It looks like the U.S., Europe and Japan are going into a double-dip recession, while Silicon Valley is facing talent wars and rising rents. This downturn will be less catastrophic than the 2008 collapse, but still tough for the millions of unemployed people. How can we kickstart growth in this Recession? How can Silicon Valley help since it’s booming right now? Here are some new ideas for kickstarting the economy:
The White House just liberalized Startup Visas for immigrants so entrepreneurs can get green cards to launch their ventures in the U.S.: http://linkd.in/qktWei. It’s about time that Obama woke up! Now the U.S. Citizen & Immigration Services (USCIS) will streamline the EB-5 visa process, making it possible for entrepreneurs who invest at least $250,000 to get a green card. See the USCIS site: http://www.uscis.gov/portal/site/uscis, Twitter page: http://twitter.com/#!/search/uscis
The revised EB-5 visa process will enable more immigrants to set up companies, but tech companies coming to Silicon Valley will find a bidding war for tech talent. More immigrant-entrepreneurs will further heat up recruiting and rents. Already, Canadians and Europeans are heading to San Francisco and Silicon Valley, only using their hometowns are launching pads. http://www.vancouversun.com/business/Startups+flock+Silicon+Valley+Canada+cities+small+business/5205920/story.html
To launch fast, I recommend hiring your tech talent offshore in places like Eastern and Western Europe for high-level talent since Silicon Valley salaries are skyrocketing (easily 3X to 4X Eastern European salaries). You can find plenty of seasoned marketing/sales and business development talent in Silicon Valley, but the tech recovery is already making top talent more scarce so move quickly.
Silicon Valley VCs are moving abroad to be closer to the action in fast-growing regions like India and China. http://bit.ly/qOLMOK This will create opportunities for Indian and Chinese expat returnees to their homes, but they may be lured back to the U.S. by the revised EB-5 rules.
With the stock market downturn and the prospects for a double-dip recession, business will get tougher, but changing government policies, recruiting wars and shifting VC investing are creating new opportunities for alert entrepreneurs.