Tag: Innovation

Christian Morris, Founder/CEO of Rush Roto

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Christian Morris, Founder and CEO of Product Photo A.I. Firm Rush Roto

An Ongoing Series Highlighting Delaware Innovators

Christian Morris was working on a mixed-reality app that would allow users to view a musician or performer as if they were 3D in front of them and needed software that could cut the background out and leave just the subject. Despite a lukewarm response from people who reviewed it, he believed it had potential.

Enter his wife, who runs a successful Etsy shop but needed an inexpensive way to create product videos. With a few tweaks, the app helped propel her to the top 5 percent of sellers in six months. Morris saw small business owners – particularly ecommerce sellers – who don’t have large ad budgets for Facebook or Google but depend on their own social media posts to sell products as an untapped market for his artificial intelligence-based technology.

Rush Roto’s “simple and spectacular” AI technology doesn’t just add a background. It places the picture of an object into another image that can be turned into multiple campaigns in just a few seconds. That’s important for small businesses that rely on seasonal online selling and want to turn a single product photo into images for Halloween, the Christmas season, spring — or any other time or theme.

Morris put about $10,000 of his own money into getting the startup to the point where he could apply to business growth programs. He found early support in 2022 through Amazon Web Services (AWS), which selected Rush Roto as one of 25 startups for its inaugural AWS Black Impact Accelerator. The company won $125,000 in cash and $100,000 in Cloud Credits along with in-person training at Amazon headquarters.

Morris says the AWS program and Rush Roto’s recent selection into the prestigious Techstars Accelerator Powered by J.P. Morgan program – which included Rush Roto receiving a $120,000 equity stake – has opened a new world of possibilities in terms of venture capital funding, growth and connections. In addition, Rush Roto was a winner in Delaware Prosperity Partnership’s 2023 Startup302 competition, where it placed in the Delaware Tech-Enabled category.

“Success in programs like AWS, Techstars and Startup302 provide legitimacy and help us get our funding applications looked at, which can otherwise be very challenging,” Morris said.

Morris recently shared his views on innovation in Delaware and the path forward for innovators.

Why is Delaware a great state to be an innovator?

I know other Delaware founders have said it countless times, but our central location is key. Getting started with zero network connections in the tech world was challenging. However, I was able to expand my network at an exponential rate with just new tires, gas and determination. I joined startup communities in not only Delaware, but D.C., New York City and Philadelphia. I was usually the only Delaware resident in the room. That made me even more memorable.

I just did another pitch competition where I came in second in New York just a few months ago. And another one where I was going down to D.C., so there’s a plus at being able to hit multiple cities without having to hop on a plane. I also save money by not needing to rent cars and purchase hotel rooms in those states. In other words, being here also extended my company’s runway.

Last and most important is the real effort to support innovators here. After being a finalist in the Start-up302 competition, we received a letter from Delaware Governor John Carney. I don’t know if any founder I’ve met can say their state cares about what they’re doing at that high of a level.

What qualities should a successful innovator have?

Number one, by a large margin, is grit. Startup life is difficult. It will almost always take longer and be more challenging than you expect. “Unfair” is the default setting. You must learn to make peace with it, and then make your own luck.

Number two, focus. Focusing on the “why,” not the “what.”

Three, vision. You need vision to shift your “how” and “when” if needed. The reason you took action should be your north star. It’s easy to get caught up in your solution and forget.

What advice would you give innovators just starting?

When you get started, one of the most important things is to pick an idea worth pursuing by you. Not just one that is worth pursuing. You should have a true passion for the idea, not just potential profits. Those profits don’t leave the “potential” stage with most startups. You need to have a love for the why. Rush Roto’s why is serving underfunded entrepreneurs. I founded Rush Roto with the goal of using AI to make photography affordable to all businesses, to give time and resources back to the struggling solopreneur. Seeing Rush Roto do that gives me the energy to push through those tough days.

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DE Helps Region Earn Tech Hub Status

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Delaware Part of Greater Philadelphia Region Precision Medicine Tech Hub Designated by Biden-Harris Administration

Image by macrovector on Freepik

Area is one of 31 selected from nearly 400 applicants, is identified as ‘primed for technological innovation and job creation’ under President’s Investing in America agenda

WASHINGTON, DC — The Biden-Harris administration, through the U.S. Department of Commerce’s Economic Development Administration (EDA), today announced the designation of 31 Tech Hubs in regions across the country, including the Greater Philadelphia Region Precision Medicine Tech hub encompassing Delaware, New Jersey and Pennsylvania

This is the first phase of the new Tech Hubs program, which is an economic development initiative designed to drive regional innovation and job creation by strengthening a region’s capacity to manufacture, commercialize and deploy technology that will advance American competitiveness. The program invests directly in burgeoning, high-potential U.S. regions and aims to transform them into globally competitive innovation centers.

The Greater Philadelphia Region Precision Medicine Tech Hub, led by the Ben Franklin Technology Partners of Southeastern PA, aims to become a global leader in end-to-end precision medicine. This Tech Hub will leverage the region’s density of life sciences assets and research and development expertise to weave together disparate technology applications: biotechnology, medical technology, genomics, synthetic biology supported by artificial intelligence, machine learning, robotics and more. Together, these tech-enabled efforts will deliver new ways to diagnose, prevent and treat disease, increasing evidence-based technology applications that improve morbidity and mortality and decrease health disparities.

Tech Hubs was authorized by the bipartisan CHIPS and Science Act, a key part of President Biden’s Investing in America agenda, which he signed into law in August 2022. Winners are located across 32 states and Puerto Rico and represent a cross-section of urban and rural regions. Designation is an endorsement of the region’s plans to supercharge their respective technological industries to create jobs, strengthen U.S. competitiveness and protect national security. The Tech Hubs focus on industries ranging from autonomous systems, quantum computing, biotechnology, precision medicine, clean energy advancement, semiconductor manufacturing and more, and they highlight how the Biden-Harris Administration is investing in innovation and economic growth in every region of the United States.

The Phase 1 winners were selected from nearly 400 applications from regional consortia that include industry, academia, state and local governments, economic development organizations, and labor and workforce partners. As part of the Tech Hubs competition, each consortium outlined plans for strengthening its region’s capacity to manufacture, commercialize and deploy critical technologies.

