well I guess you could call me an entrepreneur but honestly that word gets
entrepreneur but honestly that word gets
entrepreneur but honestly that word gets used so much these days I’m not even
used so much these days I’m not even
used so much these days I’m not even sure I could define it so let’s go with
sure I could define it so let’s go with
sure I could define it so let’s go with this I’m just a guy who loves building
this I’m just a guy who loves building
this I’m just a guy who loves building software products in software companies
software products in software companies
software products in software companies about eight years ago I co-founded a
about eight years ago I co-founded a
about eight years ago I co-founded a company called Nebraska global with my
company called Nebraska global with my
company called Nebraska global with my partner’s Steve keen and Patrick Smith
partner’s Steve keen and Patrick Smith
partner’s Steve keen and Patrick Smith the idea behind Nebraska global was to
the idea behind Nebraska global was to
the idea behind Nebraska global was to create bring together nerds people like
create bring together nerds people like
create bring together nerds people like me and the dollars from our Nebraska
me and the dollars from our Nebraska
me and the dollars from our Nebraska based investors in order to create a
based investors in order to create a
based investors in order to create a technology ecosystem here in Lincoln by
technology ecosystem here in Lincoln by
technology ecosystem here in Lincoln by building and launching startups the
building and launching startups the
building and launching startups the reason we were doing this is we weren’t
reason we were doing this is we weren’t
reason we were doing this is we weren’t seeing a lot of momentum in the startup
seeing a lot of momentum in the startup
seeing a lot of momentum in the startup community and we thought we could use
community and we thought we could use
community and we thought we could use our experience to do something about it
our experience to do something about it
our experience to do something about it the problem was actually much worse than
the problem was actually much worse than
the problem was actually much worse than we realized at the time Nebraska ranked
we realized at the time Nebraska ranked
we realized at the time Nebraska ranked 52nd in the country in venture capital
52nd in the country in venture capital
52nd in the country in venture capital activity which means we were below
activity which means we were below
activity which means we were below Washington DC and Puerto Rico well fast
Washington DC and Puerto Rico well fast
Washington DC and Puerto Rico well fast forward to today and the startup
forward to today and the startup
forward to today and the startup landscape in Lincoln has changed
landscape in Lincoln has changed
landscape in Lincoln has changed dramatically
dramatically
dramatically the amount of energy and motivation and
the amount of energy and motivation and
the amount of energy and motivation and inspiration that I personally get from
inspiration that I personally get from
inspiration that I personally get from this is really hard to describe the fact
this is really hard to describe the fact
this is really hard to describe the fact that this city got behind this idea and
that this city got behind this idea and
that this city got behind this idea and really supported is one of the reasons I
really supported is one of the reasons I
really supported is one of the reasons I love living in Lincoln incidentally
love living in Lincoln incidentally
love living in Lincoln incidentally Nebraska recently ranked 25th in the
Nebraska recently ranked 25th in the
Nebraska recently ranked 25th in the country so we have certainly come a long
country so we have certainly come a long
country so we have certainly come a long ways in the last eight years well
ways in the last eight years well
ways in the last eight years well Lincoln is a decent sized city but I
Lincoln is a decent sized city but I
Lincoln is a decent sized city but I still consider it on the small side I
still consider it on the small side I
still consider it on the small side I say that because of its ability to move
say that because of its ability to move
say that because of its ability to move quickly and to make things happen
quickly and to make things happen
quickly and to make things happen something I think is really difficult
something I think is really difficult
something I think is really difficult for larger cities so this got me
for larger cities so this got me
for larger cities so this got me thinking why can’t every small city in
thinking why can’t every small city in
thinking why can’t every small city in this part of the country experience
this part of the country experience
this part of the country experience these type of transformational changes
these type of transformational changes
these type of transformational changes why can’t we democratize startups in
why can’t we democratize startups in
why can’t we democratize startups in middle America
middle America
middle America well it turns out if we follow a
well it turns out if we follow a
well it turns out if we follow a conventional formula we will find that
conventional formula we will find that
conventional formula we will find that the deck is stacked against us
the deck is stacked against us
the deck is stacked against us traditional startups tend to follow a
traditional startups tend to follow a
traditional startups tend to follow a similar path a few years before Nebraska
similar path a few years before Nebraska
similar path a few years before Nebraska global I co-founded another company with
global I co-founded another company with
global I co-founded another company with two other individuals two of us were
two other individuals two of us were
two other individuals two of us were living here in Lincoln and our third
living here in Lincoln and our third
living here in Lincoln and our third partner Ron was living in San Francisco
partner Ron was living in San Francisco
partner Ron was living in San Francisco our big idea was to create software that
our big idea was to create software that
our big idea was to create software that would automatically provide customized
would automatically provide customized
would automatically provide customized internet content to end-users something
internet content to end-users something
internet content to end-users something we refer to as Google alerts on steroids
we refer to as Google alerts on steroids
we refer to as Google alerts on steroids well we quickly built a prototype of
well we quickly built a prototype of
