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VentureLab Expands to Austin and Launches High School Startup program

imgres-2VentureLab has expanded its youth entrepreneurial camps to Austin.

It is debuting High School Startup at Capital Factory. The camp kicks off June 15th and runs through June 26th. It costs $650, but VentureLab is offering ten scholarships to attend the program for free. Click here to apply for one of the free spots with the code “Capital Factory.”

Cristal Glangchai, founder and CEO of VentureLab, relocated to Austin for personal reasons recently, and she’s now running camps in both San Antonio and Austin.

The Austin High School Startup teaches kids to turn their ideas into products or services and launch a company.

“Austin is a mecca for budding entrepreneurs and we saw an opportunity to bring our academy to the market as an extended resource to help high school students take what they learn in the classroom, and physically apply that knowledge in an inspiring entrepreneurial environment,” Glangchai said.

The High School Startup is the first of four camps scheduled in Austin this summer, Glangchai said. The other programs will focus on K-8 students.

The High School Startup program, for students ages 14 to 19, teaches leadership and team building skills. It is like a mini-bootcamp on launching a business complete with mentors that help coach the student teams. In the camp, students will do market research, customer development, build, prototype and launch their product or service and crowdfund for startup funds. The program ends with a “demo day” in which the students pitch their ventures to Austin investors and entrepreneurs.

“When VentureLab approached us to host their first camp for high school students in the Austin area, we jumped on the chance to introduce more entrepreneurial young people into our community,” Joshua Baer, founder of Capital Factory, said in a news statement. “I applaud VentureLab for inspiring the next generation of world-changers, and look forward to seeing them working on a business at Capital Factory some day.”

imgres-1VentureLab, founded in 2013, is a nonprofit organization. More than 1,200 students have attended one of its programs in San Antonio so far. Its student run ventures hve raised $240,000 and launched three companies, according to VentureLab.

VentureLab, with five employees, runs programs in San Antonio and now Austin, based on teaching students about entrepreneurship, science, technology, engineering, art and math.

Hive9 Receives $5.4 Million in Venture Capital

Darin Hicks, CEO of Hive9

Darin Hicks, CEO of Hive9

Hive9, which makes marketing software, announced Tuesday it has received $5.4 million in funding from LiveOak Venture Partners and Silverton Partners.

The Austin-based startup plans to use the money to hire five or more additional employees and for product development and marketing, said Darin Hicks, its CEO.

“Hive9 helps companies concentrate their marketing spending on activities that are going to have a positive financial impact on the business,” Hicks said.

Hive9, with 20 employees, spun out of Bulldog Solutions, a marketing agency, in April. Hicks has been working on the software marketing platform behind the product for two years.

When Hicks worked at Bulldog, he felt the pain experienced by large companies that didn’t have a centralized marketing plan. A lot of companies kept their marketing activities in disconnected PowerPoint presentations and spreadsheets and a lot of the material was not kept up to date, Hicks said.

“We felt some of that pain ourselves as service providers,” Hicks said.

So Hive9 created a solution. Its software allows companies to put all the marketing information in one place and it allows companies to track performance and focus on revenue generating activities, Hicks said.

Hive targets large companies with big marketing budgets. Its software makes it easy to manage those products and track return on investment in one place, Hicks said. Its clients include TD Ameritrade, Zebra Technologies, Fiserv, Thomson Reuters and Docusign.

Gartner also named Hive9 as a 2015 Cool Vendor.

Hive9’s provides data, analytics and a dashboard products for companies to gauge the impact and return on investment of marketing activities.

“We look to back companies led by strong, domain-rich teams that target large underserved markets. Hive9 has achieved impressive customer traction in a short period of time, which is a testament both to quality of the team and the proven value they deliver to large and complex marketing organizations,” Krishna Srinivasan, founding General Partner at LiveOak Venture Partners, said in a news statement.

TechCrunch is Coming to Austin for a Meetup + Pitch-Off Event

imagesTechCrunch, the nation’s largest technology news site, is coming to Austin on June 23rd to hold a meetup and pitch-off event.

