Go Global From Silicon Valley - Conference Iniciador Bilbao 09/08/2011
What does it take totake your companyto the top?
Great leaderGreat teamScalableGlobalClear business modelGood strategy to reach the marketLarge and accessible marketAccess to Capital A good ecosystem Not only profitable, but investable…
“Be the right person at the rightplace at the right time?”
and the right place could be… "Everything is global now, so you should ensure each part of your company is located where it should be for maximum advantage."
1. “The Disney World of Entrepreneurship”The best ecosystem: Silicon Valley is the area of the world with the greatestconcentration of talent, innovation, knowledge and capital flow. Everything isready for entrepreneurs.
2. Capital Flow Silicon Valley is the area with the greatest concentration of active private investors, business angels and Venture Capitalists in the world, which allows you to find capital in the easiest way. BA in USA: 265,400 (increase of 2.3%) BA investments 2010: over &20 billion in over 60,000 companies. (increase of 14%) Some differences between Spain and SV:1. Amount of money solicited from a BA: in SV no less than $3- 4M. In Spain between 100m € and 2M €.2. Stage: seed and startup (31%) (decrease 4%) / post-seed/startup (67%)3. Exits: in 6-7 years for Tech Companies.4. Return rates in US: M&A and IPO represent 66% of angel exits, bankruptcies 27%. About half of angel exits were made at a profit, with annual returns for angels exits (mergers and acquisitions and IPOs) between 24% and 36%
3. The most marketable market The united states is one of the biggest markets of the world, with over 300,000,000 people that: speak the same language, are sophisticated in their use of technology, are willing to buy new services and products. Once you are in the US market it is easier to launch into the global market.
4. Worldwide reference So, Silicon Valley companies are in the spotlight arround the world. This is why it’s easer to go global from there!
Test your local marketfirst or go globaldirectly?
1. Being successful at home doesn’t mean you will be successful in another market. You will have to start again and test the market.2. BA will invest in companies that have already proven their product in the new market. In Spain there are many investors that invest in companies that want to move to another market from the beginning.3. If you get started in Silicon Valley, your technology will have the "Silicon Valley brand." Aprox. 85% of US companies which sell internationally do not make a special effort to sell abroad; the rest of the world simply "buys them.
Some recomendations: Preliminari visit: agenda with potential clients, partners, suppliers. Visa: - Start up visa ($100k from a US investor) - EB5 ($500k your investment)" - 10,000 annual visas Ecosystem Think big Run