StartupHouston Event Photos

Matt Wettergreen dances for joy Houston OpenCoffee Club November Meetup DSC00428 Mark Schmullen w/ NutshellMail & Joe Litzinger w/ Baby Crow Productions
View more photos >

StartupHouston Event Videos

StartupHouston Recommends These Books for Startups

Shelfari: Book reviews on your book blog

Apple plans $1 billion ’server farm’ – Why Not in Houston?

 

Hey All, Kurt Here.  Long time, no write.

Anyway, I was just reading on CNN’s SciTechBlog how Apple might be shopping around for a location for a new $1 billion server farm and thought to myself ‘Why Not in Houston?’  We are already home to the Number 1 dedicated server hosting provider in the world.  Why not Apple’s server farm as well?  Does anyone know whether the Greater Houston Partnership, the Houston Technology Center’s Emerging Technology Council, or the Mayor’s Office is pursuing this?  If not, they should.  It is moves like this that help to build solid technology foundations for a city.

Apple plans $1 billion ’server farm’

Apple appears to be planning a major upgrade to its online capabilities. Reports indicate the company is shopping around for a location to build a $1 billion server farm. This cluster of networked computers would power Apple’s future Web operations.

Apple CEO Steve Jobs delivers his keynote speech at Macworld on January 9, 2007 in San Francisco.

The iTunes and the iPhone app store are certainly growing, but this massive project suggests Apple may have something new up its sleeve — or is the $1 billion price tag expected given the Apple gear that will likely be used?

Data Center Knowledge writes:

The size of the project raises interesting questions about Apple’s ambitions for its online operations. The $1 billion price tag is nearly twice the $500 to $600 million that Microsoft and Google typically invest in the enormous data centers that power their cloud computing platforms.

While the location of the data center is not yet decided, the Associated Press reports North Carolina lawmakers are salivating at the prospect of of bringing a billion dollars to their state. Legislators have proposed tax breaks for Apple that could amount to $46 million in the next decade, assuming the company reaches its $1 billion investment target within nine years:

Though the Apple site is initially expected to employ fewer than 100 full-time workers, legislators said the potential prize was so juicy it justified changing the state’s corporate tax formula to benefit a single company.

Come on Houston!  Don’t let North Carolina walk away with this!  Let’s bring Apple to Houston!!

Not All Angels Are Created Equal

On the Texas Startup Blog, Alex Muse writes about the types of angel investors: http://www.texasstartupblog.com/2009/05/05/how-to-find-angel-investors-revisited/

Here are his labels for angels:

  • Type 1: Novice angels with financial objectives
  • Type 2: Experienced angels with financial objectives
  • Type 3: Novice angels with subject matter expertise
  • Type 4: Experienced angels with subject matter expertise
  • Type 5: Family, friends and colleagues

The classifications are exactly right and Alex says that a new venture seeking angels should shoot for types 3 and 4, which is spot on. But what if you can’t find those types or you’re forced to deal with sub-optimal angels? I personally believe that an entrepreneur’s worst funding nightmare is to take money from someone who is an inexperienced angel investor. Friends and family are difficult emotionally because it changes the dynamic of the relationship forever, and financial expectations must be managed separately from personal issues. On the other hand, ‘professional’ angels are much tougher, especially brand new angels. More often than not, new angels are using your deal to determine if being an investor is right for them. They don’t know what questions to ask and fumble around to determine what ‘feels’ right to them – which may or may not have any basis in the real world. They also don’t have any idea of the emotional toll it will take to see a their investment to a successful outcome. These types can burn up a lot of an entrepreneur’s time with multiple meetings and discussions about meaningless projections and untested assumptions. This is often done so that the angel is comforted and reassured that they are making an informed decision. Pulling the trigger and making the commitment to invest separates talkers from closers. A seasoned investor can make a decision on whether to invest or not in the first one hour meeting – of course it will take considerably longer to actually come to terms and a lot can go wrong in the meantime. A seasoned investor will also have a rolodex of other angels and industry contacts that will help push the startup along at an accelerated pace. An amateur investor requires a lot of hand-holding before (and after) a decision is made and that should be factored in when negotiating with angels.

Houston Startup Happy Hour – Tonight!

