ideamensch hits cleveland in nationwide entrepreneur education tour
Mario Schulzke has always been fascinated with the spirit and drive behind entrepreneurs. The Plettenberg, Germany native came to America on his own at age 16, went to college and ended up in advertising in Los Angeles.
 
“I always wanted to be an entrepreneur but I couldn’t because of my work permit,” Schulzke recalls. So in 2009, he launched IdeaMensch, a vehicle to celebrate and learn from entrepreneurs. “I’d always admired entrepreneurs and people who brought their ideas to life. The original idea was to learn more from these people.”
 
This year Schulzke, now 31 and with his green card, decided to take his search on the road. He and a few friends are traveling across the country, inviting local entrepreneurs to share their stories. “People with ideas truly live everywhere,” Schulzke says. “I figured there was no better way to start this than to go on a road trip and try to learn from these people in person.”
 
The group is organizing 50 events in 48 states in 115 days. This past week they were at Quicken Loans Arena. The entrepreneurs featured were Eric Wobser of Ohio City Inc., Joe Pulizzi of Content Marketing World, Laura Bennett of Embrace Pet Insurance, David Levine of Wireless Environment and Deb Papes-Stanzak of Ronwear. Each entrepreneur gave a 15-minute speech about how and why they brought their ideas to life, followed by a brief Q&A.
 
Schulzke’s goal is to get other would-be entrepreneurs to act on their ideas. “The goal is to encourage and inspire people to bring their ideas to life,” he says. “If I could get one person to say ‘I have this idea and I’m going to get started on it,’ I’ll be happy.”

 
Source: Mario Schulzke
Writer: Karin Connelly
cose to encourage new business with its second annual business pitch competition
COSE is looking for a few good startups. The organization’s second annual business pitch competition will be held on Thursday, October 18 at Pickwick and Frolic. Competition finalists will outline their ideas to a panel of experts, including Jeff Hoffman, founder of Priceline.com.
 
“So many small business owners just starting out with a new idea need more than money and someone to talk to,” says Megan Kim, COSE director of education and programs. “We’re challenging the business owner to think about their business in a new way, think about why their business is so unique.”
 
To get in front of the panelists, entrants must put together an executive summary and a two-minute video pitch. Applicants must be in business less than two years and have less than $250,000 in gross annual revenue.
 
Twenty semi-finalists will be chosen to give a 15-minute presentation and answer questions from the panel. From there, four finalists will be chosen to present at Pickwick and Frolic. The winner will receive $20,000, while second place gets $10,000 and third and fourth places receive $5,000 each.
 
The competition is designed to both encourage and educate small business owners in the area.

“It’s so great to see so many people with the entrepreneurial bug,” says Kim. “People who start their own businesses don’t always know where to go or what questions to ask. This competition gives them someone to talk it through with, it gives them connection and the chance to find their roots.”
 
The deadline to submit the executive summary and video pitch is Tuesday, Sept. 4 by 5 p.m.

 
Source: Megan Kim
Writer: Karin Connelly
bad girl ventures to hold its third business education series this fall
Bad Girl Ventures will host its third business education series that culminates with the chance for female participants to win a $25,000 loan. The nine-week session begins on September 19 at the Lakewood campus of University of Akron.
 
Classes cover everything from legal and accounting to business plans and marketing to improving credit scores to resources available for financing.

“We try to hit on everything on the mind of the small business owner,” explains Reka Barabas, director of BGV Cleveland. Emphasis is placed on access to capital, which is sometimes a challenge for female business owners. “Only a small segment of women-owned businesses -- about five percent -- are accessing the capital available to small business owners,” says Barabas.
 
Since its initial launch in Cincinnati, BGV has educated over 400 women, awarded over $190,000 in low-interest loans and helped secure over $1,000,000 in outside funding for female entrepreneurs throughout Ohio. 
 
Past finalists have gone on to find success in their businesses. For instance, Paula Hershman, founder of Storehouse Tea Company, just got into a new store with her product and Kelley Hynds of Hyndsight Productions just finished a video for a client, which was screened in the White House.

The application deadline for the classes is Aug. 31.

