‘I felt like it was time to take a leap of faith. And if it hadn’t been for Jason, I probably would not have made that leap of faith.’
You couldn’t blame Andrew Holmes if he was having trouble sleeping lately, considering most of his business’s leads materialize in the middle of the night.
That’s just the nature of running a sleep solutions business, he says. “I have to make sure my phone’s ‘do not disturb’ is on, because that thing would light up like a Christmas tree every night,” he says with a laugh.
But the founder of Sleep Efficiency says his business — which has grown into a growth-stage startup working with hundreds of doctors — may have stayed a passion project if it wasn’t for the encouragement of local serial entrepreneur and former You.iTV founder Jason Flick.
It’s a story that’s been repeated time and again in Ottawa: Founders and executives who go on to significant exits, then stick around and get involved with new companies as advisers, funders, or board directors.
Taking a leap of faith — with a little help from the community
Although Sleep Efficiency is a full-time entity now, it was a side hustle for its first few years since its founding in 2015. Holmes previously served full-time as head of the Queensway Carleton Hospital’s sleep laboratory.
He says he wasn’t sure he wanted to quit his well-paying job and become a full-time entrepreneur until getting a push from Flick.
“Having Jason come on board was that moment where I was like, ‘Okay, I don’t have an entrepreneurial background, but I know I have a model that works really well — and with some guidance, the company could succeed,’” Holmes explains.
“So I felt like it was time to take a leap of faith. And without question, if it hadn’t been for Jason, I probably would not have made that leap of faith.”
Flick works with several startups around town, and says his job is to push potential entrepreneurs into taking that leap — especially when he sees the value of their idea.
“There are a lot of great ideas in Ottawa that often don’t come to fruition, because people don’t want to take that risk,” Flick says.
The Ottawa technology community’s circle of life
But it’s not just encouragement Flick provided since joining as Executive Chairman and investor in 2021. It was also a deep reservoir of business knowledge, financial backing, and connections.
After co-founding You.iTV in 2007, Flick sold the business to WarnerMedia for US$100 million in 2020.
Flick tried staying retired, he says, but became restless. He loves learning about new businesses, and knew his previous experience had provided valuable lessons he could impart to the next generation. Flick now works with local startups like Sleep Efficiency, Northern Forge, and App8.
“I love it. I get energy from talking to these startups,” he explains, adding that a big part of his role is to help companies focus on what’s important. “Founders often don’t have a ‘why,’ and don’t bake the ‘why’ into their culture,” he says.
Flick says young tech companies need a laser focus on why they do what they do, and what problem they solve, or risk failure.
The importance of a solid banking partner for startups
The Sleep Efficiency story is one RBCx Vice-President of Relationship Management Lindy Ledohowski says personifies Ottawa’s technology scene, which she calls “unique” in the country.
“The National Capital Region isn’t a rigidly segmented tech community where the big companies never talk to the little companies, and the little companies are sidelined,” she explains. “The community tends to be highly supportive and connected,” she adds. “There’s a good chance that the executives or directors of larger companies are active investors and board members of other companies in the region. And that’s not all that typical across the country.”
Ledohowski, who sold her own technology company in 2021, works with Sleep Efficiency, other local startups, and innovation hubs or events like the Kanata North Business Association (KNBA), Invest Ottawa, SaaS North, and others to provide sage business advice startups can lean on.
“I’ve been told that relying on ecosystem partners and fellow founders for advice makes entrepreneurship a little bit easier, because sometimes when you’re building and growing your company you don’t know what you don’t know when it comes to banking,” she explains.
“Providing banking products is table stakes. It’s about offering the right support through advisory in other areas, including different funding vehicles and other levers available to new startups,” adds Ledohowski.
Holmes says he likely couldn’t have made a successful go of Sleep Efficiency without the seasoned advice of partners like Flick and Ledohowski. “Jason is inspiring. And Lindy has been fantastic,” he says. “Anything we need, from financial assistance or just to bounce ideas off them, they’re always there.”
By Jim Donnelly, Ottawa Business Journal.
