26 | START-UPS Lexpert Special Edition
making real revenue."
So are Kobo Inc. and Constellation
So ware, two that Takach personally
helped nurture from start-ups. And there,
in a nutshell, you have it.
From apps that measure our sleep cycles
to the 3D printing of food, virtual shop-
ping malls, video tweeting, using your
phone to turn on your lights from the
other side of the world, some days it seems
like every element of
our everyday life is
being transformed
by digitization.
Fuelled by success
stories such as Zynga,
Pinterest, Square and
Spotify, Hailo, Snap-
chat, Smart ings and
Ouya, a new genera-
tion of mostly young
and entirely Web-
savvy Canadian entre-
preneurs is racing to
develop the next hot
app or must-have gad-
get. And the Internet
has democratized their
chances of succeeding.
In the old days
(which truthfully were
not all that long ago),
a tech entrepreneur
would have to raise between $500,000
and $1 million just to get a beta stereo-
type before potential investors. Nowa-
days it's closer to $100,000 and they have
access to a whole new model of bringing
ideas to market.
"You can print a physical prototype of
your product using your 3D printer, then
go to a web site where you can market it,
and people can make a future purchase
for when it turns into a product, which
gets you investors much earlier," says An-
dre Garber, director of the Startup Pro-
gram at Dentons Canada LLP.
" ere are so many diff erent things
facilitating the development of prod-
ucts and services that allow you to get
to market faster than you traditionally
could that it's giving people this new-
found energ y to go out and start up
their own business.
"It's a completely diff erent landscape.
ere is a real explosion of excitement
around this new type of anyone-can-do-
it type of technology company."
Take Pebble, one of the earliest produc-
ers of a smartwatch. In 2012, a er pitch-
ing and being turned down by traditional
venture capital sources, Pebble – which
was developed by a Canadian engineer
who graduated from the University of
Waterloo – launched a Kickstarter cam-
paign to raise US$100,000.
Buyers who pre-bought a Pebble at
US$115 would receive a US$150 smart-
watch when they became available.
e company met its goal within two
hours of going live.
Within six days, with 30 days le in
the campaign, Pebble had raised more
than US$4.7 million, becoming the
most funded project in the history of
Kickstarter. By the time the campaign
Melanson, Michael N.
Bennett Jones LLP
(416) 863-1200
melansonm@
bennettjones.com
Mr. Melanson practises
corporate and securities
law, including public and
private off erings, take-overs
and M&A. He acts for
a wide variety of clients,
particularly in mining,
with a focus on China,
Hong Kong and other
international markets.
Mercier, Vincent A.
Davies Ward Phillips
& Vineberg LLP
(416) 863-5579
vmercier@dwpv.com
Mr. Mercier focuses on
securities law and public
company M&A, including
hostile take-overs, private-
equity acquisitions, friendly
mergers and special
committee processes in all
sectors, including fi nancial
services and media and
telecommunications.
Moch, Darcy D.
Bennett Jones LLP
(403) 298-3390
mochd@bennettjones.com
Mr. Moch's tax practice
focuses on corporate
M&A, reorganizations
and fi nancings, as well as
personal, succession and
foreign matters. He is the
past-chair of the National
Tax Section of the CBA
and the past co-chair of
the Joint Committee.
Mendelsohn, Max
McMillan LLP
(514) 987-5042
max.mendelsohn@
mcmillan.ca
Mr. Mendelsohn practises
domestic and cross-
border insolvency and
restructuring, focusing
on businesses and
fi nancial institutions.
He has counselled the
federal government on
insolvency reform, is a
mediator and arbitrator,
and a frequent speaker.
Miner, Richard B.
McCarthy Tétrault LLP
(416) 601-7910
rminer@mccarthy.ca
Mr. Miner's advice to
domestic and foreign
mining clients embraces
the formation, fi nancing
and operation of JVs;
M&A; property option
and earn-in agreements;
international concentrate;
metal sales; and processing
and hedging arrangements.
Monaghan, K.
A. Siobhan
Davies Ward Phillips
& Vineberg LLP
(416) 863-5558
smonaghan@dwpv.com
Ms. Monaghan's
transactional tax practice
embraces domestic
and cross-border
reorganizations, fi nancings,
M&A, and spin-off and
securities transactions.
LEXPERT
®
RANKED LAWYERS
"WHILE MANY [START-UPS]
WILL FAIL AT THE EARLY STAGES,
MANY WILL SUCCEED AND WHEN
THEY DO, THEY TEND TO DO
VERY WELL. LOOK AT SHOPIFY
UP IN OTTAWA, DESIRE2LEARN
IN WATERLOO, HOOTSUITE IN
VANCOUVER. THESE ARE ALL
COMPANIES THAT STARTED AS
START-UPS BUT THEY'RE MEETING
REAL NEEDS IN THE MARKET
AND THEY'RE MAKING
REAL REVENUE."
– George Takach, McCarthy Tétrault LLP