These designated Tech Hubs may now apply to receive between $40 million and $70 million each for implementation funding, totaling nearly $500 million.

Read the full Tech Hubs announcement release here.

Read more about the Tech Hubs program here.

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RiKarbon Chooses to Grow in Delaware

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Homegrown environmental solutions firm RiKarbon chooses to continue growing in Newark, Delaware

Expansion of early-stage business focusing on carbon capture and utilization includes quadrupling lab space and creating 12 new full-time Delaware jobs

WILMINGTON, Del. (October 23, 2023) – RiKarbon Inc., an early-stage company specializing in developing innovative technologies for carbon capture and utilization, has chosen to continue growing in its hometown of Newark, Delaware, with an expansion from its Delaware Technology Park incubator space to nearby Delaware Industrial Park.

RiKarbon was founded in 2018 with support from a federal Small Business Innovation Research Grant from the Department of Energy and a mission to develop and commercialize sustainable proprietary technologies that capture and repurpose carbon emissions. The company has grown steadily since then, winning a 2019 Tech Connect Innovation Award, receiving several Delaware Technology Innovation Program Grants and outgrowing its 600 square feet of laboratory space in the startup incubator of Delaware Technology Park.

To maintain the momentum of its growth so far, RiKarbon will renovate and fit out 2,540 square feet of new chemical research and development lab space in a former electronic device manufacturing facility on Dawson Drive in Delaware Industrial Park. The company also will add 12 full-time positions to its current roster of six full-time employees and two part-time employees.

“We’re pleased that RiKarbon Inc. – a recognized leader in carbon capture – has chosen to expand in Delaware,” said Governor John Carney. “The company that started in a Delaware Technology Park incubator space will quadruple its square footage and add full-time jobs to continue to make Delaware a leader in the environmental space.”

The larger facility and staff will allow RiKarbon to continue its commercial scaleup of 100% bio-based oils for emollients to formulate personal care products, bio-poly-alpha-olefin base oils for performance lubricants, products for upcycled plastics manufacturing and other cost-competitive offerings for domestic and international markets. A recently announced partnership with BASF – the world’s largest chemical producer – includes bringing one of its emollient products to market by 2024. The company also has received letters of intent from global customers to deliver products and is now raising investment funding to do so.

“Congratulations to Delaware’s own RiKarbon, born right here in the First State, on their continued growth in the field of carbon capture,” said New Castle County Executive Matt Meyer. “It’s with great pride that we can say this company was incubated right here in Newark and has chosen to continue to expand where the talent lies, right here in Delaware.”

Delaware Prosperity Partnership supported RiKarbon’s request to the Council on Development Finance for a Graduated Lab Space Grant of up to $34,000 and a Jobs Performance Grant of up to $26,000 from the Delaware Strategic Fund. Distribution of these grants is dependent upon the company meeting commitments as outlined to the CDF, which reviewed and approved RiKarbon’s request.

“We are recreating similar ingredients that we use every day in our shampoo, conditioner, facial products or automotive engines, but making them in a socially responsible way from organic wastes that are causing environmental challenges globally,” said Basudeb Saha, president and CEO, RiKarbon. “It is very satisfying that we are able to deliver green and upcycled products to our customers to promote health and environmental efficacy while tackling climate challenges.”

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About Delaware Prosperity Partnership

Created in 2017, Delaware Prosperity Partnership (choosedelaware.com) is the nonprofit public/private organization that leads Delaware’s statewide economic development efforts to attract, grow and retain businesses; build a stronger entrepreneurial and innovation ecosystem; and support private employers in identifying, recruiting and developing talent.

About RiKarbon

RiKarbon (rikarbon.com) develops technologies for cost-competitive renewable products that use non-conventional and typically unused carbon feedstocks to serve the domestic and international specialty and performance chemicals market.

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$750M Grant Funds DE/PA/NJ Hydrogen Hub

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Mid-Atlantic Clean Hydrogen Hub Wins $750 Million Federal Grant

Delaware/Pennsylvania/New Jersey Clean Energy Collaboration Will Bring 10,000 New Jobs to Region

The Mid-Atlantic Clean Hydrogen Hub (MACH2) has been approved for $750 million in funding from the U.S. Department of Energy Regional Clean Hydrogen Hubs Program – one of just seven hubs so funded nationwide.

MACH2 aims to reduce pollution – particularly for frontline communities experiencing the “first and worst” environmental consequences – and advance clean energy. With a network of hydrogen producers, consumers and infrastructure throughout Delaware, Southeastern Pennsylvania and South Jersey, MACH2 will create more than 10,000 jobs in the production, delivery and use of zero-emission green and pink hydrogen for industrial, transportation and agricultural uses. It also will further Delaware’s prominence in the clean energy economy.

According to Delaware Governor John Carney, who co-chairs the Delaware Prosperity Partnership (DPP) Board of Directors, Delaware companies and institutions already have led on hydrogen and now will play a key role in this initiative.

Photo illustration by David Barczak

“This is a big deal,” Carney said. “Hydrogen is a clean fuel of the future, one of the ways we can pollute less. Our region has been chosen for a federal infusion of hundreds of millions of dollars that will create thousands of jobs and show how hydrogen can be made, transported and used in a real-world way. When we have talked about the opportunities for Delaware from the Bipartisan Infrastructure Law championed by President Biden and our Congressional delegation, this has been one of the big ones, and we got it. I’m looking forward to getting to work with our partners in the region.”

Dora Cheatham and the Delaware Sustainable Chemistry Association (DESCA) were among the critical organizations that spearheaded development of the winning proposal and public-private regional collaboration structures. Delaware partners – including DPP – worked alongside entities in Southeastern Pennsylvania and South Jersey on this winning plan. DPP, a proud member of the MACH2 collective, was able to financially support the more than year-long process that will have a substantive impact in Delaware and region for years to come. The October 13 announcement is another milestone in furthering DPP’s mission of advancing prosperity for all Delawareans.

“The exciting news coming from the Department of Energy about MACH2’s selection as one of our nation’s hydrogen hubs is great for the region and tremendous for the State of Delaware,” said CSC President and CEO Rod Ward, who co-chairs the DPP Board with Governor Carney. “DPP’s investment in the initiative made a lot of sense at the onset of the process. That forethought will help advance our region’s economic and environmental goals, positively impact families who live in environmentally challenged neighborhoods and provide more well-paying jobs for individuals who are part of our state’s workforce.”

