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Startup Wednesday

Startup Wednesday

First edition! Woohoo!

Jake Bill
October 25, 2023

Welcome to Venture On! This is the first edition of Startup Wednesday, a weekly update where I’ll share some startup news, personal insights, and more. Let’s jump right in.

In tech and startups, the ‘UK’ and ‘London’ are often synonymous terms. A recent House of Commons report revealed uneven venture capital distribution across the UK– around 80% flows to London, Oxford and Cambridge. Strikingly, 70% alone reaches Greater London startups. Luckily, for those of us living up North, this is about to change.

Here’s a quick summary if you’re short on time:

Beyond the Golden Triangle, Overlooked Startup Hubs in the UK Shine
3 Common Startup Myths Debunked
Eric Ries and The Pyramid Principle

Funding Corner

VC Firm ‘Par Equity’ Targets North of England with £100m in Funding.

Manchester, UK (Source: TimeOut)

Cambridge, Oxford, London - the big names dominate when we think UK startups. But venture outside the "golden triangle" and you'll find promise.

Out of red brick universities like Manchester and Sheffield emerge top talent. Even Edinburgh has an impressive legacy (Charles Darwin and Alexander Graham Bell being notable alums). But, what’s better is that accessible valuations allow founders to stretch funding further.

Paul Munn of Par Equity sees unique potential in the North. "We have a rich engineering heritage coupled with world-class research departments...at sensible valuations," he told us.

Case in point? His firm backed a materials startup in the North at one-sixth the value of a competitor in the golden triangle. 18 months later, that competitor's team is jumping ship.

So while the South hogs attention, Munn's advice? VCs should "Look North” to find serious startups, without the hype.

Special Edition

3 Common Startup Myths Debunked

Myth #1: You are not a real startup if you are not growing exponentially.

Growth benchmarks differ by industry and founder - the only universal metric is having customers who value you. Focus on building at your own pace rather than arbitrary hockey-stick goals.

Myth #2: If you build it, they will come.

Maybe in the early 2000s, but not now. The myth that startups can ignore community and feedback is outdated; today, building a business goes hand in hand with growing a loyal community through constant user engagement. With increased competition, simply having a great product is not enough.

Myth #3: Your success depends on your idea.

A business idea provides direction but hard work and execution are more important - with the right work ethic, decision making and understanding of demand, an idea is only 10% while effort is 90% of success. The best ideas require creative execution and founder dedication to thrive.

Founder’s Quote

“The reality is the Lean Startup method is not about cost, it is about speed. Lean startups waste less money, because they use a disciplined approach to testing new products and ideas.”

Eric Ries

What I’m Reading

📕 The Pyramid Principle

It might not be as thrilling as an Agatha Christie novel, but it’s a great read for helping you think creatively, reason lucidly, and express ideas with clarity. My old boss recommended it and I think every future business owner should read it.

That’s all from me! If you enjoyed today’s newsletter, please reply and let me know. If you want to see something changed, I’d love to hear your feedback as well. Thanks for reading and being a part of our community.