In the Central Texas Funding Forum on May 7th, we’ll highlight several funding groups on the panel session in the morning. The list includes the following:
Bill Petty, Baylor Angel Network
Joshua Baer, Capital Factory
Lance Adams, Central Texas Angel Network
Martin Jackobvitz, Central Texas Business Consulting
Eric Werner, Eyes of Texas
Marc Rankin, Noble Capital
Jim Poage, SATAI
We’ll hold a panel discussion to highlight the current funding scene. Each of these groups will describe their view on what’s currently getting funding and what’s different today from a year ago in the funding of startup companies. Following will be a question and answer session with the audience.
If you want face time with any of these groups, now is your opportunity to meet with them after the panel to learn more about their organizations and to introduce your startup.
Best regards,
Hall T.
Monday, May 4, 2009
Wednesday, April 29, 2009
David Rose of the New York Angels Talks about Starting up His Group
I first met David Rose about three years ago at the Angel Capital Association meeting in New York. As a premier speaker he captured the attention of the audience with his views on angel investing and the direction the industry was moving. He will be coming to Austin for the Central Texas Funding Symposium to give the keynote. As for background, I learned the following:
They have 75 members including both individual and corporate members. They have more applicants than places available so they have a waiting list. Corporate members or VCs constitute about 10% of their membership. They limit membership because there are only a certain number of people one can relate to. At a certain point, the group gets so large the group loses the ability to know each other.
They are a member managed group. Each member writes their own check for each deal. It’s not a fund. As a condition of membership, each member must pay a membership fee and also must invest $100K per year. Also, members must attend at least a majority of the meetings. Also, members must participate in screening and deal follow up sessions. They have 5 to 10 people churn each year.
They get 400 plans a year to review. They charge $150 per application primarily as a screening mechanism. They invest about $9M to $10M a year based on their own investments and those of follow on VC investments. They originally had a trade organization called New York New Media association which later morphed into the current New York Angels network in 2004. They are just now starting to see exits in their deals which normally take 5 to 7 years. Their first positive exit last year was Sign Story which sold to CBS for $71M.
David Rose was the driving force behind Angelsoft a software tool used to manage angel groups and their dealflow. He came up with the idea when he started the group and found there were no tools out there on the market to help manage the group. At that time some groups had developed their own internal custom software. Some used Yahoo groups to coordinate the effort while others just used email. David ran focus groups to identify the needs of angel groups and found a common thread among them. He used the initial beta version of the software they developed to support their own angel network and later offered it to other groups. The revenue model focuses on advertising and sponsorship. The software facilitates the syndication of deals by letting one group forward all the deal documents to another group for potential additional investment.
Angelsoft is currently used by over 250 angel groups which is about 30% of all angel groups worldwide. Because it’s the standard software tool used by angel groups they can aggregate information about the startup industry although they don’t have access to individual plans or information. They receive about 1000 plans per month in the system worldwide and they see 10 to 15 new angel groups join each month. Most angel investing is in the US with a growing interest in Europe.
Future plans for Angelsoft include adding background checks on submitted applications, escrowing services for the funding process, and sharing domain expertise from one group to the next. They also plan to add video conferencing and video feed capability later this year. It’s becoming a platform for social networking among angels.
Best regards,
Hall T.
They have 75 members including both individual and corporate members. They have more applicants than places available so they have a waiting list. Corporate members or VCs constitute about 10% of their membership. They limit membership because there are only a certain number of people one can relate to. At a certain point, the group gets so large the group loses the ability to know each other.
They are a member managed group. Each member writes their own check for each deal. It’s not a fund. As a condition of membership, each member must pay a membership fee and also must invest $100K per year. Also, members must attend at least a majority of the meetings. Also, members must participate in screening and deal follow up sessions. They have 5 to 10 people churn each year.
They get 400 plans a year to review. They charge $150 per application primarily as a screening mechanism. They invest about $9M to $10M a year based on their own investments and those of follow on VC investments. They originally had a trade organization called New York New Media association which later morphed into the current New York Angels network in 2004. They are just now starting to see exits in their deals which normally take 5 to 7 years. Their first positive exit last year was Sign Story which sold to CBS for $71M.
David Rose was the driving force behind Angelsoft a software tool used to manage angel groups and their dealflow. He came up with the idea when he started the group and found there were no tools out there on the market to help manage the group. At that time some groups had developed their own internal custom software. Some used Yahoo groups to coordinate the effort while others just used email. David ran focus groups to identify the needs of angel groups and found a common thread among them. He used the initial beta version of the software they developed to support their own angel network and later offered it to other groups. The revenue model focuses on advertising and sponsorship. The software facilitates the syndication of deals by letting one group forward all the deal documents to another group for potential additional investment.
Angelsoft is currently used by over 250 angel groups which is about 30% of all angel groups worldwide. Because it’s the standard software tool used by angel groups they can aggregate information about the startup industry although they don’t have access to individual plans or information. They receive about 1000 plans per month in the system worldwide and they see 10 to 15 new angel groups join each month. Most angel investing is in the US with a growing interest in Europe.
Future plans for Angelsoft include adding background checks on submitted applications, escrowing services for the funding process, and sharing domain expertise from one group to the next. They also plan to add video conferencing and video feed capability later this year. It’s becoming a platform for social networking among angels.
Best regards,
Hall T.
Monday, April 27, 2009
Last Call for FastPitch Contestants for Central Texas Funding Symposium
The Fastpitch is the most often used technique by the entrepreneur. I talk with many entrepreneurs and they confirm that the one tool they use more than anything else in their toolkit is the fastpitch -- or as some call it, the elevator pitch. The idea is to convey your business concept to someone else in sixty seconds or less.
An entrepreneur once told me he couldn't explain his concept in less than forty-five minutes. I replied that he was spending too much time explaining his concept to people who may not be interested in the idea at all or couldn't help him. He should create a sixty-second version, and then check for interest afterwards.
At the Central Texas Funding Symposium on May 7th, we'll hold a Fastpitch competition. If you want exposure to angels, venture capitalists, and other players in the funding industry, you're invited to join the competition. Please contact me for further details at director (at) austinentrepreneurnetwork DOT org.
Best regards,
Hall T.