 
Source: Reka Barabas
Writer: Karin Connelly
daily drink specials on your iphone? barkudo is the app for that
In 2011, Trevor Shaw was working in sales and marketing for an industrial parts distributor, searching through Google AdWords accounts when his wandering mind struck upon an idea. “I was bored and thinking about the previous weekend and all the fun I had,” Shaw recalls. “So I started thinking.”
 
Shaw’s thinking led to Barkudo, an iPhone app that allows bar managers to input daily drink specials so customers within a five-mile radius can redeem them on their phones.
 
“The bar manager goes to the Barkudo website, logs in to their merchant account and creates deals throughout the week,” explains Shaw. “Users open the app within five miles of that bar and will see the specials.”
 
Barkudo differs from deal sites like Groupon in that users do not prepay for the special, and bar owners do not have to wait for their money. “The bar owners receive their money at the point of sale, up front from the customer,” says Shaw.  “There’s no printout. You just have to be at the location to get the deal.”
 
In just a few weeks -- Barkudo launched at the end of July -- Shaw has commitments from Panini’s on Coventry, The Cedar Lee Pub and Grill, The Fairmount Martini and Wine Bar, and the Blind Pig. More bars are on the way in Ohio City, Tremont and Akron.

“In the next month we expect to be moving quickly as everything starts trickling in and moving week by week," adds Shaw.
 
Right now, Shaw works with a programmer to help him launch. He expects to hire a technical person and sales reps as the business grows.

 
Source: Trevor Shaw
Writer: Karin Connelly
cwru gets largest nih grant in northeast ohio history
The National Institutes of Health (NIH) last week awarded CWRU a $64.6-million, five-year grant for the continuation of a collaborative effort to bring medical research to hospitals, clinics and doctors’ offices, improving the health of patients in the region. The federal grant is the largest in Northeast Ohio history.
 
The NIH founded the Clinical and Translational Science Awards (CTSA) six years ago to accelerate the transition of medical ideas to medical applications. “Five years ago the NIH decided a program was needed to help bring basic decisions from the science lab to patients,” says Pamela B. Davis, CWRU School of Medicine dean and principal investigator. 
 
Cleveland is one of 61 institutions in the country to have a CTSA. Along with CWRU, the program is a collaborative effort between the Cleveland Clinic, MetroHealth System, University Hospitals Case Medical Center and Louis Stokes Cleveland VA Medical Center.
 
In addition to Davis, Richard A. Rudick, MD, vice chair of the Neurological Institute at Cleveland Clinic, serves as the effort’s co-principal investigator. The two applied for the original $64 million grant five years ago, which at the time was the largest in the region’s history.
 
More than 1,300 individuals have participated in CTSA-related efforts in the past five years in three categories: community engagement, teaching and mentoring, and acceleration of medical research and discovery.
 
For instance, doctor education on type 2 diabetes resulted in lowering three-month blood sugars in patients by an entire percentage point. “That’s enough to change the risk of complications,” says Davis. “It gives us the ability to make a real impact.”
 
Other efforts included retaining children with high blood pressure to run a portion of the Rite Aid Cleveland Marathon, resulting in significant long-term drops in blood pressure.
 
“We’re trying to reach into the community and make a difference,” says Davis. “We have done a lot of partnerships in town, and we’re looking forward to expanding that.”

 
Source: Pamela B. Davis
Writer: Karin Connelly
st. ignatius magis program teaches students skills in mobile app design and development
The St. Ignatius Reaching MAGIS program is designed to help students get on the track for college in Catholic schools.

“We try to identify young boys in sixth through eighth grade who are promising, rising students, and get them involved early,” explains school principal Dan Bradesca.  “These are students from schools throughout the Cleveland area who spend 15 Saturdays in English, test prep and study skills, and computer and graphic arts.”
 
A specific part of the program includes an entrepreneurship demo. For the second year this summer, Nick Pavlak of BABL Media has led eight MAGIS teams in entrepreneurship and technology education. The teams worked with Pavlak in developing companies and ultimately presenting their ideas to a panel of experts at LaunchHouse.
 
