Hometown or Startup Hub? My partner and I are starting a web startup in October. We figure we need 6 months max to build the product til launch. Our dilemma: stay in our hometown Amsterdam - really not a startup hub, but we can live here cheaply and have a bit of a network - and go to SV after the product is finished, OR go to SV right away. What do you guys think is the best strategy? |
Even without the visa issues, moving to another continent takes a lot of time and effort, and will eat up a significant fraction of those six months. (Visa issues have been discussed to death in other threads, but they're likely to be a problem too.) Even just the effort of packing all your stuff, getting on a plane, finding a new place to live and work, and buying all the stuff you need to keep you going in the short term is likely to occupy a lot of your attention for many more months than you might think.
Reasons:
-You'd rather deal with moving/visa issues before your startup launches.
-You'll have smarter startup geeks to talk to here, which will make your product better. Read: http://www.unionsquareventures.com/2008/06/the_spooky_econ.h...
- In the likely event that your startup fails (most do), you'll have had months of building a network which will help you find a cool startup to join or help spin up a new idea.
If you're going the lifestyle biz route, then you don't need funding and you don't need to be in SV (unless your target customers are startups).
There is success beyond SV.
There is funding beyond SV.
Ship it.
Figure out if you need to "open a US subsidiary" later.
And besides, "opening a US subsidiary" sounds a whole lot better to the visa-issuing folks and the funding folks and to the folks in whichever US region you might want to move to than does a business in its bootstrap stages.
When you are ready to start hiring and getting outside investment move here.
There are also other more local startup hubs, don't forget that last.fm was founded and still is in london. If your idea has wings I don't think a US company would care where the offices are.
+ Networking
+ Networking some more!
+ More chance of random meetings with people who can/will help you.
+ Vibrant community
+ Continuous critique / constructive criticism from learned others (esp in startup community)
+ Motivation through environment
+ Sunshine (and good weather almost all year round)
+ Parties held by other startups and tech companies
+ "Cool" factor of being in SV
+ Change of scene from where you spent most/lots of your life (its good to travel and work in various places)
+ Lots of tech events more accessible in USA
- Losing focus from product development to relocation issues
- Losing time getting to market
- Time & effort to move (find accommodation, offices, visas)
- Initial costs & expenditure (Can spend on product instead)
- Leaving friends & family
- Shifting equipment (servers, printers, monitors, etc) unless hosted online or cheaper to (re)buy/replicate in SV.
...so basically I would say if you are able to go, then go. Also I have never met antone who regretted going but have met several people who have regretted not going.
Is there a specific reason why you want to go to SV first?
IMHO, where you right now, I don't think that's a significant enough advantage. The costs of moving and living/working in SV is just not worth it at this stage.
Have you ever visited SV? It's a big suburb.
I think if you find the right people to network with you'll find there are quite a few cool startups and conversations to be had - that I think will rival SV conversations.