Entrepreneurs + Innovators

growing minority-owned businesses recognized by charter one leadership circle
Nine northeast Ohio minority companies were recognized on May 22 at the JumpStart offices as inaugural members of the Charter One Launch100 Leadership Circle. The Circle recognizes diverse entrepreneurs committed to turning their business ideas into some of the region’s most impactful minority-owned or led companies. 
 
“It was a really wonderful event,” says Gloria Ware, JumpStart senior advisor. “It was a really good example of companies that are willing to grow jobs and keep moving forward.”
 
Minorities account for 40 percent of the entrepreneurial community, yet many of the companies have only one or two employees. These nine companies are on track to have an average of 50 employees in the next three to five years.
 
“We would like to highlight these entrepreneurs who are mentors or role models to other minority entrepreneurs in the community,” says Ware.  “Entrepreneurs in general can feel very overwhelmed and alone in their business. I think this was a good event for them to move forward.”
 
The nine companies are: Algae Producers of America, CFRC Water & Energy Solutions; MET Innovations; OPTIMA Lender Services; Queen Ann Inc.; RKN Corporation; Simply Southern Sides; Wellness Integrated Network; and Zuga Medical.
 
Ware says the event was also beneficial for the Charter One bankers in attendance. “They got to hear some of the entrepreneur’s struggles,” she says. “It was a win-win for everyone.”
 

Source: Gloria Ware
Writer: Karin Connelly
women’s entrepreneurship day celebrates leadership, collaboration in business
Elite Women Around the World and COSE hosted Women’s Entrepreneurship Day Thursday, May 31 at the COSE offices. The event featured speakers, panel discussions, professional development sessions and networking, all along the themes of entrepreneurship, leadership, innovation, economic development and social impact.
 
Elite Women Around the World also honored four women with the Women of Distinction Award.
 
“This recognition is for women who have gone above and beyond the call of duty,” says Rita Singh, Elite Women founder and CEO. “These women serve as role models and create projects or programs beyond their normal duties, which help other women achieve success.”
 
The women honored were Lori DeVore, CEO and president of Devore Technologies; Stella Moga Kennedy, founder, president and CEO of LeChaperon Rouge childcare and elementary schools; Venera Izant, Merrill Lynch financial advisor, Izant-Creadon Group; and Cyndie Spanier, psychologist and  deputy commissioner, Pittsburgh Behavioral Medicine.
 
Singh created Elite Women as a forum for women to share their knowledge with other women. “In a lot of organizations, people are in it for themselves,” she explains. “I’m trying to tell them you will be getting more if you give back.”
 
Every Elite Women member must mentor at least one person, creating a large support network within the organization. “Every woman who joins brings another woman to mentor,” says Singh. “So they’re not thinking about themselves, they are thinking about someone else.”

 
Source: Rita Singh
Writer: Karin Connelly
modern hostel to cater to travelers who aim to experience cleveland rather than simply visit it
The soon-to-open Cleveland Hostel in Ohio City will be the area's only modern hostel catering to travelers who aim to experience American cities rather than simply visit them. The venture unites owner Mark Raymond's passion for wanderlust with his beloved hometown, thus enabling him to showcase Cleveland via a unique, affordable venue.
cellbank technologies gets $25k from innovation fund
CellBank Technologies offers a way for surgery patients to plan for future surgeries. The startup company allows patients undergoing knee and hip replacement surgeries to store their own stem cells for possible future procedures. CellBank recently received $25,000 from the Innovation Fund.
 
“We offer a way to harvest and store stem cells without requiring a second surgical procedure,” explains Rachel Uram, CellBank founder and president. “There are one million hip or knee replacement surgeries each year, and surgeons go in and throw out a lot of stem cell-rich tissue. In 2005, five percent of replacement patients had a second surgery that required a bone graft.”
 
Using a patient’s own stem cells in a grafting procedure is “the gold standard in grafting,” says Uram. “Ten years ago they would go into the hip and harvest the tissue and use it. There were more patient complications and it was more painful.”
 
CellBank offers a better solution. “We collect specific tissues, process and store them so the patient doesn’t need a second procedure in situations like bone graft surgeries,” says Uram.
 