“The future of technology lives in mobile technology, and this generation is growing up in the digital world,” says Bradesca. “This program gives kids the basic knowledge of mobile application design and development from an entrepreneurial approach.”
 
The students went from concept to sketching the idea out, to marketing and construction of the business. “They were really doing some intense stuff,” says Bradesca. The culmination was a presentation on July 9 to LaunchHouse entrepreneurs.
 
The top three companies were The Shoe Finder app, which helps users find shoes at a low price; the Emergency App, which lets people know you’re in trouble; and the Achieving app, which helps people attain their personal goals.
 
BABL will work with the students later this year on actually developing the top app ideas.

 
Source: Dan Bradesca
Writer: Karin Connelly
great lakes venture fair unites investors and bioscience/IT startups
The inaugural Great Lakes Venture Fair will take place at the Cleveland Marriott Downtown October 17-18, on the heels of the National Association of Seed and Venture Funds annual conference. The fair is a collaborative effort  between  JumpStart, Ohio Capital Fund, Ohio Venture Association, TiE Ohio, CincyTech and TechColumbus and will bring together investors and startups from across the Midwest.
 
“It’s a chance for the venture capital community to come together and see some of the most promising startups,” explains Carolyn Pione Micheli, director of communications for CincyTech. “According to a study by the Kauffman Foundation, in 2007 all net news job growth came from companies that are less than five years old.” The event is the successor to the Ohio Capital Fund’s Early Stage Summit, which was held in Columbus for seven years.
 
The GLVF will only accept 18 startup companies in bioscience and IT to pitch their companies to investors. Other activities at the event include presentations on regional investment activity, and conversations about building future growth in startups and investing.
 
“In terms of growing fresh new jobs, small companies are the key, “ says Micheli. “The startup community is really important to our economic future.”
 
Keynote speaker will be Jeff Weedman, vice president of global business development for Proctor & Gamble. The application deadline for companies looking for funding is Aug. 12. Registration to attend is $200 before Sep. 15, $250 after that.

 
Source: Carolyn Pione Micheli
Writer: Karin Connelly
enforcer e-coaching secures jumpstart funding to complete its online components
Enforcer eCoaching, a personalized wellness coaching service, has secured $250,00 from JumpStart to expand services across the country. A spin-off out of the Cleveland Clinic, Enforcer eCoaching was founded by Cleveland Clinic chief wellness officer Dr. Michael Roizen, television health guru Dr. Mehmet Oz and entrepreneurs Steven Lindseth and Arthur Benjamin.
 
The eCoaching focuses on smoking cessation, weight loss, hypertension control and diabetes control through personalized one-on-one email coaching and behavior modification.

“It’s based on 25 years of health coaching by Dr. Roizen,” says Marty Butler, Enforcer’s president and CEO. “We’re seeing a lot of niche treatment programs in the marketplace for companies looking to reduce their healthcare spending. Employers see a very strong return on investment.”
 
Butler says participants in the smoking cessation program have an 85-percent success rate, while weight loss participants lose an average of two inches to their waist lines.
 
Employers or private individuals can sign up for eCoaching. They select the type of coaching they want, are assigned a coach, and then check in with daily email correspondence. “It’s part automation, part personal coaching,” says Butler. “Every email is reviewed by a personal health coach, and they really build relationships and people become more accountable for their own healthcare.”
 
The convenience of email contributes for Enforcer’s success. “People can email whenever and wherever they want, and read the emails whenever and wherever,” says Butler. “We’re slowly nudging people to success because of the daily email exchange.”
 
In addition to JumpStart’s investment to help Enforcer complete its computer platform, the organization has also provided expertise in hiring sales and IT staff.

 
Source: Marty Butler
Writer: Karin Connelly
steadily growing toa adds new cfo to its team
TOA Technologies, the provider of mobile workforce management solutions, has hired Brian Cook as the company’s CFO. Since its founding in 2003, TOA has steadily grown from a small startup company to the global company with 350 employees around the world and more than 40 in Cleveland.
 
Cook, whose background is in global technology, telecommunications and media companies, will help guide TOA through its projected future growth.