The White House release about the grant awards is here. 

Additional details about MACH2 are here. 

An article about the University of Delaware’s role in the initiative is here. 

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Liam Fitzgerald, Co-Founder of Connect2Co

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Liam Fitzgerald, Co-Founder of Digital Workspace Firm Connect2Co

An Ongoing Series Highlighting Delaware Innovators

Liam Fitzgerald believes many businesses have a lack of cross-departmental clarity, an inability for executives to make strategic decisions and a lack of overall workplace morale. This belief led to the creation – with co-founder Robbie Parisius – of Connect2Co, which describes itself as “the future of productive work.”

“As a founder, my objective is to improve communication and collaboration, implement sustainable practices into companies of all sizes and drastically improve scalability in startups for fellow founders to reach their goals more effectively,” says Fitzgerald, whose company vision is to “transform the digital workspace into something that is engaging and meaningful, data-driven and efficient.”

Connect2Co won a 2023 $100,000 Encouraging Development, Growth & Expansion (EDGE) Grant from the Delaware Division of Small Business to support the growth of a business-to-business platform that enables businesses of all sizes to manage, optimize and collaborate with other companies. The tool essentially enables customers to operate a digital workspace from one central location, eliminating the need for toggling between various applications such as Gmail, Google Drive, Microsoft OneDrive and Salesforce.

Fitzgerald spoke to Delaware Prosperity Partnership about his views on innovation in Delaware and his advice to hungry innovators.

Why is Delaware a great state to be an innovator?

Delaware’s ecosystem of entrepreneurs and business professionals – and government entities driven by their ability to support small businesses and systems by providing access to vital resources and people – make Delaware a “Goldilocks zone” for innovation and innovators alike. Small businesses account for more than 98% of the businesses in Delaware, employing over 55% of the workforce. This supports the obvious presence of a breeding ground for entrepreneurs to provide value to each other in a multitude of ways.

In your view, what qualities should a successful innovator have?

  • Successful innovators have core qualities that define their success:

  • Understanding in the form of malleability. The presence of individual identity should not supersede an entrepreneur’s ability to listen to others in relation to feedback, criticism and support. Innovators must be sure in their mission and overarching objective but must simultaneously be willing to change course and pivot as their business or venture progresses. Communication and understanding are vital to improvement. Even if feedback is not used, shared perspectives give clarity to beautiful ideas and ventures.

  • Innovators must be leaders. Successful entrepreneurs and thinkers have different personality types. Some can lead in a school of thought, industry or field. Some are great managers who can realize the dormant abilities of their team and empower them to excel personally and within their organization. Some lack these qualities, but lead in their relentless persistence, drive and hunger to solve problems and create/offer solutions. Ideally all three leadership qualities should be evident in the perfect leader, but the third quality (persistence) will inevitably allow them to penetrate the market and achieve the other two qualities.

  • Innovators must have ideas or systems that are better than those that previously existed. This may be evident in the form of improvement to solutions, products and systems that already exist; innovative and cutting-edge solutions/products or services that do not exist; or the enablement of team members to realize their full potential and, in turn, bring their ideas to light. The ability to execute on these ideas is what differentiates thinkers from doers.

What advice would you give innovators just starting?

  • Understand your why, then your what, then your how. Figure out your purpose for your venture, then what you will offer and then dissect how you will fulfill what you will offer.

  • Plan with the objective to execute. You can write business plans, forecast your expenses and your revenue, create feasibility analysis and research statistics on your market, industry and customers, but nothing will come close to talking to your target customers. If I analyze what I did wrong and right, I can truly say that the best practice is to find an idea, talk to people you trust to establish preliminary validity of the idea, build part of the idea and start showing it to these people and getting users to test it.

  • Rinse and repeat this process incrementally, and your idea will grow into a tangible thing. Your customer/communication base will also increase. Creating or building something people want enables you to figure out if an idea is worth pursuing. This should be done in a way that the person/group you are targeting is so compelled by the product that their want becomes a need. Turning wants into needs creates urgency and encourages retention. This, however, depends highly on the target market and customer segment you are selling to. Luxury goods are attractive due to their exclusivity and scarcity – taking advantage of the want factor. Commodity goods like toothpaste and soap are attractive due to their necessity. Services offered, solutions developed or products created, however, can initially be something the consumer wants that, after use, makes them realize they need it (such as iPhone, Gmail, CRM Systems).

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DE Project Wins $3.2M NIH IDeA Grant

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National Institutes of Health awards iRED University project $3.2 million IDeA Grant

Photo Illustration by Jeffrey C. Chase/University of Delaware

DESCA, University of Delaware and InsiteHub partnership will use funding to advance biomedical entrepreneurship in Delaware

WILMINGTON, Delaware – On August 21, 2023, the National Institutes of Health (NIH) awarded a grant through the IDeA Program to iRED University – a new collaboration between DESCA, the University of Delaware and InsiteHub – that will deliver an online entrepreneurial curriculum geared to early-stage innovators and startups that will help them identify their most viable applications as early as possible and subsequently connect them to the broader innovation and mentoring ecosystem. The program is funded through a three-year grant totalling up to $3.2 million, of which more than $980,000 will be directed to DESCA. The Small Business Technology Transfer (STTR) grant is now in Phase I, with follow-on funding expected in Phase II.

According to the National Science Board 2018 Science & Engineering Indicators, university invention disclosures totaled 22,507 in 2015 (compared to 13,718 in 2003) and patent applications almost doubled over the same period. In 2016 alone, over 6,600 patents in chemistry and the sciences were awarded – yet many of these patents never realize their full commercial value. iRED University aims to change that.

The iRED University team is working on a simple premise: in order to increase the number of patents and innovations commercialized, we need to increase the funnel of viable technology startups at the front end, and in order to do that we need to meet the very specific and unique needs of technology driven innovators. iRED University will be delivered through a rigorous and engaging online curriculum that will be critical to supporting the project goals and bridging the gap of sufficient training and knowledge for innovators in the biomedical field through a high-availability on-demand learner experience platform. The curriculum will lead innovators from ideation, identifying market gaps, to execution of a product strategy that translates customer requirements into effective commercial execution of new products. The platform will also provide the ability to assess participants at the point of registration and allow them to develop and access a personalized curriculum that can be customized for their specific gaps. This helps both new and experienced innovators to focus on areas of need and provide direct learning interventions.

