Sunday, 30 March 2008

A London Weekend


Watching Blackpool draw 0-0 at Crystal Palace might not be everyone's idea of a great Saturday out. Time to get a life then. Mixing with the Tangerines at dodgy pubs along Selhurst High Street is as good as it gets. Warm beer, Walkers crisps and a list of characters straight from Eastenders. If this is Gordon Brown's test of 'Britishness', then I passed.

The day started with a nostalgic trip to Borough Market. Sadly, the nostalgia has gone. Too many 'celebrity chefs' have identified this once great foodie hangout and the crowds yesterday were hideous. It even has its own website. It has become a commercial tourist destination. Sad really.

Today, I am planning to meet up with a group of friends from my West Hampstead days. The destination is the Churchill Arms, South Ken. To those that know this particular group of friends, the outcome of the day is I think fairly obvious. I will sleep well tonight.

And that is my weekend in London.

Friday, 28 March 2008

VC - Go West



So it goes like this.

On Thursday, I post a blog with an observation about Venture Capital in the UK. On Friday, I receive an email from my friend Matt, who is based in the heart of Silicon Valley.

Start-ups and VCs there still talk. VCs understand the value of both the engagement and the investment. Think Sequoia Capital or think Sutter Hill. Look at their portfolios and imagine the return.

If the UK & Europe are to retain their best and most innovative IP, then VC's here need to compete. For the alternative, go west.

Thursday, 27 March 2008

VC or Bust?


Are VC's abandoning the start-up sector?

Last week's London Technology Forum was focused rightly on some of the great innovative start-ups that are now going to market. A key plank in this journey of course is the ability to raise the capital necessary to execute one's business plan.

In the UK, that process may have just become a little harder.

This comment is based on the decision taken last week, by 3i, the former powerhouse of Europe's venture capital industry, to abandon early-stage investing in start-up companies, to focus on buy-outs, growth capital and infrastructure. That according to the analysts, is where the best returns in recent times have come from.

If this is the case, then the situation for start-ups becomes more fragile. There is an eco-system of other investors out there including angels, high net-worth individuals and incubators. But for scale, venture capital is often the only route.

For Pingar, these developments come at an interesting time. We are in what is probably best described as 'stealth mode' in regards to own own funding engagement. But it's interesting to take a broader industry perspective to understand just what challenges will now face many of those other great start-ups who joined us at the London Hilton, last week.

Wednesday, 26 March 2008

Corporate Engagement


Last week, I joined Tim and John for a Pingar pitch to two corporates. These two are 'global' in every sense of the word. The situation made me think.

Let's first be frank. Pingar is a 'start-up'. There are no ifs, no buts. We have great potential and we are building a great team. A corporate though, we are not.

25 years ago, I worked for a corporate. I was on a payroll and I received a pension. We only engaged with other corporates. That was the way that business was done then.

Today, that has all changed. Corporates know that in order to remain competitive in today's market, they need to become more agile. Often than not, that means working with start-ups that have created enough niche to make a difference. Pingar falls into this category.

We can make a difference and the enterprise market will soon know this. Connecting in this way creates opportunity for start-ups that was not available years ago. Though business cultures remain a challenge, the ability to connect does not. A great example of this corporate - start-up dialog was launched by Microsoft in October 2007. It is called the Microsoft Start-up Accelerator Program.

It provides start-ups with access to Microsoft resources to provide for rapid growth and connection with Microsoft's own enterprise teams. Size is not a barrier. How different from 25 years ago. But then what did corporates know then?

25 years ago, Bill Gates, Steve Jobs and Larry Ellison were all start-up pioneers looking for corporate engagement. A number of the then big boys did not want to know. The rest, as they say, is history.

Tuesday, 25 March 2008

Pingar - UK Office Address


Pingar has its first London-based office. Set in the heart of Soho, you can contact us at:

Pingar Ltd
Medius House LG
2 Sheraton Street
London W1F 8BH
Engalnd

Sunday, 23 March 2008

Happy Easter!


It's snowing in Kimpton!

It's 7.45am on Sunday Easter morning here in Kimpton and the snow is coming down heavily. It has settled. The garden and surrounding fields are white. So are my feet. It is cold.

Quite a contrast then from Tauranga. Jacqui tells me the temperature today is 27c and the only decision to be made is which beach to go to. Same planet, different worlds.

