From Legacy to Launchpad: Building Startup-Ready Communities

Keynote for the Michigan Municipal League's 2025 board, trustee, and foundation retreat

Transcript

1. From Legacy To Launchpad: Building Startup-Ready Communities 
3. Secret History of Michigan Popular History of Michigan 1850 – 1950s Ice Stoves Cereal Furniture Cars Mid-century modern Unions Middle class 1960 – 1970s Anti-war movement Punk rock Motown Pizza Oil crisis Unemployment 1980s Japanese auto industry disruption Techno More pizza 1990s Internet bubble 2000s Life sciences Advanced manufacturing Mortgages Military computing Tanks & aerospace Chemicals Time-shared computing Remote sensing Complex systems Computer vision Artificial intelligence Birth of the Internet Internet protocols & governance Cybersecurity Gaming AI for Defense More networking & cybersecurity Fintech Enterprise SaaS Supply chain & logistics Semiconductor Robotics Energy & climate tech
4. New Businesses Create All Net New Jobs Net Job Creation Rate (%)
5. The Jobs We Need To Grow Small Main St Businesses Medium Main St Businesses Early Tech Startups Growth & Scale Startups Large Enterprises Typical Employees < 10 10 – 50 3 – 50 50 – 1000 1000 Typical Wages Annual: $10k – 30k $8 – $15 per hour, often only part-time Annual: $10k – $75k Annual: $40k – $250k+ + equity ownership Annual: $40k – $500k+ + equity ownership Annual: $25k – $1m+ Widely varied, based on sector Wage Mobility Extremely limited Limited Strong Generally yes Depends on type of company Often yes Depends on type of company Employee Benefits Rarely Sometimes Generally yes Generally yes Generally yes Source: Upsurge Baltimore 2022
6. Growth requires Young People seeking Careers in Growth Industries with Startups from Founders & Funders driving A Culture of Innovation
7. The Talent Is Here. (We Just Let It Leave)
8. Sept 2018 $2.4B Nov 2020 $1.4B Jan 2021 $6B Apr 2021 $6B Apr 2021 $3.8B Feb 2023 $1.2B Oct 2024 $1.2B Dec 2024 $10.6B Jul 2024 $30B May 2022 $23.0B May 2022 $3.5B Sept 2024 $3B+ California California Texas Grand Rapids Novi Ann Arbor Plymouth Rochester Ann Arbor Detroit Livonia Troy Novi Grand Rapids Houghton
9. UM #8 in VC-Backed Founders (undergrad, 2004) PitchBook Universities: Top 100 colleges ranked by startup founders: https://pitchbook.com/news/articles/pitchbook-university-rankings
10. But Only 4 of 46 UM Unicorns Are In Michigan
11. What Founders Really Need (& Why Municipalities Should Care)
12. 2018 2010
13. ✅ Walkability ✅ Public safety ✅ Cultural amenities ✅ Housing options ✅ Public spaces & infrastructure ❌ Transit… 2014: Duo in Austin
14. An Economically-Mobile Hierarchy of Needs 15% PRIORITY 50% Politics Social Policies, Taxes People & Place Walkability, Affordability, Transit, Weather, Amenities, Safety, Schools (property values) Economy Career Opportunities In Growth Industries MASLOW DUG SAYS Adulting Vibes Get Paid 35%
18. What We’re Building Ourselves (Because No One Else Is)
21. Ann Arbor Detroit Royal Oak Grand Rapids
22. Modernizing Mittelstands: Gropyus
24. Untapped Power: Family Offices & Philanthropy
25. Next-Gen Family Office & Institutional LPs
26. Kalamazoo Forward Ventures
27. What Communities Can Do Now
28. Ecosystems Need Verbs, Not Just Nouns Advocate Partner with business, education, and policymakers to ensure tech & innovation benefits all Promote Celebrate and amplify startup founders & impact; broadcast startup success Connect & Collaborate Build social infrastructure for founder-led ecosystem development, learning, inclusion Founders & Startups Engaging, attracting, supporting startups Capital Grow local capital and attract outside capital into the ecosystem Talent Attract, retain, and develop new talent and pathways Institutions & Infrastructure Culture & Community
29. Next Steps Do the simple things first: • Map your founders & startups. Michigan Founders Fund, Michigan Rise, etc. • Invite them to city hall. Ask what they need! • Flex zoning and streamline permits for co-working, housing, mixed-use projects… Don’t fear what you don’t understand — just build bridges • Local government doesn’t need to be “techie”, just connected. • Startup culture ≠ corporate culture. It’s scrappier, faster, & driven by networks.
30. Next Level • Keep Michigan companies in Michigan • Build Entrepreneurial Infrastructure • Train for Ownership, Not Just Jobs • Plug into Innovation Supply Chains • Invest in Creative Density • Form Cross-Community Coalitions • Tap Tribal and Agricultural Innovation
31. Those Who Stay Will Be Champions…