The deadline for startups to apply to participate in the pitch-off is today. Each startup gets 60 seconds to pitch in front of a panel of judges including TechCrunch writers and local VCs. All of the startups must be in stealth or private beta. First place receives a table in Startup Alley at a TechCrunch Disrupt event, second place receives two tickets to the event and third place receives one ticket.

This is the third annual pitch-off event for TechCrunch in Austin.

The startups TechCrunch selects also get 15 minute one-on-one talks with TechCrunch staff.

The event will be held at Palm Door on Sixth with doors opening at 6 p.m. and the pitch off competition beginning at 7 p.m.

Tickets to the event cost $10.

Kauffman Ranks Austin No. 1 and San Antonio No. 10 for Startup Activity

iStock_000016101845_LargeAustin claimed the top spot in the Kauffman Index for Startup Activity nationwide and San Antonio took the 10th spot.

That makes the Central Texas region a powerhouse of entrepreneurial activity.

Kauffman measures the rate of new entrepreneurs, opportunity share of new entrepreneurs and startup density. Kauffman measures all entrepreneurial activity from restaurants to law firms and not just technology startups.

Miami ranked second on the list, followed by San Jose, Los Angeles, Denver and San Francisco.

Overall, Texas ranked 17th among the states, down from the 13th spot last year, according to the Kauffman report. It slipped slightly in the rate of new entrepreneurs and startup density.

This Fast Company story has the nationwide breakdown on trends in entrepreneurship emerging from the Kauffman report.

TabbedOut Raises $21.5 Million

imgres-1TabbedOut, a mobile payments app for bars and restaurants, announced Thursday it has raised $21.5 million in a Series C round.

Wellington Management Company led the round with participation from previous investors NEA and Morgan Creek Capital Management. To date, the Austin-based startup has raised $39 million.

“TabbedOut was founded on the fundamental idea that we could save people time and help venues provide guests with a better customer experience when paying their bar and restaurant tabs,” Alex Broeker, CEO, TabbedOut, said in a news release.

The app saves customers time in checking out. It also gives merchants data and analytics about their customers.

TabbedOut plans to use the money raised for customer acquisition and to create loyalty and rewards programs, to integrate with other mobile consumer services and to expand into 20 new U.S. metro markets and internationally.

TabbedOut reports its app is installed in more than 10,000 venues nationwide and it has partnerships with Citibank and brands such as Anheuser-Busch, Dos Equis, Heineken and Deep Eddy Vodka.

LawnStarter Raises $6 Million in a Series A Round

LawnStarter-Press-Kit---Grass-Background,-Square-LogoLawnStarter announced Tuesday it has raised $6 million in a Series A investment led by San Francisco-based Binary Capital.

To date, LawnStarter has raised $7.25 million. The latest funds will help the lawn care platform expand and hire more employees.

Previously, LawnStarter raised $1 million in a seed round from Gary Vaynerchuk and other angel investors. The company also participated in TechStars Austin last year.

“This money will allow us to build the all star team it takes to win. We’ll be bringing on a VP of Engineering, several engineers and a couple of marketing professionals. City expansion is on the horizon as well, Cofounder and CEO Steven Corcoran said in a news release.

LawnStarter, founded in 2013, provides a platform for homeowners to schedule lawn mowing, fertilization, bush trimming and other lawn care services from local providers. LawnStarter has a mobile app that allows people to easily manage and schedule services. The company currently operates in the Washington, D.C. metro area, Austin and Orlando.

San Antonio-based Rapamycin Holdings Raises $2.5 Million

image001 (3)Rapamycin Holdings, a drug developer, Tuesday announced it has raised $2.5 million in a Series A round of funding from a group of San Antonio angel investors.

The San Antonio-based company, founded in 2012, plans to use the money to manufacture eRapaTM,a drug aimed at prolonging the life of pets. It also plans to spend money on regulatory filings.

