The Seattle AI Investor Summit + Showcase hosted by the Technology Alliance featured a panel of four early stage venture capitalists discussing ways to boost Seattle’s startup scene. While Seattle struggles with a lack of homegrown money compared to other tech hubs, the panelists didn’t see this as a pressing issue. In fact, they believe that being a net importer of dollars can be something to be proud of. The panel also highlighted the importance of founders supporting founders, as seen in other entrepreneurial communities like the Bay Area. Efforts are being made in Seattle to create more connections and support networks for tech founders through organizations like Seattle Foundations.
One critique of Seattle startup founders is their general subduedness, which can affect the delivery of pitches compared to founders from other regions. Heather Redman of Flying Fish Partners emphasized the need for more sizzle in pitches and for founders to have a greater sense of transparency and directness in receiving feedback. Redman also mentioned that Seattle’s tendency towards “Seattle Nice” can hinder future innovation. To combat this, she suggests that investors and advisors need to be more straightforward in their feedback to help founders make decisions about their startups.
Seattle is not lacking in talent, especially in terms of top engineers, but many of these individuals have well-paying jobs at large tech companies like Microsoft and Amazon. Ken Horenstein of Pack Ventures highlighted the issue of “beautiful golden handcuffs” that keep talented individuals from starting their own companies. To incentivize entrepreneurial activity, Horenstein suggested that local governments could play a role. He also stressed the need for more “operators” in Seattle, as many experienced startup executives leave the region after their companies are acquired. Keeping these individuals in Seattle could help foster a stronger startup ecosystem.
The panelists also discussed the importance of elevating Seattle’s image on a national and international stage. Heather Redman emphasized the need for Seattle to become the best place to live in order to attract top talent and create the best companies. By focusing on creating an attractive living environment, Seattle can become a more competitive player in the talent race and ultimately lead to the success of its startup ecosystem. Overall, the panelists emphasized the importance of more connections among founders, increased transparency in feedback, and incentivizing entrepreneurial activity to help Seattle’s startup scene thrive.