An entrepreneur once told me he couldn't explain his concept in less than forty-five minutes. I replied that he was spending too much time explaining his concept to people who may not be interested in the idea at all or couldn't help him. He should create a sixty-second version, and then check for interest afterwards.
At the Central Texas Funding Symposium on May 7th, we'll hold a Fastpitch competition. If you want exposure to angels, venture capitalists, and other players in the funding industry, you're invited to join the competition. Please contact me for further details at director (at) austinentrepreneurnetwork DOT org.
Best regards,
Hall T.
Monday, April 20, 2009
Cole Harmonson of Far West Capital Talks about Raising Funding
Cole Harmonson of Far West Capital Talks about Raising Funding
Where are you from originally?
Lubbock, Texas
What university did you go to?
Texas Tech University - BBA Finance 1993
What brought you to Austin?
I moved to Austin in 1996 to start the Working Capital Finance Group for a locally owned private bank, State Bank, which I grew and ran until 2007.
What is the idea behind Far West Capital?
In 2007, State Bank and the group I was running were sold to Prosperity Bank. Far West Capital is a continuation of that group, as many of the people that worked together at State Bank are now employed with Far West Capital. Far West Capital was founded by myself and the ex-CEO of State Bank, Don Stricklin.
Far West Capital is a working capital lending company that funds "out of the box" deals by purchasing or lending on the company's accounts receivable. Our clients are generally rapidly growing companies that have an extreme need for additional working capital to ramp themselves to "the next level".
What need does it fulfill?
We help companies by understanding their unique needs and then by customizing a working capital solution to help them grow their business. Our clients need more than an off the shelf "cookie cutter" approach to funding working capital, by listening and providing a very high level of service - we bring a depth of business knowledge that helps our clients become more profitable. Many times that means that we provide introductions and advice that makes a huge difference in the success of our clients. It is more than just - "ok" - let's factor some invoices, we build relationships - and have a long list of successful clients that will attest to our capabilities.
What exactly does Far West Capital do?
We buy and lend on Accounts Receivable, we lend on Inventory and we lend on Purchase Orders.
Who is it for?
We are generalists - as long as you have commercial A/R - and access to additional capital would help you become more profitable - you are a prospect.
What was the most challenging aspect of starting it?
Quitting a job with a very nice compensation package and going for 9 months without a paycheck.
What is the next step for you and Far West?
We have spent the first couple of years building a very, very solid team - and - although we have grown significantly - we opened 3 offices in Texas, I feel as though we are just getting started. So, as the economy is now poised to recover and banks are more conservative than in years past, we are looking forward to continuing to grow our business.
What advice do you have for entrepreneurs?
Lots - stay positive - stay focused. Expect the best but prepare for the worst. Be flexible, nothing really goes as planned, so be ready to react to change. Working hard is important - but - you must have balance in your life or you are not your "full self" to those you lead. Last, have fun - life is short - don't be so damn serious - you are not that important. If you want additional free advice, which may be worth what you pay for it, please give me a call - I love to hear myself talk.
Best regards,
Hall T.
Where are you from originally?
Lubbock, Texas
What university did you go to?
Texas Tech University - BBA Finance 1993
What brought you to Austin?
I moved to Austin in 1996 to start the Working Capital Finance Group for a locally owned private bank, State Bank, which I grew and ran until 2007.
What is the idea behind Far West Capital?
In 2007, State Bank and the group I was running were sold to Prosperity Bank. Far West Capital is a continuation of that group, as many of the people that worked together at State Bank are now employed with Far West Capital. Far West Capital was founded by myself and the ex-CEO of State Bank, Don Stricklin.
Far West Capital is a working capital lending company that funds "out of the box" deals by purchasing or lending on the company's accounts receivable. Our clients are generally rapidly growing companies that have an extreme need for additional working capital to ramp themselves to "the next level".
What need does it fulfill?
We help companies by understanding their unique needs and then by customizing a working capital solution to help them grow their business. Our clients need more than an off the shelf "cookie cutter" approach to funding working capital, by listening and providing a very high level of service - we bring a depth of business knowledge that helps our clients become more profitable. Many times that means that we provide introductions and advice that makes a huge difference in the success of our clients. It is more than just - "ok" - let's factor some invoices, we build relationships - and have a long list of successful clients that will attest to our capabilities.
What exactly does Far West Capital do?
We buy and lend on Accounts Receivable, we lend on Inventory and we lend on Purchase Orders.
Who is it for?
We are generalists - as long as you have commercial A/R - and access to additional capital would help you become more profitable - you are a prospect.
What was the most challenging aspect of starting it?
Quitting a job with a very nice compensation package and going for 9 months without a paycheck.
What is the next step for you and Far West?
We have spent the first couple of years building a very, very solid team - and - although we have grown significantly - we opened 3 offices in Texas, I feel as though we are just getting started. So, as the economy is now poised to recover and banks are more conservative than in years past, we are looking forward to continuing to grow our business.
What advice do you have for entrepreneurs?
Lots - stay positive - stay focused. Expect the best but prepare for the worst. Be flexible, nothing really goes as planned, so be ready to react to change. Working hard is important - but - you must have balance in your life or you are not your "full self" to those you lead. Last, have fun - life is short - don't be so damn serious - you are not that important. If you want additional free advice, which may be worth what you pay for it, please give me a call - I love to hear myself talk.
Best regards,
Hall T.
Wednesday, April 15, 2009
Jeanette Peten of BiG Austin talks about the BiG Idea Day
Jeanette Peten of BiG Austin talks about the BiG Idea Day
Where are you from originally?
I was born in Philadelphia, PA, but was actually born into entrepreneurship. Both of my parents were entrepreneurs. My mother was the owner of one of the largest hair salons in Philadelphia. She acquired funding through the SBA program, which is one of the reasons, I believe in and advocate the SBA process.
What university did you go to?
I hold a BBA degree in Finance from the University of Texas at Austin.
What brought you to Austin?
Before starting BiGAUSTIN, I joined the team at IBM in Stanford, Connecticut where I became a corporate officer responsible for auditing and evaluating loans, identifying deficiencies, and managing loan portfolios worth approximately 200 million dollars.
