The Next10 Conference in Berlin took place on May 11th and 12th. The theme for the conference was Game Changers. This is Jouko’s presentation from his workshop at the event. The presentation illustrates the fundamental problems in the funding market and our shared futures. Enjoy!

1. How to fix it?
Crowd-funding and new funding models
Jouko Ahvenainen
May 11, 2010
Grow VC - Everyone funding startups

2. Grow VC - Everyone funding startups

3. When something doesn’t work
WE MUST ACT
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4. When people don’t like how
something works…
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5. its all about enabling
…great things entrepreneurship
can happen and the freedom of innovation
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6. Current Venture Capital market
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7. Venture Capital model is over 50 years old…
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8. …and it’s going downhill
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9. Market inefficiency
 VC market includes $540 Million in transaction fees (~3 %, NVCA, 2010)
 A few VC managers CANNOT find all the good companies
 Business angel market is not effective
 poor deal flow
 based on local/personal networks
 lack of information and tools
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10. enabling a more vibrant market
via peer-to-peer and crowd-funding
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11. Vision
The next Silicon Valley is not a location, it is a platform
and community on the Internet
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12. “;+)
Virtual Silicon Valley
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13. Mission
Provide the platform, service tool kit and partner network
for the virtual Silicon Valley
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15. global
transparent
open
collaborative
efficient
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16. Networked solutions =
new frameworks
 Kiva.org transactions well over $100 Million in 4 years
 Local Motors, Lego, NASA, Linux, TxtEagle, Zopa
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17. There will be much more models, because
IT IS NOT ONLY MONEY, BUT
PEOPLE AND PASSION
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18. Co-op was for creating together
Co-op will again be for creating more together
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19. Buying and owning
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20. You can take money investments
and build with money
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21. Or you can take service investments
and build with people
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22. Crowd-funding
AND HOW TO DO IT
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24. P2P and Crowd-funding
via Community Investments
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25. Match-making and negotiation tools
for private investments
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26. Professional
service investments
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32. Grow VC will provide
that networked solution
 Freemium - Subscription based
 NO transaction fees
 Efficient due diligence
 Standard term sheets, including partners in process
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33. Create a connected
global marketplace
 Transparent global market place
 Tools to find companies, make investments and manage
investments
 Together – Crowd, Business Angels and Institutional Investors
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34. Open
 Open API’s to develop applications and services
 Open to develop new funding and business models
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35. It is not only money
 Help to build the team and other key contacts to start
 Ecosystem and community to find partners, people and other
actors
 Support good things, help new activities and build their own
future – people do not only invest to get ROI
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36. more equal opportunities,
enabling entrepreneurship
and investors
and accelerating innovation
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37. Trust Economy
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38. It can work only if
IT CREATES VALUE
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39. Value to All Parties
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40. Start-ups
 Community to find right type of investors around the world
 Tools to manage the investment process
 Market, develop and gain credibility to your company
 Build your team
 Build TRUST online
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41. Investors
 A place to find early phase companies around the world
 Community peer-review indicators for interesting opportunities
(micro investment)
 Opportunity to diversify investments and risk
 Build your TRUST online
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42. Experts
 Access to start-up companies and investors around the world
 Potential customers that need investment, legal, business
development and financial services
 Follow trends and new ideas globally
 Build your TRUST online
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43. Excellent, but
WHAT NEXT?
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44. “You don’t have to be
Steve Jobs, to be
an entrepreneur”
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45. ”You don’t have to be
Bill Gates to be
an investor”
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46. ”Everyone must start
somewhere”
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47. When do YOU start...?
Grow Venture Community
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48. Jouko Ahvenainen
jouko@growvc.com
Tel (UK): +44 7889 833 165
Tel (HK): +852 8120 7854
Tel (US): +1 415 287 0854
Skype: jahven - Twitter:@jahven
www.growvc.com
Twitter: @growvc
Podcast: “Grow VC” in iTunes
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