“The Company is actively pursuing regulatory approval for the eRapaTM compound to address significant diseases in the companion animal market for which there are no treatments,” Rapamycin Holdings CEO Randy Goldsmith said in a news release. “We aspire to offer a solution that will improve the lives of pets and their owners, and offer hope for long-term survival of diseases where currently there is little hope of a positive outcome due to the limited treatment options available.”

The company has raised $5 million to date and plans a Series B financing later this year or early next year.

NewCoATX Attracts a Crowd in Austin

By JOHN DAVIDSON
Special Report for Silicon Hills News

John Battelle in a fireside chat with Josh Rubin of the Daily Dot at NewCoATX, photos by John Davidson

John Battelle in a fireside chat with Josh Rubin of the Daily Dot at NewCoATX, photos by John Davidson


NewCo rolled into Austin last week for the inaugural NewCoATX festival.

John Battelle and Brian Monahan founded NewCo in 2012 to “identify, celebrate and connect the engines of positive change in technology.” It seeks to do that through an event experience it describes as “a mash-up of an open-studio tour and a business conference, with the vibe of a music festival.”

NewCoATX kicked off Thursday night with a VIP Welcome Reception with about 200 people, hosted at the expansive new Atlassian headquarters downtown. Battelle, a journalist and entrepreneur whose list of accomplishments include co-founding Wired Magazine and The Web 2.0 Conferences, engaged in a ‘fireside chat’ with Josh Rubin, Executive Producer and Managing Director of The Daily Dot, before a VIP audience. Battelle described the kind of companies that NewCo wishes to partner with as “not companies that have a mission, but companies that are on a mission to inspire positive change.”

Photo by John Davidson

Photo by John Davidson


Typical NewCo festivals feature sixty host companies. At appointed times throughout the day, each company invites attendees to observe a presentation from a company executive, and provides a behind-the-scenes look, not just at what the company does, but how it does it.

Photo by John Davidson

Photo by John Davidson


In Austin, participating companies ranged across a broad spectrum of industries. Kari Hernandez, of boutique PR agency Ink PR, discussed how start-ups might recognize when they would benefit from hiring an in-house marketing manager, rather than hiring an agency. Thought leader Andrew Allison, Co-CEO of Main Street Hub, offered a riveting presentation on creating a positive work culture, touching upon how striving to do so has affected his company’s hiring process, and the value to be found in nurturing an environment in which “professional development is a defining characteristic of the company.”

Powerhouse juggernauts such as Google Fiber and Under Armour Connected Fitness hosted sessions. The sessions closed with beer and a frank assessment of the challenges of bootstrapping and the tectonic shifts that occur beneath new company foundations.

“If the timing is right to start a company, start. Because the idea will change anyway,” said Square Root CEO and Founder Chris Taylor.

To attend NewCoATX, it was possible to visit one company without charge, but the remainder of the festival works on a tier system – a Silver Pass ($30) earned you access to unlimited sessions; a Platinum Pass ($150) provided access to unlimited sessions, plus opening and closing VIP events.

So who pays to attend? And what do they hope to discover?

“From a statistical basis,” Battelle told Silicon Hills News, “our database of 15,000 people tells us that their average age is 30, and the average job-title is Director or V-P, upwards. If you look around at the crowd here tonight, you can see that’s consistent with what we’ve been seeing elsewhere. And I think most of them are here to connect with other people in their ecosystem or community. The second reason (they might be here), of course, is because they’re looking for a job.”

150528-NewCo-SiliconHillsNews-8The event’s organizers didn’t have precise attendance figures immediately available, but many of the NewCoATX sessions either sold out, or approached capacity. On the day of the festival (Friday, May 29), the weather was remarkably benevolent, given the climate woes of the entire previous week – and road traffic was surprisingly manageable. For some, this may have proved crucial to the logistical success of the event. Those who booked a full schedule of six sessions soon discovered that the half-hour window between sessions left little likelihood of networking and arriving in time for the start of the next session. Doubtless those who exercised a more judicious strategic approach benefited from a less frantic day criss-crossing the city.