Returning to Austin, Texas in 1989, I served as a Senior Financial Management Consultant for Grant Thornton, CPA. Helping clients secure impressive dollars in loans, contracts and bonding, my staff provided on-going professional services to aid women and minority-owned businesses. Working in the financial sector, I observed micro-entrepreneurs consistently failing in their business ventures due to the lack of proper entrepreneurial education and insufficient funding. I was compelled to initiate and became a resource to help make entrepreneurs dreams come to fruition. In 1995, I obtained a 501(c)(3) non-profit status and opened the doors to BiGAUSTIN. By 1996, BiGAUSTIN began independent operations as the first micro-lending organization serving fewer than five clients in five counties.
BiGAUSTIN’s provides high-quality, ongoing entrepreneurial training and technical support as well as affordable, accessible small business loans to economically disadvantaged individuals who possess the drive and initiative to start or expand a business.
What is the idea behind the Big Idea Day?
The purpose of the event is to celebrate entrepreneurship and recognize the hard work of those who nourish our local economy. The BiGIDEA Day Luncheon is an award ceremony, honoring Austin’s premier entrepreneurs. Over 500 people are expected to attend this year’s luncheon to witness and participate in the finale of the business plan competition. The process began with over 65 small businesses submitting their business plans, a panel of judges evaluated and selected three finalist that will present their businesses before the guests, who will vote for the 2009 Business Plan Winner at the BiGIDEA Luncheon via an American Idol-style competition. The winner will receive $10,000 in cash and in-kind prizes.
What need does it fulfill?
Respect, Recognition and Reward. Who can live a successful life or influence people to seek your products or services without it. Not only is BiGAUSTIN a major resource provider, we consistently encourage, educate and promote entrepreneurs and the community at large.
What exactly does Big Austin do?
BiGAUSTIN’s mission is to assist small businesses to successfully grow by providing comprehensive education, tailored business counseling, and flexible loans. Our products and services are available to start up and existing businesses. Our vision is that we strive to be a leader as a self-sustainable small business development organization by providing innovative growth strategies to underserved entrepreneurs in central Texas.
Who is it for?
BiGAUSTIN serves Central Texas Entrepreneurs or Entrepreneurial minded people, we should all be one or the other, for our own business or the business of our employer.
What was the most challenging aspect of the Big Idea Day?
This is our 9th annual event, which is highly anticipated by central Texans. Our desire is to remain consistent in not just meeting our guests’ expectations but to consistently take each event to the next level. Another challenge is to be certain to end each event on time. We are very respectful of our guests professions and value their time spent with BiGAUSTIN throughout the years.
What is the next step for you and Big Austin?
As the founder and President of BiGAUSTIN for the past 14 years and as a forerunner in microfinance since 1995. I will announce my retirement, during the BiGIDEA Luncheon and hand the baton to my successor, who will continue to take BiGAUSTIN to the next level.
What advice do you have for entrepreneurs?
I believe that an entrepreneur should be a leader and that a leader must have the vision and conviction that a dream can be achieved.
Best regards,
Hall T.
Where are you from originally?
I was born in Philadelphia, PA, but was actually born into entrepreneurship. Both of my parents were entrepreneurs. My mother was the owner of one of the largest hair salons in Philadelphia. She acquired funding through the SBA program, which is one of the reasons, I believe in and advocate the SBA process.
What university did you go to?
I hold a BBA degree in Finance from the University of Texas at Austin.
What brought you to Austin?
Before starting BiGAUSTIN, I joined the team at IBM in Stanford, Connecticut where I became a corporate officer responsible for auditing and evaluating loans, identifying deficiencies, and managing loan portfolios worth approximately 200 million dollars.
Returning to Austin, Texas in 1989, I served as a Senior Financial Management Consultant for Grant Thornton, CPA. Helping clients secure impressive dollars in loans, contracts and bonding, my staff provided on-going professional services to aid women and minority-owned businesses. Working in the financial sector, I observed micro-entrepreneurs consistently failing in their business ventures due to the lack of proper entrepreneurial education and insufficient funding. I was compelled to initiate and became a resource to help make entrepreneurs dreams come to fruition. In 1995, I obtained a 501(c)(3) non-profit status and opened the doors to BiGAUSTIN. By 1996, BiGAUSTIN began independent operations as the first micro-lending organization serving fewer than five clients in five counties.
BiGAUSTIN’s provides high-quality, ongoing entrepreneurial training and technical support as well as affordable, accessible small business loans to economically disadvantaged individuals who possess the drive and initiative to start or expand a business.
What is the idea behind the Big Idea Day?
The purpose of the event is to celebrate entrepreneurship and recognize the hard work of those who nourish our local economy. The BiGIDEA Day Luncheon is an award ceremony, honoring Austin’s premier entrepreneurs. Over 500 people are expected to attend this year’s luncheon to witness and participate in the finale of the business plan competition. The process began with over 65 small businesses submitting their business plans, a panel of judges evaluated and selected three finalist that will present their businesses before the guests, who will vote for the 2009 Business Plan Winner at the BiGIDEA Luncheon via an American Idol-style competition. The winner will receive $10,000 in cash and in-kind prizes.
What need does it fulfill?
Respect, Recognition and Reward. Who can live a successful life or influence people to seek your products or services without it. Not only is BiGAUSTIN a major resource provider, we consistently encourage, educate and promote entrepreneurs and the community at large.
What exactly does Big Austin do?
BiGAUSTIN’s mission is to assist small businesses to successfully grow by providing comprehensive education, tailored business counseling, and flexible loans. Our products and services are available to start up and existing businesses. Our vision is that we strive to be a leader as a self-sustainable small business development organization by providing innovative growth strategies to underserved entrepreneurs in central Texas.
Who is it for?
BiGAUSTIN serves Central Texas Entrepreneurs or Entrepreneurial minded people, we should all be one or the other, for our own business or the business of our employer.
What was the most challenging aspect of the Big Idea Day?
This is our 9th annual event, which is highly anticipated by central Texans. Our desire is to remain consistent in not just meeting our guests’ expectations but to consistently take each event to the next level. Another challenge is to be certain to end each event on time. We are very respectful of our guests professions and value their time spent with BiGAUSTIN throughout the years.
What is the next step for you and Big Austin?
