Sramana Mitra: Very typical overfunding, lack of discipline story.
Allan Wille: It really is. I don’t think we’ve seen that kind of feverish pitch to the same degree. We saw IoT and Big Data, and now we’re seeing the same thing with AI. I think there’s a lot of money being thrown at some of these companies, perhaps, prematurely.
Sramana Mitra: There’s plenty of money being thrown around, especially in this whole unicorn phenomenon. You may have seen it already since you follow my work. We’re doing this Debt by Overfunding series right now.
Allan Wille: I’m a big believer that funding at the wrong time can be a kiss of death. >>>
Sramana Mitra: Right now, you are equating low cost with untrained labor. It doesn’t have to be so because there is such pressure on jobs. Over the next 30 years, the level of pressure on jobs is going to be tremendous. The level of unemployment is going to go through the roof because of automation. You have all these excess people who can be trained to provide trained care at low cost. That’s probably going to be one of the trends of American society.
John Damgaard: Supply and demand works. You have an available labor pool. It will be put to work. It still doesn’t solve the fact that if you look at the demographic imbalance and the number of young people versus the population of the elderly, we are a rapidly maturing society. Even if they had nothing else to do, there’s not enough of them to provide the care, given the logistical challenges. Trained or untrained, all of that doesn’t matter. There’s not enough labor to go around. >>>
In case you missed it, you can listen to the recording here:
Entrepreneurs are invited to the 346th FREE online 1Mby1M mentoring roundtable on Thursday, March 30, 2017, at 8 a.m. PDT/11 a.m. EDT/8:30 p.m. India IST.
If you are a serious entrepreneur, register to “pitch” and sell your business idea. You’ll receive straightforward feedback, advice on next steps, and answers to any of your questions. Others can register to “attend” to watch, learn, and interact through the online chat.
Often, it takes a long, long time for a company to hit its stride. Read Allan Wille’s journey of great perseverance.
Sramana Mitra: Let’s start at the very beginning of your journey. Where are you from? Where were you born, raised, and in what kind of background?
Allan Wille: I was born here in Canada. Before I turned one, we moved to Switzerland. My father is Swiss and my mother is Canadian. I spent the first 14 years of my life growing up in Switzerland. My dad was a banker. Later on, we moved back to Canada because he wanted to start his own business. That has certainly influenced me. >>>
During this week’s roundtable, Eric Frenkiel, co-founder and CEO of MemSQL, discussed his journey from pre-IPO Facebook to YCombinator to a thriving In-Memory database company that has successfully navigated a fat startup path.
As for the pitches, Siddharth Bose from Pune, India, pitched TheSchule, an online career counseling solution for X, XI and XII grade students in India. The company is already generating revenues.
Next, Alberto Chierici from London, England, pitched Spixii, a solution for servicing insurance companies’ customers through chatbot and related solutions. The company is also generating revenues.
Sramana Mitra: There’s stuff like that going on. There are venture-funded solutions that are going after that market also. From my point of view, the big trend that I see is that America never used to be a place where there was a lot of cheap labor available. I grew up in India. In India, the issue of elder care is much more manageable just because there’s such a large population of cheap labor available. It’s a society that is generally very community-oriented and very compassionate. People don’t throw their elders under the bus, basically.
John Damgaard: I understand. You’re exactly right. The reality is, if you rewind the time by 150 years in the US, here’s what healthcare looked like and senior care looked like. You had multiple generations living in very close proximity, often, on the same piece of land. We call them family farms. Who bore the burden of senior care? The family. >>>