The family-run business has three founders, and they have brought on four part-time consultants. They are in the process of raising $1.5 million in seed money to complete testing. The Innovation Fund money will help bring CellBank closer to accepting customers.
 
“When we’re up and running we expect to have 15 to 16 employees,” says Uram. “Everybody loves the idea.”
 
Source: Rachel Uram
Writer: Karin Connelly
 
stockyards employs goats as nature's lawnmower for vacant lots
Megan Meister chuckles as she thinks of the unlikely collision of worlds involved in planting four eat-everything-in-sight goats in the midst of Stockyards -- a neighborhood that long ago shed its past as the home of the city's slaughterhouses.

Yet to Meister, the ebullient director of the Stockyards, Clark Fulton and Brooklyn Centre Community Development Organization, the area's new "Mow Goats" program is about the re-greening of the neighborhood, teaching kids and families about urban agriculture, and possibly even saving the city some money.

"Kids in urban areas don't get the opportunity to be around farm animals very often," says Meister, who worked with residents, The County Line Farm in Geneva, Ohio and the City of Cleveland to pioneer the 25-day program. "This is a creative way to address the problem of vacant lots in our neighborhood."

The "ladies," as they're known at the office, have a regular 9-to-5 job mowing a lot at W. 61st and Frontier Avenue. When they're done with that -- soon, based on their seemingly unstoppable appetite for anything leafy and green -- they'll be rotated to another lot. Meister hired a full-time goat herder for the project.

The Stockyards office receives a slew of calls every season about mowing lots. The City of Cleveland mows lots a few times per year and attempts to collect from property owners, but lacks the resources to mow them more regularly.

Meister hopes the project can be replicated elsewhere. She estimates that it would cost about $9,000 to $10,000 per six-month season to rent four goats, which is actually cheaper than what the city typically charges property owners to mow lots. The excess goat poop is being used to fertilize neighborhood gardens.


Source: Megan Meister
Writer: Lee Chilcote
birdhouse studios' nesl takes grand prize in product contest
Birdhouse Studios’ Nesl won the William McShane Fund Kickstarter project competition, taking home $25,000 and the opportunity to have the Nesl sold in Brookstone stores across the country. Nesl, which is a flexible rubber nine-fingered desk organizer with suction cups to hold it where ever you stick it, beat out two other projects in the finals.
 
“It’s been very exciting,” says Josh Dryden, who created the Nesl with partners and fellow recent Cleveland Institute of Art graduates Sam Li and Pete Whitworth. “The biggest part is being in nationwide stores at Brookstone.”
 
The contest was sponsored by Brookstone and Buckyballs. Voters could vote once a day on the contest site.
 
Birdhouse Studios recently raised $30,000 in pledges through a Kickstarter campaign before going on to win the McShane contest. The team met with their manufacturer last week and presented updated CAD files for the Nesl. “We want to start manufacturing as soon as possible,” says Dryden.
 
While the Nesl’s popularity in the voting varied over the voting period -- at one time it was in third place on the last day -- Dryden credits everyone at CIA with helping to secure the win. “We talked to everyone we could at CIA,” he says.
 
The team heads to New York this week to meet with Brookstone.

 
Source: Josh Dryden
Writer: Karin Connelly
lucy's sweet surrender opens new bakery and bakeshop in shaker heights
Cleveland's original artisan bakery, Lucy's Sweet Surrender, has finished its move from Buckeye Road to a larger, better situated space in the former Chandler and Rudd building in Shaker Heights.

The new, 3,500-square-foot space features a small retail storefront that opens up to a bakery where visitors can watch the scratch baking process. The traditional Hungarian bakery, a dying breed that once thrived in Cleveland neighborhoods, intends to ramp up its retail business. It will also continue to pop up at area farmers markets, make deliveries in Cleveland and ship orders by mail. 

Owner Michael Feigenbaum says Lucy's is busy at its new, well-trafficked location. "This week, we'll be at four farmers markets and we're already well into wedding cake season," he says. "The growth of new, artisan bakeries in Cleveland has helped us by raising the bar on what our customers are looking for."