As the founder and President of BiGAUSTIN for the past 14 years and as a forerunner in microfinance since 1995. I will announce my retirement, during the BiGIDEA Luncheon and hand the baton to my successor, who will continue to take BiGAUSTIN to the next level.
What advice do you have for entrepreneurs?
I believe that an entrepreneur should be a leader and that a leader must have the vision and conviction that a dream can be achieved.
Best regards,
Hall T.
Monday, April 13, 2009
Matt Genovese of Door64 Talks about His News Site and the Upcoming Tech Fair
Matt Genovese of Door64 Talks about His News Site and the Upcoming Tech Fair
Where are you from originally?
I grew up on a farm in Owego, NY, just outside of Binghamton. We had chickens, cats, a dog, and wide-open spaces for hiking all over God's country.
What university did you go to?
I attended the Rochester Institute of Technology (RIT) in Rochester, NY and received my B.S. in Computer Engineering. Here in Austin I received my M.S. in Electrical Engineering from UT-Austin.
What brought you to Austin?
After graduation from RIT, my newlywed wife Jennifer and I moved to Austin so I could begin work at Motorola as an engineer. We arrived in December 1997 in a city and state where we knew absolutely no one. Talk about a fresh start.
What is the idea behind Door64?
It is vital for engineers and technologists to actively focus on building their own network of industry peers as a part of managing one's own career. My observations have been that the typical engineer's circle of influence consists of (a) their current business colleagues, and (b) those colleagues who have since left the company. Because 60-70% of jobs are found through one's own network, it stands to reason that establishing a larger network of colleagues equates to more career possibilities should the need arise. By the way, this is also a tremendous benefit for companies, as their employees effectively become recruiters, helping to find qualified engineering talent through networking.
I started door64 to address the deficiency in professional networking as part of career management. My goal is, and always will be to enable our technology professionals to network with their local industry colleagues, and help every person to realize all that's available in our local technology scene.
What need does it fulfill?
I have been attempting to fill many holes. Here's a few:
1. I saw the need for a local technology calendar - one in which anyone could learn about all the niche tech groups in Central Texas, all the conferences, seminars, and lunch-and-learns, and find all the opportunities to network around town. The door64 calendar has become just that for Central Texas, and I'm excited when community members post events for everyone to see. I want local technology and networking groups to thrive, and the door64 calendar is there to do just that.
2. The discussions on door64 have been growing, which has been the breeding ground for online networking. Local tech professionals are communicating about our job market, how to work with recruiters, questions about consulting, discussing recent articles, and the like. The beauty here is the ability to meet in person. I focus door64 on Central Texas so professionals who meet and communicate online can also meet for coffee. Of course, our company-sponsored door64 networking happy hours have also contributed to the face-to-face aspect of networking. I love those events, and seeing others realize the benefits of meeting in person.
3. I said once that Austin's relationship with San Antonio is much like the United States' relationship with Canada: we know they're there, but we don't know too much else. San Antonio has a thriving tech industry, and yet different in many ways than Austin's. That's a good thing. There exists expertise in each of our cities that the other doesn't possess, and that presents great opportunities for collaboration. door64 has members from both Austin and San Antonio, and I have observed people collaborating because of it.
What exactly does Door64 do?
Well, that's a good question. door64.com doesn't "do" anything. The site is just a framework; it wouldn't work unless there was an active community supporting it. In the early days of door64, I spoke with everyone who suggested "let's meet for coffee" in an attempt to communicate the vision I have for our local tech professionals. For those who caught the vision, they evangelized, and helped the community grow to the over 4000 members we have now. I'm just one guy; it takes the community to make good things happen.
And for the record, I don't really like coffee.
Who is it for?
Though door64 is free to join, I keep membership restricted to those who work in high-tech, generally meaning professionals in the semiconductor, hardware, software, and IT industries. It is Central Texas focused, though I don't prevent those from out of town from joining the site. The high-tech focus means that tech professionals have a better chance of finding their own kind, versus someone trying to sell them a house or insurance. I have vetted all 4000+ members of door64 to accomplish this. It's a lot of work, but I believe in the value it provides to the community.
What was the most challenging aspect of starting up Door64?
Many people might not realize this, but what door64 is today is version 2.0. Version 1.0 was my first attempt in 2006, and it failed miserably. I spent all my time on the website, making everything look just right. At the end of the day, people didn't care. After taking a break in 2007, I realized my problem was spending too little time building a community. The challenge for door64 v2.0 was properly communicating the vision to my "customers", and in turn growing the community of people with that common vision.
What is the next step for you and Door64?
I'm always telling people "door64 isn't there yet."; there's much to do. Right now, I'm just rolling out a means for local tech companies to have a more formal community presence on door64. In addition, I am investigating ways to engage our members online such that they can easily meet (and network) with their industry colleagues.
And finally, I'm always trying to find new ways to reach out to our local tech professionals, to communicate that vision, provide a service, and get them plugged in. When the community grows and people engage, everybody wins. To this end, the next community event is the door64 Tech Fair on April 30th here in Austin. We're expecting up to 35 local tech companies to participate, and we're holding talks about entrepreneurship, consulting, and marketing yourself in this job climate. A panel discussion will follow about the Engineer of 2020, and then the 3rd annual Austin Brain Party that night. This is a shot of career adrenaline for every local tech professional, and it's all free to attend.
Attendee’s details + RSVP: http://door64.com/techfair
What advice do you have for entrepreneurs?
For those branching into entrepreneurship, my only guidance is to find your passion. Find what drives you, and do that. It's not about finding that "one killer idea" that will make you millions. Once you follow what you're passionate about, the great ideas will flow like water. And it shouldn't be about making millions anyway; you should be trying to get something done that you care about. People who realize your vision will follow without cajoling; it's pull versus push.
For entrepreneurs, my guidance is always network: make new contacts, refresh your existing ones, and see how you can help them. My assertion is this: the better you are at networking, the better you will be at creating communities; businesses (especially today) flourish when they correctly engage.
Best regards,
Hall T.
Where are you from originally?
I grew up on a farm in Owego, NY, just outside of Binghamton. We had chickens, cats, a dog, and wide-open spaces for hiking all over God's country.
What university did you go to?
