mgmt5611 - entrepreneurship and new venture management€¦ · mgmt5611 - entrepreneurship and new...

MGMT5611-EntrepreneurshipandNewVentureManagement

4startups,4differentindustries,4differentresultsand2ideasforstartupswhichnevermadeitpastbusinessplan

Myfavouritebook

MyfavouriteAussiestartup

Questions

Startup experience #1

Keytakeaways•  Globalfromdayone.Thatiswhatthe‘g’stoodforandpenetrated30countries•  FoundationcustomersincludedVisa,ANZBank,MasterCard•  $2mproductsaletoStandardCharteredBankeliminatedneedtodoacapitalraise•  Offshoredevelopmentcentreinthemiddleeasttoreducecosts

Launched2016

Launched2011

Founded:2000Industry:Fintech–digitalwalletCapitalraised:$100kseedResult:Cashflowpositive,stilloperating

Startup experience #2

Founded:2001Industry:OnlineSearchCapitalraised:$2mfromasingleangelinvestorResult:$0revenue,shutdown2004

Keytakeaways•  Priortothelaunchofgoogle,localsearchengineswerestilloperating•  Triedtocomercialiseacross-referencingfeature,ratherthanbuildingastandaloneproduct•  OperatedacrossMelbourneandSydneyviavirtualoffice•  DifficulttoeducateaB2Bmarketonanewhorizontalplatformforcross-referencinge.g.law

firm

Startup experience #3

Founded:2000Industry:MastertrustplatformforindependentfinancialadvisorsCapitalraised:$6mincludingVCinvestmentfromPacificEquityPartnersResult:SoldtoINGin2006for$76mwith$3bnfundsunderadministrationAustralianVentureCapitalAssociationawardfor‘Bestearlystageinvestment2006’

KeyTakeaways•  Astrongmanagementteamleftacompetitorandtookthe

relationships/contacts•  Pitchtochannelpartners(financialplanners)wasthatOasiswas

independentofthebig4banks•  Loweroperationalcostthancompetitorsthrough‘nearshore’

operationscentreinWollongong•  INGthensoldOasisAssetManagementtoANZBank–NOLONGER

INDEPENDENT

Business plan which didn’t make it #1

Whodidgetfundingandtrytosolvetheproblem?

ANZBladepay-2016CommbankAlbert-2015

Founded:2006Industry:Fintech–billsplittinginrestaurantsIntellectualProperty:ProvisionalPatentCapitalraised:$0kResult:Couldn’tbuildminimumviableproduct

Business plan which didn’t make it #2

Founded:2001,listedonASX2014Industry:Stratapropertymanagement

Capitalraised:$55mResult:Today,marketcapitalisationof$18m

TriedtoentertheInternetofThings(IOT)markettooearly,beforethemarketwasready

Whodidgetfundingandtrytosolvetheproblem?

Founded:2012Industry:StratapropertymanagementCapitalraised:$0kResult:Minimumviableproductdeveloped–parkedbyfounders

Startup experience #4 - Current

Usedatafromsimilarapartmentblockstocreatequick,simpleenergyreports

8monthslater,1in3oftheapartmentblockswhichgetareportbuyequipmentfromWattblock

Founded:2014Industry:DisruptingenergyauditindustryintheapartmentblockverticalCapitalraised:$1mseedResult:3yearsin,cashflowpositive

Wattblock milestones

Jun2016

Apr2016Jun2015

May2015

Apr2015

Aug2015Jan2015

Nov2014

InnovationoftheYear(NSW)

SeedRound(10investorsincludingPeterFarrell,Resmed)

CityofSydneyEnvironmentalInnovationGrant

CEBITStartupPitchRunner-up

Top50SydneyStartups

toWatch

CollaborativeSolutionsInnovation

Grant

Oct2014

$40kEquityInvestment

EnergyStartupPitchWinner-Sydney

UNSWShenzhenPitchWinner

BestSocialChangeEntrepreneurStartupSmart

Aug2017

Wattblock customers

My favourite book BookwrittenbyClaytonChristensenin1997whichintroducedtheterm“disruptiveinnovation”.

“Oneofthesixmostimportantbooksaboutbusinesseverwritten.”

TheEconomist

Disruptive Innovation Thesis – A Recap •  Adisruptiveinnovationinitiallyoffersalowerperformanceaccordingtowhatthemainstream

markethashistoricallydemanded

•  Atthesametime,itprovidessomenewperformanceattributes,whichinturnmakesitprosperinadifferentmarket.

•  Asitimprovesalongthetraditionalperformanceparametersiteventuallydisplacestheformertechnology

•  Disruptivetechnologiestypicallyhavea“lowerstickerprice”perunitthanproductswhichareusedinthemainstream,eventhoughtheircostinuseisoftenhigher

“Mainstreamcustomerscanneveruseadisruptivetechnologyatitsoutset”

Favourite Australian startup

Thenthis$125,000musiccomputerwasdisruptedbytheAtariSTcomputer$2,000.

FairlightMusicComputer-1979•  FirstcustomerwasStevieWonderwhocouldusethe“lightpen”touchinterface.•  300weresoldworldwideatanaveragecostof$125,000•  UsedbyMichaelJackson,Madonna,B-52’s,BeachBoys,DavidBowie,DireStraits,Fleetwood

Mac,IceT,PetshopBoys,Prince,ThePolice,U2,StockAitkenWaterman,etc.

BrentClark CEO,Wattblock

brent.clark@wattblock.com.au

wattblock.com

Twitter@wattblock

Questions

Thankyou