One Reason Why Miami And Texas Still Need The Unicorn Link

www.forbes.com
3 min read
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If Miami and Texas want unicorns, they need to develop unicorn-entrepreneurs, not just attract rich VCs. They should focus on the jockey, not the horse. Instead of business plan competitions, they need unicorn-skills competitions. Is that asking too much of VC and entrepreneurial education?
Business Migration getty

With all the migration, of corporations and financiers, from Silicon Valley to "greener" (lower tax) pastures, the hope in places like Miami and Texas is that they will blossom into the next Silicon Valley and create the next unicorns. I was recently interviewed on the possibility that Miami could blossom. Can it?

The movers written about have been corporations, such as Oracle, successful VCs, such as Keith Rabois, and the one and only Elon Musk who cannot be categorized. Here are some factors that could affect the fate of Miami and Texas.

Corporate Moves: Corporations move around the country and the world all the time and create a lot of jobs when they locate branches or relocate headquarters. That can be very good for the areas they move to, for new employees and for a lot of real-estate agents. And it can create a lot of secondary jobs for those who serve the new businesses and their employees. Corporate moves can also raise home prices – which is not always good news for lower-income communities. Should we worry about the homeless when new jobs can be created? That's the billion-dollar question.

Venture Capital: Does a new area blossom, from an entrepreneurial desert into a unicorn valley, when VCs show up? VCs can invest around the country from wherever they are located – and have done so. Why don't we have other areas with lots of unicorns, like Silicon Valley? A few VCs moving to Miami is not likely to do much, unless they are also able to attract or develop unicorn ventures. This is where the myth of VC is a…
Dileep Rao
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