“Brian is a good match for TOA because he’s lived through our future and he’s also not far removed from our past,” says John Opdycke, vice president of worldwide marketing. “We need someone in a financial role who is familiar with a company that is small and nimble and growing quickly.”
 
Aside from Cook’s international business and telecommunications expertise, Opdycke says Cook is a good personality fit with TOA. “The cultural fit was there,” he says. “Personality fit is important because we are still a small company.”
 
TOA recently entered markets in Latin American, Australia and New Zealand and is expanding locally as well. “We have seven of the top U.S. pay-tv providers as customers,” says Opdycke. “As things are happening, you really need more people. We’re bringing on people almost every other week.”

 
Source: John Opdycke
Writer: Karin Connelly
camp gets max hayes students thinking about manufacturing early
Incoming ninth graders at Max Hayes High School took it to the parking lot last week, Thursday, July 26, to race the cars they had crafted as part of the Take it to the Max program. Part summer camp, part school orientation, nearly 60 students participated in two WIRE-Net program sessions to see if a career in manufacturing is the right path. Max Hayes students concentrate on manufacturing in their studies.
 
"The goal of the program is to introduce the students to careers in manufacturing and the careers taught at Max Hayes,” explains Jose Estrenera, director of youth programs for WIRE-Net. “If they get a leg up on what Max Hayes is about, they’ll be more productive.”
 
Two three-week sessions this summer focused on building a car. Students were given a block of wood, four wheels and four nails. “At first they look at it and say, ‘how am I going to make a car out of this,’” says Estrenera. But they figure it out as they take computer classes with a CAD type program to develop a plan, hear lectures from volunteers on aerodynamics and the rudimentary skills needed, and take a 3D model into the lab to shape, sand, paint and decorate their cars.
 
“The camp has four parts: the technical lab, the computer lab, physical exercise and social skills,” says Estrenera. “There are a lot of good jobs around in manufacturing. This camp gets them actively thinking about what they are doing in courses at Max Hayes.”
 
Not to mention the fun that was involved. “The reaction was great,” says Estrenera. “The kids were really proud of their cars and really expressed themselves.”

 
Source: Jose Estrenera
Writer: Karin Connelly
ideation challenge helps winners turn good ideas into real startups
Startup Lakewood is looking for new businesses and the organization is willing to help entrepreneurs take their ideas to fruition. The second annual Ideation Challenge showcases the new ideas and new business startups that will add to the diversity of the Lakewood business community. 

“We think there are all sorts of people right here in Lakewood who have ideas for businesses but haven’t taken the steps to launch them,” says Mike Belsito, Lakewood’s entrepreneur-in-residence and director of the Ideation Challenge. “New businesses are important to the city, and this is one way to help people actually get started.”
 
Anyone with a business idea can submit an executive summary and a one- to two-minute elevator pitch for a chance to win a prize package that includes consulting, training and other resources for starting a new business. “The prizes will help the entrepreneurs take the next steps and take their ideas into reality,” says Belsito.
 
Two winners will be chosen -- one from Lakewood and one from Northeast Ohio. All entrants will receive feedback from Startup Lakewood. The competition is open to anybody, with the hope that the winners will start their businesses in Lakewood.
 
The deadline to submit executive summaries was recently extended to August 14. Startup Lakewood will then invite finalists by August 17 to make their elevator pitches on August 28 at University of Akron’s Lakewood Campus.
 

Source: Mike Belsito
Writer: Karin Connelly
adding direct-trade coffee, phoenix gives boost to mexican farmers
Phoenix Coffee has introduced a direct trade coffee from Amado Nervo, in the Chiapas area of Mexico, to its menu. By purchasing the coffee directly from the growers, the middleman is eliminated and more money goes directly to the farmers.

“It’s a town of about 1,100 people and coffee is their only crop,” says Christopher Feran, coffee and marketing director for Phoenix. “We’re having a direct impact on the people of Amado Nervo. We like to connect people, and now we’re connecting them through coffee.”
 
Phoenix joined a coffee co-op out of Pittsburgh, Three Rivers Coffee Importers, to obtain the Chiapas coffee. The co-op provides health services, micro loans, low-interest loans, tools and education to the farmers. “This is the first of many direct trades to come,” promises Feran.
 