I attended the Rochester Institute of Technology (RIT) in Rochester, NY and received my B.S. in Computer Engineering. Here in Austin I received my M.S. in Electrical Engineering from UT-Austin.
What brought you to Austin?
After graduation from RIT, my newlywed wife Jennifer and I moved to Austin so I could begin work at Motorola as an engineer. We arrived in December 1997 in a city and state where we knew absolutely no one. Talk about a fresh start.
What is the idea behind Door64?
It is vital for engineers and technologists to actively focus on building their own network of industry peers as a part of managing one's own career. My observations have been that the typical engineer's circle of influence consists of (a) their current business colleagues, and (b) those colleagues who have since left the company. Because 60-70% of jobs are found through one's own network, it stands to reason that establishing a larger network of colleagues equates to more career possibilities should the need arise. By the way, this is also a tremendous benefit for companies, as their employees effectively become recruiters, helping to find qualified engineering talent through networking.
I started door64 to address the deficiency in professional networking as part of career management. My goal is, and always will be to enable our technology professionals to network with their local industry colleagues, and help every person to realize all that's available in our local technology scene.
What need does it fulfill?
I have been attempting to fill many holes. Here's a few:
1. I saw the need for a local technology calendar - one in which anyone could learn about all the niche tech groups in Central Texas, all the conferences, seminars, and lunch-and-learns, and find all the opportunities to network around town. The door64 calendar has become just that for Central Texas, and I'm excited when community members post events for everyone to see. I want local technology and networking groups to thrive, and the door64 calendar is there to do just that.
2. The discussions on door64 have been growing, which has been the breeding ground for online networking. Local tech professionals are communicating about our job market, how to work with recruiters, questions about consulting, discussing recent articles, and the like. The beauty here is the ability to meet in person. I focus door64 on Central Texas so professionals who meet and communicate online can also meet for coffee. Of course, our company-sponsored door64 networking happy hours have also contributed to the face-to-face aspect of networking. I love those events, and seeing others realize the benefits of meeting in person.
3. I said once that Austin's relationship with San Antonio is much like the United States' relationship with Canada: we know they're there, but we don't know too much else. San Antonio has a thriving tech industry, and yet different in many ways than Austin's. That's a good thing. There exists expertise in each of our cities that the other doesn't possess, and that presents great opportunities for collaboration. door64 has members from both Austin and San Antonio, and I have observed people collaborating because of it.
What exactly does Door64 do?
Well, that's a good question. door64.com doesn't "do" anything. The site is just a framework; it wouldn't work unless there was an active community supporting it. In the early days of door64, I spoke with everyone who suggested "let's meet for coffee" in an attempt to communicate the vision I have for our local tech professionals. For those who caught the vision, they evangelized, and helped the community grow to the over 4000 members we have now. I'm just one guy; it takes the community to make good things happen.
And for the record, I don't really like coffee.
Who is it for?
Though door64 is free to join, I keep membership restricted to those who work in high-tech, generally meaning professionals in the semiconductor, hardware, software, and IT industries. It is Central Texas focused, though I don't prevent those from out of town from joining the site. The high-tech focus means that tech professionals have a better chance of finding their own kind, versus someone trying to sell them a house or insurance. I have vetted all 4000+ members of door64 to accomplish this. It's a lot of work, but I believe in the value it provides to the community.
What was the most challenging aspect of starting up Door64?
Many people might not realize this, but what door64 is today is version 2.0. Version 1.0 was my first attempt in 2006, and it failed miserably. I spent all my time on the website, making everything look just right. At the end of the day, people didn't care. After taking a break in 2007, I realized my problem was spending too little time building a community. The challenge for door64 v2.0 was properly communicating the vision to my "customers", and in turn growing the community of people with that common vision.
What is the next step for you and Door64?
I'm always telling people "door64 isn't there yet."; there's much to do. Right now, I'm just rolling out a means for local tech companies to have a more formal community presence on door64. In addition, I am investigating ways to engage our members online such that they can easily meet (and network) with their industry colleagues.
And finally, I'm always trying to find new ways to reach out to our local tech professionals, to communicate that vision, provide a service, and get them plugged in. When the community grows and people engage, everybody wins. To this end, the next community event is the door64 Tech Fair on April 30th here in Austin. We're expecting up to 35 local tech companies to participate, and we're holding talks about entrepreneurship, consulting, and marketing yourself in this job climate. A panel discussion will follow about the Engineer of 2020, and then the 3rd annual Austin Brain Party that night. This is a shot of career adrenaline for every local tech professional, and it's all free to attend.
Attendee’s details + RSVP: http://door64.com/techfair
What advice do you have for entrepreneurs?
For those branching into entrepreneurship, my only guidance is to find your passion. Find what drives you, and do that. It's not about finding that "one killer idea" that will make you millions. Once you follow what you're passionate about, the great ideas will flow like water. And it shouldn't be about making millions anyway; you should be trying to get something done that you care about. People who realize your vision will follow without cajoling; it's pull versus push.
For entrepreneurs, my guidance is always network: make new contacts, refresh your existing ones, and see how you can help them. My assertion is this: the better you are at networking, the better you will be at creating communities; businesses (especially today) flourish when they correctly engage.
Best regards,
Hall T.
Wednesday, April 8, 2009
Joseph Lopez of Austin 3.0 Talks about His Blog and ACTlab
Joseph Lopez of Austin 3.0 Talks about His Blog and ACTlab
Where are you from originally?
I am originally from San Antonio, TX. I grew up on the northwest side where I went to Holmes High school.
What university did you go to?
I moved to Austin in 1999 to attend UT and haven't looked back. I have a B.S., M.A. and am a PhD. Candidate in Radio, Television and Film at the University of Texas at Austin where I work in the ACTLab.
What brought you to Austin?
School brought me to Austin; the great geek community is what has kept
me here!
What is your blog about?
Austin 3.0 is a website based around the idea that Austin houses one of the most geeky communities on earth, so we decided to create a younger crowd fetching website that feels inviting for new comers and veterans alike to find their way around the Austin tech/geek scene, much like the awesome geekaustin.org, but with our own flavor. Our goal is to provide first person coverage and commentary on the Austin tech and Geek scene. We fill in the age gap of reporting, we try to cater to people who are in college and/or just graduated who are still in the "new" phase of their life where they are exploring and looking for connections beyond traditional business networking. Some of our main influences are Sandy Stone (from the ACTLab), Whurly, Lynn Bender, Bryan Menell and all the other patrons of the geek/tech movement here in Austin.
