This document discusses Finland's startup ecosystem and opportunities to support scalable startups. It notes that job growth will increasingly come from new companies, not existing ones, and outlines six types of startups. It argues that scalable startups offering unknown solutions will provide the most jobs but require a strong ecosystem. However, Finland currently lacks experienced entrepreneurs and policies that encourage risk-taking and startups. The document recommends Finland focus public funding on attracting private incubators and venture capital rather than directly funding companies to best support scalable startups and future job growth.

1. Finland, Public Policy and the Helsinki SpringSteve Blankwww.steveblank.comTwitter: sgblankSlides: www.slideshare.net/sblank

2. Corporate Lifecycle, Innovation, Startups, Founders, Ecosystem

3. Corporate Lifecycle, Innovation, Startups, Founders, EcosystemWhy Should I Care?

4. Why Start New Companies in Finland?

5. Because Old Ones Die

6. Corporate Lifecyclesare Getting Shorter

7. Disruption

8. DisruptionTechnology, Globalization, Regulation, Consumer Taste, Competition, etc.

9. Job Growth From Existing Companies willDecline

10. Job Growth Will Come From New Companies

11. Job Growth Will Come From New CompaniesStartups

12. Entrepreneurs are Coming to Finland to Start Companies

13. Entrepreneurs are Coming to Finland to Start CompaniesHelsinki Spring

14. First -What’s A Startup?Six Types of Startups

15. StartupLifestyle Startups Work to Live their PassionServe known customer with known product

16. Get paid for their passionSmall BusinessStartupSmall Business StartupsWork to Feed the FamilyServe known customer with known product

17. Feed the familySmall BusinessStartupExit Criteria Business Model found- Profitable business Existing team< €100K in revenueSmall Business StartupsWork to Feed the Familyknown customer known product

18. Feed the familyScalableStartupLarge CompanyScalable StartupBorn to Be BigSearchGoal is to solve for: unknown customer and unknown features

19. ExecuteSearchScalableStartupLarge CompanyExit Criteria Business model found

20. Total Available Market > €300m

21. Can grow to €50/yearScalable StartupBorn to Be Big

22. ScalableStartupLarge CompanyScalable StartupBorn to Be BigExecuteSearch A scalable startup is designed to grow big

23. Needs “Risk capital”

24. What Silicon Valley means when they say “Startup”Buyable StartupBorn to Be SoldSearchSellScalableStartup€3 to 30M AcquisitionGoal is to solve for: Internet, Mobile, Gaming Apps

25. Buyable StartupSearchSellScalableStartup€3 to e0M AcquisitionGoal is to solve for: Internet and Mobile AppsSell to larger company

26. Large Company Sustaining InnovationInnovate or EvaporateSustaining InnovationTransitionScalableStartupLarge Company Existing Market / Known customer

27. Known product feature needsLarge Company Sustaining InnovationInnovate or EvaporateSustaining InnovationTransitionScalableStartupLarge CompanyBuild

28. Partner

29. Acquire- IP- Talent - Product - Customers - Business

30. Large Company Disruptive InnovationNew DivisionLarge CompanyTransitionDisruptive InnovationNew Market

31. New tech, customers, channelsLarge Company Disruptive InnovationNew DivisionLarge CompanyTransitionDisruptive InnovationBuild

32. Partner

33. Acquire- IP- Talent - Product - Customers - Business

34. Large Non-ProfitSocial StartupSocial Entrepreneurship StartupsSolve pressing social problems

35. Social Enterprise: Profitable

36. Social Innovation: New StrategiesEach of these startups require different skillsThey Can Not Be Taught the Same Way

37. Each of these startups require different Government PoliciesThey Can Not Be Built the Same Way

38. Scalable Startups Will Provide the Highest Job Growth

39. Scalable Startups Will Provide the Highest Job GrowthThey Require an Ecosystem You Do Not Have

40. EntrepreneursScalable Startup Ecosystem Take risk

41. No funding

42. Building product

43. Thinking through business modelEntrepreneurs skills training

44. mentoring = experience

45. networking

46. shared office

47. small funding ~ €30K

48. limited time ~ 6 monthsIncubatorsScalable Startup Ecosystem

49. Angel FundsEntrepreneurs it’s now a company

50. searching for a business model

51. limited funding ~ €300K

52. mentoringIncubatorsScalable Startup Ecosystem

53. Venture Capital FundsEntrepreneursIncubatorsScalable Startup Ecosystem Large funding > €2000K

54. Found a business Model

55. Scale

56. Multiple rounds of money

57. Startup Experience outside of Finland Current policies in:

58. Capital Gains

59. Investment Incentives

60. Immigration

61. Cultural view of Risk and FailureAll actively discourage Scalable StartupsStartup Ecosystem Challenges

62. Startup Ecosystem ChallengesGovernment VC´s, Tekes officials and Incubators are paid by salary and consulting

63. Consultants are paid with Tekesmoney

64. Few are willing to change or criticize

65. All are on the wrong incentive system

66. Equity not cash

67. Missing experienced startup entrepreneurs

68. Tekes, incubators, VC’s, etc.Each of These Steps Must Require Risk

69. Each of These Steps Must Require RiskFor the Entrepreneur and For the Investor

70. Public Funding of Private Capital Does Not Work

71. Public Funding of Private Capital Does Not WorkEach Party Needs to Have Equal Risk

72. The Goal of Public Funding Should be to Create a Private Capital Ecosystem

73. The Goal of Public Funding Should be to Create a Private Capital EcosystemFund and attract experienced Incubators & Venture Capital

74. ChallengeWhat Is the One Vision of Sitra, Tekes, Aalto, Finnish Technology Industries?

75. Find It and Put Public Funding for Innovation Out of Business

76. Thank You