I’ve lived in Toronto for exactly five years now. 5 out of the (almost) 38 years I’ve been alive. It feels like a lifetime ago that my wife received her offer as a tenure track professor of psychology at Ryerson. Happy wife, happy life as the saying goes.
Five thoughts to commemorate my five crazy years.
I. An Amazing Renaissance
Over the last five years, there have been a plethora of exits and sizable investments in startups. I’ve been very proud to call Toronto my home and have experienced it in the front lines. From IPOs to massive funding rounds, public and private investors are learning that Canada is a great place to generate returns.
Things are looking up! The encouraging signs of more second and third time entrepreneurs building bigger businesses is great — and we are starting to get noticed as a great place to start a global business.
II. The Culture is Transforming
Starting to see more great networks sprouting up to connect founders, operators, and investors. I’m personally part of a great group of founders and CEOs that knowledge share, commiserate, and support each other through the inevitable ups and downs of working at startups. These networks have happened organically and more and more people are starting to pay-it-forward.
There are also a lot of great events happening that serve as an introduction to those looking to get into startups and technology. I meet with several people each month looking to get into the space. I point them to resources like Startup North, Product Hunt TO, and Startup Digest as places to get started.
When I first arrived, I experienced a pervasive cynicism and mistrust especially directed at VCs and investors. I find a much more harmonious relationship, and a concerted effort to bridge the divide between entrepreneurs and investors. Now that vitriol is mainly directed at the liberals — haha, jk!
III. On Working in Tech: Canada v. Silicon Valley
The question I’m asked most (other than why I moved here from sunny California) is “How does Toronto/Canada compare to Silicon Valley?” To be honest, I’m sick of this question. To me, it doesn’t really matter. Let’s just do what we need to do and not compare ourselves to anyone else. But if you must know, three main differences I’ve personally observed: (1) Scale (2) Pace (3) Density.
Scale is broader than just simple population proportion (e.g. Canada’s total population is the size of California’s), it’s that tech is more ingrained in the fabric of society in the Bay Area. Thus my conversations have a basic vernacular about industry and current events. I’ve found Toronto is much more diversified, with financial services, media, government, and resources all being big industries here. It makes for better dinner conversation, but harder to network and knowledge share.
Pace at which our culture changes and embraces new concepts and ideas is getting better, but still has further to go. Relative to the forward thinking Valley, East Coast / Midwest startups generally focus more on revenue generation than user acquisition. It’s cultural and not necessarily isolated to Toronto. I personally think this is a great thing given the recent macro signs of an impending slowdown in VC funding.
Density is the main problem holding back the thoughts on Scale and Pace. Both in terms of a density of startups and talent, the problem is that it is harder to find startups and people with experience that you need. I find that marketing and product management are two of the more difficult positions to fill with people that have been there and done that.
IV. The Next Five Years
The future is looking promising for the ecosystem. Lots of funding, a favorable exchange rate, a transitioning economy — but what do we need to focus on to help propel things for the next half decade? IMHO…
I’d like to see less provincialism. I find that the ecosystems are largely unlinked and somewhat competitive with each other — Toronto, Waterloo, Vancouver, Montreal, Ottawa, and Calgary all have great advantages. Operating as one ecosystem would be tremendous. Tactically, what does that mean: (1) angel investors looking outside their city or province, (2) more institutional investors syndicating with each other, (3) acquihires of smaller startups by bigger ones in different geographies.
Invest in diversity and education. Companies and intiatives like Ladies Learning Code, Brainstation, HackerYou, and Female Funders are vital to helping groom the next generation of entrepreneurs, engineers, and investors. We have done a substandard job of diversity of opinion, skill, and thought. It will take a concerted effort from everyone to change this. Do your part to recognize the problem, and then contribute to the solution by volunteering, hiring, and supporting these efforts.
V. On Moving Back
Another question I get a lot is: Are you planning on moving back? This entire article is how great things are going in Toronto, especially in the startup and technology scene. But… it’s been four long, long winters — with the last two especially brutal. My wife and I miss our families a lot.
But we know we live in a tremendously special place. We had our second daughter here, even named her Harper after the Prime Minister (KIDDING). We feel that we became a family here, found a great church, and built a community of lifelong friends.
So… can I see ourselves here forever and becoming Canadian citizens? Sadly no — mainly because of missing family, but as one famous Canuck says: Never Say Never.
