KevinHolmes.Org

Sizing-up your Idea

kholmes@broncoventures.com (Kevin Holmes) — Thu, 11 Mar 2010 03:58:00 +0000

Lifestyle or Enterprise?
One of the main design considerations in framing up your next startup opportunity is the size of the venture you hope to create. In this regard, businesses are generally organized into two categories: lifestyle business or enterprise business.

Lifestyle
Lifestyle businesses are typically smaller niche market opportunities. As such, they don't support the economics of venture capital investing and feature centralized ownership structures e.g. sole-proprietor, partnership, LLP or LLC. The pros include a greater degree of control by the entrepreneur, less accountability to investors and directors, and generally less risk. When your motivation is to "be your own boss" or if you enjoy being hands-on, these are the market opportunities to consider. Lifestyle businesses can be cash rich and afford you a comfortable lifestyle in the upper middle class.

Enterprise
By comparison, enterprise ideas address large "billion dollar" market opportunities. Ownership is less centralized among various shareholders including venture capital or angel investors. Enterprise businesses are inherently more risky and have a much bigger upside potential. It can be a much more exciting ride during the hyper growth "hockey stick" phase of the business lifecycle (if you get there). As an entrepreneur, you sacrifice control of the company in exchange for "a smaller slice of a bigger pie". Once their company is funded and handed off to a VC backed CEO, enterprise entrepreneurs start looking for the next billion dollar market opportunity assuming the role of "serial entrepreneur". Successful serial entrepreneur's are the rock stars of Silicon Valley and enjoy a greater amount of notoriety and prestige than their lifestyle entrepreneur counterparts. With successful exits they can enjoy early retirement (although rarely taken) and enter a philanthropic phase of life e.g. Bill Gates Of course, very few ever make it to this level of success.

Decision
Both organizational contexts require different managerial approaches, backgrounds, skill-sets and expectations. The risk-reward ratio is very different. Both options could make for equally interesting careers. In my own experience, AllDorm was actually a lifestyle business we thought was an enterprise business. The size of the market opportunity and the margins the business model generated being the determining factors. As I look to take on my next entrepreneurial endeavor, the question of whether to start a lifestyle business or join/create an enterprise remains...

Chile Earthquake Relief

kholmes@broncoventures.com (Kevin Holmes) — Thu, 04 Mar 2010 19:20:00 +0000

A friend and fellow Bronco in Chile passed these recommended charities along to me for those wishing to help out after the devastating quake there. Thanks to Rodrigo for helping us get involved from Silicon Valley.

www.untechoparachile.cl ~ Directed by Jesuit Priest Eugenio Berrios

www.levantandochile.org

www.stanfordchile.org

Thanks for 5 Great Years!

kholmes@broncoventures.com (Kevin Holmes) — Wed, 03 Mar 2010 20:08:00 +0000

Excited to be moving on from SCU to pursue new ventures (including more frequent updates of my blog). I sent the following out to the network announcing my decision. Thanks again to everyone I worked with and looking forward to seeing you soon...

Dear Friends & Colleagues,

I am writing to announce that I will be leaving my position as director of Santa Clara University's Center for Innovation and Entrepreneurship (CIE) in order to pursue entrepreneurial endeavors.

I am proud of the accomplishments we've made launching the CIE over the past 5 years. I am happy to leave the Leavey School of Business with the foundation for a great entrepreneurship program and excited to see CIE grow as it enters a new era of leadership.

I want to thank everyone who has contributed to or participated in our various programs, including the Advisory Board, Founders Awards, CIE Speaker Series, SCEO student club, Venture Capital Investment Competition, Entrepreneurship Certificate, Fulbright BEST Silicon Valley Immersion, eCouncil, and Bronco Entrepreneur Team.

It has been a great pleasure serving Santa Clara University and Silicon Valley over the past five years. Thanks again and hope to stay connected.

Best wishes,

Kevin Holmes '01, MBA '10
Email: kholmes79@yahoo.com
LinkedIn:/in/kevinholmes
Blog: http://www.kevinholmes.org
Twitter: @kevinholmes

Return of the venture-backed IPO?

kholmes@broncoventures.com (Kevin Holmes) — Wed, 20 May 2009 17:11:00 +0000

In related news to Leavey School Professor Robert Hendershott's recent research findings, news today of the imminent OpenTable IPO which could break the venture-backed IPO dry-spell of the past 15 months.

"Will the Old Venture Model Work with New Web-Based Start-ups?"

kholmes@broncoventures.com (Kevin Holmes) — Fri, 15 May 2009 20:19:00 +0000

New research from my colleague Professor Robert Hendershott in the Department of Finance at Santa Clara University suggests that the traditional venture capital industry, evolved for relatively capital intensive start-ups like semiconductor firms, is a poor fit for the next generation of web-based start-ups. However, the same forces that make venture capital a poor fit also make venture capital less relevant, providing an alternative path for entrepreneurs to create the next cohort of leading web firms. You can download the full paper here.

