Cleveland : Innovation + Job News

When Alison Musser and her husband traveled to North Carolina’s Outer Banks, the vacation turned stressful when they couldn’t find a crib for their one-year-old daughter. “We called every hotel to see if they had a crib available,” recalls Musser.
 
While the Mussers were able to eventually rent a crib, the difficulty in finding one helped to birth Babies Travel Too.  The company rents cribs and other baby equipment to parents traveling to Cleveland who don’t or can’t lug all the necessities with them.
 
“It seemed like a no-brainer,” Musser says of the business idea. “It’s impossible to bring everything you really need for a child when you’re traveling. If you’re flying into town, we’ll meet you at the airport.” Musser will also deliver to area hotels, Cedar Point or someone’s house.
 
Musser researched the idea and found she could provide a resource for traveling families. “What we found out was that even large hotels – with 300 rooms – only have three to four cribs.”
 
Babies Travel Too rents everything from cribs and car seats to baby monitors and bouncer seats. “We do a lot of high chair rentals,” Musser says. “We even do boxes of toys. That’s been really popular.”
 
Babies Travel Too recently won $25,000 in Bad Girl Ventures’ business plan competition, which Musser plans to use for marketing. “People don’t even know they can look for this type of service,” she says.
 
The long term goal is to expand Babies Travel Too to a national level. In the meantime, Musser is hiring a couple of delivery drivers to help her out with the summer peak season.
 

Source: Alison Musser
Writer: Karin Connelly

NEOSA recently completed its quarterly survey of Northeast Ohio’s tech sector, which measures how tech businesses are succeeding and their hiring trends and expectations, and the results are strong.
 
“What we’re seeing right now is not overly aggressive growth, but steady growth,” says NEOSA director Brad Nellis. “What I see are generally positive trends. When we compare results from previous surveys, we’re moving in the right direction. We’re really going on measured expansion going on two years.”
 
The survey showed that 67 percent of respondents said first quarter business was either good or very good; 87 percent expect their overall business to improve within the next year; and 73 percent plan to increase their staff.
 
Eighty-two percent of the companies surveyed reported they are currently hiring, which Nellis says is an all-time high in the seven years NEOSA has conducted the survey. The downside is companies are still struggling to find the right talent.
 
“I’m worried about the lack of talent," says Nellis. "The problem is we don’t have a pipeline in the colleges – they’re not graduating enough IT students.”
 
While the lack of IT talent graduating from college is a national problem, Nellis said Cleveland's reputation is improving. “The challenge is it can be difficult to get people to move here from outside the region,” says Nellis. “But Business Week listed Cleveland as one of the hottest tech jobs markets in the country.”
 
And area organizations are working diligently to attract the talent to Cleveland. For instance, Global Cleveland is planning an online career fair for tech jobs.
 
Source: Brad Nellis
Writer: Karin Connelly
 
 

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

Nine Northeast Ohio minority-owned 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

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

“The sun is shining, it’s nice, crisp weather and I’m on the right side of the grass – life is good.” Dr. Roy Church’s meteorology report can also describe the forecast for the nations’ startup community after Lorain County Community College received a $1 million grant from the Kauffman Foundation to take their successful Innovation Fund program to the national stage.
 
“When we created our business incubator GLIDE (Great Lakes Innovation and Development Enterprise), we discovered very early on that many of the entrepreneurs that were trying to start new companies were experiencing a financial valley of death,” explains Church, President of Lorain County Community College. “There was clearly a dearth of pre-seed capital to get them started.”
 
The Innovation Fund, launched by the Lorain County Community College Foundation in 2007 to support high-growth technology entrepreneurs in Northeast Ohio, was created to fill the capital gap and help small businesses generate revenue, catching the eyes of much-needed angel investors. Explains Church, “Our foundation came up with the idea of using philanthropic dollars from previously successful entrepreneurs to make those very earliest investments in companies.”
 
Donations to the fund are used to complete essential early tasks, such as presenting a proof of concept, finishing a prototype or creating a launch initiative. “85 companies have received about $5.6 million since 2007. These 85 companies have had a tremendous amount of success, evidenced by the private sector investment since their launch.”
 
