Milan Vrekic, entrepreneur and Executive Director of Volta Labs, shares four things he learned from observing Waterloo’s Communitech, that city’s hub for the commercialization of innovative technologies.

1. The only sustainable model is that built by entrepreneurs for entrepreneurs. This is one reason why many U.S. venture capital funds require their partners and associates to have been part of at least one startup. Government agencies are an important part of the ecosystem, but they are the feeders, not the drivers of the system. The Ontario Government understood that very well, very early. They provided the region with resources and got out of the way. Communitech is actually more of a platform than an institution.

2. The trifecta of University, Community and Government create a successful ecosystem. The University of Waterloo provides a talent base for the startup community, and also encourages students to pursue entrepreneurship. And the university serves as a healing point. I know students who dropped out of the University of Waterloo to begin a startup, failed, and went back to class, where they were welcomed. As for the Community part, for me that includes angel groups and venture capitalists; both have to be mutually responsible. Finally, Government needs to feed the Community, eliminate red tape and establish startup-friendly policies and regulations.

3. Communitech companies do not see themselves as Waterloo companies, or Ontario companies, they see themselves as global companies located in Waterloo. Having that mindset from Day One is powerful.

4. Having a company premises matters, but it comes last. Early on, it is important to have a physical hub where companies can meet each other and share the sense of comradeship, exchange best practices and recruit employees. The walls come last in the following gradation: Entrepreneurs > Companies > Facilities.