Feigenbaum is already dreaming of Phase II of his expansion plans, which may include re-launching a prepared foods business, creating a small cafe, or partnering with other vendors. The Chandler and Rudd building has an additional 3,500 square feet that offer a blank canvas for the owner's next creation.

The long-awaited reconfiguration of the Warrensville/Van Aken/Chagrin intersection will only help him by creating a more vibrant urban district that can compete with Legacy Village and other lifestyle malls, says Feigenbaum.


Source: Michael Feigenbaum
Writer: Lee Chilcote
rising star coffee roasters now open in ohio city firehouse
Kim Jenkins of Rising Star Coffee traded his job overseeing 110 scientists and engineers at Lockheed Martin in Florida to move to Spencer, Ohio, and launch a new coffee roaster in Cleveland.

Given his background in driving technological innovation, it comes as no surprise that his approach to roasting the best possible coffee beans is, well, innovative.

"Specialty grade coffee is the top half to one percent of coffee beans on the market, and that's all we do," says Jenkins, who recently set up shop in the Ohio City Firehouse building on W. 29th Street. "Coffee is the second largest commodity trade after crude oil, and there's plenty of room for growth in Northeast Ohio."

Jenkins' plan is to sell beans wholesale while also marketing to individual consumers and selling coffee by the cup. He's capitalizing on rising consumer interest in the highest-grade coffee, he says. His model appears to be working, as his fledgling company is gaining at least one wholesale customer per week. (The retail operation is still in the works.)

Rising Star's coffee retails for about $14 to $18 per pound, with the higher end reserved for small batch beans produced on micro-lots in Brazil and other places he's visited. He has hired four young workers to assist him with his growing roster of accounts.

"The goal of Rising Star is to create a sustainable business model, make a little money and give opportunities to the young people who work here," he says.

Jenkins says the main difference between his coffee and others is flavor. "You'll be able to taste the coffee like it's supposed to taste, instead of it being weak, burnt or bitter," he says. "People describe it as sweet, nutty, fruity or tasting of cocoa. Most of the world drinks coffee that tastes like that. It doesn't even need sugar."


Source: Kim Jenkins
Writer: Lee Chilcote
recycling and composting forum highlights need to ramp up city goals, create jobs
Communities in Cuyahoga County are recycling about 50 percent of their waste on average, Diane Bickett, Executive Director of the Cuyahoga County Solid Waste District, told the audience at the recent Cleveland Composting and Recycling Forum.

Austin, Texas has an ambitious goal of reaching zero waste by 2040, which means reducing the amount of trash sent to landfills by 90 percent.

The question now becomes: How does our region advance those goals while encouraging communities with dismal levels of recycling to raise the bar? That was the question that Bickett posed to the crowd during the one-day examination of recycling and composting in our region.

The City of Cleveland has one of the lowest levels of recycling in Cuyahoga County at about seven percent. Cleveland Heights and Lakewood hover around 60 percent, and Pepper Pike is over 70 percent. Bickett said that Cleveland and other cities could improve recycling rates by focusing on new, automated technologies, expanding organic collection, adding more recycling in public spaces, making citywide policy changes, and better educating residents and businesses.

Beyond the sustainability benefits, recycling also creates jobs. "For every job in the disposal industry, 17 are created in the recycling industry," Bickett said.

Given the prowess of the local food and urban agriculture movements in Cleveland, Bickett cited an opportunity to create composting facilities run by volunteers and community organizations that generate nutrient-rich soil.

Councilman Brian Cummins criticized the city's one-size-fits-all disposal fee and unambitious recycling goals (the city aims to recycle up to 25 percent of its waste by building a waste-to-energy facility and rolling out curbside recycling citywide). 

Cummins also promoted the idea that recycling could generate local jobs, although he and Bickett acknowledged that recycling programs actually cost cities money.

City of Cleveland representatives were invited to attend the forum but declined.