A Happy Easter then to the regular readers of this blog. Statcounter do say there are some! Normal service resumes on Tuesday.

Saturday, 22 March 2008

London Reflections - Week 1


Sitting in Starbucks next to Canary Wharf at 8.30am on a Wednesday morning is about as far away from The Strand in Tauranga as you can get. This week though, it seemed all too normal.

So too did the client engagement. It could not have happened in the Bay. But today, settled in Kimpton, Hertfordshire, it is a good time to reflect on the past four days.

I have blogged before about 'scale' and 'opportunity'. In London, you have both in spades. That was apparent at the UK Forum. It was apparent in Docklands on Wednesday. But is it enough?

The one thing I have not experienced on the streets during this visit to-date is 'edge'. Everything seems a little bit safe. Perhaps it is the global economic climate that we are in. Risk is not high of the agenda. For me, it means something important is missing. In NZ, the No. 8 wire mentality still reigns. I do not see that here. And I miss that.

What draws me back though are those two economic pillars; 'scale' and 'opportunity'. Over the next three weeks, the Pingar team intend to focus on these as we expand our presence in the UK. High on the agenda is continued engagement with both Microsoft and the UK T&I Global Entrepreneur Team. We made good progress last week. There is much more to do.

I expect to touch base with more of our business partners in the next week. These include Baker Tilly, Nat West and NZTE.

For the next two days though, the plan is to rest and relax with family. Come Tuesday, it's back to basics and no doubt more espressos at Starbucks. Some things will not change.

Wednesday, 19 March 2008

The Elevator Pitch - Day 2



It finally happened at 12.35pm today. Tim delivered the Pingar elevator pitch to approximately 100 delegates attending the UK Forum.

It's fair to say that the delegates we recognised represented a multiple of the VC investment available in New Zealand. It was a sobering thought. The reaction however was not and the focus is now on closing our first funding round.

We were joined at the presentation by Sheetal Mehta and other leading members of the UK T&I Global Entrepreneur Team. It was also great to meet Catherine Tlapek, Senior Investment Manager with NZTE in London.

I have said before that our presence at the UK Forum was always more than just a fund raising exercise. It was about introducing the Pingar brand to the UK market and building networks for the future. That process started yesterday and continued today. Early days yet, but we have identified potential content providers for our service we had not met before. My diary over the next two weeks is testament to that.

During Tim's elevator pitch, he highlighted the importance of our relationship with Microsoft. The significance of this relationship really cannot be exaggerated. So it was good to meet up with Bindi Karia, VC/Emerging Business Lead, Microsoft this morning. Jacqui and I met Bindi on our recent trip to the UK. With Pingar building its presence in the UK, that relationship will only get stronger.

Tonight, it's black tie and tuxedo for the UK Forum 'Gala Dinner & Awards Ceremony'. Tim, John and I have all been invited to join the Global Entrepreneur Team for this event. It is designed to recognise achievement in the UK Technology sector and promises to be a mix of networking, entertainment and the odd glass of something.

It will round off what has been a very successful two days for Pingar. We achieved our key objectives and will now focus on closing them down. That will be the interesting bit!

Tuesday, 18 March 2008

The Forum - Day 1


The New Zealand connections are alive and kicking.

On the same day that Computerworld NZ published a new article on Pingar, I attended Day 1 of the UK Technology, Innovation & Growth Forum in London. The event has attracted approximately 450 delegates.

The Forum is designed to both host a series of seminars through the day as well as showcasing 40 of the UK's most dynamic growth technology companies.

The event started with a keynote presentation by Allyson Reed, Director of Strategy and Communications, of the UK Government's Technology Strategy Board. It set the scene for the conference. This Forum is all about innovation across the full spectrum of technology - not just ICT. This became clearer through the day.

It was good to meet NZTE reps from NZ House. Perhaps more surprising were the number of Kiwis attending the Forum representing major UK companies. Throughout the day, I met a number of delegates and expect that the building blocks for some future networks might already have been put in place. The UK T&I Global Entrepreneur Team provided great 'on the spot' advice and introduced me to a number of their own contacts at the forum. More about that tomorrow.

Late in the afternoon, the Pingar team met up with a potential investor partner. No guess as to his nationality. Born in Auckland. Based in London.