The product will be initially launched in Delaware and will be open to the entire Northeast when launched. The National Institutes of Health (NIH) established the IDeA (Institutional Development Award) Program in 1993 to broaden the geographic distribution of NIH funding and enhance competitiveness for funding in states with historically low NIH funding. The states that fall within the Northeast Region besides Delaware include Maine, Vermont, New Hampshire and Rhode Island. Other regions include the Southeast Region (West Virginia, Kentucky, South Carolina, Puerto Rico, Missouri), Central Region (North & South Dakota, Nebraska, Kansas, Omaha) and the Western Region (Montana, Wyoming, Idaho, Nevada, New Mexico, Alaska, Hawaii).

The core team for this new partnership includes Dr. Julius Korley, Associate VP UD Office of Economic Innovation & Partnerships (OEIP), Louis DiNetta, Technology Business Development Manager Delaware Small Business Development Center SBDC, John Royer, CEO, Insite Hub, and Dora Cheatham, Executive Director, DESCA, and combines expertise in technology development and commercialization, online curriculum development and execution, business development and new product commercialization and SBIR/STTR expertise.

About DESCA

Formed in 2010, the mission of DESCA is to enable science innovators commercialize their technologies faster, as well as driving the new legacy of ChemTech. Today, DESCA has 3 key areas of focus around which it builds its programming:

    • Driving innovation and collaborative partnerships between major strategics, startups and universities;
    • Convening industry leaders in the public and private sectors on emerging issues and driving adoption of emerging trends & technologies that will be the key drivers of sustainability for the future;
    • Connecting students to industry and vice versa, with a goal of harmonizing the development of talent with the validated needs of industry.

    About OEIP

    The Office of Economic Innovations and Partnerships brings together the collective and integrated resources of the University of Delaware and the State’s business, academic and entrepreneurial communities to achieve new levels of innovation and economic development. The Office strives to:

    • Be the partner of choice in matters of economic development, commercialization of innovation, entrepreneurship and building businesses;
    • Enable entrepreneurs and innovators to accelerate ideas into the marketplace, grow businesses and form partnerships through access to University assets, space, capital, counsel and connections;
    • Deliver a unique, integrated model centered on long term, productive partnerships.
    • Support the University, state and region’s entrepreneurial, technical and business communities to reach new levels of economic development.
    • Create a culture where ideas and innovation thrive.

      About INSITE HUB

      • InsiteHub has been a provider of learning technology, medical education, and product training to the life science and medical device industries for over 10 years. InsiteHub has established itself as a leader by developing innovative learning technology solutions and earning key industry awards for application design and impact. In addition, InsiteHub’s platform was featured in an extensive Department of Education grant focused on researching student engagement at the university level. InsiteHubs’s instructional design paradigm is based on the ADDIE model whose steps include Analysis, Design, Development, Implementation, and Evaluation.

      About Delaware SBDC

      • For over 35 years, the “T” accredited DSBDC has assisted Delaware’s small businesses through information, counseling, and education. DSBDC’s technical assistance has resulted in more than 1,500+ new business starts, 4,200+ new jobs created (since inception), and $267M capital raised (since 2010). In 2009, DSBDC became only the eighth SBDC accredited as a “technology” designated program after demonstrating significant efforts to target and support Delaware’s technology-based businesses as well as its pivotal role as an essential connector and resource within the state’s entrepreneurial and technology ecosystems.

      This article was originally posted on the Delaware Sustainable Chemistry Alliance website at: https://desca.net/f/desca-ud-insite-hub-win-3m-grant-to-advance-entrepreneurship

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      Patrick Callahan of LabWare

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      Entrepreneur Patrick Callahan, Head of Data and Analytics for LabWare

      An Ongoing Series Highlighting Delaware Innovators

      LabWare’s acquisition of Patrick Callahan’s CompassRed data analytics firm in February 2022 started with a chance first encounter between Callahan and LabWare President and CEO Vance Kershner and Callahan at Buckley’s Tavern in Centreville.

      “Developing a relationship with Vance is the perfect example of things that happen in Delaware that just don’t happen anywhere else, in my opinion,” Callahan said. “We met over a bar stool.”

      Callahan built CompassRed into a visionary company in machine learning and predictive analytics. As head of data and analytics at LabWare, he is now developing a dedicated advanced data analytic arm as part of efforts to elevate the company’s position as the global leader in the laboratory information management market.

      Previously, the Drexel University and Widener School of Law graduate was a founding partner of The Archer Group. The award-winning, interactive internet marketing firm, founded in 2003, serves a diverse roster of clients in the financial services, retail, pharmaceutical and entertainment industries – including numerous Fortune 500 clients.

      Callahan also serves on the boards of several Delaware organizations. These include the Delaware Data Innovation Lab, the Pete du Pont Freedom Foundation, Girls on the Run and Delaware Prosperity Partnership.

      He spoke with DPP about innovation in Delaware and what it takes to innovate successfully.

      Why is Delaware a great state to be an innovator?

      I’m sure we’ve heard this a million times, but the accessibility to me is the big thing. If you’re looking to be in one of the best labs or chemical spaces, you can drive 40 feet and find people who are customers, thinkers, funders and legislators. There’s a reason why we have the biggest banking, biggest chemical companies and a lot of the other things right here in the Northeast corridor. When people talk about what made the country great, you can see that diversity here in the state – socioeconomic levels, education levels, diversity of thoughts and backgrounds.

      How I met Vance is a great example. You couldn’t just go to San Francisco and get a meeting with founders like Reid Hoffman (LinkedIn), Mark Zuckerberg (Facebook) or Marc Andreessen (Mosaic, Netscape). You just don’t go to a restaurant, introduce yourself and then strike up a conversation there. That’s unheard of.

      In your view, what qualities should a successful innovator have?

      I think humility is one thing. If you’re humble, that means you’re always learning, you’re always trying to figure out things, and you’re always knowing you don’t have the answer. People who say, “I know the answer,” are the ones who nine times out of 10, don’t. Getting out there and meeting people is very, very important if you want to sell your product or address the problem that you’re trying to address. That could be over Zoom or in person, but curiosity about another person’s view and experiences is just so important. Expanding what we’re doing at LabWare requires me to get to know the customers in the labs and the end user of the product.