Green Tech Entrepreneur Academy

kholmes@broncoventures.com (Kevin Holmes) — Wed, 29 Apr 2009 23:12:00 +0000

CIE Founders Award Winner and SCU alum Bob Goff updated me about a week long workshop July 6 - 10 called the Green Tech Entrepreneur Academy led by my colleague Wil Agatstein, Executive Director of the UC Davis Center for Entrepreneurship.

Application deadline is May 15th.

Egnyte Earns Information Week Startup 50 Award

kholmes@broncoventures.com (Kevin Holmes) — Tue, 21 Apr 2009 00:06:00 +0000

Congrats to Vineet Jain '04 MBA, founder of Egnyte for making the Information Week Startup 50. You can see a great interview with Vineet here.

Conference on the 100th Anniversary of the 1909 Copyright Act

kholmes@broncoventures.com (Kevin Holmes) — Tue, 10 Mar 2009 17:19:00 +0000

The 1909 Copyright Act marked a revolution in U.S. copyright law. The 1909 Act was the first to protect works upon publication with notice, without prior registration; the first to expressly recognize a right to prepare derivative works; and the first to expressly recognize the public domain. The 1909 Act remained in effect for seven decades, during which time copyright law was repeatedly called upon to deal with the disruptive effect of new technologies, such as motion pictures, sound recordings, radio and television, photocopy machines, and computers. As a result, the 1909 Act had a significant influence on the copyright law we have today.
The scheduled list of speakers:

Keynote speakers:

David Nimmer, Of Counsel, Irell & Manella
William Patry, Senior Counsel, Google
Marybeth Peters, Register of Copyrights, U.S. Copyright Office

Learn more and RSVP for free here.

Summer@Highland: Grants for Student Entrepreneurs

kholmes@broncoventures.com (Kevin Holmes) — Tue, 10 Mar 2009 17:16:00 +0000

Highland Capital is offering summer grants for student entrepreneurs. Highland’s 10 week program is only open to enrolled graduate and undergraduate students or recent graduates (no later than December 2008). But only one member of a start-up team has to meet this criterion. Teams can have up to 4 people and will be given the option of working in the VC firm’s Menlo Park, CA or Lexington, MA offices. Stipend amounts range from $7,500 to $15,000, depending on how many people are part of the team.

You can learn more and apply here.

CowFartCo2 iPhone App by SocialGood

kholmes@broncoventures.com (Kevin Holmes) — Thu, 05 Mar 2009 18:28:00 +0000

Recent alumni Chris Bates launched anew iPhone app that mixes humor with social good. Looks like Chris just got this going so help him out. You can download the app from the app store for $1 and 20 cents will go to charity. Which charity? You decide by voting on the SocialGood Twitter page. Good luck Chris! Are you using Mobclix for analytics?

Bronco Bikes Trial is Open

kholmes@broncoventures.com (Kevin Holmes) — Thu, 05 Mar 2009 17:14:00 +0000

An exciting new venture on campus has begun taking sign-ups for its trial run. Bronco Bikes is a bike rental program that allows members to pick up bikes at several locations around campus and use them for the day around campus or around town. This would have been great when I was a freshman! You can sign-up here.

Envision Santa Cruz 2009

kholmes@broncoventures.com (Kevin Holmes) — Wed, 04 Mar 2009 23:50:00 +0000

Check out Envision Santa Cruz 2009 and rediscover Santa Cruz as a source of abundant innovation, creativity and entrepreneurial passion. The event is on Tuesday, March 31st starting at 6pm. Tickets are going fast so get yours now at the Envision website.

Starting Up During A Meltdown

kholmes@broncoventures.com (Kevin Holmes) — Wed, 04 Mar 2009 21:04:00 +0000

Conventional wisdom would tell you that starting a company during an economic downturn is a bad idea. Sources of funding dry up, consumers and businesses spend less and the general mood of pessimism makes it difficult to inspire employees with a shared vision.

Yet there is plenty of evidence to suggest that starting up in a down time is exactly the thing to do. A recent Business Week article lists the great companies born during depths of recession: Cisco, Oracle, HP, Atari, Apple and Genentech to name a few.

Is there something special about economic recessions that fosters great startups? I've read lots of recent posts discussing this issue but certainly there were many advantages to launching AllDorm during the post dotcom recession. Labor was abundant and office space was cheap. There were fewer competitors and less noise in the marketplace.

Most importantly the environment inspired a lean corporate culture. It forced us to do more with less and figure out our business model fast. The success we experienced morphing into a marketing firm from a college e-commerce site allowed us to raise $1M in angel funding despite the recession. If we hadn't started in such tough economic times I don't think we would have achieved such a milestone.

Curious what others think and would love to see more methodical research on the topic.