It is at 12.30pm today (Day 2) when Pingar formally presents to the conference. Tim Burgess, our new CEO, has been given the task of delivering our elevator pitch. This is the highlight of the Forum for us. As well as presenting to fellow entrepreneurs, analysts and potential investors, it allows us to position Pingar for our UK market entry. The next 12 hours will be crucial for this.

Monday, 17 March 2008

News from Wellington


The Forum starts in less than 12 hours.

So it was great to see the Dominion Post in NZ publish this article in today's edition about Pingar's presence at the event.

It gives credit to Waikatolink for their development role. It also gives credit to the Foundation for Research Science & Technology for their funding support. Both have been key contributors to the development of the Pingar platform.

Going into the UK Technology, Innovation & Growth Forum tomorrow morning, I am delighted that their roles have been acknowledged in this way. NZ today, does not seem that far away.

Sunday, 16 March 2008

Walking in the Rain


It's Sunday morning. It's wet, it's windy and it's cold. I'm back.

I must admit, it is quite a 'deja vu' moment. Since I was only last here six weeks ago, any sense of anticipation about this visit is muted. The focus is totally on Pingar and the work at hand.

Tomorrow, I am meeting up with Tim Burgess and John Beer, my two UK-based partners at the Hilton Hotel, London for the well-flagged UK Technology, Innovation & Technology Forum. It is a networking opportunity that I have obviously looked forward to for some weeks now.

Today, the focus is on challenging the 'jet lag' which has already kicked in. The 2 hour stopover in Los Angeles did not help. The 'LAX Transit Experience' remains one of Hollywood's best shows in town. It was a case of two fingers to the US Customs and Border personnel (left index first, right index second). Plus the compulsory photo / iris check or whatever it is that that device takes. And I was only passing through on air-side.

Today, I have been booked into a 3 mile charity walk which once again demonstrates my sister Annie's supreme sense of humour. And I had expected a warm beer in the local Brockett Arms. No 'deja vu' there then.

For updates on the Forum, check out the blog over the next couple of days. It should be fun.

Friday, 14 March 2008

London Bound


Update: It's 22.10. I'm in the Koro Lounge. And just waiting....

No more sleeps! It's just a short hop from Auckland to LA tonight and then a quick jump from LAX to Heathrow. 24 hours flying time. 2 hours transit. Oh yes.

And so it is. One day after agreeing to join the Steering Group of the BOP ICT Cluster here in Tauranga, I am off to the UK for one month to help consolidate Pingar's market entry into Europe. It promises to be an exciting four weeks and I will update the blog to share those experiences.

Thursday, 13 March 2008

Why Tauranga? Why NZ?


The Bay of Plenty Times published a complimentary feature last night focusing on Pingar's presence at the UK Technology, Innovation and Growth Forum in London next week.

Over the past week, I have spoken to several journalists in NZ about Pingar and our presence at the Forum. One surprisingly common question, (to me at least) has been, 'Why Tauranga'? My post yesterday focused on some of the other great innovative software developers based in the Bay. They are not alone. But the question above does have a peculiarly Kiwi ring to it.

On Monday, I will be in London. The question there will not be 'Why Tauranga'? Instead, it will be 'Why New Zealand'? And this question will be raised at a number of levels. It is important that we get the answers right. A Kiwi business heritage does not guarantee success offshore. Even less, our geography on a long thin pair of islands in the South Pacific.

Wednesday, 12 March 2008

Tauranga Technology Roadshow


Home to the BOP ICT Cluster

I received an email last night from Priority One, the local Western Bay of Plenty economic development agency outlining plans for a Tauranga Technology Tradeshow scheduled for 21st May. It reminded me of some of the great ICT businesses that have chosen Tauranga as their base.

Vision Software produce total commercial property management and corporate real estate management solutions. Not only successful in NZ, Vision also engage with clients in Australia via direct representation across the Tasman. Another local software development company doing great things offshore (UK) are Origen Enterprise Software with their powerful suite of local government software solutions.

Cucumber Software deliver solutions in the secure online solution space deploying their own proprietary software. Radford Software are leaders in bespoke and off the shelf solutions for the horticulture, avocado and pip fruit sectors.

If I was to identify all the great innovative businesses here, this would be a very long post. And with only 48 hours before my own departure for the UK, I am running out of time myself. As soon as I get more information about the planned Technology Roadshow, I will post to the blog.

Tuesday, 11 March 2008

Innovation Funding Boost



Helen Clark has today unveiled a $700 million funding boost for research, development and innovation projects and said the fund would grow to around $1 billion as it earned interest over the next 10 to 15 years.