      Intellectual curiosity and the willingness to listen to someone no matter how different they are is something you can learn and build into your product and innovate.

      You can do that over Zoom. We’ve shown over the last two years that’s essential, and maybe even easier. Before COVID, we’d have meetups where only 30 or 40 people would show up in person. But during COVID, we’d get hundreds of people from all around the world, which would lead to follow-up calls. I don’t know if we’ll go back. We want to have a mixture of both because there are things you can learn on the side before the meeting.

      What advice would you give an innovator who’s just starting?

      First, go meet people, go to these meetups. Many are free, but I find myself asking if someone will spend $1 on it. To me, that is a good qualifier because if you give it to them for free, they won’t necessarily assign value to it. When we were doing these meetups, people would sign up but two-thirds of them wouldn’t show up. The minute we started charging $5 and giving the money away to a nonprofit, really engaged people showed up because they thought of it as value. If you’re providing value, you should get value back for it. It’s not just time.

      Second, follow your interest. Doing good is good for business. I feel passionate about Girls on the Run, but speaking at a networking event also landed Archer one of our largest clients. Don’t go into it thinking you’re going to get something out of it. Be genuine, but give back to the community – and encourage your team to do the same — and I’ll tell you, you’ll get it back tenfold. There are so many nonprofits in Delaware that do so many good things that you’ll meet your next customer, hear about the next important problem that you can help solve or just meet someone with a different perspective that will help you back at the office.

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      10 DE Companies Win Latest EDGE Grants

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      10 Delaware Companies Win Latest EDGE Grants

      Division of Small Business Encouraging Development, Growth and Expansion awards have now provided more than $5M in funding to businesses statewide

      DOVER, Del. – The Delaware Division of Small Business has recognized 10 small businesses as winners of the seventh round of the Encouraging Development, Growth and Expansion (EDGE) competition. Awardees in the latest round of the competition include a drone company in need of an indoor facility, a company developing a new product for next generation silicon solar cells and owners looking to bring a printing and artist co-working space to Kent County.

      Governor John Carney, Deputy Secretary Kristopher Knight and Division of Small Business Director Regina Mitchell announced the companies at an event at Chase Field House in Wilmington, where Hx Innovations, one of this round’s winners in the STEM category, is located.

      “The EDGE grant program helps small businesses get the ‘edge’ they need to expand and innovate by providing much-needed capital assistance that these businesses may not have access to otherwise,” said Governor Carney. “This program has been very successful over the last few years, and we look forward to seeing how these companies and business owners grow their businesses with their grants.”

      “Small businesses in Delaware are job creators, innovators, help create economic diversity and reduce environmental impacts,” said Deputy Secretary of State Kristopher Knight. “The EDGE grants are driven by creativity and innovation – which is reflected by the diverse array of entrepreneurs and STEM-related businesses this round. With the help of the EDGE grants, we are fostering innovation with the necessary capital to help individuals start or expand their small business.”

      Businesses that are less than seven years old and employ no more than 10 staff are eligible to apply for an EDGE grant. The grants are awarded through a competitive selection process. After thorough internal review, 16 finalists pitch their proposals to an outside expert panel of judges. From there, 10 companies are selected for awards. Five STEM-based companies each receive up to $100,000 for eligible expenses while five Entrepreneur Class (non-STEM) businesses each receive up to $50,000.

      “The EDGE competition allows our Division to support small business owners in Delaware who are making significant scientific advancements, creating unique products and helping strengthen their local communities,” said Division of Small Business Director Regina Mitchell. “We are really pleased with the quality of applications received. For the next round, which will open September 1, we are working to increase the number of STEM applications we get, particularly from Kent and Sussex counties.”

      EDGE is a matching grant program. The Division of Small Business matches a winning business’s investment on a 3-to-1 basis. The business can spend EDGE grant funds on expenses that help improve the company’s long-term chances of success, such as a marketing campaign to help acquire more customers or purchasing a needed piece of equipment that can increase production capacity.

      Including this round, $5 million has been awarded to 80 promising Delaware small businesses since EDGE was first launched in 2019. Industries represented have ranged from wearable medical devices to farming to restaurants.

      This is the seventh round of funding for the program. Approximately 130 businesses applied in March, and 16 finalists gave public presentations in May at Delaware State University. From those, the following recipients were selected:

      Stem Class

      Connect2Co Inc. (Wilmington)
      Connect2Co is a cutting-edge business-to-business startup software tool that will revolutionize the digital workspace for businesses and organizations of all sizes. Its all-in-one platform seamlessly integrates external solutions, eliminating the need for toggling between various applications (For example, send an email with Gmail, download or share a document from Google Drive/Microsoft OneDrive, close an opportunity with Salesforce). The grant money enables Connect2Co to ramp up its initial operations by funding co-working space at The Mill in Wilmington, along with marketing and speeding the platform’s development timeline.

      Doubly LLC (Middletown)
      Doubly is a minority- and women-owned startup founded in 2023. Doubly is an innovative application that integrates seamlessly with enterprise messaging platforms like Teams and Slack to help boost productivity and connectedness as a result of remote work conditions. EDGE funding will be used to finalize the application’s development and conduct extensive user testing as well as hire software engineers and designers to expedite the application’s development.

      TX Electromagnetic Materials LLC (Wilmington)
      TX ElectroMagnetic Materials LLC is a science-driven company committed to advancing the development of cutting-edge electro and magnetic materials for the solar cell and semiconductor industries. The company is developing a new metallization silver paste specifically designed for future silicon solar cells. The EDGE Grant will be used to accelerate product development efforts, expand sales and marketing initiatives, develop product samples and successfully bring the product to market.

      Hx Innovations (Wilmington)
      Hx Innovations is a biomechanics testing and technology company with a patented assessment technique related to the stability and joint movement of the knee, ankle and foot. This led them to develop a neuromuscular predictive model for sports teams to help them create safe training regimens and recovery strategies for athletes. Hx Innovations is currently located in Chase Field House and is using its technology with athletic teams there. The EDGE funding will be used to expand the company’s presence at the Fieldhouse, build a more robust database for its platform and make the software for real-time injury monitoring mobile.