Now the successful concept of philanthropic entrepreneurship behind Innovation Fund will be used in a pilot program to impact other regions across the country. “Community colleges are playing a unique role in higher education in that they are intended to be responsive to the unique needs of a local community,” says Church. “And since community colleges serve specific geographical regions, it makes sense to try to roll this model out through other community colleges in other parts of the country.”


Source: Dr. Roy Church
Writer: Joe Baur

More than 50 Ohio companies have received export assistance from the Ohio Department of Development’s International Market Access Grant for Exporters (IMAGE) program.
 
“The Office of Business Assistance leads the initiative to strengthen Ohio’s exporting economy and advance its leadership position in the global marketplace,” says Assistant Deputy Chief of Export Assistance, Wesley Aubihl. “Specifically, export assistance strives to increase international sales of Ohio-made goods and services, creating more and better jobs for Ohioans.”
 
Designed to increase exports and create jobs, IMAGE helps companies promote their products and services in new international markets. Best of all, IMAGE will reimburse companies a maximum of $6,000 or 50 percent on qualifying expenditures up to $12,000 for activities associated with new international marketing initiatives, such as trade shows and foreign marketing material translation.
 
Airstream Inc., developers of lightweight travel trailers in Jackson Center, is just one example of a company that has taken off (no pun intended) thanks to assistance from IMAGE grant funds. Explains Aubihl, “[The funds] offset the costs of participating in a State of Ohio-Council of Great Lakes Governors trade mission to Brazil. The trade mission enabled Airstream to meet potential key customers in the Brazilian market.”

Justin Humphreys, Vice President of Sales at Airstream, has credited the Ohio Department of Development with playing a special role in their ability to meet with key players in Brazil to assess the potential of doing business abroad.
 
Aubihl is hopeful a slew of Ohio businesses will follow in Airstream’s footsteps and experience similar international success. “Since the program began in January, the Ohio Department of Development has awarded 15 trade mission stipends, supported 37 international trade shows, 10 U.S. Commercial Service projects, 20 translations of websites or printed materials, and three export education activities,” he explains. “The participating companies have reported more than $5 million in actual export sales, with additional sales expected over the next 12 months."


Source: Wesley Aubihl
Writer: Joe Baur

Polymers are big business in Ohio. According to Wayne Earley, CEO of PolymerOhio,  “Ohio is definitely a leader in the production and use of polymers.” According to its website, PolymerOhio is an Ohio Edison Technology Center focused on “enhancing the Ohio polymer industry company's global competitiveness and growth.”

Earley’s comments came on the eve of the two-day Ohio Polymer Summit, which was held June 6-7 in Columbus and attended by more than 150 people from throughout Ohio. This was the Ninth Annual Biennial Ohio Polymer Summit.

A presentation on innovation engineering leadership was one of the summit highlights, according to Earley. There was also a segment on shale gas and its impact on Ohio’s polymer industry. “Shale gas is very significant to our industry here in Ohio by lowering energy costs and also lowering the cost of basic polymer materials,” he explains.

Another important session was the introduction of the new computational methods program. “Small- and medium-size companies can’t afford to acquire the software needed for such things as mold design and extruder simulation,” Earley says. “With the assistance of a federal grant, Polymer Ohio is now making these tools available to smaller companies.” 

The polymer industry is Ohio’s largest manufacturing industry, he states. “More than 130,000 people are employed in Ohio’s polymer industry. It’s a growing industry here.

There’s high growth in several specific segments, including conductive and electronic polymer materials, polymer nanocomposites, biomaterials and feed stocks and recyclable polymers.”

Earley points out that polymers aren’t just plastic. “They’re also in adhesives, sealants, paints, coatings and composites of other materials.”

He says that Ohio is the world leader in compounding of polymers – combining different materials to achieve a set of specifications. PolyOne in Avon Lake is the state’s largest compounder, according to Earley. “They’re successful because they have the technology and the capabilities to develop materials and compounds that are specific to certain important applications. They’re also very innovative,” he adds.

Source:  Wayne Earley, PolymerOhio, Inc.
Writer:  Lynne Meyer

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

Dennis Cocco has a good problem: he and other leaders of Lorain County Community College's Innovation Fund have a hard time choosing winners each year because applications are so strong.

