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Sydney

Sydney is home to the bulk of Australia’s startups. Perhaps its biggest success story is Atlassian, which had an IPO for $462 million, with other recent success stories like BigCommerce and CampaignMonitor driving attention towards and excitement within the local tech and startup sectors. Overall, the country enjoys a highly-educated, multilingual workforce which positions it well for providing talent to startups and expanding to other markets. Still, the general perception of startups in the general population remains a bit risk-averse and Aussies are surprisingly modest when it comes to singing their own praises. While the economy is strong with low risk for businesses, Australia — and Sydney especially — is very expensive. Sydney startups also face the small Australian market, meaning they must scale internationally very quickly — often tackling Indonesia or China.

In This Market

These businesses offer industry expertise and are a source of startup talent and potential customers. They help fuel the local startup community.

Opportunities

  • Hard-working
  • Vibrant economy with low business risk
  • Multi-lingual, highly-educated workforce that often has international experience
  • Strong companies in B2B, marketplaces, and design, with ample opportunity in mining, agtech, Asia-centric solutions, and more.
  • A Western society situated close to Asian markets

Risk Factors

  • Distinct lack of experienced mentors
  • Investors are often quite conservative and risk-averse, making access-to-capital a challenge for entrepreneurs.
  • Entrepreneurs face a tough tax regime with unfriendly treatment of employee options, which acts as a disincentive to startups hiring employees
  • The city is extremely expensive
  • Aussies are quite modest and generally don’t receive failure well. The modesty of accomplishments inhibits Sydney's ability to globally brand itself as a startup hub.
Methodology

Market Indicators

Notable Success Stories

Funding

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Market timeline

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