      Leadership Excellence Academy for Nonprofits (Wilmington)
      Leadership Excellence Academy for Nonprofits (LEAN) aims to make a transformational impact in the nonprofit sector. Instead of focusing on short-term gains, LEAN adopts a long-term approach to prioritize creating sustainable solutions. LEAN’s expertise helps nonprofits identify and address gaps in their operations, thereby making them more effective in achieving their goals. EDGE funding will be used to develop innovative app technology to provide a vehicle for encouraging next-gen donors to support nonprofits through giving.

      Group photo of STEM Category EDGE Spring 2023 Winners

      Spring 2023 EDGE Entrepreneur Category Winners

      Entrepreneur Class

      Droneversity LLC (Wilmington)
      Droneversity hopes to revolutionize the aviation and STEM industries through comprehensive drone-related workforce development programs. A diverse range of offerings includes drone pilot ground and flight school for federal certification, STEMulation programs for hands-on education, international eSport drone soccer programs, professional development for educators and consulting services. EDGE funding will help secure a permanent indoor facility as opposed to temporary site hosts where internet connectivity and weather conditions can be challenging. The company’s planned location is in a downtown development zone.

      G & R Industries LLC (Smyrna)
      G & R Industries is a startup manufacturing company, located in Smyrna, that is bringing an innovative construction hanger to the market. The GRO Hanger provides a safer, faster, stronger and more cost-effective solution for installing piping and fixtures in steel joist construction. EDGE funding will support startup costs, including the purchase of assembly equipment; trade show marketing; testing and certifications; and the initial production run of GRO Hangers.

      Paraklete Properties & Design LLC (Viola)
      Paraklete Properties is a woman-owned and family-operated business that seeks to provide locally grown baled pine straw. Established in 2019, Paraklete Properties is committed to Delaware’s growth while preserving its natural beauty. EDGE funding will be used to purchase a proprietary pine straw baler as well as to construct a storage location for the straw. The funds will assist in providing an increased volume of densely packed pine bales, with minimally handled straw, as well as provide a protected area for storage before sale.

      The Nest Play Cafe (Middletown)
      The Nest Play Cafe is an innovative establishment for parents to take their young children, to explore a fun, exciting play area while they relax or interact with other parents in an upscale café lounge and seating area. With a holistic, eco-friendly and Montessori-inspired approach, The Nest Play Café offers programming, including baby sign language; Spanish; Mandarin; sensory play; arts and crafts; and milestone development classes taught by a pediatric occupational therapist. EDGE funding will enable to owners to do Phase 2 of their construction plan for an additional restroom, add plumbing and buy equipment for an organic coffee and smoothie bar area.

      Studio B (Harrington)
      Studio B seeks to establish a unique fusion of commerce and art by serving as an ultra-fast turnaround print-on-demand hub and a supportive community workspace. The company will offer convenient access to top-notch print work such as restaurant menus, business cards, flyers, banners and more. Additionally, Studio B will extend its services to artists and individuals, providing access to professional assistance, a supportive creative environment and high-end tools and equipment that are typically out of reach for independent creators. EDGE funding will help the company acquire equipment and professional website assistance for effective outreach, marketing and online sales potential.

      This article was originally posted on the Delaware.gov website at: https://news.delaware.gov/2023/07/19/dsb-awards-edge-funding-to-10-de-companies/

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      Innovative DE Ag Projects Receive $665K

      Written on . Posted in In the News.

      Delaware Department of Agriculture Awards Over $665,000 for Innovative Projects to Improve Food Supply Chain

      DOVER, Del.  — The Delaware Department of Agriculture (DDA) today announced it is awarding $665,872 in funding to 12 projects through the First State Food System Program. The program, managed by the Delaware Council on Farm and Food Policy, strengthens the local food system by supporting the broad food supply chain spectrum.

      “We have had an outstanding response to the funding available through the First State Food System Program, demonstrating the continuing need to strengthen Delaware’s food supply chain infrastructure and create new and expanded markets for our farmers and producers,” said Secretary of Agriculture Michael T. Scuse.

      The First State Food System Program is designed to highlight the interconnection of systems and processes that shape nutrition, food security, health, community development, and agriculture. Since this program began in 2022, nearly $350,000 has been awarded to projects addressing community food access and approximately $500,000 to projects improving processing capacity across the state.

      T.A. Farms, LLC received Cycle 1 funding for their “Poultry Revamping Project.” Producer Elizabeth Carter shared, “We would process roughly 450 birds in about five hours with our old system. Our new system can process about 700 birds in the same amount of time. Especially during our holiday season, this allows us to process the birds efficiently, allowing for a fresher product. The beneficiaries are all the consumers looking for fresh local meat, the organizations we have donated to, and our family members. Creating a physically easier work environment allows our family members to think about the future. It allows us the mindset to think long-term in the meat business.”

      Awards are approved to support projects in each county. Each awarded project is designed to help Delaware’s food supply chain. The planned work will focus on one or more of the following: food processing, distribution, community access, and food production. In this year’s funding for Cycle 2:

      • 50% of projects were awarded to Delaware farms.
      • 34% of the projects were awarded to community organizations focused on community development, nutrition education, and food access.
      • Many of the projects related to processing, storage, and distribution include the collaboration of two or more food supply chain operators.

      The First State Food System Program is funded through the American Rescue Plan Act (ARPA), championed by Delaware’s Congressional Delegation – U.S. Senators Tom Carper and Chris Coons, along with Congresswoman Lisa Blunt Rochester. Passed by Congress, ARPA was signed into law by President Joe Biden on March 11, 2021.