What was the most challenging aspect of starting up the blog?
What was amazing about starting this group was the ease of startup, we picked a domain name, setup a wordpress and off we went. I had just met Kristine within the month we started the blog, we were both at Jelly Austin, at Cafe Caffeine and just hit it off.
What is the next step for you and your group?
Our next step is keep providing great coverage of all types of events and to hopefully bring new ways of thinking about business, geekness and the spaces in between. We recently added two additional writers who we hope to offer even more perspective for our new generation of geeks.
What advice do you have for entrepreneurs?
The best advice I can give is to be sincere about what you want and how you want to do it. Keep at it and always remember to have fun, having fun is worth just as much as the millions you hope to make one day. And of course be Awesome!
Best regards,
Hall T.
Where are you from originally?
I am originally from San Antonio, TX. I grew up on the northwest side where I went to Holmes High school.
What university did you go to?
I moved to Austin in 1999 to attend UT and haven't looked back. I have a B.S., M.A. and am a PhD. Candidate in Radio, Television and Film at the University of Texas at Austin where I work in the ACTLab.
What brought you to Austin?
School brought me to Austin; the great geek community is what has kept
me here!
What is your blog about?
Austin 3.0 is a website based around the idea that Austin houses one of the most geeky communities on earth, so we decided to create a younger crowd fetching website that feels inviting for new comers and veterans alike to find their way around the Austin tech/geek scene, much like the awesome geekaustin.org, but with our own flavor. Our goal is to provide first person coverage and commentary on the Austin tech and Geek scene. We fill in the age gap of reporting, we try to cater to people who are in college and/or just graduated who are still in the "new" phase of their life where they are exploring and looking for connections beyond traditional business networking. Some of our main influences are Sandy Stone (from the ACTLab), Whurly, Lynn Bender, Bryan Menell and all the other patrons of the geek/tech movement here in Austin.
What was the most challenging aspect of starting up the blog?
What was amazing about starting this group was the ease of startup, we picked a domain name, setup a wordpress and off we went. I had just met Kristine within the month we started the blog, we were both at Jelly Austin, at Cafe Caffeine and just hit it off.
What is the next step for you and your group?
Our next step is keep providing great coverage of all types of events and to hopefully bring new ways of thinking about business, geekness and the spaces in between. We recently added two additional writers who we hope to offer even more perspective for our new generation of geeks.
What advice do you have for entrepreneurs?
The best advice I can give is to be sincere about what you want and how you want to do it. Keep at it and always remember to have fun, having fun is worth just as much as the millions you hope to make one day. And of course be Awesome!
Best regards,
Hall T.
Monday, April 6, 2009
My first exposure to FLOW, a socially minded movement started in Austin
by Guest bootstrap blogger Nina Godiwalla
I’ve always been fascinated by the Transcendental movement. It was driven by people determined to live out their idealist values, even if they had to shut themselves off from society to do so. One of my favorite short stories is by Louisa May Alcott, who lived in one of these utopian communities that her father was attempting to create, Fruitlands. It was a utopian socialist experiment in farm living and nature meditation. Maybe my fascination with these idealist groups is because at heart I’m an idealist, but at times, the harsh realities of life can make me a cynic.
The Transcendentalists come to mind because I just returned from my first FLOW (flowidealism.org) meeting in Austin. I learned of FLOW at Austin’s RISE conference for entrepreneurs, last week. During our meeting, we discussed what FLOW meant at length. FLOW’s mission is to liberate the entrepreneurial spirit for good. The end goal is conscious capitalism. I’ll give you the shortest version I heard. If people live conscious lives, this will lead to conscious businesses, which will lead to conscious capitalism. We sat in the room as lay people to FLOW. We were led by two facilitators who have been discussing this philosophy for over four years along with the leaders of the concept, John Mackey, Whole Foods CEO, and Michael Strong, a serial entrepreneur.
I am intrigued by the philosophy because it harmonized two of my life passions, which I find often conflict: mindfulness and business. FLOW provides a philosophy that allows businesses to exist in harmony with so many of the human ideals that are often foregone in name of profits. Whole Foods does operate in this innovative way. There are very few companies where so many employees really do adore their employer. The last Whole Foods person I spoke to said, “I never feel like I’m working here.”
We must have been so fascinated with one another at the FLOW meeting because by the time we finished introductions, the meeting was almost over. The group was interesting: one participant was part of Safer Way, the health food store out of a garage in Austin that later turned into Whole Foods. Back in that time period, folks had afros and were all smiles. Another participant was a former senior corporate executive who left the Board Room to take on work that her heart was calling her to do. There was also someone working on a project for child entrepreneurs, ranging from 6 years to 14 years old. Other participants included some who were laid off and eager to hear a new perspective on life. We all sat there eagerly and open-minded.
You could tell the grassroots feeling of FLOW because it was headquartered upstairs in the woman’s house who hosted the meeting. Even at 8pm, the staff workers were coming in and out of the house, diligently working, while we discussed the FLOW philosophy. Her upstairs was FLOW’s Fort.
There was a conscious effort to be inclusive. No one could be in front of or behind the circle we sat in. When we couldn’t find one night that we could all agree to meet next time, there was concerned looks accompanied by a long, defeated pause. At the end, we were handed sheets about how to use the Socratic practices during meetings.
Everyone had their own take-away for the evening. We did all leave inspired by the new thinking and the possibilities it could mean for our lives and the community. As one participant said, “it is relieving to have people to connect with on this journey.” Another quote some shared during the meeting, “The world needs you. Live your life so you can be found.”
Nina Godiwalla
I’ve always been fascinated by the Transcendental movement. It was driven by people determined to live out their idealist values, even if they had to shut themselves off from society to do so. One of my favorite short stories is by Louisa May Alcott, who lived in one of these utopian communities that her father was attempting to create, Fruitlands. It was a utopian socialist experiment in farm living and nature meditation. Maybe my fascination with these idealist groups is because at heart I’m an idealist, but at times, the harsh realities of life can make me a cynic.
