A S TA R T U P R E I N V E N T I O N ST. LOUIS BUSINESS » Home to 19 Fortune 1000 companies including nine in the Fortune 500. » 40 companies in Inc. Magazine’s list of America’s 5,000 fastest-growing private companies. » One of the largest concentrations of plant science PhDs worldwide. » Ranked as 7th most cost-competitive location to do business by KPMG A STARTUP REINVENTION | 2014 REGIONAL BUSINESS STRENGTHS Financial Services Healthcare Plant Science Multi-modal Logistics America’s Central Port ENTREPRENEURIAL ECOSYSTEM 4 PILLARS OF STRENGTH HERITAGE » » » » NEW STARTUPS St. Louis has a rich history of entrepreneurial success It’s been the launching ground for many of America’s biggest companies AVAILABLE CAPITAL » » The St. Louis region is exploding with new companies and new ideas The culture and ecosystem connects entrepreneurs and empowers them to grow their ideas PRIME ECOSYSTEM Extensive range of private funds and public support in the St. Louis region Regional leaders raising an additional $100 million to fund promising startups » » » Ecosystem that enables growth Leading role in life sciences, finance, IT, aviation, and energy Home to premier higher education institutions, cultural amenities, affordable cost of living and more A STARTUP REINVENTION | 2014 HERITAGE OF STARTUPS A STARTUP REINVENTION | 2014 STARTUPS OF TODAY A STARTUP REINVENTION | 2014 AVAILABLE CAPITAL VENTURE » » » Ascension Ventures RiverVest Venture Partners ANGEL INVESTORS » Advantage Capital » Prologue Ventures » Iron Rock Capital CAPITAL » iSelect Fund Cultivation Capital » Arch Angels » Billiken Angels » Prosper / Golden Seeds Angels PRIVATE INVESTORS PUBLIC FUNDS » » Missouri Technology Corporate (MTC) » Helix Fund Extensive network of private investors looking for early stage companies B U S I N E S S P L AN C O M P E T I T I O N S » Arch Grants » Olin Cup » » 12P STL Startup Challenge A STARTUP REINVENTION | 2014 ECOSYSTEM+: TALENT Washington University - St. Louis’ St. Louis University’s Entrepreneurship Program is ranked Undergrad Entrepreneurship Program is ranked #6 in the nation. #13 in the nation. St . L o u is R a n ks # 13 For Gen Y Workers Region ranked in top 15 of U.S. cities in most Bachelor, Masters and Doctoral degrees The number of computer and mathematical workers is 30% higher than national avg., yet, these workers’ average wages are 95% of U.S. levels A STARTUP REINVENTION | 2014 ECOSYSTEM+: COST OF DOING BUSINESS Corporate Income Tax KPMG ranked STL as 7th least expensive large city in which to do business in U.S. The Tax Foundation ranks Missouri with the 7th best for Corporate Income Tax and Property Tax MO NY CA MA 6.3% 7.1% 8.8% 8% Index ranking Average Developer Salary: New York City $94,000 Silicon Valley $100,000 Boston $75,000 Austin $76,000 St. Louis $74,000 Cost Of Living Comparison to St. Louis: A STARTUP REINVENTION | 2014 New York City San Franc is c o 2.3X 1.7X Higher Higher ECOSYSTEM+: INNOVATION CENTERS A STARTUP REINVENTION | 2014 ECOSYSTEM+: TOP ACCELERATORS St. Louis accelerators have been recognized internationally – from Capital Innovators - called one of the 15 Best Accelerators in the U.S.; to Jim McKelvey’s SixThirty - which focuses on FinTech startups and connects them with large enterprises in the space; to BioGenerator - which focuses on the broad array of bioscience startups across greater St. Louis. A STARTUP REINVENTION | 2014 ECOSYSTEM+: MENTORING & EDUCATION Education Mentoring GATEWAY VMS A STARTUP REINVENTION | 2014 PROMISING OUTLOOK 14 STRONG 2013 » St. Louis startups raised more than $380 mil. » More than 33 companies raised more than $1 mil., with an average raise of $5.6 mil. » Investment rounds in excess of $1 mil. were double the previous five-year average. A STARTUP REINVENTION | 2014 PROMISING OUTLOOK Dice.com: ST. LOUIS FASTEST GROWING CITY FOR TECH JOBS St. Louis Charlotte Austin Phoenix Detroit Year/year % change in tech jobs posted on Dice as measured at March 1, 2013 Cambridge Innovation Center Strikes Deal for St. Louis Expansion Missouri Ranked # 6 in the Kauffmann Entrepreneur Index PROMISING FAVORABLE OUTLOOK CLIMATE CHANGE Attracting Series A Capital New Startups by Industry Biotech Clean Tech Other Tech 60 Rounds >$1MM Five Year Average 35 50 30 40 25 20 30 15 20 10 10 5 0 0 2007 2008 2009 2010 2011 2012 2013 2007 A STARTUP REINVENTION | 2014 2008 2009 2010 2011 2012 2013 PROMISING FAVORABLE OUTLOOK CLIMATE CHANGE PRE SEED SEED VENTURE $25K $99K $100K $249K $250K $499K $500K $749K $750K $999K $1 M+ Yearly Av. of each $1 M+ 2007 1 4 3 4 0 15 $ 5,502,086 2008 0 2 1 0 1 13 $ 6,330,533 2009 4 7 5 2 0 13 $ 5,544,966 2010 7 6 5 3 1 11 $ 3,690,970 2011 7 9 7 2 3 16 $ 5,697,413* 2012 15 5 3 3 1 15 $ 3,928,053 2013 12 15 5 9 1 33 $ * w/o outliers: Essence for $70 million in 2011; or Answers for $200 million in 2013. A STARTUP REINVENTION | 2014 5,600,000* ACTIVITY PIPELINE A STARTUP REINVENTION | 2014 A S TA R T U P R E I N V E N T I O N