The direct trade concept fits Phoenix’s philosophy perfectly. “It makes a lot of sense for us,” Feran says. “We’ve always tried to focus on green and sustainability.”
 
The coffee is available online or in Phoenix cafes, in light and dark roasts.

 
Source: Christopher Feran
Writer: Karin Connelly
capital continuum shows entrepreneurs where to find business capital
The Capital Continuum in Northeast Ohio on Thursday, August 2 will feature a panel discussion to help entrepreneurs find ways to access capital for their businesses.

“I believe we’ve created an ecosystem in Northeast Ohio to help entrepreneurs, both public and private,” says Dennis Cocco, manager of the JumpStart Entrepreneurial Network, manager of the Innovation Fund and associate director at Great Lakes Innovation and Development Enterprise (GLIDE). “Entrepreneurship is doing really great in this region, but accessing capital is not the first thing people think about when starting a business.”
 
A lot of local entrepreneurs are not aware of the funding resources that are available in the area. The Continuum is designed to illustrate all that is out there. “Here we have precious capital we’re trying to dole out to the best entrepreneurs,” says Cocco. “But they’re not like banks, which have big buildings with their names on every corner. It would be a shame if people with a good idea fail because they don’t know we’re out there.”
 
Panel members include Cocco, Ken Marblestone, president, Charter One and RBS Citizens; Daniel Kellogg, managing director, Crystal Venture Funds; Claiborne Rankin, manager of North Coast Angel Fund; and Jerry Frantz, managing venture partner with JumpStart.
 
The free event will be held at JumpStart’s offices. Cocco says about 30 people have already signed up and he hopes for 50 or 60. “If 100 show up I’ll be really pleased,” he says.

Registration is required.

 
Source: Dennis Cocco
Writer: Karin Connelly
babl media proves that art, design and creative thinking can build a better business
As a designer and illustrator, Nick Pavlak sees the artistic elements of creating a successful business. From website design to a company logo, he founded BABL Media in April 2011 around the philosophy that art, design and creative thinking can build a better business.
 
That thought proved to be accurate. A little over a year later, BABL Media has made a reputation for itself, especially among startup companies. “Typically, we work with startups with planning, design, and social media,” Pavlak, who is the company’s creative director, says. “We work with them on logo, color palettes and everything associated with their brand.”
 
Pavlak started BABL Media based on his graphic design background. “When we started I discovered everyone needs a website,” he recalls. But he soon realized he needed a little more. So when he ran into college friend Robert Clark at a Rochester Institute of Technology reunion, Pavlak asked Clark to join the company as the master developer. Soon after, Andrew Wozniak joined the team as art director. “He’s very good at handling the details,” says Pavlak. This summer, BABL Media was able to hire two paid interns to work on development.
 
Pavlak and Clark have gone on to form FounderSync with two other partners, a matchmaking site for entrepreneurs. The concept is to pair up entrepreneurs with different skill sets to help each other succeed. Both companies are based out of LaunchHouse.

"Our long term goals for the company are to continue to grow and develop our own process and team so as we can build and innovate great ideas," adds Pavlak. "The more brilliant people we can put together, the more amazing products and technologies we can bring to market. Our end goal is to find the one (or several hopefully) disruptive and ground breaking products that can actually change the world for the better."

 
Source: Nick Pavlak
Writer: Karin Connelly
eqed eyes growth as new solar microinverter makes solar more efficient
eQED is developing a solar microinverter that will improve the efficiency of solar panels. As with all solar panels, an inverter converts the output from the panel to AC power. Normal setups use one large inverter for an entire string of solar panels. eQED’s technology places one small inverter under each panel, increasing the amount of power gained from each solar panel.
 
The HIKARI microinverter provides improved energy harvesting, is more reliable than traditional inverters, and is easier to install and requires little maintenance.
 
“With the microinverter you can adjust each panel individually to adjust for shade or bright sun,” explains John Patrick, chief technical marketing officer. “This way you can extract up to 15 percent more power in shady conditions and five to 10 percent more power in normal conditions.”
 
eQED’s 250-watt HIKARI solar microinverter earned the company a NorTech 2012 Innovation Award in March. eQED is a partner company of Quality Electrodynamics (QED), a medical imaging company. Both are growing substantially. QED employs 87 people – up from 75 a year ago.
 
