Alan L. Olsen, CPA, MBA (Tax)

Managing Partner

The GROCO Method for TransformingFrom Employee to Entrepreneur

January 9, 2009Alliance of CEO’s

Spiritual Foundation

The Need for Balance:A Personal Example

Marriage & Family

Career Goals

#2 #3#1

You can only leverage three things in business: Time MoneyTechnology

The more you leverage, the quicker you build (or lose) wealth

Remember: “It’s not about MAKING the money, it’s about KEEPING it.”

The Law of Leverage

Recent Trends in the Economy

Deleveraging of the financial marketsLess money to put to work

Baby Boomers and the declining populationLess people to fill vital positions

Technology as the NEW leverageKey to scalability and growth

Deleveraging

Government BailoutsFreddie and Fannie, AIGRecent bailout plans/packages

Credit Crunch and declining housing marketLess credit flowing through the

economyI-Banking shift to commercial

Goldman Sachs, Morgan Stanley, Merrill Lynch

Declining Demographics

By 2050, 60% of Europe’s workforce will be over 60Many key industries to suffer: health care,

manufacturing, energy, and the public sector. E.g.:Only 198,000 students to fill the retirement of 2

million Baby Boomer engineers300,000 out of 1.3 million new IT jobs will go

unfilled“60% of all new jobs will require skills held by on

20% of the current workforce.” Source: Deloitte

Declining Demographics, cont’d

Clean TechnologySolar EnergyWind Energy

Semantic Technology and Web 2.0, 3.0“Star-Trek”-like, interactive web-use

Genetic EngineeringRe-engineering our world

Recent Trends in Venture Capital

Stay Focused (Pareto Principle) It takes more than one person to grow a business Relationships are the key factor Be prepared to fail Developing trusts in relationships Define your market Define your expertise Character communicates potential Do you have the ability to inspire others? Are you operating on a rock-solid foundation?

Transformation from Employee to Entrepreneur:10 Truths

Future Possibilities

ABUNDANT CHEAP WATER

STAR TREK HEALTH DEVICES

BUILDINGS THAT

CONSUME LESS

5X IMPROVED BATTERIES

E-EDUCATION FOR THE MASSES

ALL COMPUTING FROM THE

CLOUD

3-D ON DEMAND

ENTERTAINMENT

STORABLE INSTANT FRESH MEALS

GENETIC DISEASE

PREDICTION

CURE FOR CANCER, AIDS

& MALARIA

5¢/KWH ELECTRICITY –

W/O FOSSIL FUEL

100+MBPS TO THE HOME

NEW LIFE FORMS

CURE FOR HEART

DISEASE

PILOTLESS ELECTRIC

CARS

When the bubble burst in 2001, the last recession began…

Some Venture Capitalists Kept the Faith…Fueling More Global Innovation

Best Time to Invest in Venture Capitalists…Never!

Valuations will never be this low again.Entrepreneurs can get amazing people for cheap.Less competition for new technologies.Governments need us now more than ever.

5-7 years from now:

Large companies who have cut R&D will be looking for products and services to sellLiquidity pendulum will have swung backNew boom, led by Cleantech, Web 2.0, and other emerging technologies

Great companies solve big problems, or create great opportunities

CompanyReva, TeslaEnernoc, Solar CityAthenaHealth, Skype, Hotmail, MeeboGraspr,Skygrid, YeePay, MchkWigixMginger, ContextWeb

SolvingTransportation ProblemEnergy ProblemMedical ProblemMedia Control ProblemEducation ProblemFinancial ProblemEbay ProblemSpam Problem