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Brian Gaynor - Out of touch with reality?

Brian Gaynor is a respected business commentator and has his own column in the NZ Herald, as well as a spot on National Radio.

You'd think that a man in his position would have a pretty good "finger on the pulse" of hi-tech business and the financing of such here in NZ wouldn't you?

Well if latest column is any indicator, I fear he's actually rather out of touch with reality when it comes to the issue of creating Net-based startups here in NZ, and turning them into very successful commercial ventures on the world stage.

Perhaps the most naive statement in the column I've linked to is this:

"There is no reason why a Facebook or a Google could not originate in New Zealand"

Clearly, Mr Gaynor has never tried to start a really innovative hi-tech net-based enterprise here in NZ.

Obviously, he's never had to go out and try to secure investor backing for a venture that is as far removed from the perceived safety of bricks and mortar as it's possible to get.

I would have thought that a person in his position would be well aware of the paucity of true hi-tech venture capital in this country and the massive barrier that represents to turning good ideas into valuable commercial online enterprises.

Gaynor also unbelievably states:

"The internet has opened up a wonderful opportunity for technology entrepreneurs because they face no international barriers, have no working capital requirements and are not dependent on indigenous raw materials" (emphasis mine).

Excuse me?

"No working capital requirements"????

Now I know Brian has really lost the plot.

Since he cites TradeMe as a wonderful example of this -- perhaps he ought to go look at their webhosting bill, their annual wages bill, the cost of their hardware and software licenses, etc, etc.

Until I read what he's just written, I (perhaps naively) thought Brian was a fairly switched-on commentator whose words were worthy of an audience -- but now I'm far from sure of that.

I don't think his comments today will have done Milford Asset Management any favours either since I wouldn't be inclined to give them any of my business if I were in a position to do so.

Maybe Brian ought to walk a mile in the shoes of a real Kiwi net entrepreneur before telling everyone how easy it might be to create the next FaceBook or other big-thing from NZ.

It *was* possible back in 1999 when I took 7am.com to the top of the online news business market -- but today's internet is a very different place. A lone Kiwi in a backwoods broom-closet has absolutely no way of competing with the cash-rich startups operating out of the USA.

Brian, please explain yourself.

Or have I got this wrong?

Might it still be possible to create a Facebook like "big thing" without the need for any working capital? Have I missed the memo and is true venture-capital now readily available for Kiwi cyber-entrepreneurs with good ideas?

You tell me.

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