Just a reminder that we’ll be having our monthly Houston Startup Happy Hour tonight, May 7, from 6:00 – 9:00 p.m. at Saute Bistro at 2303 Richmond Avenue.

Hope to see y’all there!

NanAlert: Nanostructured Magnetic Propellers

This neat widget just published in Nano Letters, in a paper published by Ambarish Ghosh and Peer Fischer from Harvard, “Controlled Propulsion of Artificial Magnetic Nanostructured Propellers.”

From Controlled Propulsion of Artificial Magnetic Nanostructured Propellers, by Ambarish Ghosh and Peer Fischer

From "Controlled Propulsion of Artificial Magnetic Nanostructured Propellers," by Ambarish Ghosh and Peer Fischer

It’s a new kind of nano-swimmer, functionally similar to the rotating flagella found on bacteria.  This caught my eye because at the Advanced Energy Consortium, we’ve been looking for nano-thingies that can propel themselves to explore oil reservoirs.  The authors are more oriented towards biological applications, of course.  I think we’re going to see a number of new flavors of self-propelled nanoswimmers appear (at least I hope so).  The first one came from Ayusman Sen and Tom Mallouk at Penn State a couple of years ago; the videos on Sen’s website are great.  They also just published a great article on their catalytic nanomotors in Scientific American.  I think it’s still on the newstand.

Startup Houston’s Dr. Graham Randall Interviewed on Houstonist

Check out the full interview here and be sure to make an effort to attend one of the BioWeekend events, BioCamp Houston ’09 in particular.

April Houston Startup Happy Hour and BioCamp Houston ’09 Kickoff Party

BioCamp Houston '09

We took March off for SXSWi but are back in full swing for the April 2009 Houston Startup Happy Hour this upcoming Thursday, April 2nd from 6:00 – 9:00 p.m. at Saute Bistro at 2303 Richmond Avenue. This will be a dual purpose happy hour in that we are also kicking off BioCamp Houston ’09 Weekend. The weekend will start with the happy hour Thursday night, move into the 6th Annual BioHouston Chili Cook-off 2009 held by our friends at BioHouston on Friday from 12:00 – 5:00 p.m. and then BioCamp Houston ’09 at Rice University’s Keck Hall from 9:00 a.m. until we close her down. We’ll conclude the weekend at Valhala, Rice’s on campus graduate student pub.

Should be an amazing weekend so all of you researchers, doctoral students, biopreneurs, doctors, Hooters’ waitresses, and other bioenthusiasts come and help make it a weekend to remember.

Capital Factory launches to help Startups

Capital Factory Logo

Through my work at Houston Technology Center (http://www.houstontech.org) and Katy Dock (http://www.katydock.com), I’ve learned a lot about the Houston Startup scene and how we’re perceived regionally and throughout the business world. For the last ten years, I’ve helped promote the City of Houston as a hub for high-tech entrepreneurship and startup investment, and I think that we’re well on our way to gain the recognition that our startups have earned.

It may seem somewhat ironic that as my inaugural post to StartupHouston I’m going to talk about something that is mostly based in Austin. Austin has enjoyed a well-deserved reputation as a high-tech hub since the first dotcom boom and crash, and I’ve made it my personal and professional mission to demonstrate that the rest of Texas shares the spotlight – not by taking Austin down, but by building Houston (and Dallas and San Antonio) up.

With that said, I want to tell you about a group that I was honored to join recently, Capital Factory (http://www.capitalfactory.com/). It’s a collection of successful high-tech entrepreneurs and startup enthusiasts who are banding together to provide cash, services and most importantly, mentorship to qualified startup companies. The model for Capital Factory was originated by Paul Graham (http://www.paulgraham.com) through YCombinator (http://www.ycombinator.com) and is based on an application/acceptance policy that focuses a small amount of equity capital and a heavy dose of hands-on mentoring for a specific period of time. TechStars (http://www.techstars.org) based in Boulder, Colorado stole appropriated the model three years ago with great success (two exits to date). Capital Factory stole borrowed this model and added their own twist, by adding more advisors and services to the mix. I strongly believe that this hybrid incubator/angel organization is the future of seed stage investments and it certainly seems that way to me and some other groups have sprung up regionally like Shotput Ventures (http://www.shotputventures.com/) in Atlanta , DreamIT Ventures (http://www.dreamitventures.com/ ) in Philadelphia and Lauchbox Digital (http://www.launchboxdigital.com/) in Washington D.C. with more on the way.

