Go green solar, wind, hydrogen, algae but do not go the way of the junk bond, California's savings and loans, the internet boom to bust disaster that took the NASDAQ with it, not to mention the trust of millions who invested badly.
Venture capital going into green companies, be careful and look for value not hype.
This is what I woke thinking after writing yesterday's post about the green business conference, GreenXchange, where I met men making millions on what they may accomplish. And may not.
An example includes one man with whom I spoke, who has an online media company that offers renewable energy information for a steep price. The information isn't different from what you or I can gather, and I have, it's just that he got a million dollars to hire people to do so. People he hasn't hired yet.
When I asked him what he'll do with a million dollars, he said he'd turn it into 40 million dollars by selling his online media company to a bigger one.
That's very green of him.
This man didn't mention value once, a value he may bring customers. The goal was only: Make money.
Whereas the goal should be to create value and as a result make money.
I paid a visit to his web site, and learned he's not selling anything unique but he is packaging information on renewable energy for individuals and companies to buy for outrageous large sums, information easily accessible otherwise.
The main research provided on his web site, so far, is solar. I can tell you, solar is great and was particularly great if you researched and bought leaders in 1st quarter of 2007, which I did and recommended to my readers. I'm sure there are many, many more solar details this man and others can sell you like Michael Milkin sold junk bonds.
I understand this man, and others like him, packaging information to sell. It's a free world. What I don't understand is investing a million dollars in a "green" venture for the sole purpose of selling the company in a few years for $40 million.
John Muir, the founder of the Sierra Club formed to preserve Nature, must be turning in his grave now.
The green movement is here because we need positive change to protect the environment now, not to greedily profit without a clear plan that includes creating value.