“We probably have five or six openings right now,” says Patrick. “eQED has 10 people, but that number will grow quite a bit as we commercialize the product.” eQED is in the final stages of development before sending it to market. Patrick says they expect to conduct testing on several hundred units later this year and begin commercial shipments in early 2013.
 
 
Source: John Patrick
Writer: Karin Connelly
booming post-up stand printshop expands from 500 to 30k-square-foot facility
Eight years ago Alon Weiner and Ram Tamir were in the offset printing business, doing flyers and newspaper inserts. But the two of them imagined something bigger – in print format, that is. So, in January 2004, the two founded Post-Up Stand, a large format printing company that does everything from banners and tablecloths to retractable display banners that roll up and down in seconds.
 
“As we looked to diversify the business, we checked the large format printing opportunity,” says Weiner. “After a short time with one large format printer, we realized that this market had much bigger growth potential than offset.”
 
Weiner and Tamir eventually shut down the offset side of the business completely and focused on the large format. “The nice thing about our product is that any business, from mom-and-pop shops to Fortune 500 companies can use them,” says Weiner. “We manufacture for trade shows, retail store displays and non-profits.”
 
Post-Up Stand started in a 500-square-foot office in Valley View with one employee. Today the company has 49 employees and has grown into a 30,000-square-foot facility in Maple Heights.
 
Post-Up Stand has customers across the country, and they are known for quality work done fast. “Everything we do here is custom,” says Weiner. “We keep our technology top of the line. No lens is more than three years old. If we don’t like it, we reprint it.”
 
Weiner credits his customers with Post-Up Stand’s success. “I try to see everything through the customer’s eye,” he says. “Everybody here, no matter what you do, you’re in customer service. We invest a lot in customer service. A lot of returning customers recommend us. Word of mouth is a great tool for us to grow.”

 
Source: Alon Weiner
Writer: Karin Connelly
global cleveland to host online IT job fair to help meet demand
On the heels of two successful biomedical job fairs, Global Cleveland, in partnership with NEOSA, will host a week-long online IT job fair August 20 to 24.
 
The demand for tech people is high. In a recent survey of area technology companies, 82 percent have current job openings and 73 percent expect to hire additional staff this year. The job fair is designed attract qualified technology professionals from not only Cleveland, but across the country.
 
“We are targeting 30 to 35 employers to each post a few jobs openings,” says Global Cleveland president Larry Miller. “It’s great visibility in a short period of time.”
 
Officials at Global Cleveland have found the online jobs fairs to be an effective way to recruit. The biomedical jobs fairs in March and June attracted more than 9,000 people to the site, with nearly 1,800 applications filed.
 
The event is free for job seekers. Employers have two options: For $275 they can post up to three jobs and have unlimited internship postings on the Cleveland Recruiting Company, a private LinkedIn group of 1,200. For $525 employers receive additional access to Global Cleveland’s job search databases.
 
“In the world of recruiting, it’s a very inexpensive way to get the word out,” says Miller. “Every employer we have talked to has told us about the need for talented employees. It’s difficult to find the IT talent they need.”
 
If the IT job fair is successful, Miller says they probably will hold another one in a couple of months.

 
Source: Larry Miller
Writer: Karin Connelly
tech-based give camp expects record turnout for third annual event
Give Camp launches its third year in Cleveland this weekend, helping 24 nonprofit organizations develop websites, web-based applications, mobile apps, databases and all that is technical in a three-day whirlwind event at Lean Dog Software and Burke Lakefront Airport.
 
During the weekend, technology professionals, developers, designers, database administrators, marketing professionals and others donate their time to help area nonprofit organizations with a wide range of projects.
 
Give Camp began in 2007 as an idea by a Miscosoft executive as a way to give back to local charities in Dallas. Cleveland Give Camp has grown each year.

“The fact that we’re popular is one of the challenges we’ve had this year,” says spokesperson Amy Wong. “It was so great the last two years, people really want to be involved with the event.”