“We’ve been doing this for four-plus years,” says the director of the Great Lakes Innovation and Development Enterprise (GLIDE), a partner of the Innovation Fund. "The quality of the business idea, the entrepreneur and the presentation are better today than what we saw back in those early days. It’s because of the ecosystem we’ve created here in Northeast Ohio to mentor, lead and help young businesses understand the process to be an entrepreneur. We now have one of the better ecosystems in the country.”

Cocco says that those companies who don’t get funded (this year there were over 40 applications with 6 winners) can come back next quarter. In the meantime, “We offer a debriefing, explain what we saw as their strengths and weaknesses, how to make their businesses better.” Cocco says that because of this support system, there are more people starting businesses than four or five years ago.

Innovation Fund awards go to startups in the fields of alternative and advanced energy, advanced materials, instruments, electronics and controls, biomedical innovations, and advanced propulsion – categories determined by partner/funder Ohio Third Frontier.

This year’s awards went to startups in Elyria, Massilon, Hiram, Shaker Heights, Parma Heights, and Concord. They include alternative financing for retailers (IGW Finance Alternative); products to improve the energy efficiency of heating, cooling, and lighting systems (Paragon Robotics); a faster method of testing biological samples (QURA Scientific); a coating material to control corrosion (Tesla Nanocoastings); a sensor-based system to transmit patients’ clinical data to nurses’s stations (Future Path Medical); and a marketing platform for musical events (In2une).


Source: Dennis Cocco
Writer: Catherine Podojil

Life Core Technologies received a $250,000 investment from JumpStart for its Excel disposable cerebral cooling system, a device that reduces chances of death in a medical emergency.

“Excel has a cooling element that cools the brain 1.5 to 2 degrees Celsius very quickly after cardiac arrest, stroke, or traumatic brain injury,” explains Life Core CEO Mike Burke. “The cooling allows the brain to use less oxygen and prevent oxygen depletion and swelling.”
 
The technology was developed by cardiothoracic surgeon Aqeel Sandhu in the late 1990s. “He discovered though his work with animals that cooling the brain can reduce the metabolic rate and several hours later they came back,” explains Burke. “In 2010, the American Heart Association came up with guidelines stating the cooling as soon as possible after cardiac arrest increases the chances of survivability and retained mental capacity."
 
The JumpStart investment will allow Life Core to conduct additional scientific studies. “We are working with a number of organizations to do additional studies,” says Burke. “We are proving the effectiveness.”
 
Burke is proud that the product is manufactured by a local company and assembled by Patriot Packaging, which employs veterans.
 
Life Core currently has five employees. “We will be expecting to grow as we attain commercialization,” says Burke. “We expect to grow internally with two people and also grow externally through distributors in Northeast Ohio.”

 
Source: Mike Burke
Writer: Karin Connelly

Shelley Freed, co-founder of Ashton Business Solutions, a consulting group specializing in research-based business strategies, admits that she relies on technology just as much as the next person. But amidst all the emails and text messages, Freed’s goal is to put the human touch back into ABS’s strategic marketing and positioning.
 
“I do a lot of market research and strategic research for companies,” says Freed. “I get to interact with companies’ internal teams about how customers impact their businesses. Inevitably, I end up interacting with their databases.”
 
In doing so, Freed found that many companies do not have complete data on their customers, and therefore can’t make informed decisions on how to make improvements to their customer service.
 
“Very few companies have really solid data,” says Freed. “So I started thinking, wouldn’t it be great if companies would update their records -- throw in an extra question as a customer service touch point, like, Is there anything we can do for you today?"
 
The thought prompted the creation of ABS’s Customer Service Outsource Center. “And it’s a real person on the phone,” says Freed. “People still want to be able to talk to a human being. It makes a big difference. It’s all about humanity in business, even if it’s sometimes easier to send off an email.”
 
ABS is rolling out the center, including a secret shopper service. “This, then, is more than a data bank for customer information; it is intended to be an invaluable resource that can help companies discover new and highly successful ways of growing their businesses,” explains Freed.
 
ABS has several part-time people on staff now and Freed is interviewing for the call center. They recently hired someone to lead the telemarketing aspect of the company.

“The initiative for Ashton this year is to push the humanity back into business,” Freed says. “Business is about relationships. That means getting on the phones to talk with customers, prospects and referral sources on a regular basis all the time. We’re hoping by the end of the year to have a handful of people in permanent part-time positions.”
 

