Drivers of Green Tech Growth

Great read from Cascadia Capital’s Michael Butler on why the New energy economy will thrive in the U.S. He sets out 10 core factors that indicate we are in the early stages of a “post-petroleum era.” My favourites:

- combatting climate change has reached a tipping point and is embedded in the collective consciousness.

- The U.S. is entering a period of “re-regulation” which will favour alternative energy

- “[W]hat other growth options do we really have? The harsh reality
is that our use of leverage over the past 10-20 years covered up a lack of growth in our economy. We simply were not as productive as we thought we were. Where will our future growth come from?Information technology, biotechnology and telecommunications are maturing as GDP boosters, manufacturing is re‐tooling for the knowledge workforce, and defense spending will be scrutinized, so even though alternative energy is virtuous and vital, it may ultimately win by economic default.”

You can download Butler’s proposal for a “new Green Deal” Economy gfrom Cascadia’s web site. He’s been writing some of the most interesting pieces on the next 10 years out there; his is a voice to monitor.

Too Much Information

The increase in investment in clean tech and green tech has been exponential in the last three years and will continue apace for the near future. Are there unique legal or operational issues that set these kinds of startups apart from their IT and telecom counterparts? Do the financing and compensation terms negoitated with investors differ? Are there unique employee compensation or channel partner challenges?

The answer to all of the above is Palinesque: you betcha. From the time the first alternate energy and energy tech plays crossed our door at Venture Law Associates LLP, we've found that discrete but important differences exist between these and the typical high growth startup - Most significantly in the investor landscape and temperament, ip management and ip strategy, founding team skills, and the channels to market.

Fortunately, Toronto has a generous supply of first-rate lawyers who have played in all aspects of the energy sector - from alternate energy development and production to marketing and retail. We've been lucky enough to add their talent and wisdom to our team and we're beginning to agree that this is a unique startup space, with unique lessons that should be passed on.

This blog wll be a forum where the Venture Law Associates team will add our observations to the conversation. We'll also try and organize for you the many fragments of information that are relevant to you: who the emerging corporate strategic investors are, how to sell new fuels into regulated industries... we might also discuss footwear, but it's too soon to tell.


Comments? requested topics/questions you want answered? Yow now where to find us - info@venturelawassociates.com.