Source: Diane Bickett, Brian Cummins
Writer: Lee Chilcote
brewing up a business: from homebrewer to microbrewer
Cleveland is nationally known as a brewing mecca. While established breweries like Great Lakes and Buckeye Brewing continue to expand, smaller startups are popping up in their shadows. Nourished by home-brewing clubs and finding strong models in Cleveland’s prize-winning breweries, many of these entrepreneurs started by brewing small batches in their basements or garages.
midtown cleveland celebrates the reinvention of its thriving neighborhood
Technology, health care, food and rock and roll -- these are just a few of the industries flourishing in the eclectic Midtown neighborhood, its leaders told a sold out crowd at the Midtown Cleveland Inc. annual meeting at the InterContinental Hotel.

Key accomplishments within the past year include a successful lawsuit that stopped the Ohio Department of Transportation (ODOT) from closing Innerbelt ramps until a study has been completed; breaking ground on several new projects within the Health-Tech Corridor; securing a commitment for a new Third District police headquarters on Chester Avenue; facilitating the redevelopment of the historic Agora Theatre; and completing a new plan to transform the East 55th and Euclid intersection into a more vibrant downtown for the neighborhood.

"We are succeeding in reinventing MidTown Cleveland," said Director Jim Haviland.

"A healthy urban core helps all boats to rise, and MidTown is an example," said Len Komoroski, President of the Cleveland Cavaliers and Quicken Loans Arena, during a keynote address that touted the Cavs' investment in Cleveland. Komoroski said the Cavs had spent millions renovating Quicken Loans Arena into a "dynamic urban environment" that attracted people to visit downtown.

Komoroski shrugged off concerns that the new Horseshoe Casino would be a self-contained facility whose visitors would not spend money elsewhere in Cleveland. "This is a decidedly knit-into-the-urban-environment casino," he said. As an example of the spillover benefits of a casino that Komoroski claimed is "underserved from a food and beverage perspective," he cited the fact that Michael Symon recently tweeted about a record night at Lola on East 4th.


Source: Jim Haviland, Len Komoroski
Writer: Lee Chilcote
cleveland among zagat's listing of hottest food truck towns
Zagat asked its readers to weigh in on the best cities to enjoy food truck fare. Cleveland was one of only 10 cities in the running.

Cleveland, OH

"Fairly recently, the City of Cleveland decided to renew a law that allowed food trucks to roam the city that 'rocks.' However, they can only operate with permission from their councilperson. A few dozen trucks and growing, residents have options like Streat Mobile Bistro (healthy, local, organic) and fig “burger” dealer Hodge Podge. Also, there's Umami Moto which serves Asian-fusion food -- inspired by LA’s Kogi Truck perhaps?"

Check out all the city scenes here.
great lakes brewing jumps in craft beer rankings
According to beer sales volume calculated by The Brewers Association, a Boulder-based not-for-profit trade group that tabulates production statistics for U.S. breweries, Great Lakes Brewing Company is now the 18th largest craft brewery in the country. That is a jump from the #22 position the previous year.
 
According to the same stats, Great Lakes also is now the 27th largest American brewery overall, up from #31 previously.
 
Great Lakes produces over 110,000 barrels of beer annually and serves 13 states and Washington D.C. The company will celebrate its 25th anniversary in 2013.

See all the sudsy stats here.
eye for vintage accessories leads to unique events-rental company
Maria Blatnick owns more than 200 chairs. None of them match. Not to mention various patterns of antique china, vintage picture frames, galvanized washtubs and windows. “It really runs that gamut,” says Blatnick.

Such an eclectic collection led Blatnick to start HodgePodge Vintage Rentals, a source to rent props and accessories for weddings, events and photo shoots.
 
HodgePodge merges Blatnick’s love for unique design with her love for beautiful things. With a background in retail, she uses her styling experience to develop an eye for vintage products. Her services include rentals (delivery, set up and takedown); event and photo shoot styling; and customized searches for that perfect piece.
 
“It combines everything I’ve always done on the job,” Blatnick says of her business. “I’ve probably driven more than 150 miles at a time to the middle of nowhere. I’ve gone to a lot of antique stores, garage sales, flea markets.”
 