well we quickly built a prototype of this product and Ron leveraged his
this product and Ron leveraged his
this product and Ron leveraged his venture capital Network out in Silicon
venture capital Network out in Silicon
venture capital Network out in Silicon Valley to raise a round of funding and
Valley to raise a round of funding and
Valley to raise a round of funding and to get us some experienced advisors to
to get us some experienced advisors to
to get us some experienced advisors to help us out and we worked really hard on
help us out and we worked really hard on
help us out and we worked really hard on that product for a couple years to find
that product for a couple years to find
that product for a couple years to find just the right features that would
just the right features that would
just the right features that would resonate with a with a broad user base
resonate with a with a broad user base
resonate with a with a broad user base and show our investors that we were
and show our investors that we were
and show our investors that we were really onto something unfortunately we
really onto something unfortunately we
really onto something unfortunately we couldn’t make a business out of the
couldn’t make a business out of the
couldn’t make a business out of the small but passionate group of users we
small but passionate group of users we
small but passionate group of users we had and we eventually had to shut that
had and we eventually had to shut that
had and we eventually had to shut that company down when we ran out of funding
company down when we ran out of funding
company down when we ran out of funding what turns out my traditional startup
what turns out my traditional startup
what turns out my traditional startup experience is actually quite common
experience is actually quite common
experience is actually quite common depending on how do you measure failure
depending on how do you measure failure
depending on how do you measure failure anywhere from 50 to 90 percent of
anywhere from 50 to 90 percent of
anywhere from 50 to 90 percent of traditional startups fail the bottom
traditional startups fail the bottom
traditional startups fail the bottom line is this is a risky business even if
line is this is a risky business even if
line is this is a risky business even if you have access to resources like we did
you have access to resources like we did
you have access to resources like we did unfortunately there’s some additional
unfortunately there’s some additional
unfortunately there’s some additional factors working against us as well the
factors working against us as well the
factors working against us as well the the level of support venture capital
the level of support venture capital
the level of support venture capital support in terms of the number of deals
support in terms of the number of deals
support in terms of the number of deals funded and the number of dollars
funded and the number of dollars
funded and the number of dollars invested per capita is not evenly
invested per capita is not evenly
invested per capita is not evenly distributed across this country it’s way
distributed across this country it’s way
distributed across this country it’s way more grossly weighted in some parts of
more grossly weighted in some parts of
more grossly weighted in some parts of the countries as opposed to others and
the countries as opposed to others and
the countries as opposed to others and this results in almost 10 times the
this results in almost 10 times the
this results in almost 10 times the amount of resources available on the
amount of resources available on the
amount of resources available on the coast as opposed to this part of the
coast as opposed to this part of the
coast as opposed to this part of the country if that wasn’t bad enough we
country if that wasn’t bad enough we
country if that wasn’t bad enough we have some social science working against
have some social science working against
have some social science working against us as well it turns out that the rate of
us as well it turns out that the rate of
us as well it turns out that the rate of idea generation and innovation is
idea generation and innovation is
idea generation and innovation is proportional to population density
proportional to population density
proportional to population density in other words you’re gonna see a higher
in other words you’re gonna see a higher
in other words you’re gonna see a higher rate of innovation in more populated
rate of innovation in more populated
rate of innovation in more populated parts of this country so it seems to me
parts of this country so it seems to me
parts of this country so it seems to me you I think you can see how this is a
you I think you can see how this is a
you I think you can see how this is a problem and it seems to me that
problem and it seems to me that
problem and it seems to me that following a traditional model for
following a traditional model for
following a traditional model for democratizing startups could be a fool’s
democratizing startups could be a fool’s
democratizing startups could be a fool’s errand I think we need a different model
well rather than accepting these
well rather than accepting these limitations we cannot change why don’t
limitations we cannot change why don’t
limitations we cannot change why don’t we change our dependency on these
we change our dependency on these
we change our dependency on these limitations rather than pretending we
limitations rather than pretending we
limitations rather than pretending we can somehow generate more ideas or
can somehow generate more ideas or
can somehow generate more ideas or magically bring in more investor dollars
magically bring in more investor dollars
magically bring in more investor dollars why don’t we do something a little
why don’t we do something a little
why don’t we do something a little different
different
different why don’t we change the equation in
why don’t we change the equation in
why don’t we change the equation in other ways we should leverage the
other ways we should leverage the
other ways we should leverage the advantages that we have that are a
advantages that we have that are a
advantages that we have that are a result of being in this part of the
result of being in this part of the
result of being in this part of the country we actually have a lot going for
country we actually have a lot going for
country we actually have a lot going for us cities in this part of the country
us cities in this part of the country
us cities in this part of the country have a strong sense of community and
have a strong sense of community and
have a strong sense of community and we’re built by people to embody the
