educating entrepreneurs

Download Educating Entrepreneurs

Post on 20-Aug-2015

2.906 views

Category:

Education

2 download

Embed Size (px)

TRANSCRIPT

  1. 1. Educating Entrepreneurs Who? What? Why? Steve Blank Stanford Technology Ventures Program
  2. 2. News From Silicon Valley Angels &TechStarsIncubators Y-Combinator($0-10M) Maples Investments Seed Funds SoftTech (Clavier) ($10-50M) SV Angel (Conway)Felicis (Senkut)First Round CapitalSmall VC FundsUnion Square Ventures ($50-250M)SequoiaBenchmarkTraditional VC Funds(>$250M) Source: Dave McClure 500hats.com
  3. 3. News From Silicon Valley Angels & Incubators($0-10M)Innovation isSeed Funds happening here ($10-50M)Small VC Funds ($50-250M)Traditional VC Funds(>$250M) Source: Dave McClure 500hats.com
  4. 4. News From Silicon Valley Internet startups - $500K is the new $5M Driven by the top of the pyramid Seed Funds providing entrepreneurial education Ycombinator, TechStars, SeedCamp, LaunchBox, etc Customer Development/Lean Startup adoption Methodology to test hypothesis and business model
  5. 5. Some Definitions
  6. 6. SmallBusinessStartups StartupSmallBusiness
  7. 7. SmallBusinessStartups Startup SmallBusiness- Business Model found- Profitable business- Existing team< $10M in revenue
  8. 8. SmallBusinessStartupsStartup SmallBusiness - Business Model found - Profitable business - Existing team < $10M in revenue 5.7 million small businesses in the U.S. $100M/year
  9. 10. ScalableStartup Scalable Large StartupCompany>$100M/year - Total Available Market > $500m- Company can grow to $100m/year- Known business model- Focused on execution and process
  10. 11. ScalableStartup Scalable Large StartupCompany>$100M/year - Total Available Market > $500m- Company can grow to $100m/year- Known business model- Focused on execution and process In contrast a scalable startup is designed to grow big It typically needs risk capital These are what Silicon Valley means when they say Startup
  11. 12. VeryDierentStartupCurriculums Startup SmallBusiness- Business Model found - Profitable business - Existing team < $10MScalableLargeStartup Company >$100M/year - Total Available Market > $500m - Company can grow to $100m/year - Known business model - Focused on execution and process
  12. 13. SiliconValleyStartupCurriculum X X X StartupSmallBusiness - Business Model found- Profitable business- Existing team< $10M ScalableLarge Startup Company>$100M/year- Total Available Market > $500m- Company can grow to $100m/year- Known business model- Focused on execution and process
  13. 14. TheTransi0on Scalable LargeTransi9on StartupCompany - Founders depart- Professional Mgmt- Process- Beginning of scale
  14. 15. StartupsSearch,CompaniesExecuteThe Search for the Business ModelThe Execution of the Business Model ScalableLargeTransi
  15. 16. E-School instead of B-School
  16. 17. WhatsAStartup?Scalable LargeTransi
  17. 18. Teach the Business Model Not the Plan No Business Plan survives first contact withcustomers A Business Model diagrams how a companycreates, delivers and captures value Or in English: How a company makes money
  18. 19. Emphasis On Hypotheses Testing
  19. 20. How Do Startups Search For ABusiness Model? The Search is called Customer Development The Implementation is called Agile Development
  20. 21. StartupsDontLastForever ScalableLargeTransi
  21. 22. DurantVersusSloan Scalable LargeTransi
  22. 23. EntrepreneurshipSchoolEntrepreneurship SchoolScalable Large Transi
  23. 24. BusinessSchoolVersus EntrepreneurshipSchool Entrepreneurship School Business SchoolScalable Large Transi
  24. 25. BusinessSchoolVersusEntrepreneurshipSchool Entrepreneurship SchoolBusiness School Scalable LargeTransi