No, we are not dead

I write this note as I fly from San Francisco to Houston. I have just been in Silicon Valley for few days, an amazing place for innovation, entrepreneurship, and venture capital. Many think and say that venture capital is dead. Nothing farther from reality. Silicon Valley's energy is impressive. There, one feels a bit removed from recession, politics (Obama's inauguration) and the global crisis. I like the mentality. Not much time to think negatively. Each problem requires a solution and every minute used to think about the problem is one minute lost in seeking solutions.

Yes, investments by venture capital fell by 8% during 2008, reaching almost US$11 billion in Silicon Valley, more than one third of the US$ 28.3 billion invested in the USA. The number of transactions fell by 4%, only 4%! Many thought that venture capitalists take their money to invest elsewhere, and especially the seed capital
would suffer considerably. Well, we are not dead yet.

However, with less available capital, a uncertain market, and few exit alternatives, the seed stage is
actually the most interesting. It makes sense, although some VC Funds will continue to provide cash to support their existing investments.

On the other hand, there is an explosion of business plan competitions. We made an investigation and over US$5 million dollars will be given away, mostly associated with a College or University. We came up with a list of 60 top notch business plan competitions. Drop me a line if you want some info. I'll add it all to my upcoming book: Funding your million dollar company. Stay tunned. And I would love some stories on funding too.

Now, more than ever, we need to nurture entrepreneurship, even in large corporations.
Everyone can do something. Overlooking at Silicon Valley I feel inspired, but I know that inspiration is only HALF of success, the other half is ACTION.

The financial crisis represents many opportunities, being in crisis does not mean we are paralyzed; we are no fools and definitely, we are not dead.

The power of intent

Welcome to 2009. The year starts with an interesting mix of uncertainty and hope. In moments like this we need to be more like players than watchers of our lives... and there is nothing like the combination of purpose and group support to do so. I don’t know of any successful person who has not used intention and leverage. Do you?

Let’s start with purpose/intention. I like to use the word intention better, as it is more mmm flexible. Intention gives power to effort because how we live is partially determined by our actions. It is true that circumstances beyond our control also have an impact of our lives, but why worry about something we can’t control when we can take care of something that we do control, like our thoughts and actions?

This is why I chose the theme of the intention to start 2009. Our intention serves as a focal point, a point of support out there in the future, against which our actions can be leveraged. Without it, many of our efforts are spent in vain. When we are clear about our intention, we can rule out distractions and focus on what we want to achieve, whilst having more time, not less, to relax and enjoy life.

But having an intention in our mind is not good enough; it needs to be expressed. It requires a statement, a declaration that can be shared with and by others. An explicit intention is like a mark, a note, a piece of information, it creates a reaction, it invites others that share your intention to be part of it. It tells the world: this is my boat, come ride!

Sometimes we don’t want to be focused because we can be inefficient, what we want is not aligned with what we think we ‘must’ want, and for many other reasons. Truth is that having an intention sends a clear signal to others, and helps you manage your life much much better. Successful people recognize that life is easier and much more fun when we invite others to be part of our success and viceversa. Collaborating and exploring in a group gives great benefits to all involved.

Therefore I invite you to think about your intention for 2009 and express it out loud…

My intention for 2009 is to continue building my career as an international speaker and author. I plan to publish two books, give presentations in 10 different countries, have an impact on 500 people and generate US$100,000 in speaking fees in 2009. I’m off to a great start, visiting San Francisco and Houston. In April/May I’ll be in the Middle East and in Central America and South America, and in September in California again. I am planning my activities around my intention, my friends and providers are able to help me inmensely because what I want is very clear. It is working beautifully.

I hope I can help with your intent for 2009, and specially I hope that what I do has an impact in your life (then I’ll be short by 498 others :-).

So, what is your intention for 2009?

It's all about bouncing

I couldn't a better message to end this year's wealth drop. It's all about bouncing back... as per Rob McBride's interview. The world's economices rose and fell in 2008: China as a screaming giant showing off a magnificent Olympic Games, India no longer in back office, the US refusing to admit trouble, Latin America and Africa tired and half asleep, Europe as a mature adult worried about the long term future, and Asia showing off Chindia.

Something happened in the last couple of months and now, we just want to get over the holiday period and start a new year.