      Projects funded in Cycle 2 include the following:

      Production

      • Bennett Orchards LLC, Wind Machine Freeze Protection to Mitigate Climate Change Effects and Strengthen Local Fruit Supply

      Transportation

      • Marvelous Produce, Strengthening Delaware’s Fruit and Vegetable Supply Chain – Farm to End User

      Markets and Industry

      • Powers Farm, Farm Store Expansion

      Food Waste

      • Food Bank of Delaware, Compact Membrane Fresh Produce Preservation Phase 2

      Processing

      • Fifer Orchards, Local Food System – Farm-to-Table Kitchen
      • Dittmar Family Farms LLC, Vegetable Processing and Cold Storage Expansion (Also includes storage and distribution)
      • D & J Custom Cutting, Ready-to-Eat Meat Processing
      • TA Farms LLC, Value-added Products

      Storage and Distribution

      • Love-in-Deed Community Development, Food Closet Capacity Building & Super Foods Urban Garden Project

      Community Access

      • La Red Health Center, Sussex County Community Fridge Program
      • Teach a Person to Fish Society, Milton Pantry Garden Beds
      • Wilmington Alliance, Growing West Center City: 7th & West Streets Community Garden

      Last year, the Historic Lewes Farmers Market (HLFM) received funding for their project – Strengthening the Farm to Pantry Food System in Sussex County. HLFM Volunteer Nancy Staisey stated, “Volunteers and farmers both embraced the expansion of this program. The small farms are very enthusiastic about this program as they can sell more product while being able to feed those in need.”

      The Delaware Council on Farm and Food Policy plans to open the window for the last round of funding under the First State Food System Program beginning in February 2023. Complete program information can be found at https://farmandfood.delaware.gov.

      The Delaware Council on Farm and Food Policy strives to facilitate and support a local food system where farmers can access viable markets, Delaware households can access nutritious and wholesome food options within their communities, and where the impacts of supply chain disruptions can be diminished.

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      Delaware is #1 Entrepreneur-Driven Economy

      Written on . Posted in In the News.

      Entrepreneurs Are Driving the Most Economic Growth In These 10 U.S. States, According to Shopify Internal Data

      A recent report found that Delaware, Wyoming, and California were leading in entrepreneurial contributions to their local economies in 2022.

      Being an entrepreneur or self-starter doesn’t just mean you’re contributing to your own financial success, you’re also contributing to the local economy.

      A recent report by the e-commerce platform Shopify analyzed the economic impact of entrepreneurs worldwide by measuring how people in the platform’s ecosystem contributed to jobs supported (the number of jobs sustained by entrepreneurs who use Shopify’s platform to sell goods and services), GDP impact (value of goods and services produced by merchants), and business activity (merchant revenue plus the revenue of suppliers who provide materials and services).

      Overall, entrepreneurs in Shopify’s ecosystem supported 5.2 million jobs globally in 2022 (an 8.3% increase from 2021) and generated $490.5 billion in economic activity (+8.6%).

      Leading Shopify’s global ranking was the U.S., with over $270 billion generated from business activity, 1.1 million jobs supported, and a GDP impact of $128.7 billion. The second and third spots were both in Eastern Europe — Lithuania (No. 2) and Romania (No. 3) — followed by the United Kingdom (No. 4) and the Czech Republic (No. 5).

      In the U.S., Delaware was the top state for entrepreneurial contribution to the economy with business activity of $2.2 billion, 9,280 jobs supported, and a GDP impact of over $1 billion.

      After Delaware, the Mountain States dominated the ranks, with three out of the top five across the country being in the region: Wyoming (No. 2), Montana (No. 4), and Utah (No. 5). California ranked No. 3, and was also independently leading for the most jobs created across the country at 134,024.

      Here are the top 10 U.S. states where entrepreneurs in Shopify’s ecosystem are generating the most business for their economy:

      Delaware:
      Business activity: $2.2 billion
      Jobs Supported: 9,280 jobs supported
      GDP Impact: $1 billion

      Wyoming:
      Business activity: $912 million
      Jobs Supported: 3,710
      GDP Impact: $416 million

      California:
      Business activity: $57.6 billion
      Jobs Supported: 235,237
      GDP Impact: $26.6 billion

      Montana:
      Business activity: $694 million
      Jobs Supported: 2,838
      GDP Impact: $325 million

      Utah:
      Business activity: $6.9 billion
      Jobs Supported: 28,081
      GDP Impact: $3.1 billion

      Nevada:
      Business activity: $3.4 billion
      Jobs Supported: 13,885
      GDP Impact: $1.5 billion

      Alabama:
      Business activity: $2.6 billion
      Jobs Supported: 10,832
      GDP Impact: $1.2 billion

      Florida:
      Business activity: $15.5 billion
      Jobs Supported: 63,560
      GDP Impact: $7.2 billion

      Idaho:
      Business activity: $1.3 billion
      Jobs Supported: 5,612
      GDP Impact: $639 million

      Hawaii:
      Business activity: $826 million
      Jobs Supported: 3,380
      GDP Impact: $389 million

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      $60.9M in SSBCI Funds for Delaware

      Written on . Posted in In the News.

      Delaware approves $60M to support small businesses

      Delaware Governor John Carney, U.S. Senators Tom Carper and Chris Coons, and Congresswoman Lisa Blunt Rochester (all D-Del.) announced the approval of Delaware’s state plan for $60.9 million in funding under the State Small Business Credit Initiative (SSBCI). The SSBCI is a program through the U.S. Department of Treasury that was reauthorized under the American Rescue Plan Act to support small businesses and entrepreneurship and expand access to capital.

      Delaware will operate four programs: a capital access program, a loan participation program, and two equity/venture capital programs. The loan participation program will offer up to 50 percent participation in small business loans for equipment and working capital. The Delaware Early Stage VC Program will support the formation of new VC funds with Delaware-based managers, focused on investments in underserved startups. The Delaware Accelerator and Seed Capital Program will support an estimated three accelerator programs, supporting idea-stage startups, including those developed by underserved owners and managers.

      “This new funding will be another resource to strengthen small businesses and create good jobs up and down our state,” Governor Carney said in a statement. “It will promote entrepreneurship and provide more resources for early-stage incubation programs. It will also help diverse businesses access capital and leverage additional private dollars that companies need to grow. I want to thank President Biden, the U.S. Department of the Treasury, and members of our congressional delegation for making these new resources available.”

      “The role of government is to create a nurturing environment for job creation and job preservation, and the State Small Business Credit Initiative is a great example of creating a nurturing environment for entrepreneurs to be able to compete with their bigger counterparts to get their business off the ground,” Sen. Carper said. “This is one more tool in the toolbox that is available for small businesses to grow and thrive.”