OK, so the funding is targeted at New Zealand's pastoral and food industries. But it is a move I applaud. The timing of the announcement was fortuitous.

I spent this morning with Waikatolink, the commercialisation and technology transfer company of the University of Waikato. My trip included a meeting with Shane Stuart of FRST. The Foundation for Research, Science and Technology have made a research and development grant available to assist Pingar contract Waikatolink to design and develop some of the complex algorithms necessary for its publishing platform. This funding has allowed Pingar to speed up the development process and provide skills we did not possess in-house.

Next Monday and Tuesday, I will be attending the UK Technology, Innovation & Growth Forum in London. The Waikatolink input into the Pingar platform has been crucial. Today's announcement will hopefully allow companies engaged in New Zealand's pastoral and food industries to take advantage of similar funding sources to enable them to commercialise their product in the global market. Today's announcement is welcome.

Monday, 10 March 2008

WP1 - UK Work Permit Application


I received an email today seeking some clarification for a Work Permit Application issued by the aptly named Border & Immigration Agency, a department of the UK Home Office. It was some document.

And so too were the 48 pages of questions.

Attracting skilled managers is a competitive business globally. I only hope the UK Home Office has got the balance right. Its WPI Form is a work of art.

Breaking UK - NZ Ties?


New Zealand has made a formal submission to the British government on proposals to limit short-term visa arrangements, according to Prime Minister, Helen Clark.

At the moment, New Zealanders can enter the United Kingdom visa-free for up to six months for tourism or business purposes. New Zealand film crews and academics can currently enter the UK visa-free for up to 12 months. The British government proposes to limit all these short-term visas to three months as part of sweeping changes to its immigration system.

As a British citizen, resident in New Zealand, I personally think that the New Zealand Government has a strong case in its submission. As Clark says, "There is a very small immigration risk posed by New Zealanders in the UK. Our two countries have a unique relationship, and New Zealanders should not be disadvantaged due to concerns about nationals from other countries."

It is ironic that in the week I fly to the UK from NZ to take part in the UK Technology, Innovation & Growth Forum as an invitee of UK Trade & Investment, that this issue should come to a head. The UK Government are using a sledgehammer to crack a nut. I hope some common sense comes into play.

Friday, 7 March 2008

7th March 1957


Lytham Hospital - It all began here

I do not actually remember the day that well. My late mother did!

51 years on and I will be joining Jacqui and her family for a celebration tonight in Taupo. We might be 12,000 miles away from Lytham, but with incoming calls already from Lytham and the UK, my family do not seem far away. To them, I say Sante.....

Thursday, 6 March 2008

NZ ICT Fading Away?


Are NZ tech companies simply fading away?

In this morning's New Zealand Herald, Peter Griffin posed the question above. He identified two key issues.

1) The lack of investment in core scientific Research & Development which was highlighted earlier in the week when 460 scientists and academics wrote a joint letter to the Government pleading for more investment, and

2) The crippling IT skills shortage currently facing the country.

Interestedly, his column opened with an observation on Richard Mander and Humanware, the Christchurch maker of the BrailleNote computer. The plot went like this:

NZ ICT company - acquires offshore 'strategic investor' - move IP / development offshore after a few months - nowt left in NZ - NZ ICT company fades away.

This is my view raises some other equally critical points not covered in Griffin's analysis. One stands out.

Accessing capital for development and expansion from the NZ investment community for these very same ICT companies is damn hard. There is not enough about, whatever the NZ VC industry might say. I am personally aware of NZ ICT businesses who are so cynical about the claims made here, that they are currently talking to offshore investors. They say, as Rod Drury blogged recently, 'just look at the record'.

To prevent the 'fade away' phenomenon, before a 'strategic investor' comes on board, they need to understand the intended structure. They cannot be blamed for moving IP and development offshore if this has not been nailed down at the outset. NZ is still home to great innovation and great technology. But being able to access home grown capital (and in sufficient amounts to make a real impact in global markets) remains the most significant challenge for many NZ ICT businesses. Address this, and the 'fade away' phenomenon can begin to be managed.

Pingar Media


One of the very few public commentaries about Pingar over the past six months has been this blog. That is no accident.

Our presence at the UK Technology, Innovation & Growth Forum in London though, changes all that. Given the increased public profile that Pingar will enjoy, it is time to communicate our message to a wider public.