Guerrino DeLuca, Chairman and CEO of Logitech

kholmes@broncoventures.com (Kevin Holmes) — Fri, 27 Feb 2009 23:34:00 +0000

Guerrino DeLuca, Chairman and CEO of Logitech spoke to our CTE students Wednesday night at an intimate wine and cheese reception in Lucas Hall. Guerrino was born in Italy and graduated with an EE degree from the University of Rome. He joined Olivetti in Italy before moving to Paris to work for Apple which eventually brought him to Silicon Valley.

In 1998, Guerrino succeeded Logitech's original founders to take the posts of chairman and CEO. He has managed Logitech through a period of continual growth from $150M to $2B. Guerrino sees himself as a manager, not an entrepreneur, but has great respect for entrepreneurs who scale companies from $0 to $150M. This feat he said is much more difficult than scaling from $150M upwards; even "magical".

A couple of take aways from Guerrino's talk: Logitech's founding stories have remained critical through the company's lifecycle by helping to clarify and reinforce organizational values; values that stress hard work and never resting on one's laurels. Lastly, Guerrino emphasized the importance of execution over strategy. Though strategy might be more fun work, success is 90% execution. The implicit message to entrepreneurs: stop planning, get started.

Entrepreneur Program Alumni '07 John Barnidge at Seymour Pierce

kholmes@broncoventures.com (Kevin Holmes) — Wed, 25 Feb 2009 01:01:00 +0000

Entrepreneur Program Alumni '07 John Barnidge wrote in from London to share an update on recent success at Seymour Pierce, a small and mid-cap UK Broker. John got in on the ground floor and says "the best thing is we have access to so many of the best people from the Street (to hire). I work late but the market and starting a business is so addicting I cannot help myself."

Survey of Entrepreneurial Personality Characterisitcs

kholmes@broncoventures.com (Kevin Holmes) — Wed, 25 Feb 2009 01:00:00 +0000

The Santa Clara University Center for Innovation and Entrepreneurship (CIE) is conducting a survey to investigate the personality characteristics of entrepreneurs. The survey has been created by Dr. Hersh Shefrin, the Mario L. Belotti Professor of Finance in the Leavey School of Business at Santa Clara University.

It should take no more than 15 minutes to complete and I thank you in advance for your contribution to Professor Shefrin’s research:

Take survey here.

ekoVenture

kholmes@broncoventures.com (Kevin Holmes) — Tue, 24 Feb 2009 19:28:00 +0000

Internship oportunity at ekoVentures.

Marketing and Sales Internship Opportunities at Corticon

kholmes@broncoventures.com (Kevin Holmes) — Mon, 23 Feb 2009 18:04:00 +0000

Corticon is an angel-backed enterprise software startup looking for a couple of interns in marketing and sales. Email me your resume if you are interested in applying.

sparkseed.org: support for undergrad social ventures

kholmes@broncoventures.com (Kevin Holmes) — Tue, 17 Feb 2009 21:28:00 +0000

Mike Del Ponte is founder of SparkSeed.org, a new social venture accelerator that works with undergraduate students. Please let me know if you are interested in applying for a SparkSeed grant.

Congrats to SCU VCIC Winners!

kholmes@broncoventures.com (Kevin Holmes) — Tue, 17 Feb 2009 21:18:00 +0000

Congratulations to our MBA Entrepreneurs Connection (EC) for hosting a successful Venture Capital Investment Competition (VCIC).

SCU's team placed for the first time in three years of hosting the event, scoring third place with the Entrepreneur's Choice Award. Congrats to our team! UW took first and BYU a close second. UW will go on to compete in the international finals next month at UNC.

Stanford Entrepreneurship Week

kholmes@broncoventures.com (Kevin Holmes) — Tue, 17 Feb 2009 21:16:00 +0000

You can check out entrepreneurship events all week at Stanford. More info is here.

IPOs are dead; Long live IPOs

kholmes@broncoventures.com (Kevin Holmes) — Mon, 09 Feb 2009 21:50:00 +0000

IPOs are dead; Long live IPOs

Posted using ShareThis

Predicting Entrepreneurial Success

kholmes@broncoventures.com (Kevin Holmes) — Mon, 09 Feb 2009 17:07:00 +0000

Entrepreneurs with a history of success are much more likely to succeed in new ventures than first-timers or those who failed previously, new research from Harvard Business School demonstrates in the working paper, "Performance Persistence in Entrepreneurship".

Clean Tech Opportunities and the Obama Administration

kholmes@broncoventures.com (Kevin Holmes) — Wed, 04 Feb 2009 18:55:00 +0000

SD Forum's Green and Clean evening series starts tomorrow night at Orrick with a talk on clean tech opportunities with the new Obama administration. If you are interested in clean tech and want to learn more you can RSVP here.

Conrad Egusa: "University Portal"

kholmes@broncoventures.com (Kevin Holmes) — Tue, 03 Feb 2009 19:29:00 +0000

Senior Conrad Egusa is working on a startup that provides an online portal to university life for current and prospective students. He is already set-up at over a dozen campuses across the country and is "growing so much every day". Stay tuned for more developments...