Sixteen NewCo affiliate cities exist worldwide, in locations as far-flung as Portland, Ore, and Istanbul, Turkey. The company aims to connect one hundred affiliate cities within the next five years. The next festival takes place in Amsterdam, on June 5.

Under Armour’s CEO Talks About Growing a Company on the Offense

By SUSAN LAHEY
Reporter with Silicon Hills News

20150528_172645Kevin Plank, CEO of Under Armour, has a whiteboard in his office on which many things are written in black about the growing company vision.

Under Armour recently opened a connected digital fitness headquarters in Austin and announced its new Grip wrist band. And since it purchased other companies including MapMyFitness it has built a global digital community of 130 million athletes who use the organization’s products and track their workouts and food intake. But in the middle of the whiteboard, written in red is this message: “Don’t forget to sell shirts and shoes.”

Plank, whose company has reached $3.8 billion in revenues this year, was interviewed by Heather Brunner, CEO of WP Engine, at the Austin Technology Council CEO Summit Thursday. Brunner tried to coax information from him about insights gleaned from the company’s digital community which include the fact that most runners complete 3.1 miles on average and that a certain Under Armour shoe performs best at just under 400 miles. But if there are other secret athlete insights the company is gleaning from the data he kept that to himself.

He did, however, share basic insights about building a company from a tiny operation and $15,000 in his grandmother’s basement to a global company. In keeping with his football player roots, Plank takes a very aggressive stand toward entrepreneurship. His headquarters is full of signs with slogans like “We play offense” and “Great ideas get funded.”

Though his personal belief is that the best source of funding is your product’s inventory. He believes in speed and decisiveness, even when that leads to errors. For example, the company’s first women’s line of athletic clothing was created by a dozen men sitting around a table postulating what their wives and girlfriends might want to wear. Their solution was to “pink and shrink” the men’s clothing line. But after they’d created the women’s line, and sold nearly $1 million worth to retailers—reflecting about 20 percent of the company’s profits—they realized they couldn’t ship them because they weren’t up to par. It would screw up the brand.

That inspired the company to start broadening its ideas about who considers themselves athletes and respond accordingly with new product lines and more hiring diversity.

Under Armour’s move into wearables is a logical one, Plank said, especially because with all the data we have available to us, many of us can’t remember what blood type we are or the name of a doctor we saw several years ago. Our body is our most important asset, he said. That’s what we should be tracking the data on.

But the culture is still all quarterback. Brunner recalled a campaign Under Armour did with the slogan “Protect This House.” It was 2010, the economy had tanked and she was working with BazaarVoice at the time. They adopted the slogan for their own.

“Yeah, there was a lot of testosterone in that one,” Plank said ruefully, but it also reflected American ideas that people needed, especially then.

The main secret to the company’s success is “we never believed it wouldn’t happen. You have to grab your business, lift it up, will it to happen…we’re just getting started.”

Apply to Pitch at the SATX Global Innovators Challenge

satx_aus_graphicThe Global Innovators Pitch Challenge is looking for Central Texas startups with a foreign-born founder to present their ventures at its event on June 12th at Cafe Commerce in downtown San Antonio.

The deadline to apply for the event is midnight on Friday, May 29th.

“The challenge is hosted by FreeFlow Research and Fwd.US. and includes $2,000 in cash prizes plus $500 in pro-bono legal services from MWR Legal and a 3 minute Univision television segment,” according to Peter French, the event’s organizer. A panel of judges will select the winner.

June is Immigrant Heritage Month and this event is designed to highlight San Antonio’s diverse technology community which has experienced a lot of growth in recent years. It’s also designed to highlight the role immigrants play, in San Antonio and the U.S. in founding new ventures, hiring employees and growing the overall economy.

The event will also feature a talk from Tahmina Watson, the author of The Startup Visa: Key to Job Growth and Economic Prosperity in America.

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