Is the START Fund an incubator or something that adds value to incubators?
(Skip to 1:30 of the interview.) In short, it does add value to incubators. Interesting point: America and Canada have 600 incubators that focus on technology. • He describes current models of early- and seed-stage funding and what the issues are. (Skip to 4:00.) His take on the three basic models: • Angels are great. If you know one, you’re in luck. But the chance of finding one that meets the right criteria (knows you, is local, knows your market and technology) is low. And right now, angels have zipped up their wallets. • With new model seed Funds, such as Y Combinator and TechStars, get what you can to get yourself going, but giving away 6% to 10% for a tiny amount of cash is not smart. • Elliot was pretty scathing about divisions of VC funds, such as Charles River’s QuickStart. Some choice quotes, all for the VC community: • “Most entrepreneurs would rather have a root canal than visit with VCs.” • “Don’t make the entrepreneur come to Sand Hill Road to genuflect while you pontific
