Technology

Where to Start a Startup?

fundingThere are some incredible advantages to starting a company in Indiana. The leadership of entrepreneurs is a tight network of people who are trusted and proven. I’ve spoken about Indiana and Indianapolis as being a prime location for a company to start a business. The people are well-educated and hard-working. The real estate is still one of the most stable markets in the entire country.

If I were going to start a business, Indianapolis is the place I want to be! Commercial real estate is inexpensive and the state and local governments are both pro-business.

Is that enough to start a business, though?

Starting a business requires funding. Does Indiana have it?

The 21st Century Fund focuses on entrepreneurial ventures that have demonstrated a market potential for commercialization of innovative technologies.

Some critics argue that, although software and technology seem to have the most employment growth, that bio-technology is attracting the most funding. One reason might be the local connections that bio-tech have in the University system. I hope this isn’t the case – I hope that this funding is going to the ideas with the greatest opportunity.

Outside of the 21st Century Fund, there aren’t a lot of options. Private funding has an advantage over Venture Capitalist funding since it typically comes with less strings attached. However, private funding continues to dip into the local entrepreneurs who have funded other startups… and funded… and funded… and funded. It feels like everyone keeps going back to the same well over and over.

The state of Indiana has 2 billionaires. A friend shared with me today that Orange County, California has 8 billionaires worth over 28 billion dollars. That’s quite a difference, and surely impacts the ability for local startups to get funding.

So – the question isn’t always where the best place to start a startup. The question may be where is there funding to fund your startup! It may be time to invest much more in the 21st Century fund if you wish to keep to keep entrepreneurship alive here locally!

4 Comments

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    You said it best Douglas. Go where the money is. For most startups the money is where your potentials investors are.

    If you run a SaaS company, you are more likely to find funding in Silicon Valley, Boston, Austin or Boulder.

    If you run a solar energy startup, maybe Phoenix would be a good place to be.

    Once you are up and running and have paying customers, then it may be necessary to open local office where your clients are. I think Wal Mart requires their suppliers to have a regional office near their headquarters.

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    Doug,
    Indiana talks about its desire to be a start-up friendly environment. But the actions just don’t support this. The 21st Century Fund is a small piece and a good start. However, other resources such as venture funding, executive leadership, etc. are also required. I hope things change, but Indiana seems way too conservative to be entrepreneurial at the present time. Perhaps wheels are in motion to change this.
    Cheers,
    j

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      There are many people in the state of Indiana that are interested in Solar start-ups. I am try to loacate partners for a start-up for solar products. Kim koch

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