Last year's camp was valued at $500,000 and year one was valued at $250,000 worth of work performed.
 
Wong expects more than 200 people to turn out this weekend. Part of the reason Give Camp has grown in popularity is the fact that it’s a great opportunity to network. “There are so many diverse people, which is why it’s a great networking event,” explains Wong. “Companies come down as a team, independent tech geeks come down because they want to be a part of something cool.”

Organizers look at need, budget, and scope of the project in selecting the organizations they help. This year, Give Camp Cleveland is one of the beneficiaries. “We’re project number 25,” Wong says. “We need a new website. We joke we’re the cobbler who doesn’t have his own shoes.”

 
Source: Amy Wong
Writer: Karin Connelly
entrepreneurs pitch their ideas for a chance to be a part of launchhouse accelerator
Twenty teams came to LaunchHouse on July 18 to pitch their business ideas for a chance to be accepted into the inaugural LaunchHouse Accelerator program and a $25,000 investment in their businesses at the Tech UnConference.
 
LaunchHouse received a $200,000 grant from the Ohio Third Frontier ONEFund to invest in startups. During the Tech UnConference companies will present three-minute pitches to a panel of Cleveland-area experts. Following the pitch session, companies then had the opportunity to demo their internet, technology or mobile app startup company.
 
The judges will select 10 companies for the accelerator. More than 50 companies applied for the chance to pitch. The chosen companies will then participate in a 12-week program, in which they will have experience-based lab sessions with one on one mentorship, and opportunities to network with successful entrepreneurs.
 
The program curriculum is very customer focused, says LaunchHouse CEO and founder Todd Goldstein. “The companies we select have to be very customer-centric,” he explains. “The entrepreneurs will develop their companies with their clients, so at the end of the 12 weeks they’ve identified who is going to pay for their product and accelerate their business.”
 
Goldstein describes the accelerator as a formalized approach to helping companies. “Up to this point, admission have been on a rolling basis and very informal,” he says. “This is a formalization of the years we’ve spent helping companies.”
 
The 12-week program will conclude with a showcase day, when the businesses will present to investors and venture capitalists. The 10 companies will be announced on Aug.8, with classes beginning Sept. 4.
 
Source: Todd Goldstein
Writer: Karin Connelly
cle-based organizations commit $4.6m to help small businesses expand
Several Cleveland-based funding organizations have gotten together and pooled their money to help small businesses that otherwise would not have access to the capital they need to grow.

Under the Economic Community Development Institute (EDCI), which officially announced the launch of its Cleveland office on July 17, the City of Cleveland, Cuyahoga County, Huntington Bank, U.S. Small Business Administration, Commission on Economic Inclusion, The Business of Good Foundation, and the Cleveland Foundation have committed $4.6 million in resources.
 
Micro-loans will account for $4 million of the fund while the remaining $600,000 will provide training and technical assistance for Cleveland small businesses. A 2011 study by Friedman Associates, a national firm specializing in microfinance, estimated a need of $38 million for loans under $50,000 in Cuyahoga County, with the greatest gap among minority-owned businesses.
 
“Neighborhood businesses who would not otherwise have access to capital will benefit from these loans,” says Daniel P. Walsh, Huntington northeast Ohio president. “These loans really stabilize neighborhoods with the capital to achieve the American dream. It will reinvigorate those neighborhoods that need reinvestment.”
 
The average loan is between $15,000 and $20,000. Eight area businesses have already benefited from loans through the program, totaling $163,000. ECDI started a similar program in Columbus in 2004 and has made $11.4 million in loans to 700 small businesses, creating or retaining 1,955 jobs.
 
The majority of businesses who will benefit from the loans are five employees or fewer, explains Bob Eckardt, executive vice president of the Cleveland Foundation. “There’s a pretty significant gap in this community and this will support a wide range of businesses,” he says. “We’re trying to do a big-picture thing. It’s important to support the entrepreneurs by getting them the funding they need to grow big or hire employees.”

 
Source: Daniel P. Walsh, Bob Eckardt
Writer: Karin Connelly