we’re built by people to embody the
we’re built by people to embody the entrepreneurial spirit that continues
entrepreneurial spirit that continues
entrepreneurial spirit that continues today the fact that that we really
today the fact that that we really
today the fact that that we really genuinely depend on one another and that
genuinely depend on one another and that
genuinely depend on one another and that the reality that a small group of people
the reality that a small group of people
the reality that a small group of people can have a significant impact means that
can have a significant impact means that
can have a significant impact means that we can do transformational things we
we can do transformational things we
we can do transformational things we should take advantage of this and
should take advantage of this and
should take advantage of this and capitalize on this back in 2013 we were
capitalize on this back in 2013 we were
capitalize on this back in 2013 we were working with Mike the CEO of a company
working with Mike the CEO of a company
working with Mike the CEO of a company here in Lincoln he was interested in
here in Lincoln he was interested in
here in Lincoln he was interested in modernizing in evolving their current
modernizing in evolving their current
modernizing in evolving their current products and services they clearly
products and services they clearly
products and services they clearly understood their customer needs and had
understood their customer needs and had
understood their customer needs and had deep market experience but we sensed
deep market experience but we sensed
deep market experience but we sensed that they were a little uncomfortable
that they were a little uncomfortable
that they were a little uncomfortable with the path to follow to do this they
with the path to follow to do this they
with the path to follow to do this they originally felt like acquiring
originally felt like acquiring
originally felt like acquiring acquisition of technology might be the
acquisition of technology might be the
acquisition of technology might be the path and they finally decided that the
path and they finally decided that the
path and they finally decided that the best approach was for them to somehow
best approach was for them to somehow
best approach was for them to somehow build these products and services in a
build these products and services in a
build these products and services in a house I give them a lot of credit for
house I give them a lot of credit for
house I give them a lot of credit for recognizing that not only did they need
recognizing that not only did they need
recognizing that not only did they need some technical skills to do this
some technical skills to do this
some technical skills to do this but they also needed help the building
but they also needed help the building
but they also needed help the building the entrepreneurial culture that could
the entrepreneurial culture that could
the entrepreneurial culture that could bring these ideas to reality and so they
bring these ideas to reality and so they
bring these ideas to reality and so they reached out to us and the model we
reached out to us and the model we
reached out to us and the model we landed on was a joint venture that
landed on was a joint venture that
landed on was a joint venture that brought together the business and sales
brought together the business and sales
brought together the business and sales experience of Mike’s company with the
experience of Mike’s company with the
experience of Mike’s company with the product development and startup
product development and startup
product development and startup experience of Nebraska global everyone
experience of Nebraska global everyone
experience of Nebraska global everyone in this joint venture had skin in the
in this joint venture had skin in the
in this joint venture had skin in the game and would benefit from its success
game and would benefit from its success
game and would benefit from its success we even located this company down at our
we even located this company down at our
we even located this company down at our offices so they could be closer to other
offices so they could be closer to other
offices so they could be closer to other startups well this company quickly began
startups well this company quickly began
startups well this company quickly began testing and validating their ideas and
testing and validating their ideas and
testing and validating their ideas and building products and selling them and
building products and selling them and
building products and selling them and in their market and things went well and
in their market and things went well and
in their market and things went well and within three years
within three years
within three years Mike’s company decided to acquire this
Mike’s company decided to acquire this
Mike’s company decided to acquire this joint venture back into the parent
joint venture back into the parent
joint venture back into the parent company so here’s the Epiphany we had at
company so here’s the Epiphany we had at
company so here’s the Epiphany we had at no point during the forming of Nebraska
no point during the forming of Nebraska
no point during the forming of Nebraska global did we ever envision going after
global did we ever envision going after
global did we ever envision going after opportunities like this but as we got
opportunities like this but as we got
opportunities like this but as we got further down the path with this we
further down the path with this we
further down the path with this we recognized that this wasn’t some
recognized that this wasn’t some
recognized that this wasn’t some diversion or side trip from our goal of
diversion or side trip from our goal of
diversion or side trip from our goal of creating startups this was a startup it
creating startups this was a startup it
creating startups this was a startup it just didn’t look like a traditional
just didn’t look like a traditional
just didn’t look like a traditional startup but it everybody involved had
startup but it everybody involved had
startup but it everybody involved had equity and skin in the game and there
equity and skin in the game and there
equity and skin in the game and there was risk but not the same kind of risk
was risk but not the same kind of risk
was risk but not the same kind of risk you have with a traditional startup that
you have with a traditional startup that
you have with a traditional startup that doesn’t have customers and doesn’t have
doesn’t have customers and doesn’t have
doesn’t have customers and doesn’t have a ton of market experience and while we