I think it's time to slow down, reconsider what is important. Take the opportunity to spend TIME doing what we LOVE and being with those who make us feel FANTASTIC... Robt thinks it is a great time to bounce back. I was puzzled and here is what we talked about. If you like more interviews, add a comment or send us a line.


Rob is an entrepreneur who lives in Venezuela and works in 3 languages: English, Spanish, and Portuguese.

Rob, what is your business about?
We provide tools for people to manage challenging situations to achieve personal and professional excellence.

How did you come up with the idea of the company?
After a sharp downturn in my last "work." It was December 13, 2001. I was in Rio de Janeiro. I realized that life is like a ball. Sometimes we are up and sometimes down. The most important thing is not where we are at a particular time but our ability to bounce at least once more ...

What has been your greatest success?
Seeing the birth of my two daughters. I realized how amazing life is!

What has been your greatest failure?
The first "great" event as a speaker. It was with more than 100 people in a half-day workshop in the Naiguatá Hall at Hotel Tamanaco -one of the top Venezuelan Hotels- with financial advisors. It was just what I dreamed about, with a group of people who did what I did, and the topic that fascinated me most: Change. I underpreformed, and did not achieve my goals, it was clear that I had not reached their expectations. Fortunately, it was also one of the best lessons I have learned and the reason why I am so good at what I do today.

What message would you give to someone who wants to be an entrepreneur?
Follow a burning desire, your idea, developed the first step of what you feel you have to do and then throw yourself into it, with the confidence that you can make adjustments in the process if necessary ...

Thanks Rob... definitely thinking about bouncing gives a different perspective to failing.

---

As you can see the future is built on the road, acting, not only thinking ... If you are affected by the financial crisis, thinking that successes and failures are part of life helps. I love Rob's message, because it gives a very refreshing vision of how to handle the possibility of a failure. He says that you can use the same energy when you are going down to bounce right back up.

you can check his site at www.inspire.com.ve


On behalf of the team Ventures Latinas and Alicia Castillo Wealthing Group, we send them our best wishes for the holiday season... Peace, joy, warmth... and get ready because one thing is for sure: 2009 will not be a boring year!

All the best,

Alicia Castillo Holley

Global Crisis, Local Solutions

I hope we are getting OFF the conversations on global crisis. Media fails to give us news to take action. We can feel sad, but can’t connect our actions to a solution. We are ‘informed’ on those things where we feel we have no control. Sit, shut, listen, fear. Wow!

This wealth drop is precisely about shifting from the seats onto the stage. Sharing negative news distracts us from our real worries, and keeps us on our chairs, watching the global crisis. Watching. I want to be ‘informed’ but please let’s talk about solutions. No, the financial crisis has not “affected” me. I’ve been there before. Most of us have. The crisis is outside of me, not inside. When we approach it that way, we can take actions that lead to success. We are all part of the solution. Think about that.

I’m old enough to have lived through several crisis. It is NOT true that this is the largest financial crisis ever; of course it makes a great heading, but put it into perspective. World’s population is largest than ever… Same is true an hour, a day or a week later. Duh!

Crisis keeps us agile. It is like the old joke of the millionaire that offers all his wealth to the person who dares to swim in his crocodile infested pool. Suddenly there is a turmoil and a bruised and blodied man emerges on the other side. Congratulated by everyone he claims: I don’t want the money, just to find who pushed me in!

Without that push it would be much harder to think outside of the box. And always after a crisis there is a time of stability so we can get the energy to reinvent our businesses and our lives. The crisis is NOT the problem, we are the problem.

So, here are my tips for de-crisising:

1.Simplify. Check your life plan and your business plan. Define what is critical and important, get rid of the rest. Crisis are great for trimming!
Clean: In times of scarcity others might need what you don’t. Don’t throw, donate what you don’t need. Find a way to recycle.
Rest: There is no use in stressing. Adapt to the smaller cash available. The world is not going to end if you have fewer revenues. Do consider your cash flow if you have a business, so you can stay afloat, yet don’t welcome the crisis inside. Take time off, give people time off.

