Innovation and entrepreneurship are becoming the new destination for investment money from sources disappointed by the poor performing stock and real estate markets. The barriers to entry continue to be pushed down. The driver has become the simplification of the path from idea to revenue.
To that end, we have witnessed the evolution of the space through the application of Crowdsourcing to fund raising, and the emergence of Gust.com and Angel.co as virtual ecosystems for investors and entrepreneurs to collaborate. General Assembly and TechStars have also emerged as physical destinations for entrepreneurs and innovators to interact, and even improve their entrepreneurship and technology skills. I am certain that additional concepts will be explored to continue to shorten the time to revenue.
Outsourcing services have also greatly adapted and evolved to support entrepreneurship and innovation. Professional employer organizations (POE) enable startups to afford payroll services and offer healthcare to employees. Legal and accounting firms are more commonly accepting equity as part of their compensation, and the increasing number of co-working spaces ease the challenges of managing office space for teams that grow and shrink constantly.
Execution has also joined the evolutionary tendency. Hiring experienced C-level talent, willing to work for mostly equity, is often one of the most significant challenges an entrepreneur faces when starting a company.
Experienced, risk-embracing leaders quite often gravitate toward startups in expansion stage, with a lower risk profile, and an increased chance at a decent return for their contribution. They are not very open to early stage startups as they require more effort, longer engagement, and there is much less certainty of the chances for success.
In response to the challenge, and to the increasing number of early stage opportunities, senior leaders are embarking on multiple, part-time, concurrent engagements. This approach affords them an opportunity to maximize their chances of being part of the next big thing, while keeping it affordable for entrepreneurs. It also reduces risks for investors, by having experienced leaders as part of the execution team, who can anticipate and manage risk more effectively. We want to take this to the next level.
With the addition of its startup practice, Objectiva Software Solutions is leading software development providers into the future bycombining highly effective and process-centric software development services with access to part-time, senior technology leadership. This innovative approach allows entrepreneurs to focus their resources on what differentiates their company, until success allows them to afford full time leadership.
Is it the next logical step in the evolution to have full-service incubation?