a ton of market experience and while we
a ton of market experience and while we didn’t have venture capitalists
didn’t have venture capitalists
didn’t have venture capitalists investing in this Mike’s company
investing in this Mike’s company
investing in this Mike’s company certainly puts significant resources
certainly puts significant resources
certainly puts significant resources into this to get this off the ground we
into this to get this off the ground we
into this to get this off the ground we like this model so much that we changed
like this model so much that we changed
like this model so much that we changed the way we started looking for
the way we started looking for
the way we started looking for opportunities to find more that look
opportunities to find more that look
opportunities to find more that look just like this so let me bring us back
just like this so let me bring us back
just like this so let me bring us back to the challenges we face here in Middle
to the challenges we face here in Middle
to the challenges we face here in Middle America cities in this part of the
America cities in this part of the
America cities in this part of the country have many of them have
country have many of them have
country have many of them have industries and companies that have been
industries and companies that have been
industries and companies that have been established around for quite some time
established around for quite some time
established around for quite some time these companies probably have
these companies probably have
these companies probably have well-established customer bases and and
well-established customer bases and and
well-established customer bases and and good market experience and they might
good market experience and they might
good market experience and they might even have access to capital like Mike’s
even have access to capital like Mike’s
even have access to capital like Mike’s company had they’re probably also
company had they’re probably also
company had they’re probably also filling
filling
filling sure to evolve and innovate to stay
sure to evolve and innovate to stay
sure to evolve and innovate to stay relevant in their marketing and while
relevant in their marketing and while
relevant in their marketing and while they probably very well understand the
they probably very well understand the
they probably very well understand the operations of their current company
operations of their current company
operations of their current company they’re probably a little uncertain
they’re probably a little uncertain
they’re probably a little uncertain about how to go through a path of
about how to go through a path of
about how to go through a path of innovation so let me paint this picture
innovation so let me paint this picture
innovation so let me paint this picture for you imagine these companies exist in
for you imagine these companies exist in
for you imagine these companies exist in a progressive community that has strong
a progressive community that has strong
a progressive community that has strong civic leadership that recognizes the
civic leadership that recognizes the
civic leadership that recognizes the need to bring together these companies
need to bring together these companies
need to bring together these companies with entrepreneurs that have the the
with entrepreneurs that have the the
with entrepreneurs that have the the drive and the energy but lack the big
drive and the energy but lack the big
drive and the energy but lack the big idea and the access to capital these new
idea and the access to capital these new
idea and the access to capital these new joint ventures will create opportunities
joint ventures will create opportunities
joint ventures will create opportunities that will attract people into the city
that will attract people into the city
that will attract people into the city from outside and will inspire young
from outside and will inspire young
from outside and will inspire young people in this city to stay or return
people in this city to stay or return
people in this city to stay or return after college this company will continue
after college this company will continue
after college this company will continue to thrive and grow as these new
to thrive and grow as these new
to thrive and grow as these new innovations start to gain traction in
innovations start to gain traction in
innovations start to gain traction in the marketplace this new startup model
the marketplace this new startup model
the marketplace this new startup model will create and educate the next
will create and educate the next
will create and educate the next generation of entrepreneurs though it
generation of entrepreneurs though it
generation of entrepreneurs though it will create the next generation of
will create the next generation of
will create the next generation of companies in these cities that’s the
companies in these cities that’s the
companies in these cities that’s the picture I want to paint across middle
picture I want to paint across middle
picture I want to paint across middle America so here’s my challenge to you
America so here’s my challenge to you
America so here’s my challenge to you think differently differently about what
think differently differently about what
think differently differently about what makes a startup
makes a startup
makes a startup think about your community or city could
think about your community or city could
think about your community or city could you see this happening there what are
you see this happening there what are
you see this happening there what are those companies in the in your community
those companies in the in your community
those companies in the in your community that could evolve and innovate in their
that could evolve and innovate in their
that could evolve and innovate in their marketplace and who are those civic
marketplace and who are those civic
marketplace and who are those civic leaders that might be able to bring this
leaders that might be able to bring this
leaders that might be able to bring this vision to reality and then think about
vision to reality and then think about
vision to reality and then think about yourself what are the skills and
yourself what are the skills and
yourself what are the skills and connections you have that could be
connections you have that could be
connections you have that could be leveraged to make this happen
leveraged to make this happen
leveraged to make this happen together let’s reimagine startups in
together let’s reimagine startups in
together let’s reimagine startups in middle America thank you
”
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