2.Rationalize. Focus on what is MOST important: your best clients, your best employees, your best friends, your best products or services.
Become more efficient: Don’t cut costs at random. Evaluate the return on your resources: time and money. For example, don’t lay off people or write off products, without thinking about the impact in the clients.
Keep relationships: Support others. We are all interconnected. Many people are stressed or scared. Exploring ways to support others shifts your mindset from victim to heroe, and it is always easier to help other people first. Helping others puts your own worries into context and strengthens your leadership skills.

3. Grow. Take the time to explore new things, learn, be curious. Prepare for the next wave of stability and growth. Think strategically. Learn to do the same with less. It is crazy to expect that doing more you will achieve more. The world is going into hibernation, why waste your energy?
Develop new skills: Take a class, form a group with friends, employees, or peers. Use your spare time to learn something just because.
Create: Enjoy the process of self-expression. Create for the pure pleasure to do it.
Explore: Foster your capacity to think differently by facing uncertain territories. Exploring distracts your mind from the problem, and forces you to find solutions.
Plan: Discuss how the measures you take today will impact your future.

And finally, celebrate life. At the end, everything is fine, if it is not fine, it’s not the end.

The global crisis needs local solutions. You are part of either side…. Or both… You chose.

Alicia

Global Entrepreneurship Week

It’s Global Entrepreneurship Week and all over the world, people are moving their minds, hearts, and pockets to find a common goal: create wealth.

I learned about entrepreneurship and creating wealth at Babson College. Its founder, Roger Babson, wanted to create a distinctive way of thinking and acting that would lead to what Jeffry Timmons later called “the Silent Revolution.” I had the privilege of graduating from Babson’s MBA class and meeting and discussing many ideas with Jeff, whose legacy expands beyond his life. I would like to dedicate this wealth drop to Roger and Jeff.

The concept of creating wealth is fantastic because there is no way to create prosperity without sharing it. Thus, governments are quite keen on exploring this topic, and along with them investors, yes, even in today’s financial situation!. The Global Entrepreneurship Week represents an amazing international effort, led by large corporations who see a bright future ahead, and supported with enthusiasm around the globe. What a refreshing thought, so different from the distressing news about the financial markets and the crisis!

I’ve always seen my future bright and interesting, although sometimes I have seen it through a dark tunnel that I know I have to walk. Ouch!

It has always paid off. I just realized that I don’t deal with depressed people because entrepreneurs and inventors create. They are too busy discovering ways of doing things to worry about dramas or to feel victims of other’s actions. In most cases, it turns out in a different way than we plan or expected, but the use of our energy to create positive worries is much healthier than to share misery and to feel that we are like seaweed in the ocean, at the mercy of the tide. No way!

As most of my work involves Global Entrepreneurship, I want to share with you the four critical success factors of Born Global Firms:

1. Global Vision: It’s all about the people who create the vision.
People involved in the Strategic Intent of the Firm have a pre-conceived notion of globalization. They know it is possible because they’ve done it.
Experience, Knowledge, Connections are firmly rooted in the managers or founder’s previous global experiences.
As simple as: I’ve seen that before or I’ve done that before!

2. Global appeal: Offerings cross over cultural barriers.
Global Firms make no adaptation to their offerings: Products, services, marketing, etc
They have a USP (Unique Selling Proposition) that appeals to consumers regardless of culture and location.
BONUS! Having the same offering provides a systematic approach that minimizes mistakes, improves efficiencies, and provides clear message.

3. Global reach: Reach customers rapidly, effectively and at low cost.
They collaborate in local markets.
They compete in global markets.
Change of mindset from smaller economies: more is less (100% of 10 is 10), less is more (10% of 1000 is 100). Everybody wins.

4. Global Implementation: Find ideal partners. It requires a mindset to collaborate and think about your best fit.
- What do you need
- What do you require
- What is your negotiating range and what are the deal breakers?
- What is the (aligned) reward system
- How to take the dip and cut loses
- How to establish elegant ways out
Don’t depend on legal frameworks, the best contract is never reinforced. What ifs…


I could not think of better times to go global. With suppliers and part time employees and clients in almost all continents, we have system that works smoothly around the globe. There are very few barriers to global entrepreneurship, if you are reading this, you have none.




