The One Chart That Gets Me Up in the Morning

Feeling bad for what I do…

I was in line going through security at the San Francisco airport earlier this week and met a really nice couple in their 70’s on their way to Cambodia. They asked what I did for work, and I said that I invest in tech companies and run a community of these things called tech accelerators, corporate partners, and other investors.

Why this is important for all of us whether you are an entrepreneur or not…

Unfortunately, the number of new businesses being created in the States is declining. According to the U.S. Census, new firms accounted for 16% of all firms in the 1970s. Today, that number has reduced to just 8%. And, though startups are the only ones in the last 20 years to create net new jobs, there are still fewer new jobs per company than in the past. The gross number of jobs created by new firms fell by more than two million between 2005 and 2010. So we’re fighting a losing battle unless we support the next wave of new startups to help make up for that decline.

  • Pay attention to tax policy and support laws that encourage startups to form everywhere. There’s a ton of talk about taxes in the States with much focus on what’s going to happen to the taxes related to large corporates. But we should also focus on tax policy for startups if we truly believe that they are the net new job creators.
  • Participate in local entrepreneurship activities. There is already something going on today in your town that helps create a startup, and there is already some way you can get involved. A startup is looking for your mentorship, for you to join their company, or for your investment. GAN Accelerators are in over 130 cities around the world, and I would love to connect you with one of them (just email hello@gan.co if you want an intro).
  • Support immigration. I promise I’m not being political here. The data simply shows that immigrants are two times more likely than native-born citizens to start a new business, and 29% of all new entrepreneurs were immigrants. If we believe they are helpful to our cities and country, then how can we create policies to help them get here?
  • Invest. Startups need your capital. I know that not everyone has capital at this point in their life, but if you have the resources to support startups, you have a huge opportunity to change your community, create jobs, and potentially get a large return because of it. If you need help getting connected to some options in your community, just shoot me an email.

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Patrick Riley

Patrick Riley

Helping to give startups the power to create and grow their business wherever they are as CEO of GAN: @GANconnect