$836MVC INVESTMENT IN ATLANTA

Source: National Venture Capital Association / PricewaterhouseCoopers˝Data: Thomson Reuters

$0.00

$225,000,000.00

$450,000,000.00

$675,000,000.00

$900,000,000.00

2013 2014 2015

Source: National Venture Capital Association / PricewaterhouseCoopers˝Data: Thomson Reuters

VC INVESTMENT INCREASED 70% FROM

2014 TO 2015

Kabbage $135M Late Stage

Pindrop $75M Series C

Rivermend $60M Series A

Rubicon $56M Late Stage

Outsystems $55M Late Stage

Ionic $40M Series C

Salesfusion $13.5M Series B

Salesloft: $10M Series A

Roadie $10M Series A

Bastille $9M Series A

FullStory $9M Series A

Terminus $7.5M Series A

Springbot $6M Series B

Sarvint $6M Series A

NexDefense $5.6M Series A

Groundfloor $5M Series A

Membersuite $4.5M Series A

Social123 $4.25M Series A

Predikto $4M Series A

Luma $3.5M Seed

HubLogix $3.5M Series

Stratacloud $3.4M Series A

Revegy $3M Series A

Rescour $2.9M Seed

Gather $2.5M Series A

Saleswise $2.5M Series A

CallRail $1.9M Series A

Partpic: $1.5M Seed

WearVR $1.25M Series A

Hux $1.25M Seed

B2C˝18%

B2B˝82%

B2B COMPANIES RECEIVED 82% OF INVESTMENT.

B2C COMPANIES RECEIVED 18%.

FinTech˝52%

Other SaaS˝8%

Security˝20%

Sales/Martech˝20%

TRADITIONAL B2B CLUSTERS SUCH AS FINTECH, SALES/MARTECH, SECURITY AND B2B SAAS REMAIN A STRENGTH.

On-Demand˝12%

AI˝2%

Wearables˝6%

VR˝1%

Hardware˝17%

Healthcare˝63%

B2C INVESTMENT WAS ACROSS DIVERSE RANGE OF SECTORS.

THE KEY INGREDIENTS TO A STRONG STARTUP

ECOSYSTEM

DENSITY

TALENT CULTURE

REGULATORYFUNDING

DENSITY

ONE OF THE STRONGEST INDICATORS OF THE ECOSYSTEM'S GROWTH IS THE INCREASE IN DENSITY & CLUSTERING.

STARTUP HUBS IN 2013

STARTUP HUBS TODAY

WE'RE SEEING A SHIFT IN CULTURE WITH INCREASED FOCUS ON COMMUNITY. HOWEVER, LOCAL VC IS STILL PERCEIVED AS RISK-AVERSE.

CULTURE

OUR REGULATORY ENVIRONMENT IS STABLE & SUPPORTIVE.

REGULATORY

CHOOSEATL IS HELPING TO ATTRACT AND RETAIN TALENT IN THE REGION. WE'VE ALSO SEEN STRONG GROWTH IN SKILLS-BASED EDUCATION.

TALENT

WHILE FUNDING LAST YEAR WAS UP SIGNIFICANTLY. HOWEVER, ENTREPRENEURS STILL IDENTIFY FUNDING AS THE BIGGEST ISSUE IN THE ECOSYSTEM.

FUNDING

2016 STATE OF THE STARTUP ECOSYSTEMHOW WE COMPARE

1 San Francisco Bay Area $21,043,061,400

2 New York $6,981,436,400

3 Silicon Valley $6,238,491,900

4 Boston $5,581,687,300

5 Los Angeles $4,481,612,100

6 Seattle $1,171,961,700

7 San Diego $1,166,538,700

8 Chicago $1,103,907,600

9 Washington DC $923,988,400

10 Atlanta $836,057,800

11 Austin $739,989,300

12 Denver $540,260,200

13 Philadelphia $516,330,500

14 Baltimore $445,075,600

15 Provo $444,730,300

WE ARE A TOP 10 CITY FOR STARTUPS

2016 STATE OF THE STARTUP ECOSYSTEMMAPPING INVESTMENT

VC INVESTMENT IS HIGHLY CONCENTRATED IN KEY

U.S. REGIONS

80% OF VC INVESTMENT IS CONCENTRATED IN THREE REGIONS

TO BECOME A TOP 5 STARTUP CITY WE NEED

TO GROW BY 500%

2016 STATE OF THE STARTUP ECOSYSTEMPREVIEW OF SURVEY FINDINGS

WHAT ONE WORD BEST DESCRIBES THE ATLANTA

STARTUP COMMUNITY?