Enjoy the celebration,

Alicia

http://www.enterpriseweek.org.uk/about/global_entrepreneurship_week

It's all about sharing

Last month I had the opportunity to visit Bali for the first time. Besides the fascination with the lush vegetation and the vast amounts of offerings, I was delighted to meet a very special person, and through her, a hidden are in the island. She runs an organization that supports children in various forms “I’m an angel” (www.imanangel.net). Viebeke, the founder and major organizer, explained their philosophy: “we don’t give, we share.” I found it especially appealing as I don’t believe in the traditional form of charity. When I give, I received. It’s never about money, it’s always about value. Simple as that.

Sharing is a natural part of human kind, we share the wealth we create, and likewise we share poverty; we share happiness, and we equally share dramas. We share more worries than anything else. In these days of financial crisis, everyone is worried, yet, every crisis opens doors to opportunities, and few people are talking about that, much less taking action. Because I’ve lost a ton of money, I have slowed down and enjoyed life more. You can do the same, it is a healthier alternative than worrying. For example, now that the holidays are approaching, you can make a gift; I mean, make it, instead of buy it… and by the way, studies have shown that the best gifts, the ones that stay with us longer in memory, are shared moments. I actually remember more the time spent cooking than the presents we opened.

Sharing forces us to take action. I love the term. When we share we imply that we are useful to others, in a way that is more horizontal than vertical. We are not the giver, we are the sharer… and our counterpart is not the receiver but the other part of the sharer. I had the opportunity to experience it when I visited the North East coast of Bali, an area that has been greatly affected by drought. Amongst other things, “I’m an angel” has a program that provides protein twice a week to school children, one egg and one glass of milk, costing cents... A tiny effort with a huge impact on their health. In one day, we touched 506 young children in a joyful celebration: we were sharing. The cost was less than US$130 dollars. How could I not share?

I am glad I made the decision to get out and do something different, instead of worrying. My friend Sylma hosted a prelaunch conversation of the book "Falling in love with your life", and I decided to donate the launching profits to “I’m an angel.”

When you think about sharing, you can act differently. You share your time with your employer, your employer shares the wealth you all create with clients, employees, suppliers, investors, and the list goes on and on… it is refreshing.

Sharing is also a great way to rethink investment opportunities. Several days ago, I was on a Venture Capital panel. The entrepreneurs were concerned about the financial crisis: yes, fewer deals get funding, but Venture Capital Funds need great deals, the money needs to be invested, but invested wisely. At the end, we all benefit when great deals get funded and when lousy deals don’t get funded. We share the wealth we create.

Maybe I am being too naïve to think that we all share for the best. The financial crisis was also part of our sharing: our need to maximize profits, or, to some extent, our greed.

So, what are you sharing?

Alicia

Oh... bummer

Political parties aside, the world saw a great come back in history with the election of Barack Obama as the 44th president of the US. I did not vote on the American elections but I would have voted for either him or Hilary. It was time for unconventional wisdom. As a Hispanic woman having lived in the US three times, it is so refreshing to see the many colors of the American dream. Actually, nowadays, there are no geographic boundaries to dreams.

I find gender or discrimination issues boring. Only a person who has feel discriminated against can understand what it means. I was lucky to grow in a place where I felt who I was was more important that my circumstances over which I had no control. Thus, when I connect with a person, I am more interested in the essence than the race, age, gender, religion, political affiliation, nationality, sexual orientation... and I think most people are the same way or want to be that way. As I age and notice discrimination around me (or towards me), I have an increase admiration for people who stand up and shake it off. That is the beauty of Obama's triumph...

Last year, my daughter became a foster mother to four biracial children. In Venezuela, my home country, we say we are all coffee and milk... some people have more coffee, others have more milk. I noticed then with great sadness the ill effect of discrimination in these cappuccino children's self esteem. I can only imagine what Desire is thinking now, when being black is not an excuse... I am happy for these children, as I am happy for the milky ones that will grow in a world where we embrace diversity.

I am happy to be living a time where dreams come true... and I wanted to share this with you, wherever you are...

Across the globe, inspiration flows.... It was a triumph of the American people, simply because people moved to the center stage and took action... as Obama said on his election speech: "I will never forget who this victory truly belongs to – it belongs to you."

and it is a reminder that yes, even when the economy is a mess, there is something we can do about it.

Now, the real work begins ... the attitude and the empowerment is there... it is time to go beyond the cappuccino to see the real stuff ... In the mean time, I'll celebrate the dream with immense joy... Oh bummer...

here is to your dreams,

Alicia