 | |  |
|
|
Industry Report: TECHNOLOGY
Your QUICK Briefing on One Big Industry
Friday, June 08, 2012 7:00 AM
 ONE question: How can large companies and start-ups work together?
"(Startup America has) already partnered with over 70 large companies that have stepped up and recognized “I want some of that.” And the reverse is that start-ups have to recognize that they have enormous assets at their disposal, that if you can figure out how to create great strategic relationships, everybody wins. And the beauty of working in a place like Iowa is you’ve got a lot of common hooks in a small state. Your kids play on baseball teams together; they go to the same schools; they have grandparents that knew each other back when. That’s an asset that can be leveraged to strengthen the network that’s in Iowa with the start-ups because there is an informal network that already exists."
- Scott Case, CEO, Startup America Partnership
 Small towns get into start-up mix
Small towns might not be seen as traditional hotbeds for start-ups, but Joel Bennett and others disagree. Bennett runs Veel Hoeden (Dutch for “many hats”) in Pella, a space that houses local entrepreneurs who want a different setting than a coffeehouse or home office. Veel Hoeden opened in October 2010, and now houses about a dozen businesses. “It’s a great concept for rural areas,” Bennett said. “I think it’s an interesting opportunity for small towns to bring a piece of that start-up culture to the town square without having to be Silicon Valley.” Not all of the companies in Veel Hoeden are directly related to technology, but Bennett has worked closely with tech-heavy StartupCity Des Moines and other similar spaces, as well as StartupIowa. He emphasizes that for a coworking or incubator space to work, there has to be collaboration among member businesses, and with other spaces. “Any small town that goes into this has to kind of build that first and then worry about the space second, or they’re going to get into that landlording enterprise,” he said. Other towns with similar spaces include Knoxville, Grinnell and Spencer.
 Immigration issues affect tech sector
StartupCity Des Moines principal Tej Dhawan participated in the Greater Des Moines Partnership’s Washington, D.C., trip, and heard from representatives in the U.S. Senate and House of Representatives that they recognize a need for immigration reform but want to do it in a comprehensive way. Dhawan, a native of India who became a U.S. citizen by marriage, believes a “surgical” approach to reform would be more feasible when it comes to highly skilled tech workers. Specifically, Dhawan has advocated for legislation (H.R. 3012 and S 565) that would create “start-up visas” to allow immigrants who want to start businesses in the United States to more easily do so. Essentially, the legislation would reclassify some existing visa allotments to allow a foreign entrepreneur to start a business in the United States by having venture capital backing and proving an ability to earn revenue and create jobs. Dhawan said the legislation has had tremendous support in the tech community, and that he has personally seen would-be immigrant entrepreneurs return to their home countries to start a business. “If we don’t create the mechanisms that attract people to this country, the risk-takers will move to places where they are supported more,” Dhawan said.
 Developing commercial uses
The Iowa Innovation Corp. and Iowa Innovation Council are working with Iowa State University to develop a Proof of Commercial Relevance Center to figure out how technology developed by small businesses can be commercialized. The Iowa Innovation Council was one of six winners of i6 Green, a federal competition that promotes commercialization of green technologies. The award was worth $1 million. Jack Harris, president and CEO of the Iowa Innovation Corp., which is the implementation arm of the Innovation Council, said the i6 money will provide Iowa State University with a chance to pilot the concept before potentially expanding to other types of technologies. The center itself isn’t necessarily a physical location, he said, but would be more of a concept and a formalized way of helping start-up businesses that have already proved a technology get ready to put that technology in the market. “I think that’s the secret sauce of this whole ecosystem we’ve got in place,” Harris said. Businesses that apply for a grant through i6 are judged by the Iowa Economic Development Authority’s Technology and Commercialization Committee. A separate loan program through the State Small Business Credit Initiative (SSBCI) is aimed at helping non-green-related companies at the same stage that specialize in the areas of advanced manufacturing, information technology and biosciences. Companies are eligible for loans of up to $500,000; the loan must be matched by private donations. Two companies have received i6 grants, and one company has received an SSBCI loan.
Boot camp for women brings ideas together
Sometimes just bringing the right people together in the same room can foster results. That was the goal of the Start-up Boot Camp for Women event organized in April by Thomas Swartwood,,, a visiting professor of entrepreneurial leadership at Drake University. Swartwood saw the need to create an environment in which women with entrepreneurial aspirations could come together, share ideas and learn. The idea was born from conversations that Swartwood had around town, both at entrepreneur-related networking events and gatherings that really had nothing to do with business, and the idea was supported by the John Pappajohn Entrepreneurial Center at Drake. “We need this,” Swartwood said. “There seems to be some recognition that we need to do more to foster this type of attitude and support group.” The boot camp took place over two weekends and attracted 10 attendees and 12 community mentors. Swartwood’s three goals – creating a networking foundation, “de-scarifying” the start-up process and actually making steps toward starting businesses – were largely met, he said.
|
|
The Depot at 4th, 100 4th Street, Des Moines, Iowa 50309 | (515) 288-3336 | © 2012 Business Record. All Rights Reserved. | Legal disclaimer
|
| |
 | |  |