This was according to Abby Molano, managing principal and president of VenturePath Group, a Silicon Valley-based entrepreneurial venture management firm that has committed to invest, this year alone, over $100 million in Pacific Rim companies, most significantly firms based in Korea.
VenturePath specializes in connecting US and offshore investors with entrepreneurs seeking entry into international markets and sources of funds.
Through its investment in IdeaFarm, VenturePath will assist start-up companies and individuals pursuing ICT-related projects.
IdeaFarm is focused primarily on wireless technologies, software/hardware tools and design, and knowledge-based services.
VenturePath will use part of its fund for IdeaFarm incubatees to launch their products and services in the global marketplace, making use of the company’s web of alliances, partners and contacts all over the world.
Jonathan Madrid, IdeaFarm president and executive director of iAyala, which is Ayala Corp.’s technology-holding company, said, "We support our IT entrepreneurs not only with much needed-capital but also through market and business planning so they will be able to meet the demands of the global market."
Molano, who has 15 years’ experience in business incubation, further explained: "Incubation is creating great entrepreneurs and great companies. It means focusing on three things: developing individuals who will provide leadership and have the character and endurance to succeed; evolving start-ups into spectacular companies so they can take their markets by storm and go for IPOs; and ensuring that technologies and/or services will remain innovative and make a dramatic impact commercially." When one of these elements is missing, a business is unable to take off.
Molano also observed that Filipino IT entrepreneurs represent tremendous hub potential. By virtue of their Asian, American and Spanish heritage, local talents have the capability to penetrate regional as well as European and American markets. Compared, for instance, to their Asian neighbors, Filipinos are excellent marketers.
"They understand crucial elements of the business…for instance, final product packaging for the American market," Molano explained.
She noted that VenturePath’s mission in the Philippines is "to establish a path" into the world market. The first of many steps, she said, is by investing in IdeaFarm "so it can evolve into the next level."
In addition to investments in ICT, VenturePath also has investments in the environmental and entertainment arenas. It is in the process of investing $300 million in American film productions.
IdeaFarm’s first incubatee, Fluxion Inc., recently introduced the first commercially available multimedia messaging service (MMS) in the country. The new service allows Globe Telecom subscribers to take digital photos with their phone and post them on a personal website.
Another project of IdeaFarm in the pipeline is the creation of the country’s first all-Filipino telematics company, Ztek Solutions Inc., with the product tentatively set to be launched next month.
IdeaFarm continues to pursue strategic alliances with venture capitalists, hardware and software vendors, various e-communities, academic institutions and IT organizations to encourage synergy and networking among industry professionals.
With incubation facilities in Cebu and the University of the Philippines Diliman, IdeaFarm provides seed capital of up to P2 million as well as working space, equipment and high-speed Internet access.
It also assists incubatees by providing professional services such as administrative and accounting support as well as market and business strategy planning.