So it was with that brief that JML Communications sent out a press release yesterday outlining our participation at this event. It will be interesting to record the media take up of our presence and the message this gives to the NZ ICT and investment communities.

Over the past 48 hours, I have had the privilege of sharing some thoughts with our house guest, Sir David Mitchell, about this. David served as a Minister in Northern Ireland, the Home Office and Transport, during Margaret Thatcher's reign in the 1980's. There is not a lot about the media he does not understand. For me though, it is a new venture. The next few days will be interesting.

Wednesday, 5 March 2008

Xero Growth

(Market Update: As ever, things happen after I post! By 10.25am this morning, Xero Live's shares drop 1c on 3 small trades. Plus SMS has one trade (buy) of NZ$1,400. Result? Plus SMS increases in market value by further 27.3% to $56,604,683. No new market announcement. I still don't get it.)

On 3rd March, Xero Live, the Wellington-based online accounting company posted a trading update to the NZX.

It announced that its award-winning online accounting solution was now available to the 4.5 million small businesses in the UK. Xero, the statement said, had signed up a number of UK based accounting partners and has UK customers already using the product.

This was of course all part of the business plan, but its deployment did enable a significant execution of that plan. So how did the NZX react?

Er.....still waiting on that one. Not a single share appears to have been traded in the two days since the announcement. Yet on the same day that Xero made their announcement, a single trade in Plus SMS for approximately NZ$98 (yep, that's right, the price of a petrol fill-up) saw its market value increase by approximately 18%. No market announcement, just a single trade.

Sometimes, I just do not get it.

Tuesday, 4 March 2008

Introducing the Forum Foursome


Two weeks today, Pingar presents at the UK Technology Innovation & Growth Forum in London. As previously posted, we are one of only four global companies selected by the UK T&I Global Entrepreneur Program to showcase our technology to the assembled analysts and investors. So who are the other three?

Ceram Polymerik is an advanced materials company with patented ceramifying polymer technology. Its inorganic additive blends enable functional plastic articles to seamlessly transform into a cohesive, self-supporting and dimensional stable ceramic during a fire, providing a protective barrier to the movement of heat, smoke and toxic gases. This offers cost-effective and technically superior solutions for existing and emerging applications in the Passive Fire Protection (“PFP”) market. Ceram Polymerik is based in Victoria, Australia.

Codilink is a new media company that provides technology platforms to advertising agencies and blue chip brands. Its main product focus is on coupon, ticket and loyalty card distribution and redemption, providing a method to eradicate the current paper trail required for coupon reconciliation. By issuing unique two-dimensional barcodes as coupons via any medium (paper, email or mobile phone), redeeming them via low-cost hardware installed in the point of sale, and performing all reconciliation and payments to merchants, Codilink is becoming the world’s first digital coupon clearing house. Codilink is based out of Barcelona, Spain.

Netcat , Australia’s largest Web Content Management Software (WCM) company, has launched SWIPE (Simple Website Import & Processing Engine), its unique Web 2.0 software that allows everyday users to auto-generate fully navigable mini-websites from large desktop-formatted documents (or folios of documents) and vice versa. A 500page policy manual can be converted into a fully navigable website in around 10 minutes. Netcat is based out of New South Wales, Australia.

So there we have it: The four global technologies that will represent UK T&I GEP at the Showcase event. For an overview of ALL the companies who will be showcasing their technology in London, the Forum organisers launched a Showcase site yesterday. You can view it here.

Monday, 3 March 2008

El Vino


Whilst, the '77' Wine Bar has sadly closed in London, El Vino goes from strength to strength. Established in the 1800's, El Vino is a City institution.

So Jacqui and I are delighted that Sir David Mitchell, former Chairman of the El Vino Group should be a house guest with us in Tauranga for the next few days. Jacqui broke two centuries tradition by becoming the first senior female manager within the Group.

We plan to introduce Sir David to Mills Reef Winery in Tauranga and Morton Estate in Katikati. Politics will be kept in-house, though I am sure after some sav, it will raise its head. Sir David was a Cabinet Minister in Margaret Thatcher's Government and we await the release of his autobiography in May with interest. It has been a long-time coming.

Promoting NZ ICT in the UK is something I have been actively doing for some time now. Promoting NZ wine though has a somewhat slightly better flavour to it. Cheers.