This is an email I recently put out that explains Capital Factory in more detail:

Do you know any entrepreneurs who could use $20k in cash, $20k in free stuff and 20 mentors for their startup?

I need your help to get the word out to entrepreneurs about a program that may help them.

I am a mentor and investor in Capital Factory, a new seed capital and mentorship program in Austin. We’re choosing 3 startups to spend 10 weeks here to build their company. They receive $20k in cash, $20k in free stuff, and 20 successful mentors as investors. The 10 weeks end in August with a Demo Day to potential investors. It’s the mentor’s job to ensure they head in the right direction, and introduce them to potential customers and investors.

http://capitalfactory.com | twitter: @capitalfactory | facebook: http://www.facebook.com/pages/Capital-Factory/62503086648

This is an unbeatable opportunity for a technology-based entrepreneur to get an accelerated start, especially in tough times. The reason I’m emailing you is the deadline of April 3 to apply is fast approaching. I want any entrepreneur in your network to have the opportunity to consider this program.

Could you take a few minutes to forward this to your network? Or introduce me to someone who may be interested?

If you’re on Twitter or Facebook, please update your status with:
RT @CapitalFactory get $20k in cash, $20k in free stuff, and 20 mentors to help launch your startup http://capitalfactory.com (please RT)

I appreciate your help. Think of it as rebuilding our economy one startup at a time!

The deadline for applications is Friday April 3rd: http://www.capitalfactory.com/apply.html

Some recent press about Capital Factory:

TechCrunch: http://www.techcrunch.com/2009/03/26/capital-factory-gives-austin-its-own-startup-incubator/

Venture Beat: http://venturebeat.com/2009/03/26/capital-factorys-joshua-baer-on-incubating-startups-in-austin/

San Antonio Startups: http://www.sanantoniostartups.com/2009/03/27/san-antonio-startups-and-starups-to-be-heres-20k-in-cash-20k-in-free-stuff-and-20-mentors-for-your-startup-not-a-misprint/

If you have any questions about the program, please feel free to contact me:

Marc Nathan
mnathan – at – houstontech.org

HiMA April Luncheon

l_hima-new

Time: April 1, 2009 from 11:15am to 1:15pm
Location: Maggiano’s Restaurant – Galleria Location
Street: 2019 Post Oak Blvd
City/Town: Houston, TX 77056
Website or Map: http://www.mapquest.com/map
Contact Info: (713) 961-2700
Event Type: monthly, luncheon

Green Talk
Getting Skeptics to Buy Using Interactive Marketing Tactics

A growing population of environmentally conscious consumers is emerging from the convergence of environmental concern, energy prices and limitless information. These customers are demanding “real green” products from “real green” companies and are skeptical about most companies’ claim on green. The outcome is a longer selling cycle and a reduction in customer loyalty. Join guest panel speakers from Houston’s leading green businesses: New Living, Green Lily Events and forGreen Marketing & Design. They will address key issues at the forefront of the challenging green marketplace and share how they overcome obstacles using interactive marketing strategies.

Key Takeaways:

  • Discover the language and communication style that appeals to niche consumers;
  • Learn how to use the interactive & social media tools that connect with the green audience;
  • Polish your marketing voice to attract and retain a specific targeted audience;
  • Engage with a cautious and even smarter consumer;
  • Customize your online marketing efforts to create a community of buyers; and
  • Outpace your competition through a unique brand message.

About the Panel Speakers
MARY FRANCES Blatchley is founder and president for both forBri, Inc. and forGreen Marketing and Design. Her experience encompasses everything from innovative marketing strategy to interactive technology to green initiatives. Mary Frances has been helping her clients build strong brands with beautifully executed, award winning campaigns for nearly 20 years.

JEFF Kaplan founded New Living in 2007 and began selling eco-friendly products on one aisle of Wagner Hardware in January 2008. Jeff later leased the entire store and recycled the historic building into New Living, Houston’s Green Building + Home Store. He is completely passionate about making the green building movement accessible for everyone and hopes that New Living can be a paradigm shift for how business is done.