The Transcendentalists come to mind because I just returned from my first FLOW (flowidealism.org) meeting in Austin. I learned of FLOW at Austin’s RISE conference for entrepreneurs, last week. During our meeting, we discussed what FLOW meant at length. FLOW’s mission is to liberate the entrepreneurial spirit for good. The end goal is conscious capitalism. I’ll give you the shortest version I heard. If people live conscious lives, this will lead to conscious businesses, which will lead to conscious capitalism. We sat in the room as lay people to FLOW. We were led by two facilitators who have been discussing this philosophy for over four years along with the leaders of the concept, John Mackey, Whole Foods CEO, and Michael Strong, a serial entrepreneur.
I am intrigued by the philosophy because it harmonized two of my life passions, which I find often conflict: mindfulness and business. FLOW provides a philosophy that allows businesses to exist in harmony with so many of the human ideals that are often foregone in name of profits. Whole Foods does operate in this innovative way. There are very few companies where so many employees really do adore their employer. The last Whole Foods person I spoke to said, “I never feel like I’m working here.”
We must have been so fascinated with one another at the FLOW meeting because by the time we finished introductions, the meeting was almost over. The group was interesting: one participant was part of Safer Way, the health food store out of a garage in Austin that later turned into Whole Foods. Back in that time period, folks had afros and were all smiles. Another participant was a former senior corporate executive who left the Board Room to take on work that her heart was calling her to do. There was also someone working on a project for child entrepreneurs, ranging from 6 years to 14 years old. Other participants included some who were laid off and eager to hear a new perspective on life. We all sat there eagerly and open-minded.
You could tell the grassroots feeling of FLOW because it was headquartered upstairs in the woman’s house who hosted the meeting. Even at 8pm, the staff workers were coming in and out of the house, diligently working, while we discussed the FLOW philosophy. Her upstairs was FLOW’s Fort.
There was a conscious effort to be inclusive. No one could be in front of or behind the circle we sat in. When we couldn’t find one night that we could all agree to meet next time, there was concerned looks accompanied by a long, defeated pause. At the end, we were handed sheets about how to use the Socratic practices during meetings.
Everyone had their own take-away for the evening. We did all leave inspired by the new thinking and the possibilities it could mean for our lives and the community. As one participant said, “it is relieving to have people to connect with on this journey.” Another quote some shared during the meeting, “The world needs you. Live your life so you can be found.”
Nina Godiwalla
Friday, April 3, 2009
Joshua Baer of OtherinBox Talks about the Capital Factory
Joshua Baer of OtherinBox Talks about the Capital Factory
Where are you from originally?
I grew up in Nashua, NH. It's basically a suburb of Boston, MA. I love New England, but I'm much happier dealing with a Texas summer instead of a New Hampshire winter!
What university did you go to?
I studied Computer Science and Information Decision Systems at Carnegie Mellon University in Pittsburgh, PA. The late 90's was a really fun time to be there - I felt like the Internet was sprouting up all around me. It was the kind of place where you could check a web page to see if the coke machine had any Dr. Pepper left and you regularly saw robots in the hallways.
What brought you to Austin?
I came here after graduating from CMU in 1999 to work in the incubator at Trilogy Software. I still am friends with and work with dozens of the people I met at Trilogy. I'm not the first person to credit Joe Liemandt for bringing thousands of smart, entrepreneurial technologists to Austin. Many of them stayed here and are running companies of their own now.
What is the idea behind Capital Factory?
First-time entrepreneurs want to ask questions of successful entrepreneurs. Successful entrepreneurs like investing in young entrepreneurs. Entrepreneurs of all kinds thrive on each other's passion. Capital Factory brings together first-time entrepreneurs with successful entrepreneurs in an intense 10 week summer program. Startups get $20,000 in cash, $20,000 in free stuff, and 20 successful mentors who work with them over the course of the summer to identify their first customers and secure their next round of financing if needed.
What need does it fulfill?
Gaps have formed in the traditional funding path for early stage companies. Many venture capitalists are moving towards bigger funds that invest larger amounts of money in lower risk companies that have already proven their model. Angel investors are banding together into syndicates that look more and more like venture capitalists. We think we can help to fill some of those gaps and then introduce companies to angel investor groups or venture capitalists at the right time.
How exactly will the process work?
Each week there will be a group session where one or more mentors presents to all of the companies and then there will also be one-on-one sessions with individual mentors. We have a good idea what the structure will look like, but we'll adapt the actual topics based on the companies that are selected and specific challenges they are facing.
Who is it for?
Most importantly, we want to get involved with companies that we can have the biggest impact on. After all, its not really about the $20,000 it’s about the 20 mentors who are going to spend time with the companies and help them to focus on the right priorities and with key introductions to customers, partners, employees and investors. If someone submitted a great company idea, but none of us had any real value add beyond the money, we'd probably pass on the deal and select another company that we thought we could really benefit from our advice and relationships.
We like lean companies that can get to profitability quickly and can scale rapidly. Most of us have technology backgrounds and while it is not a requirement, it is very likely that the companies we select will have technology components to them. We're happy to start with just an idea on a napkin, but we'll also work with companies that have some customers or angel investors and are now ready to scale their business.
What is the next step?
Applications are due this Friday, April 3 and so then we have about 2 weeks to work through more than 100 applications and select 10 finalists and 3 winners. Then its time to get to work!
What advice do you have for entrepreneurs?
If you are an entrepreneur starting a new company and want this kind of support, you probably should apply to a bunch of programs, see which ones you get accepted into, and select the one that has the mentors who you think can help your business the most.
Best regards,
Hall T.
Where are you from originally?
I grew up in Nashua, NH. It's basically a suburb of Boston, MA. I love New England, but I'm much happier dealing with a Texas summer instead of a New Hampshire winter!
What university did you go to?
I studied Computer Science and Information Decision Systems at Carnegie Mellon University in Pittsburgh, PA. The late 90's was a really fun time to be there - I felt like the Internet was sprouting up all around me. It was the kind of place where you could check a web page to see if the coke machine had any Dr. Pepper left and you regularly saw robots in the hallways.