GrowingNasce

nt

Potential

Thrivingraw

B2B

heav

y

Immature

Pregna

nt

Overcrow

ded

scrap

py

Accelerating

optim

istic

Progress

Disso

nantSafe

Fluid

Roaring

Hustle

Fragmented

Old

boy

netw

ork

growth

Isolated

Lame

Tries

Impro

ving

Bootstapped

Hila

rious

disjointede

Exclu

sive

Vibrate

Fractu

red

Booming

Env

y

young

Burgeoning

Early

Nurturing

Talent

Unimpressive

dorkyBud

ding

Welco

ming

web

HOW WOULD YOU RATE THE ATLANTA STARTUP

COMMUNITY?

We’re just not there yet˝26%

We’re a top 10 city for startups˝61%

We’re a top 5 city for startups˝13%

74% RATED ATLANTA AS A TOP 10 OR BETTER STARTUP SCENE.

DO YOU CONSIDER THE ATLANTA STARTUP

COMMUNITY DIVERSE?

Not diverse˝54%

Yes, it's diverse˝46%

ONLY 46% CONSIDER THE ECOSYSTEM DIVERSE.

WHAT IS THE BIGGEST CHALLENGE FACING

FOUNDERS IN ATLANTA?

Mentors

fundingca

pital

wins

support

Startup

events

social

Seedearlysta

ge

experienced

Customers

talent

lackpeopleRaising

access

Finding

one

culture

low

Getting

founders

competition

solving

similar

ground

paying

clients

really

strong

Distribution

National

500

herd

mentality

wait

else

invest first

<>

market

fit

scaling

cohesiveness

Internal

theater

Overcrowdingpages

step

midcareer

Fortune

Plugging

network

karmiclike

â€

ethos

interests

issues

space

use

properly

grow

flourish

Bar

excellence

design

Investors

product

business

Quality

moneycapital

location

Cliquey

riskaverse

WHAT ONE THING DO WE NEED MORE OF IN THE

ATLANTA STARTUP COMMUNITY?

time

Money

mentors

startups

Diversity

FundingInvestors

Capital

Winners

Women

less

Wins

companies

Support st

artup Pitch

Competitions

fundingincubation

volunteering

aversion

help

upandcomers

Successfu

l

vs

reinvesting

next

generation

need

corporate

interaction

judgment

Atlantans

derision

PR

losing

folks

cities

Cooperation

Diverse

markets

webapps

IoT

fintech

partnerships

Successes

B2C

investment

prerevenue

Doers

Shuttingfuck

Storytelling

suspicion

community

events

Social

Seed

serious

deploying

earlystage

Intl

accelerators

addition

TechStars

CEOs

Notoriety

Innovative

Impact

Experienced

Customers

willing

spend

Civic

innovation

bigger

experimental

Venture

Freelearning

initiatives

reaching

colleges

talent

Designdriven

Pipelines

mainstream

exposure

risk

Visibility

WHAT LOCAL STARTUP SUCCESS STORY ARE YOU

MOST PROUD OF?

Mailchim

pKabbage

Pindrop

Pardot

YikYak

AirWatch

VillageDefe

nse

CallRail

Sa

les

fus

ion

Coke

Ca

rdly

tics

Sinova

Lum

a

SecureWorks

FullStory

Ho

me

De

po

t

Pindrop Security

Clo

ud

Sh

erp

as

mail chim

p

MailChimp

Monsieur

Ionic Security

InterContinental Exchange Atlanta Streets Alive

WHAT LOCAL STARTUP ARE YOU MOST EXCITED

ABOUT IN 2016?

2016 STATE OF THE STARTUP ECOSYSTEMTHE INNOVATION ECOSYSTEM

188,389 JOBS IN THE INNOVATION CLUSTER

Source: BLS QCEW data by quarter, processed and analyzed by ˝ARC Research and Analytics

160,000

167,500

175,000

182,500

190,000

2013 2014 2015

Source: BLS QCEW data by quarter, processed and analyzed by ˝ARC Research and Analytics

SINCE 2013 INNOVATION JOBS HAVE GROWN 12.5%

INNOVATION JOBS ARE GROWING 1.7X FASTER THAN OTHER CLUSTERS

ATLANTA'S CORPORATE LEADERS CONTINUE TO INVEST IN INNOVATION

CORPORATE INNOVATION CENTERS

FOUNDING SPONSORS

CORPORATE SPONSORS

STARTUP SPONSORS