JESSICA Zapatero is Founder and Director at Green Lily Events has over 11 years experience in social and corporate event planning. Her passion for sustainability was the inspiration to create a new, progressive event planning company. She considers the effects of the environment at every level of planning resulting in a lighter footprint event.

It’s Not Just a Press Release

Suzanne Tormollen of Atingo is a 13 year public relations veteran of the tech scene who has worked with many venture-backed companies in the Austin area as well as companies such as Dell. Suzanne is a new contributor to Startup Houston.

In my last posting, I wrote about how in a down economy companies should be executing focused and tactical PR campaigns to maintain industry awareness.  This time I am going to focus on one aspect of every PR campaign, the press release, and how companies can use this key PR activity to their fullest advantage.

The press release is one of the most used PR tools.  It’s a quick article written in the news style that promotes a recent accomplishment for a company such as a new customer, partnership or product, a new executive hire, or it can tout something as simple as a move to new office space.  While some companies look at advertising as way to promote some of these same accomplishments, a press release can be just as persuasive, and more cost-effective, if written and distributed in the correct way.

Unfortunately I see too many companies that view the press release as just that, a document with words to post to the company web site.  Many companies are missing a huge opportunity to leverage a simple, yet effective, means of communication.  Every press release should be viewed as a strategic announcement and a set of predefined objectives and strategies should be created to achieve your desired results.  The end game for all press releases is to increase industry awareness by having the news accepted and published in a variety of forms such as newspapers, magazines and Internet sites.  Frankly, this can only be accomplished if a clear strategy is created.

Here are a few questions to ask yourself to help create a strategy that will result in success for your next announcement:

  • What are your goals for doing this press release?
    Maybe you want coverage in a vertical trade magazine for your new product, or a TV interview to raise awareness for an event you’re hosting or coverage in local newspapers to help with recruiting.  The purpose of most press releases is to connect with the media and gain some kind of coverage that will be viewed by your customer, investors and partners.  Determining what kind of coverage you want and from what media outlet will help create a focused announcement strategy with desired results.

  • Who is the intended audience for this news?
    Most companies view the audience of a press release to be potential and current customers, investors and partners, for example.  But, there is also another primary recipient of a press release – the reporter.  When thinking about this question, it’s important to keep in mind what publications and news outlets you would like to influence with your news.  Which outlets would your customers, partners, investors be most likely to read.  And, which stake holder within your audience will be most influenced by the news.
  • What message do you want to communicate?
    You may have an idea for a press release such as a new product or customer win but you also need to determine what key messages you want to communicate about that particular accomplishment.  For example, if you are announcing a new product, you’ll want to focus on the benefits that product brings to your customers as well as the features of the new product.  Remember to keep the messaging clean and concise and remember your audience.

  • Is there anything unique about the news you want to communicate?
    With thousands of news releases being issued every day it’s important to think about what might be unique to your announcement. What will catch your audience’s eye when they see the headline of your release; what will make them read the copy; what message are you communicating that will make a reporter what to write about it.
  • Is there a third party that can support your claims?
    It’s always a good idea to include supporting quotes in your news releases if you can.  If it’s a product release, find an industry analyst and/or a customer to validate your claims.  If it’s a customer release, see if that customer would be willing to be included in the announcement.
  • What strategies do you want to utilize to communicate this news?
    Once your audience, goals and messages are defined you can begin to develop a distribution strategy.  This can include news wire distribution, posting to your web site, sending directly to key reporters and analysts including phone call follow ups, etc.  It may also be valuable to create a communications plan for distributing to your customers, partners, and investors if appropriate.  With each audience comes a new key message that you’ll want to highlight so they see the relevance to their business.

You may be thinking this seems like a lot of work for just a press release.  BUT, remember.  It’s not JUST a press release. To work through this process, you can create a “strategy document” that specifically outlines goals, audience, strategies and results.  I also recommend including a time-line to ensure everyone deadlines are made and the announcement is issued at the right time.

When you combine a well written press release with a focused distribution strategy, you will gain a tremendous amount of return.  Just posting your press release to your web site or distributing it over a news wire will only cost you money and leave your targeted audience untouched.

Entity Creation for Startups

Startup Company Lawyer has a great post that breaks down the various elements of determining what kind of entity your startup should operate within. Great read from a great blog.