      “Tens of millions of dollars to help small Delaware businesses get loans, support underserved entrepreneurs, provide seed capital for cutting-edge startups — these funds will provide a critical lifeline for the small businesses that make up the backbone of the First State’s economy,” said Sen. Coons.“My Small Business Access to Capital Act, which was enacted in the American Rescue Plan, revived a proven program to provide small businesses with the capital they need to grow, and I couldn’t be happier to finally bring these funds to the Delaware businesses that need this help the most.”

      “Today’s announcement is another demonstration of the strong commitment the Biden Administration has to investing in small businesses and entrepreneurs across the country,” Rep. Blunt Rochester said. “I am thrilled that Delaware is going to receive over $60 million under the State Small Business Credit Initiative, funding made possible through the historic American Rescue Plan Act that I voted for, to support critical initiatives including a capital access program, a loan participation program, and two equity/venture capital programs. With this funding, small businesses and entrepreneurs in underserved areas will have expanded access to capital, be able to grow their businesses, and help bolster our local economy all at the same time.”

      The American Rescue Plan Act, championed by Senators Carper and Coons and Congresswoman Blunt Rochester, reauthorized and expanded SSBCI, and was highly successful in increasing access to capital for small businesses and entrepreneurs. The new SSBCI builds on this successful model by providing nearly $10 billion to states, the District of Columbia, territories, and Tribal governments to increase access to capital and promote entrepreneurship, especially in traditionally underserved communities as they emerge from the pandemic. This includes $2.5 billion in funding and incentives to support underserved businesses. SSBCI funding is expected to catalyze up to $10 of private investment for every $1 of SSBCI capital funding, amplifying the effects of this funding and providing small business owners with the resources they need to sustainably grow and thrive.

      In January, the Census Bureau released data which showed that over the last two years Americans have applied to start 10.5 million new businesses, making 2021 and 2022 the strongest two years on record for new business applications. The investments being made through SSBCI are a key part of the Biden-Harris Administration’s strategy to keep this small business boom going by expanding access to capital and by providing entrepreneurs the resources they need to succeed. The work Treasury has done through SSBCI’s implementation process to help these funds reach traditionally underserved small businesses and entrepreneurs will continue to be critical to ensuring the small business boom lifts up communities disproportionately impacted by the pandemic.

      This article was originally posted on the Delaware Business Times website at: https://delawarebusinesstimes.com/news-briefs/60m-support-small-businesses/

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      Lab Space Grant Program in Delaware

      Delaware’s Lab Space Grant Program is Open

      Written on . Posted in In the News.

      Delaware’s Graduated Lab Space Grant Program is Open for Vetting and Applications

      Demand for “ready-to-go” laboratory space for growing wet-lab (biology and chemistry) based companies continues to remain extremely high throughout the United States. Delaware is addressing this issue with a new lab space grant program to ensure that existing companies are able to grow here and that the state can attract new companies by increasing its inventory of ready-to-go lab space. This is important because these businesses provide great jobs and contribute to the valuable research and development (R&D) activity that drives all innovation economies.

      Delaware’s Graduated Lab Space Grant Program

      Delaware’s grant program helps science and tech companies with the expenses associated with building out lab space. The initiative is funded by $10 million earmarked from the Delaware Strategic Fund and helps spur private-sector investment by making lab space construction or renovation more affordable.

      To qualify, companies need to be interested in growing and required increased or new wet lab space as part of that expansion. Companies should be actively working with landlords and real estate developers, and be able to provide high level details on the projected growth at the beginning of an inquiry. DPP is vetting prospective applicants to ensure they are at the right phase to qualify for a grant, and the state is reviewing qualified applicants as soon as they clear the vetting process.

      A Delaware Prosperity Partnership press release that announced this statewide initiative in 2021 provides an overview. The following Q&A offers additional details.

      What exactly is “ready-to-go” lab space?

      It’s laboratory space that requires complex infrastructure that must meet strict requirements, such as the appropriate drainage and vent systems, chemical fume hoods, special bench tops, and particular types of water, that are different from office space and quite a bit more expensive to build out. The grant program helps companies that don’t have the familiarity or relationships with developers or the up-front cash flow to be able to pay for the creation of such space.

      Why is lab space in such high demand?

      The nationwide need for lab space has been a trend in recent years, and Delaware began examining the local lab space landscape a couple of years ago to find a solution to what was correctly determined to be an ongoing issue. Then, COVID-19 really accelerated demand because the companies providing solutions to the pandemic are the types of businesses that rely on research and development coming out of wet lab space. So it was very timely that Delaware already had been looking at the situation and was able to come up with a solution.

      Why is it so vital to address this issue?

      Science and tech companies that use wet-lab space make up such an important sector of Delaware’s economy. It’s a sector that has established so many great jobs here in Delaware already and that promises to give Delawareans many great jobs in the future as well.

      How does the grant program help?

      Space is the top priority for companies – especially those companies that are lab-based – when they are deciding where to go to expand or relocate. The program ultimately supports the growth of Delaware’s inventory of ready-to-go lab space. A company that is partnering with a developer for a specific project may apply for up to one-third of the fit out cost up to $210/foot (or a maximum benefit of $70/foot) for building out the lab space, capped at 50,000 square. The grant wouldn’t cover all of the cost, but it will help them reserve some of their resources to focus on their research and get their products commercialized – instead of spending it all toward building expensive infrastructure.

      What are the goals of the grant program?

      First of all, to meet the current demand for lab space in Delaware. Then, making sure that Delaware has additional lab space available where we can we can attract new companies and be able to say that the facilities they need are ready and waiting for them – that their lab space is truly ready-to-go.

      How much money is available through the grant program?

      The state has approved up to $10 million for this fiscal year, and Governor John Carney has announced an intention to set aside additional money for the grant program starting in fiscal year 2024.

      What are the qualifications for a company to apply?

      Companies should be at the right growth point where they’re going to be creating more jobs and scaling up their research and development along with the size of their overall operations in Delaware. It could be a young company coming out of one of our incubators at the University of Delaware or the Delaware Innovation Space at the DuPont Experimental Station. Or it could be an older but smaller company that has held back and delayed growth over the years because it hasn’t had the space to expand into.

      The primary factor is growth point. Each company may only apply for grant funding for up to 50,000, square feet of lab space. Looking at the market, only certain companies fall into that growth stage.

      How can companies interested in applying for the lab space grant program learn more?

      They can email nolson@choosedelaware.com.

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