
Pre-Incubation
100% of the entrepreneurs get basic training and
support

14. 2012 2013 2014 2015 2016
Physical
20 50 100 200 250
Incubators
Entrepreneurs
per 100 200 250 300 400
Incubator
Pipeline 2000 10,000 25,000 60,000 100,000
Cost
($1000 / yr / $2M $10M $25M $60M $100M
member)

15. Step II: Identify the 4%
Most Promising Ones
Offer them $25k grants

16. 2012 2013 2014 2015 2016
Physical
20 50 100 200 250
Incubators
Entrepreneurs
per Incubator 100 200 250 300 400
Pipeline 2000 10,000 25,000 60,000 100,000
Grants
80 400 1000 2400 4,000
(4%, $25k)
Cost $2M $10M $25M $60M $100M

17. 1% Get Financing
89% Bootstrap To Profitability
10% Fail
4-years to get to $1M Avg Revenue

18. 2012 2013 2014 2015 2016
Pipeline 2000 10,000 25,000 60,000 100,000
Success: 90% 1800 9000 22,500 54,000 90,000
GDP ($1M
$1.8B $9B $22.5B $54B $90B
Avg in 4
in 2016 in 2017 in 2018 in 2019 in 2020
years)

19. 2012 2013 2014 2015 2016
GDP ($1M
$1.8B $9B $22.5B $54B $90B
Avg in 4
in 2016 in 2017 in 2018 in 2019 in 2020
years)
Cost $4M $20M $50M $120M $200M

20. ROI: 450X in 4 years

21. India can afford a
$300M experiment
With 450x ROI potential

22. Physical Incubator:
Computer
1M/1M: High Performance Chip

23. Physical Incubator:
Smartphone
1M/1M: App

24. Plug 1M/1M Onto Your
Incubator
Sramana Mitra
Founder, One Million by One Million
1M Entrepreneurs x $1M+ Revenue by 2020
http://1Mby1M.com

25. Skype Irina_Patterson