This document provides an introduction to the Australian startup ecosystem. It discusses what a startup is, the different stages of a startup lifecycle, common sources of funding including accelerators, angels, venture capitalists and crowd funding. It also outlines some of the key support programs available to startups from government organizations, accelerators, co-working spaces and not-for-profits in Australia. The document is intended to give entrepreneurs an overview of the various players and resources available to them in the Australian startup landscape.

1. Introduction to Australian
Startup Ecosystem
@Roh_Workman
March 2014

2. Melbourne Accelerator Program
Support for entrepreneurs of all
MAP Startup Accelerator:
stages:
•$20,000
•Public Forums
•structured mentoring
•Master Class Series
•co-working space
•Startup Velocity
•Escape Velocity
Info Night - Tuesday 25 March – 6.30pm
Sidney Myer Asia Centre

3. Contents
1. What is a startup?
2. What is a startup ecosystem?
3. Life cycle of a startup
4. Types of funding
5. Accelerators
6. Angel networks
7. Venture capitalists
8. Crowd Funding
9. Co-working spaces
10. Government support
11. Not-for-profit support
12. Questions

4. What is a startup?
According to Dave McClure, a
'startup' is a company that is
confused about:
•what its product is;
•who its customers are; and
•how to make money.
As soon as it figures out all 3 things,
it ceases being a startup and
becomes a real business.

5. What is a startup ecosystem?
•
Entrepreneurs
•
Government
•
Universities
•
Investors
•
Mentors
•
Service Providers
•
Large companies

6. Startup lifecycle

7. Funding – Seed
Characteristics:
•Very early stage
•Risky
•Friends, Fools, Family
•Accelerator
•Potentially crowd funding
Image courtesy www.enko.co.za

8. Accelerators

9. Funding - FFF
Phase 1:
•Friends
•Fools
•Family

10. Funding - Angel
Characteristics:
•HNW Individual
•Likely has startup experience
Image courtesy www.treverimarket.com

11. Funding – Angel networks
Characteristics:
•Collection of angels
•Review / evaluate deals together
•Decision to invest is made
individually

12. Funding – Venture Capital
Capital invested in a project
in which there is a
substantial element of risk,
typically a new or
expanding business.

13. Funding – Venture Capital

14. Startup lifecycle

15. Funding – Crowd Funding
The practice of funding a project or
venture by raising many small
amounts of money from a large
number of people, typically via the
Internet.

16. Funding – Equity Crowd Funding
The practice of funding a
project or venture by raising
many small amounts of money
from a large number of people,
typically via the Internet.

17. Co-working spaces

18. Government Support

19. Commercialisation Australia
•
Skills & Knowledge – up to $50k;
•
Experienced Executives to up to
$350k;
•
Proof of Concept - $50k to $250k;
•
Early Stage Commercialisation $50k to $2m

20. R&D Tax Incentive
The two core components are:
•
Minimum $20k
•a 45 per cent refundable tax offset
•
Basically 150% deduction
(equivalent to a 150 per cent
•
Lodge registration application
deduction) to eligible entities with an
with AusIndustry by 30 April
aggregated turnover of less than $20
2014.
million per annum
•a non-refundable 40 per cent tax
offset (equivalent to 133 per cent
deduction) to all other eligible
entities.

21. Business Victoria
•
TRIP – ICT ($2.5k to $10k);
•
TRIP – Biotechnology & Small
Technology;
•
Technology Voucher Program ($10k
to $50k);

22. Invest Victoria

23. UK Trade & Investment

24. Not-for-Profits

25. Not-for-Profits

26. Questions?