This document summarizes key aspects of entrepreneurship ecosystems in Turkey and the UK. It discusses the most invested sectors, typical valuation ranges, and reasons why angel investors reject startup pitches. Statistics are provided on factors that influence startup success rates, such as founding team composition and access to mentors. An example Turkish startup called GastroClub is profiled, outlining its growth timeline and potential factors contributing to its progress. The presentation concludes with a note of thanks from the author.

1. 1
The Entrepreneurial Ecosystem
Sep 2016, Istanbul
by
Çağlar Karataş
Entrepreneur in Turkey
Angel Investor in Turkey & United Kingdom
Previously:
Investment Banking&Trading: 14 years in New York & London
MiF NYU Stern Business School
ExecEdu Harvard Business School
MSc King’s College, Uni. of London

2. 2
Why do you want to be an
entrepreneur?

3. 3
(Generally)
Top 10 Reasons
My - only - 4
Reasons were
• Freedom
• Unlimited earnings
• Lifestyle
• Work smart, not hard!
• Creativity doesn't fit
• Legacy
• Conventional ideas
• Change the world
• Location independency
• You think you can be
next Mark Zuckerberg
• Control my destiny
• Create jobs
• Freedom & Lifestyle
• Unlimited earnings

4. 4
• Are you a follower or a leader?
• Entrepreneurship: A bag of smart tricks! Work smart, not
hard!
• Hiring people is hard!
• Raising money is humbling! (Do you like being told your baby
is ugly!…again and again and again… but ‘Hey! keep in touch!’
Entrepreneurship: Is it you-either-got-it-or-you-don’t
proposition?
What about sheer will, patient habit and intense desire?

5. 5
let’s look at the ecosystem

6. 6
Most invested sectors in
the UK StartUp Ecosystem
• Technology
• Food & Drink
• Business Services
• E-commerce
• Retail
Most invested sectors in the
Turkish StartUp Ecosystem
• Any ideas?

7. 7
Recent Valuations in UK vs Turkey
11.7 Billion USD by HP
1 Billion USD
800 Million USD
500 Million USD by Google
500 Million USD
140 Million USD
20 Million USD by Facebook
18 Million USD by Playtech
589 Million USD
400 Million USD
by Abraaj PE
280 Million USD
by Nasper
215 Million USD
by EBay
Undisclosed
by Amazon
Undisclosed
by Ticketmaster
Do we see
any pattern?

8. 8

9. 9
Why Angels Reject?

10. 10
Where’s the problem?
There is money!
Next
Mark Zuckerberg or
a stereotype?
Care to guess the average
age tech founder in
USA?
There are ideas!
Where’s the problem?
But only 1% succeeds!

11. 11
Survivorship-
bias?

12. 12
Hiring
wrongly
Bad
Timing
Not
raising enough
Bad
management
Fight
between
founders
No
target audience
Not
wanting get
your hands dirty
Spending
too much
A
Half-hearted
effort
Fear
of uncertainty
Too
young/inexperienced
One
founder
Mistakes that kill startups post investment!

13. 13
Individual Event Probability Probability Probability
right time, right place %80 %90 %80
compelling need to buy %80 %90 %80
right customer %80 %90 %80
channels to market %80 %90 %80
innovation as the driver %80 %90 %80
competitive advantage %80 %90 %80
sustainability %80 %90 %80
scability %80 %90 %80
clear vision %80 %90 %80
long term strategy %80 %90 %80
robust margins %80 %90 %80
management of risk %80 %90 %40
capable of management team %80 %90 %40
profitable %80 %90 %80
Combined Probability of
Success
%4,40 %22,88 %1,10
#DirenMatematik

14. 14
Interesting facts!
✓ Founders with helpful mentors raise 7x more money & 3.5x better
user growth
✓ Startups that pivot 1 or 2 times raise 2.5x more money, %52 less
likely to scale prematurely
✓ Solo founders and teams without technical cofounders have much
lower probability to success. They take 3.6X longer to reach scale
stage
✓ Business-heavy founding teams are 6.2X more likely to successfully
scale with sales driven startups

15. 2/10/16 3
GastroClub
✓ World of discounts and privileges in 400+
Top Restaurants in 6 biggest cities
✓ The largest partner restaurant network in
Turkey
✓ Discounts from 10% up to 50% on total bills.
✓ Priority in reservation, special treats,
discounted chauffeur service and cooking
classes
✓ B2B dining solutions
✓ Mobile payment technology in 100
restaurants

16. 2/10/16 3
Journey
• Nov 2012: Website launch
• Oct 2013 (+11 months): Received 175,000 USD angel
investment from BIC Angels
• Feb 2015 (+18 months): Reached positive EBITDA
• Mar 2015 (+1 month): Reached break-even

17. 2/10/16 2

18. 18
What’s
making GastroClub successfully
grow?
Execution
Angel
investment
Product
Market
Timing
Mentoring

19. 19
Too Soon To Exit?
Victoria’s Secret
by
Roy Raymond
Daily Deal
by
Fabien & Ferry Heilemann

20. Caglar.Karatas@GastroClub.com.tr
www.bicangels.com
THANK YOU
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