It's not clear from the text how they define "Swiss startups". For example, being a foreigner, can I start a company there and ask for an investment?
Switzerland government raises investment funds to support Swiss startups
21–30 of 68 posts
Re: Switzerland government raises investment funds to support Swiss startups
#22Earlier quoted context omitted.
It is not much a matter of cost of living but rather cost of the Swiss Franc versus other currencies. Currently, the swiss Franc is very strong, therefore making any Swiss product expensive to the exterior. It can become a huge problem for an economy based on trading with neighbors.
Actually, the Swiss franc is at one of its lowest points in the 10Y view [1] A Swiss franc is traded at roughly 1.09 Euros, I would say significant, sure, but not a deal breaker in high-tech industries. If we were talking about commoditized products I would have to agree but in our industries this is just not the case. [1]: http://www.xe.com/currencycharts/?from=EUR&to=CHF&view=10Y
It's the other way around: EUR/CHF=1.09 means 1EUR=1.09CHF.
> [2011 to 2015] the Euro was exchanging [at] CHF1.20. [Then] the exchange rate stabilised to between CHF1.05 and CHF1.08 to the Euro, due in large part to further intervention from the SNB which discreetly set about buying up foreign currency to ensure the franc did [rise to] new heights
https://www.swissinfo.ch/eng/business/money--money--money_sw...
Re: Switzerland government raises investment funds to support Swiss startups
#23Earlier quoted context omitted.
It is not much a matter of cost of living but rather cost of the Swiss Franc versus other currencies. Currently, the swiss Franc is very strong, therefore making any Swiss product expensive to the exterior. It can become a huge problem for an economy based on trading with neighbors.
Actually, the Swiss franc is at one of its lowest points in the 10Y view [1] A Swiss franc is traded at roughly 1.09 Euros, I would say significant, sure, but not a deal breaker in high-tech industries. If we were talking about commoditized products I would have to agree but in our industries this is just not the case. [1]: http://www.xe.com/currencycharts/?from=EUR&to=CHF&view=10Y
Yes. The strength is the inverse of that.
Re: Switzerland government raises investment funds to support Swiss startups
#24It's not clear from the text how they define "Swiss startups". For example, being a foreigner, can I start a company there and ask for an investment?
A "Swiss Startup" is a startup actually based in Switzerland.
As far as I know, foreigners with permanent residence in Switzerland have the same rights of Swiss people, plus more than 25% of population is actual foreigner in Switzerland, so that should not a problem at all.
Re: Switzerland government raises investment funds to support Swiss startups
#25Although it is nice to have more funds available, which increases the competition among VCs, the main point is not lack of funds. I used to say that a good VC brings you two important things: money and market. Money alone doesn't bring you much (don't get me wrong ..). In my eyes that is the main issue in the startup scenario in Switzerland: lack of market. Having a population of about 8 million people means that you…
I don't thunk so. You can find counterexamples in startups from Israel that almost always target markets in other countries. At the end you would need to move but you can start almost anywhere.
Re: Switzerland government raises investment funds to support Swiss startups
#26Although it is nice to have more funds available, which increases the competition among VCs, the main point is not lack of funds. I used to say that a good VC brings you two important things: money and market. Money alone doesn't bring you much (don't get me wrong ..). In my eyes that is the main issue in the startup scenario in Switzerland: lack of market. Having a population of about 8 million people means that you…
> Although it is nice to have more funds available, which increases the competition among VCs, the main point is not lack of funds. I agree on that, on the other hand I don't see the lack of market as a big problem. I like to take Spotify as example, it started in Sweden, which is a market comparable to the Swiss one in terms of size, but after the first prototypes and early versions, it went global almost immediatel…
I understand your point. Yeah.. this is king of a ecosystem.. which needs to be balanced. The good news about the report is that it shows a mindset shift.. Switzerland is stable, warm (people) and radiates freedom .. for sure it is a good candidate to become the next hub.
Re: Switzerland government raises investment funds to support Swiss startups
#27Although it is nice to have more funds available, which increases the competition among VCs, the main point is not lack of funds. I used to say that a good VC brings you two important things: money and market. Money alone doesn't bring you much (don't get me wrong ..). In my eyes that is the main issue in the startup scenario in Switzerland: lack of market. Having a population of about 8 million people means that you…
Market size is always a problem in Switzerland. But you could say the same of startups in Israel, which seem to be doing just fine. As a Swiss startup (or a startup starting in any small market), you know from the beginning that you will have to internationalise. You don't start with your local market, you start with the global market in mind.
Re: Switzerland government raises investment funds to support Swiss startups
#28Earlier quoted context omitted.
Actually, the Swiss franc is at one of its lowest points in the 10Y view [1] A Swiss franc is traded at roughly 1.09 Euros, I would say significant, sure, but not a deal breaker in high-tech industries. If we were talking about commoditized products I would have to agree but in our industries this is just not the case. [1]: http://www.xe.com/currencycharts/?from=EUR&to=CHF&view=10Y
It's the other way around: EUR/CHF=1.09 means 1EUR=1.09CHF. > [2011 to 2015] the Euro was exchanging [at] CHF1.20. [Then] the exchange rate stabilised to between CHF1.05 and CHF1.08 to the Euro, due in large part to further intervention from the SNB which discreetly set about buying up foreign currency to ensure the franc did [rise to] new heights https://www.swissinfo.ch/eng/business/money--money--money_sw...
Yeah sorry... Still my point holds...
Re: Switzerland government raises investment funds to support Swiss startups
#29Earlier quoted context omitted.
Actually, the Swiss franc is at one of its lowest points in the 10Y view [1] A Swiss franc is traded at roughly 1.09 Euros, I would say significant, sure, but not a deal breaker in high-tech industries. If we were talking about commoditized products I would have to agree but in our industries this is just not the case. [1]: http://www.xe.com/currencycharts/?from=EUR&to=CHF&view=10Y
Yes. The strength is the inverse of that.
My point was that in high margin industries such rate is not a big issues.
Re: Switzerland government raises investment funds to support Swiss startups
#30Earlier quoted context omitted.
> Although it is nice to have more funds available, which increases the competition among VCs, the main point is not lack of funds. I agree on that, on the other hand I don't see the lack of market as a big problem. I like to take Spotify as example, it started in Sweden, which is a market comparable to the Swiss one in terms of size, but after the first prototypes and early versions, it went global almost immediatel…
I understand your point. Yeah.. this is king of a ecosystem.. which needs to be balanced. The good news about the report is that it shows a mindset shift.. Switzerland is stable, warm (people) and radiates freedom .. for sure it is a good candidate to become the next hub.
I totally agree on that!