Hello ,

“...one VC asked me to convince Travis to turn Uber into enterprise software for the cab companies...” - Jason Calacanis talking about the Uber seed round.

Investors are religious about business models. They usually have a known universe of familiar patterns as well as a list of models that they prefer to avoid. We’ve found a healthy debate surrounding the finer points of B2B, B2C or marketplaces but B2G models usually don’t inspire the kind of investor of excitement we’d like.

That’s not to say there hasn’t been progress. The Govtech 100 includes companies with a median age of 5 years and the Govtech Fund made a case for why B2G might be a $400b opportunity. We’ve started to look at who is investing in B2G and who appears to avoid it. 

But as we played with the Urbantech Radar data, we found two very different types of B2G business models.

We’ve tried to understand and explain the difference between the two B2G models because one is pursued by less than 10% of the companies we tracked, but the other is much more common and choices early on will shape everything from investor perceptions as well as key early hires and advisors.

To B2G or not to B2G, that is the question: how founders and investors should think about B2G.

[Startup Candidate] Noke - Portable smart-locks with keyless access for convenience, analytics and the potential to be the keystone for sharing systems. Learn more about Noke.

[Startup Candidate] Homer Logistics - efficient delivery logistics for urban environments. Learn more about Homer Logistics.

[Insights] The Govtech 100 - includes lots of friends and a few Urban.Us portfolio companies. The median company age is 5 years, underscoring the shifting interest in selling to government (includes both flavors of B2G companies). See the Govtech 100.

[Insights] PATH Act - Early stage investing for entrepreneurs and individual investors just got a whole lot more attractive

[Opportunity] URBAN-X Call for Startups - Our friends at MINI and HAX have launched and opened applications for URBAN-X, the NYC based Urban Technology Accelerator. Apply by February 17th.

[Opportunity] Architizer A+ Awards Deadline - Don’t miss the opportunity to share your product with the people who decide what goes into our built environment (literally, they decide on about 70% of what lands up in commercial buildings). Entries close on Friday.

[Startup News] Flair is live! Some rooms are too hot, some too cold. You be forgiven for thinking that the 3 bears were en route. Flair uses your central AC, mini-split or window unit to make everything alright (and save $$$). Learn more about Flair.

[Urban.Us News] Entrepreneurship: Urban Opportunities & Solutions - Stonly co-designed this course at the University of Chicago Booth School and is now in Chicago often to help teach it. Course information.

[Urban.Us News] Event Update - this year we’re bringing our event to New York and San Francisco. We have a number of partnership opportunities and will announce our first partners and additional details in the next update.

[Urban.Us News] Announcing Fund II - we’re excited to continue our work to find and support the most promising early stage startups that make city life better. Learn more about Fund II.

We’re only 103 weeks in and there is still so much to do, but we’d like to take the opportunity to thank you for your interest and ongoing support as we begin our next chapter.

- Shaun, Stonly & Anthony

Need more Urban.Us? Find Us on SlackAngel.co and Twitter. Catch up on past updates here.

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