Source: Shelley Freed
Writer: Karin Connelly

Matt Mastrangelo knows first-hand the hassles of putting together a group outing to an Indians or Browns game. After nearly 10 years in group sales for both sports teams, he witnessed the amount of work staffers put into organizing a group outing.
 
“It was in the Stone Age,” he says. “Figuring out the paper flyers, who wants how many tickets, how much they cost, collecting cash and checks. I thought there was something I could do to alleviate that work.” So in March, Mastrangelo created GroupAide, an online system for organizers of group events to manage the ticket sales.
 
Organizers go to the GroupAide site, set up an event page that includes all the details of the event and send email invitations to the group. Attendees can view the seating chart and buy tickets. It’s free to set up but a service fee is attached to each ticket sale.
 
“So if they’re sitting at home one night, they can just go to their event page and place an order really quickly,” says Mastrangelo. “We provide sales support, who bought tickets, how many seats were sold and how much money has been collected.” With a click of the mouse, the organizer can issue a sales report and collect the money for the event.
 
“Maybe it’s just from being around it for so long, but I don’t feel like I’m reinventing the wheel or changing the world,” says Mastrangelo. “I’m just putting together a way to promote and organize an event.”
 
Mastrangelo already has a few clients through GroupAide, from sporting events to a ski race and even a poinsettia sale. Right now he is still operating GroupAide out of his house in Lyndhurst, but hopes to grow as people catch on to GroupAide.

 
Source: Matt Mastrangelo
Writer: Karin Connelly

NEOSA Tech Week 2012 was held last week at various northeast Ohio locations, promoting the region’s technology companies and the work they are doing in the field. This is the second year for the event, which increased participation by 80 percent with more than 900 people attending nine separate events.
 
“It was awesome,” says Brad Nellis, NEOSA director. “The main goal is to raise the profile of the technology industry in Cleveland.”
 
The week kicked off with Tech Pitch night at the 100th Bomb Group, where 10 companies pitched their businesses to IT executives. “The purpose was for business development and to make business connections,” explains Nellis. The audience voted for the most intriguing company, most wanted product and best pitch.
 
A talent networking event linked 100 young professionals and college students with 25 area companies -- from small employers to international power companies. “We heard from a number of companies who participated about how good it was for them,” says Nellis.
 
The sixth annual Best in Tech Awards recognized outstanding tech companies and impressive tech entrepreneurs in the region. Six companies out of 60 nominations were named as winners in various categories. Sparkbase was named Tech Company of the Year. The CIO of the Year awards were also announced in four categories.
 
The Cool Tech Challenge invited 31 area high school teams to compete in web site design. Seventy students on 43 teams competed. Six students on three teams from Mentor High School, Beaumont School and Copley-Fairlawn High School each received $1,000 in scholarships.

 
Source: Brad Nellis
Writer: Karin Connelly

Pat Valente, executive director of  the Ohio Fuel Cell Coalition, is convinced that fuel cells are the future of energy. The OFCC is a group of industry, academic and government leaders who seek to propel Ohio into a global leadership position in fuel cell technology.
 
Ohio has a competitive advantage in fuel cell technology, says Valente. “We have the supply chain (components), a skilled workforce, and ongoing research on college campuses and in business. We like to say that every fuel cell manufactured in the U.S. has an Ohio component.”
 
Valente touts the clean energy of hydrogen fuel cells. “The only emission that comes out of the tailpipe is water vapor,” he says, referring to the use of fuel cells in vehicles.
 
But fuel cells aren’t just for cars, trucks and buses anymore. Honda is working on an advanced fuel cell that could power a conventional household for six days. Stationary fuel cells are in the works that can power a shopping center or a small community, completely off the grid.
 
In late April, Valente was preparing for the Ohio Fuel Cell Symposium, which took place from May 1st-2nd at Lorain County Community College. “We’re expecting Honda, GM, Daimler, Hundaii, and Toyota,” among others. He thinks government needs to step up with stricter emission requirements, which would further encourage the fuel cell technology.
 
With a rising middle class in China and India, Valente believes it’s just a matter of time before the oil runs out to power all those cars. “We need wind, solar, fuel cells, a little bit of everything. “


Source: Pat Valente
Writer: Catherine Podojil