What brought you to Austin?
I came here after graduating from CMU in 1999 to work in the incubator at Trilogy Software. I still am friends with and work with dozens of the people I met at Trilogy. I'm not the first person to credit Joe Liemandt for bringing thousands of smart, entrepreneurial technologists to Austin. Many of them stayed here and are running companies of their own now.
What is the idea behind Capital Factory?
First-time entrepreneurs want to ask questions of successful entrepreneurs. Successful entrepreneurs like investing in young entrepreneurs. Entrepreneurs of all kinds thrive on each other's passion. Capital Factory brings together first-time entrepreneurs with successful entrepreneurs in an intense 10 week summer program. Startups get $20,000 in cash, $20,000 in free stuff, and 20 successful mentors who work with them over the course of the summer to identify their first customers and secure their next round of financing if needed.
What need does it fulfill?
Gaps have formed in the traditional funding path for early stage companies. Many venture capitalists are moving towards bigger funds that invest larger amounts of money in lower risk companies that have already proven their model. Angel investors are banding together into syndicates that look more and more like venture capitalists. We think we can help to fill some of those gaps and then introduce companies to angel investor groups or venture capitalists at the right time.
How exactly will the process work?
Each week there will be a group session where one or more mentors presents to all of the companies and then there will also be one-on-one sessions with individual mentors. We have a good idea what the structure will look like, but we'll adapt the actual topics based on the companies that are selected and specific challenges they are facing.
Who is it for?
Most importantly, we want to get involved with companies that we can have the biggest impact on. After all, its not really about the $20,000 it’s about the 20 mentors who are going to spend time with the companies and help them to focus on the right priorities and with key introductions to customers, partners, employees and investors. If someone submitted a great company idea, but none of us had any real value add beyond the money, we'd probably pass on the deal and select another company that we thought we could really benefit from our advice and relationships.
We like lean companies that can get to profitability quickly and can scale rapidly. Most of us have technology backgrounds and while it is not a requirement, it is very likely that the companies we select will have technology components to them. We're happy to start with just an idea on a napkin, but we'll also work with companies that have some customers or angel investors and are now ready to scale their business.
What is the next step?
Applications are due this Friday, April 3 and so then we have about 2 weeks to work through more than 100 applications and select 10 finalists and 3 winners. Then its time to get to work!
What advice do you have for entrepreneurs?
If you are an entrepreneur starting a new company and want this kind of support, you probably should apply to a bunch of programs, see which ones you get accepted into, and select the one that has the mentors who you think can help your business the most.
Best regards,
Hall T.
Wednesday, April 1, 2009
Chris Ritchie of the Austin Inventors and Entrepreneur Association Talks about His Group
Chris Ritchie of the Austin Inventors and Entrepreneur Association Talks about His Group
Where are you from originally?
Sherman, Texas
What university did you go to?
St. Edwards University, Austin, Texas
What brought you to Austin?
I had family working at IBM and the lure of the lakes, music and high tech was just too much.
What is the idea behind your group?
The most common question I get is “hey, I have this great idea … now what?” Austin Inventors and Entrepreneurs Association (AIEA - http://austininventors.org) is a non-profit focused on helping the individual inventor and/or entrepreneur answer that question.
What need does it fulfill?
AIEA is focused on helping the individual inventor and/or entrepreneur take the next step in the process. No matter where they are in their venture.
What exactly does your group do?
AIEA provides both online and in person opportunities for individuals in the Austin area to get access to resources that will help them in their efforts to get from idea to product. Additionally, local subject matter experts volunteer their time to provide invaluable insight to topics such as patents, finance, organization, marketing and more. As a side benefit meetings are often a positive conduit to networking. AIEA is a pay-it-forward organization that believes in the spirit of giving back to the community.
Who is it for?
We are primarily focused on providing resources to the individual inventor and/or entrepreneur. Typically the majority of members are in the early stage of idea development in much need for answers to the many questions that plague a start up venture.
What was the most challenging aspect of starting up the group?
Idea folks are protective of their ideas and understandably so. There are more scams that legitimate help in the idea industry. Getting an idea sufficiently in to the light to get it to the next step is a significant challenge.
What is the next step for you and your group?
We are looking for better ways to bring idea developers together with product developers shopping for ideas.
What advice do you have for entrepreneurs?
The demand for new and innovative ideas is stronger than ever. Don’t be discouraged by economic rhetoric. Be determined to get your idea to the next step and be bold in seeking out those who might play a critical role in your success.
Best regards,
Hall T.
Where are you from originally?
Sherman, Texas
What university did you go to?
St. Edwards University, Austin, Texas
What brought you to Austin?
I had family working at IBM and the lure of the lakes, music and high tech was just too much.
What is the idea behind your group?
The most common question I get is “hey, I have this great idea … now what?” Austin Inventors and Entrepreneurs Association (AIEA - http://austininventors.org) is a non-profit focused on helping the individual inventor and/or entrepreneur answer that question.
What need does it fulfill?
AIEA is focused on helping the individual inventor and/or entrepreneur take the next step in the process. No matter where they are in their venture.
What exactly does your group do?
AIEA provides both online and in person opportunities for individuals in the Austin area to get access to resources that will help them in their efforts to get from idea to product. Additionally, local subject matter experts volunteer their time to provide invaluable insight to topics such as patents, finance, organization, marketing and more. As a side benefit meetings are often a positive conduit to networking. AIEA is a pay-it-forward organization that believes in the spirit of giving back to the community.
Who is it for?
We are primarily focused on providing resources to the individual inventor and/or entrepreneur. Typically the majority of members are in the early stage of idea development in much need for answers to the many questions that plague a start up venture.
What was the most challenging aspect of starting up the group?
Idea folks are protective of their ideas and understandably so. There are more scams that legitimate help in the idea industry. Getting an idea sufficiently in to the light to get it to the next step is a significant challenge.
What is the next step for you and your group?
We are looking for better ways to bring idea developers together with product developers shopping for ideas.
What advice do you have for entrepreneurs?
The demand for new and innovative ideas is stronger than ever. Don’t be discouraged by economic rhetoric. Be determined to get your idea to the next step and be bold in seeking out those who might play a critical role in your success.
Best regards,
Hall T.
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