Weddings are popular for rentals right now, for brides looking to be different. ”I have a really large demographic,” says Blatnick. “Mostly I appeal to first-time brides ages 26-32 who want a more personalized, creative, individualized event.”
 
One of Blatnick’s current favorite themes plays on the farm-to-table trend. “My clients want a really homespun feel,” she explains. “They want a real down-home farm feeling.” Rentals to create the feel include windows, washtubs and, of course, vintage chairs.
 
Other popular rentals include books, cameras and suitcases. While Blatnick is trying to list her goods on her website, she is in the process of securing a storefront in 78th Street Studios.

 
Source: Maria Blatnick
Writer: Karin Connelly
ohio city's great lakes brewing adds two 300-barrel fermentation tanks
Great Lakes Brewing Company is now the 18th largest craft brewery in the U.S. and the 27th largest overall. The company brews more than 110,000 barrels of handcrafted beer every year.

The brewing process takes place in a warehouse at Carroll Avenue and West 28th Street near the West Side Market. Visitors to Great Lakes Brewing Company's flagship bar and restaurant on Market Avenue often can catch a whiff of the beer brewing and fermenting as they walk in to grab a pint.

Recently, Great Lakes purchased and installed two new 300-barrel fermentation tanks to further expand its brewing capacity. The new equipment, which was hoisted in by crane through the roof of its Carroll Avenue tank farm, is on top of $7 million in capital improvements completed in 2010 to expand capacity.

Great Lakes beer is now available in 13 states and Washington D.C., and the company has a philosophy of supporting sustainability and natural, locally grown food. Owners Patrick and Daniel Conway have plans to deepen Great Lakes' presence in existing markets as they celebrate its 25th anniversary in 2013.


Source: Great Lakes Brewing Company
Writer: Lee Chilcote
orlando baking company will expand its operations, add 15 workers
The Orlando Baking Company, which was founded in 1872 in Castel di Sangro, Italy and came to Cleveland in 1904, has received a $1.3 million Clean Ohio grant to clean up a brownfield adjacent to its facility at E. 79th and Woodland Avenue. Orlando plans to expand onto the property, retaining about 40 jobs and creating 15 new jobs. 

The funds will be used to demolish and remediate the former Van Dorn property at 2700 E. 79th Street. The City of Cleveland is a partner in the cleanup project.

Orlando Baking sells bread throughout Northeast Ohio and around the country. Orlando recently introduced a probiotic bread that contains the same healthy microbes that exist in foods such as yogurt. The company has expanded several times in its Cleveland location, and currently employs about 300 workers.

Clean Ohio grants are provided through a competitive application process to allow for the reuse of commercial and industrial properties that are currently underutilized. Since its inception, 150 Clean Ohio Revitalization Fund projects have been awarded more than $295 million, leveraging $2.5 billion in private sector investment and creating and retaining more than 12,500 jobs.


Source: Ohio Department of Development, Orlando Baking Company
Writer: Lee Chilcote
owner of thriving downtown real estate biz nabs realtor award
Scott Phillips Jr., president of Keller Williams Realty Greater Cleveland, has been named one of Realtor Magazine’s 30 Under 30. Each year the magazine recognizes 30 young practitioners who are making a mark in the real estate industry through success in real estate sales, business management, leadership, or community service.
 
Tapping into the renewed interest in downtown living, Phillips, 28, has grown a thriving real estate business out of an old factory in the Warehouse District focused on the urban market. Since 2009, Phillips has grown his office to 29 agents and employees with a capital budget of $1 million. In the past year alone he has added eight people to his team.
 
Phillips is the first Ohio agent to win the 30 Under 30 award in 12 years. He is Cleveland’s top producing realtor between 2009- 2011, and has sold over $50 million in homes in Cleveland during that period.

“The award is usually reserved for the East Coast and West Coast because those are areas where the purchase prices are typically higher,” explains Phillips.
 
Phillips spotted the market potential in downtown Cleveland after living in the city. “I promoted living in the area before I became a license agent,” he says. “It wasn’t as much about business as being passionate about it.”

