Startup Soup
I've been thinking a lot about how successful startups get started. Is it the founders or is it the product/service or the region they operate in and I think it's all of these.
To begin a successful startup needs great founders. Where do you find these people? Usually they are friends, former co-workers, or business partners at some point. This ties into the region concept as well. If there is a critical mass of people with the drive and experience to start great companies in a region then this process is almost automatic.
Products and services are another key component. Which relates to skill sets available in the region. It's critically important for a growing company to have access to a highly educated and skilled talent pool to draw upon. This is where the local University can assist by providing the programs to educate and train the workforce of tomorrow.
Now as I'm writing it also leads me to the notion of affordable housing options. Without this is becomes very difficult to attract talent from other places. It's really a competition for talent with other regions. As high tech knowledge workers are looking around for a place to rest their head they need affordable housing, which is why the silicon valley looks less and less appealing.
But what about the cool factor. It seems to me a place needs to be sufficiently cool, and yes I know that word is even not cool, but this is also vitally important. It is the creative class that will lead the region into new cutting edge businesses, see coworking as a phenomena.
In summary, I think the Sacramento region has all the ingredients for launch. The talent pool is small but growing, the educated workforce is growing, and the cool factor of Sacramento has definitely been bumped up a few notches in the past few years. Match those factors with the growth of venture capital available and there's a recipe for startup soup; rich, hearty, tasty, and filling.
