THE ACCELERATOR ELEPHANT: PERCEPTIONS of BEST PRACTICES

6/26/12

TEAM 1:10:100 LLC

KEY SOURCES of INFORMATION: PERSPECTIVES on ACCELERATION

START-UP
SOCAL
GENOME RESEARCH
ACCELERATORS & PROJECT
START-UPS
40+ YEARS
MENTORING
PEOPLE
HAWAII
ANGELS &
U.H. P.A.C.E. TECH
COAST ANGELS &
SEED $$$S

6/26/12

TEAM 1:10:100 LLC

40 + YEARS MENTORING EXPERIENCE:

ONE-to-ONE & GROUP PROGRAMS


HIGH-IMMERSION

HIGH-INVOLVEMENT

HIGH-INTENSITY

MENTORS &

BOARD

MEMBERS

BUSINESS

ADVISORS

TEAM

COACHES
MATCHING

CAREER
PROGRAMS in LABS,

COUNSELORS
FACTORIES, OFFICES
PEER
EDUCATORS

6/26/12 TEAM 1:10:100 LLC

& HEADQUARTERS

OPTIONS for ENTREPRENEURS DURING START-UP STAGES

ACCELERATOR

EMBRYONIC

BUSINESS

EMERGING

BUSINESS

GROWING

BUSINESS

INCUBATOR

COMPLEMENTARY ECO-SYSTEM

INCUBATOR
ANGEL GROUP
ACCELERATOR
Space / Resources
Focus on Funding
DO ALL - FAST !
SCOUTING
PROCESS
SELECTION
PROCESS
$$$S @ ADMISSION
MENTOR
SOURCES
MENTOR
PROCESS
$$$S @ GRADUATION
FOLLOW-UP
INITIATIVES

6/26/12

???
OPEN
N/A
SOME
INFORMAL
N/A
???

VIA MEMBER
VERY HEAVY CONNECTIONS
DEAL FLOW
MULTI-STEP
SCREENING
SOME
SEED $s
SOME
MEMBERS
AS-NEEDED
& INFORMAL
VARIES
WIDELY
VERY SELECTIVE
$10-100 K
PER TEAM
MENTORS-inRESIDENCE +
INTENSE & STRUCTURED
HI-LEVEL/RATE @ DEMO DAY

SOME BOARDS
BDS., MENTORS
& MENTORS
AND ALUMNI

TEAM 1:10:100 LLC 5

ACCELERATORS: SO WHAT ?

HELP BUILD
COMPLEMENTARY
TEAMS
SPEED-UP
PROVIDE
DISCOVERY,
HI-IMMERSION
ENHANCE
HI-INVOLVE.
SUSTAINABLE
VALIDATION,
HI-INTENSITY
INNOVATION
EFFICIENCY,
SCALE-UP
MENTORING
FACILITATE
SEED THRU A
FUNDRAISING

6/26/12 TEAM 1:10:100 LLC 6

ACCELERATOR FUNDING: KEY SOURCES

LINKS
WITH
ANGELS / VCS
CO-FOUNDERS
RE-INVEST.

EXIT
CLOSED
$$$S
OPEN


FOUNDER

START-UP


FUNDS
FUNDS

6/26/12 TEAM 1:10:100 LLC 7

ACCELERATOR FUNDING:
KEY INVESTMENTS

SEED $$$S = EQUITY
%






GRADUATION =
ANGEL / VC
$$$S

6/26/12

RE-INVEST
EXIT $$$S
OPERATIONS
EXPENSE
$$$S



TEAM 1:10:100 LLC 8

FUNDING & COACHING: OLD VIEW

MM
$$$s



$$s
Invested




K
$s

Venture Capitalists
Super
Angels
Normal
Angels

Angel
Fund

Incubators-
Accelerators
University
Competitions
EARLY

STAGE of DEVELOPMENT
TEAM 1:10:100 LLC

LATER

9

6/26/12

FUNDING & COACHING: NEW VIEW

MM
$$$s



$$$s
Invested




K
$s

ACCELERATORS
Super
AT
Angels


Normal
GRADUATION


Angels
ACE


Fund
ACCELERATORS


DURING

MENTORING
Incubators &

Venture Capitalists

Accelerators
ACCELERATORS
AT
University
Competitions
ADMISSION

EARLY
6/26/12

STAGE of DEVELOPMENT
TEAM 1:10:100 LLC

LATER

10

STAGES of START-UPS: SOURCE = START-UP GENOME PROJECT

SCALE-UP
EFFICIENCY
VALIDATION
DISCOVERY

6/26/12 TEAM 1:10:100 LLC 11

COMPLEMENTARY ENTREPRENEUR TEAM

BUSINESS
MANAGER

TECHNICAL
MANAGER

CORE
TEAM

MULTIPLE
MENTORS

MARKETING
MANAGER

6/26/12

TEAM 1:10:100 LLC

12

RANGE of MENTORS: TYPES of ROLES / TYPES of HELP

MENTOR
PART-TIME
in
SPECIALIST
RESIDENCE
PEER

PROCESS EXPERT
CONTENT EXPERT
MATCHMAKER

XXX
??
XXX

??
XXX
??