 
Source: Scott Phillips, Jr.
Writer: Karin Connelly
flexible desk organizer takes off as portfolio project for three cia students
Last summer, Cleveland Institute of Art product design students Josh Dryden, Sam Li and Pete Whitworth were tossing around ideas for a project that they could add to their portfolios. What they came up with also turned into a lesson in business.
 
Using their design knowledge, the three decided to tackle the challenge of desk clutter. After some design sketches, 3-D modeling and prototypes, they came up with The Nesl, a nine-fingered, flexible-rubber desk organizer with suction cups that hold it where ever you stick it.
 
“The idea was you can really shove anything in it -- paper, pens, phones -- whatever you have on your desk,” says Dryden.
 
The trio developed the prototype in Cleveland, and then listed it on Kickstarter to get funding. They were successful. Birdhouse Studios raised well over the $30,000 pledge goal by the time the listing closed yesterday, making it possible to continue manufacturing the Nesl and delivering it to the hundreds of backers who pledged money.
 
“It’s been a huge learning experience,” says Dryden. “We’ve learned a lot about the manufacturing process, about shipping and holding products. If the Nesl takes off, we’ll have an online store and sell other products.” Dryden, Li and Whitworth graduated earlier this month.
 
Additionally, Nesl was chosen as a contender for the William McShane Fund contest. Twelve Kickstarter companies get a shot at $25,000 startup money from Buckyballs and a product launch at Brookstone stores. The winner is chosen through Facebook votes. Nesl made it through the first round of voting and is now one of six finalists. The winner will be announced on June 1.
 

Source: Josh Dryden
Writer: Karin Connelly
salon points to gordon square as model of arts-district development
In a feature titled "Urban entertainment districts: Blocks where no one has fun," Salon writer Will Doig describes the modern “urban lifestyle destination” as a "swath of cityscape whose character has been preordained by a city council vote and is now identified by brightly colored banners affixed to lampposts."
 
“The problem with these created-overnight districts is that you’re trying to create a culture as opposed to letting one grow,” Nathaniel Hood, a Minneapolis-based transportation planner, is quoted in the piece. “You’re getting the culture that one developer or city council member thinks the city needs, as opposed to the ground-up culture that comes from multiple players.”
 
Cleveland's Gordon Square Arts District is mentioned as an example of a neighborhood that got it right.
 
"[Milwaukee's] Water Street is an example of how, when the city declines to step in, citizens will. In a less cacophonous way, Cleveland has done this with its Gordon Square Arts District, where a group of nonprofits got together and created their own urban district where theaters already existed.
 
“You had three very humble nonprofit organizations, no powerful boards, that just needed capital improvements,” says Gordon Square's executive director Joy Roller.
 
Read the rest of the good news here.
babies travel too takes top award at bad girls graduation
More than 100 people turned out May 16 at the Ohio City Firehouse to celebrate the newest graduates of Bad Girl Ventures’ business plan competition. Babies Travel Too was the recipient of a $25,000 loan from KeyBank.
 
Babies Travel Too was created by Alison Musser, who based the company on her own experiences as a parent. The company provides nightly and weekly rentals of full-size cribs, car seats, strollers and other essential baby gear to people traveling to the Cleveland metropolitan area. The equipment is JPMA-certified and sanitized before every rental.

“Musser not only had a good idea; she was the right person to run the business,” says Rachel Czernin, director of marketing and developments for BGV. “She is smart, dedicated, and has personal experience in this area. She uniquely understands the predicament traveling mothers have and has the business sense to develop her concept and turn this regional business into a national business.”

Three additional companies received $5,000 loans from The Giving Back Gang. Those companies were: Anne Hartnett, creator of Harness Fitness, Inc., Cleveland's first sustainably run group cycling studio and fitness clothing retailer; Karen Malone Wright, creator of TheNotMom.com, a blog for women who are childless; and Kelley Hynds creator of Hyndsight Media, an online video journalism platform that provides short-form video web spots on current social and civic topics.
 
The event was sponsored by Huntington Bank, Additional support came from The Cleveland Foundation and The Business of Good Foundation. “Catering was provided by past finalist and loan recipient Hungry Bee Catering.
 

Source: Rachel Czernin
Writer: Karin Connelly