NEXT Canada, GRIT Ed.06, Brain Gain vs. Brain Drain - Magazine - Page 16
GLOBAL AMBASSADOR
Guillaume
Laliberte
Co-founder &
CEO, Setter
(a Thumbtack
company);
Next 36,
2015
16
GRIT
Before the pandemic, when Canadian founders would ask themselves “Should I live in Toronto or San Francisco?” the argument
was pretty straightforward:
PRE-COVID, SAN FRANSISCO WAS
APPEALING BECAUSE: 1) Fundraising conditions are better there, and being close to
investors is helpful. Pre-launch companies
can raise $3M or $15M+ USD valuations in
the Bay Area, not something you see often
in Canada. 2) The startup network is unrivaled. Serendipity plays a big role in starting a company, and meeting the right advisor, partner, or investor at the right time
can change the course that a company is
on. 3) The people tend to be a lot more
ambitious and are at the cutting edge in
terms of product and engineering.
PRE-COVID, TORONTO WAS APPEALING BECAUSE: 1) The overall lifestyle is likely
better there. Even though downtown is expensive, it’s still cheaper than San Fransisco.
Infrastructure is generally better, from traffic
to internet speed (yes, downtown Toronto has
better internet than San Fransisco!). If you
have a family, healthcare and education are
less of a worry in Canada when compared to
the United States. 2) Talent is cheaper, which
means you can hire more employees or have
more of a runway. 3) Less competition means
talent retention is higher and talent acquisition is easier.
But, as we all know, the conversation post-COVID is a bit different.
Everyone is now used to building
relationships over Zoom. While it’s
not quite the same, people have
adapted.
Investors are more open to
funding companies outside of the
Bay Area. In fact, many are actively
looking at cities like Toronto to get
deal flow. Plus, two new technologies make it easier to move around:
1) cryptocurrency is making it really
easy to move capital around the
world, and 2) Starlink should make
it easy to get high-speed Internet
anywhere.
As a result, it is now easier than
ever to work, fundraise, and build
relationships from anywhere in the
world. You no longer have to be in
San Francisco to get access to the
best startup people.
Many Canadian founders I know
have stopped asking themselves
“Should I move to San Francisco”
and now wonder about “where in
the world do I want to live?” This
may seem like a small change,
but it’s not. The options today are
not just San Francisco or Toronto;
founders also consider Mexico, Costa Rica, Florida, the Caribbean, and
in some cases South East Asia or
Southern Europe.
So how should a founder think
about where to live in today’s environment? The country you live in
and the one where you start a company are two different things. The
best founders today look and think
like global citizens. They design
their lives around what they and
their company needs.
When I think about where I should choose
to start a company in today’s climate I consider
where my customers are and what jurisdiction is
most favorable for my company. This is an increasingly important question in the crypto space, and
that’s why places like Miami, Singapore, Wisconsin,
and Malta are creating favorable regulatory frameworks. And of course, where can I build a great
team. Yes, remote teams can work, but in-person
is still better if you want to achieve peak performance. Costs also remain a big factor here.
I also think about where I’d need to live to
achieve my peak performance. Where can I get
the best lifestyle for my family? Where can I learn
the most and surround myself with a great tribe of
founders? What kind of weather makes me happy?
Both business and personal lens is important when
making the decision of where to start a company.
OPT TO BE A GLOBAL CITIZEN
A realization I had after moving to different
places over the past 10 years is that staying where
you are can be detrimental to exporting your culture. Traveling and living abroad remains the best
way to create networks that reach your city, and
to represent your country, nation, or culture. People get a different, deeper appreciation for culture
when they meet an “ambassador” of it. And in my
experience, people who move somewhere to work
eventually come back to Canada, bringing back
with them a wealth of connection, knowledge, and
values that would otherwise be hard to acquire.
The best governments in the world understand
this. Singapore is probably the biggest success
story of sending great people abroad and bringing them back to help push the country forward.
NEXT Canada’s very own Reza Satchu (Founding
Chairman and Co-Chair, NEXT Canada) is one such
example, moving to the US before coming back to
Canada with a wealth of experiences to share with
the NEXT network.
After all, it’s hard to represent Canada if you
never go elsewhere.
The best
founders
today look
and think
like global
citizens.
ADVICE
“Regularly spend
time in San Francisco because it
provides more
learning by osmosis and serendipitous opportunities.
Choose a place
where you can
build a great life.
Starting a company
is stressful, make it
as easy as possible
on yourself. If you
need sunny weather to be happy,
go to Mexico or
Costa Rica. And
yes, Toronto is an
amazing place to
live with your family (when it’s not on
lockdown!).”
GRIT
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