Is entrepreneurship in Lebanon really what it is hyped up to be? Don't believe all the fluff, this is what start-ups, accelerators and crowd-funding really like in Lebanon! A version of this presentation accompanied Mohammad Hijazi's speech at Lebanon's SME Congress in December 2014.

1. LEBANESE ENTREPRENEURSHIP SCENE:
IS IT ALL JUST ONE BIG SCAM?
By Mohammad Hijazi
@mhijazi

2. ENTREPRENEURS?
The profile of a typical Lebanese entrepreneur:
 Dropped out of college/still student because Zuckerburg did it; no
need for a college degree to go places
 Can’t find a job; let’s create our own!
 Skilled in one area; but lack business knowledge.
 Convincing and talkative character
 Knows a lot of jargon
 Copy international ideas & localize them

3. GET RICH QUICK?
•Convince investors or crowdfunders to invest
•Use money for:
• Higher than average salaries
• Media exposure
• Travelling the world
•No renewable source of money since product/service isn’t
produced or improved and no monetization.
•Start-up tanks within 2 years
•Entrepreneur gained living expenses for 1-2 years, got media
exposure and recognition, enjoyed a few vacations.
•Investor takes the risk.

4. MISTAKES?
•Seeking investments without a good
product/service or proper monetization plan.
•Hiring unnecessary employees.
•Teammates not compatible.
•Talk and no action.
•Rely solely on free marketing tools.
•Small problems piling up.

5. START-UP ACCELERATORS?
•Don’t have an original idea to execute
•Organize start-up competitions to get ideas
•Co-working spaces to raise part of the funds
•Hire/Invest good ideas until founders develop
them
•Sneaky contracts allow them to bully/fire
founders and take over start-ups
•Start-ups fail due to lack of management
•Accelerator organizes events to prove superiority

6. CROWDFUNDING?
Crowdfunding is the practice of funding a project
or venture by raising monetary contributions from
a large number of people, typically via the
internet.

7. CROWDFUNDING!
Crowdfunding sounds really cool and hip and fun
but let us just call it what it really is…
Begging.
Shaking the
electronic cup.

8. ARE THEY REALLY THE SAME?
A beggar (entrepreneur)
looking for charities
(crowdfunding) gives them a
"promise" that they will return
them some prayer (a finished
product or service) if the
person believes in those things.
Begging funds a life (can that
be called one form of idea?).

9. BEGGING?
It just seems more acceptable to beg on the
Internet. It feels more professional…
People get away with asking for money far easier
on social media than if they asked for it in
person.

10. CROWDFUNDING AS A MARKETING
SCHEME
Most companies that pursue crowdfunding
campaigns do it primarily for marketing purposes.
 It’s cheaper to launch a crowdfunding campaign than any other
type.
 It’s basically a campaign targeted at early adopters, resellers, and
the media, which are tuned in to the platform’s activities to begin
with.
 Add the special innovation ingredient (or angle) to the company’s
image for free.

11. HOW TO SPOT BAD CROWDFUNDING
CAMPAIGNS?
•They have given themselves only a few days in which to
raise the needed money.
•They appear to be asking for maximum amount that they
need.
•Their rewards are flimsy (virtual kisses, big thanks, shout-
outs, T-shirts, mugs, Skype consultations).
•No prototype ready.
•Low-budget or no marketing material (videos, website, …)

12. GENERAL RULE
Think like a bank!
Would I give a loan to this entrepreneur?

13. ARE YOU AS PESSIMISTIC? Thanks!