*
*
*

STRUCTURED MENTORING PROGRAMS: EXAMPLE of BASIC STAGES

BIZ MODEL
Discovery -> Validation ->
Efciency -> Scale-Up
MARKET
Discovery -> Validation ->
Efciency -> Scale-Up
PRODUCT
Discovery -> Validation ->
Efciency -> Scale-Up

6/26/12 TEAM 1:10:100 LLC 14

ACCELERATORS RANGE OF OPTIONS

LIGHT
SCOUTING
PROCESS
SELECTION
PROCESS
$$$S @
ADMISSION
MENTOR
SOURCES
MENTOR PROCESS
$$$S @ GRADUATION
FOLLOW-UP
INITIATIVES

6/26/12

MEDIUM

HEAVY

GOOD
VERY GOOD
GREAT
NETWORK & PR
NETWORK & PR
NETWORK & PR
FOCUS ON
FOCUS ON
TEAM, SECTOR &
TEAM QUALITY
TEAM & SECTOR
REFER.-BASED
$0-25 K
AS-NEEDED M.S & SMALL
AS-NEEDED
& WEEKLY
ANGEL
GROUPS
MENTORS
$25-50 K
REGULAR M.S
& MID-SIZE
$50-100+ K
M.S-in-RESIDE.
& LARGE

3+ MO. PROGRAM
PROG. & EVENTS
& DAILY
& HOURLY
ANGEL GPS. & ANGELS, SUPERSUPER-ANGELS
ANGELS & VCS
MENTORS &
BOARDS
MENTORS, BDS.
& ALUMNI

15

TEAM 1:10:100 LLC

MOST REAL ECONOMIC GROWTH  = THE RESULT of INNOVATION

6/26/12

TEAM 1:10:100 LLC

16

INNOVATION PIPELINE: STAGES of DEVELOPMENT

1 MM
Crazy Ideas

Scientists
Artists

Faculty
Students

Customers
Suppliers

Employees
Investors

6/26/12

10,000
Projects
1,000

Start-Ups
Grants
100

10
1
Families
New
Incubators
Sustainable
Fortune-500
Rapid
Bootstraps
Multi-Gen
Corporation
Ofces
Growth

Companies
Homes
Businesses
Moms-Pops

Skunkworks
Bootlegs
Spin-Outs

TEAM 1:10:100 LLC

17

INNOVATION PIPELINE: ECONOMIC DEVELOPMENT GOALS

Fortune-500
Corporation
Including
Sustainable
Global HQ
& R&D Rapid
Multi-
Start-Up
Growth
Generation
Center of
Ventures
Businesses
Companies
Excellence
Projects
@
&
@
@
@
$100K / 1 Job
$1 MM
$10+ MM
$100+ MM
$1+ BB
&
& 10 Jobs
&
&
100+ Jobs
1000+ Jobs
10000+ Jobs
&
& Renewing
$100+ MM
Re-Invest
In R&D

TEAM 1:10:100 LLC 18

Ideas

6/26/12

INNOVATION PIPELINE: SO WHAT HAS CHANGED ?

Fortune-500
Corporation
Including
Sustainable
Global HQ
& R&D Rapid
Multi-
Start-Up
Growth
Generation
Center of
Ventures
Businesses
Companies
Excellence
Projects
@
&
@
@
@
$100K / 1 Job
$1 MM
$10+ MM
$100+ MM
$1+ BB
&
& 10 Jobs
&
&
100+ Jobs
1000+ Jobs
10000+ Jobs
&
& Renewing
$100+ MM
Re-Invest
In R&D

Ideas

SOCIAL MEDIA
&
GLOBAL CONNECTIVITY

TEAM 1:10:100 LLC

6/26/12

19

ACCELERATORS TOUGH QUESTIONS

LIGHT
SCOUTING
PROCESS
SELECTION
PROCESS
$$$S @
ADMISSION
MENTOR
SOURCES
MENTOR PROCESS
$$$S @ GRADUATION
FOLLOW-UP
INITIATIVES

6/26/12

MEDIUM

HEAVY

WHAT WILL WORK BEST IN HAWAII ?

WHAT WILL WORK BEST IN HAWAII ?
WHAT WILL WORK BEST IN HAWAII ?
WHAT WILL WORK BEST IN HAWAII ?
WHAT WILL WORK BEST IN HAWAII ?
WHAT WILL WORK BEST IN HAWAII ?
WHAT WILL WORK BEST IN HAWAII ?

TEAM 1:10:100 LLC 20

SO WHATS NEXT ?
WHO WILL
LEAD / HELP
?
HOW
DO
WE
START
?

FASTER HIGHER
BETTER

WHICH MODELS
?

HOW
DO
WE
SUSTAIN
?

6/26/12

TEAM 1:10:100 LLC

21

INCUBATORS-ANGELS-ACCELERATORS: INTEGRATE CRITICAL SUCCESS FACTORS

ACCELERATE

FUNDING


Seed Stage $$$s

Angel $$$s
VC $$$s
ACCELERATE
MENTORING

Mentors-in-Residence

Specialists/Experts

Peers

6/26/12 TEAM 1:10:100 LLC 22

HAWAII ENTREPRENEUR ECO-SYSTEM: FIRST to THE FUTURE TOGETHER !

U.H. P.A.C.E.

INCUBATORS

ACCELERATORS
ANGELS

6/26/12 TEAM 1:10:100 LLC

VCS

23

RECOMMENDATIONS

SCOUTING
PROCESS
SELECTION
PROCESS
$$$S @
ADMISSION
MENTOR
SOURCES
MENTOR PROCESS
$$$S @ GRADUATION
FOLLOW-UP
INITIATIVES

6/26/12

HELP BUILD COMPLETE TEAMS

PROVIDE EARLY SEED FUNDING

USE FULL RANGE OF MENTORS

DEVELOP ALL-STAGE FUNDING

TEAM 1:10:100 LLC 24