STARTUPS &A LOOK BEHIND THE CURTAIN

AT THE MAGIC OF SILICON VALLEY

Active Angel Investor & Serial Entrepreneur,

Former CEO of Wikia Inc., and Former VP & General Manager, International eBay

angels

OPPORTUNITY

OPPORTUNITYEGOEGO

ACCESSACCESS

OPPORTUNITY

OPPORTUNITYEGOEGO

ACCESSACCESS

THE CLOUD

THE CLOUD

THE CLOUD

ORACLE VS. MYSQL

148mm148mm1,018mm1,018mm

2,000mm2,000mm

THE INTERNET POPULATION

2006 2010

Source: www.allaboutmarketresearch.com/internet.htm

1998

NEW PLATFORMS

CREATING REMARKABLE CAPITAL EFFICIENCY

ACCESSACCESS

OPPORTUNITY

OPPORTUNITYEGOEGO

NEW CROP OF ANGELS

AND SUPER ANGELS

ANGEL TYPES

FUN FOR YOUNG FOUNDERS

EGOEGO

ACCESSACCESS

OPPORTUNITY

ANGELIST

VC As-sociatesSeed FundsConnected AngelsNew AngelsScary "Dumb Money"

WHERE FUNDING COMES FROM

• There has never been a better time to do a start-up

• Startups are not a company. They’re hypothesis tests funded by adrenaline junkies

• Keep costs low and you can run a series of hypotheses

TAKE-AWAYS

STARTUP2012MANTR

AS

THE LEAN STARTUP is a resource to assist entrepreneurs, startup and established businesses make better, faster business decisions.

THE LEAN STARTUP

DESIGN MATTERS

FASTLY

WHAT IT TAKESTO START A COMPANY

STORYTELLING

CUSTOMERSAND PRESS

CUSTOMERSAND PRESSINVESTORSINVESTORS

EMPLOYEESEMPLOYEES

• In the early days, everyone was a critic

• Even my mom was embarrassed the first two years

• 5 years later, I’m an over-night success

FOUNDER QUOTES

• Start 8 new companies – 2 per quarter

• Recruit a CEO for each

• Learn what goes wrong

SO LAST YEAR I SET A GOAL

• Missed my goal - only started 5

• Storytelling was the key to both recruiting and raising $. I kept telling the story to everyone I knew and hearing why it was stupid

• Results to date– 2 already dead– 2 lightly funded with one founder– 1 venture funded with 10 people now

SO LAST YEAR I SET A GOAL

• Part-time founders are highly unstable source of labor. 2-3 people really make it more fun and more sustainable

• Underfunding causes real stress and few business can achieve anything in 1 year. So either plan for no money, or raise as much as you can

• Launch early. The enemy of startups isn’t ugly products, bad press, or customer anger…it’s apathy

WHAT WENT WRONG?

• Few ideas are great

• The Darwinian process works

NOTHING WENT WRONG

STARTSOMETHING

A STORY

gilpenchina@gmail.com

facebook.com/penchina

OR TELL ME

STARTUPS &A LOOK BEHIND THE CURTAIN

AT THE MAGIC OF SILICON VALLEY

Active Angel Investor & Serial Entrepreneur,

Former CEO of Wikia Inc., and Former VP & General Manager, International eBay

angels