Innovation + Job News

Students can make great entrepreneurs, but VenturePact—founded by Penn students Randy Rayess and Pratham Mittal—is proving they can also be wise investors. The emerging firm is releasing its first class of startups.
 
A few months ago, First Round Capital launched student investors with The Dorm Room Fund (featured in a December issue of Flying Kite), entrusting $500,000 worth of capital to undergrads. VenturePact, on the other hand, didn’t begin with major cash. The group invests technical handiwork -- building out the startup’s product -- in exchange for a fee and partial equity.
 
Development can be outsourced, but it’s tough for non-techies to evaluate quality: A product riddled with bugs can still look great on a screen. VenturePact’s "partnership" model changes the incentives.
 
"Now that we have equity stakes, we want to build the best possible businesses," explains Rayess. "We want to keep them and nurture them."
 
VenturePact received over fifty applications at inception, but accepted only three: Accompliss, an app that helps hotels connect with guests; AirCare, a video-based professional coordination app tailored to the healthcare industry; and Boupp, an app that helps the fashion industry consult with customers on emerging trends.
 
The new platforms will be maintained by Penn students, who will receive school credit through VenturePact’s fellowship program. Rayess expects to eventually offer incubation services to startups, connecting them to mentors, publicists and venture capitalists.
 
VenturePact received a significant publicity boost in September 2012, when First Round Capital CEO Josh Kopelman tweeted about them. They’ve since connected with the venture arms of IBM and General Electric, who expressed interest in sending incubated companies their way.

Source: Randy Rayess, VenturePact
Writer: Dana Henry

As education rapidly digitizes -- think online charters, virtual textbooks and "teaching" monitors -- PlusUs is bringing workshop-based learning back to the classroom. The certified B corporation unites educators and designers, delivering "human-centered" educational programing solutions for clients, including the Franklin Institute and the Public Workshop.

"There’s a lot of resistance to education reform," says cofounder Phil Holcombe. "There’s a lot of good ideas, but they’re being injected from the outside without buy-in from educators."
 
PlusUs, which operates out of Culture Works in Center City, allows clients to direct their project’s development and employs local educators as consultants. Holcombe, a designer (his cofounder Jake Thierjung is a teacher), believes approaching educational issues with "design thinking" changes the processes.
 
"I don’t think typography or color is going to change the face of education," says Holcombe. "It’s about the way a designer thinks and the way they can objectively look at problems."
 
So far, projects have centered on educational spaces and curriculums -- "tool kits" that enable teachers to engage students in real-world scenarios. At the Franklin Institute, PlusUs worked with the Science Leadership Academy to help students prototype new uses for New York City’s payphone system. PlusUs was also hired by the promotional department of a Nascar team to create a distributable math curriculum based on race car engineering. They are currently developing the layout for the  Department of Making + Doing.
 
As part of their B Corporation idealology, PlusUs also taps into client-funded projects to develop solutions for programs without a budget. Ultimately, according to Holcombe, PlusUs is providing a new path for educational reform.
 
"Educators are designing, but designers are also educating," says Holcombe. "When two entities start to work together, that’s when change can happen."

Source: Phil Holcombe, PlusUs
Writer: Dana Henry

Here's a 21st century riddle: Why, in an age of endless instant media, are coffee shop corkboards and telephone poles still cluttered with printed flyers?

According to HootBoard founder Satyajeet Shahade, the answer is our ever-shrinking attention spans. Everyday, a torrent of Twitter headlines, Pinterest pictures and Facebook updates stand between timely messages and their target audience. HootBoard, which operates out of the University City Science Center’s Quorum, pushes messages to the front of the line with a virtual "flyer" combining social media channels and design elements. The company completed Novotorium’s business launch program and will release the beta version of its product this week.

Back in 2011, Shahade was working on Raspee, a platform for scholarly work. In a broad attempt to reach students and professors, he spent hundreds of dollars and endless hours covering local campuses with pieces of paper. "It was painful," says Shahade. "And worst part was that we didn’t even know if anyone was looking at these flyers."

The flyer needed a 21st century makeover. HootBoard takes advantage of recent advancements in front end web design technology to integrate multiple channels -- including videos, music, maps and meetup invites -- into a fully customizable posting. HootBoard also provides private bulletin boards for communities that share a physical address, school or workplace.  

"Everyone has a need to announce or promote something," says Shahade.

Source: Satyajeet Shahade, HootBoard
Writer: Dana Henry

Philly’s tech community is on the map. Literally. On January 28, Philadelphia Startup Leaders (PSL) and WeWorkInPhilly (WWIP) launched the Philly Community Map and Directory, a GIS-enabled open-source guide to the individuals, companies, coworking spaces, resources, organizations and investors that make up our growing startup economy.  
 
Based on the WWIP directory created by Linus Graybill and Alex Hillman (cofounder of Indy Hall), the resource is intended to be "used by all, owned by none." Its development brought together a team of disparate techie founders including Hillman, Chris Cera of ArcWeb, Brad Oyler of W3Portals, Mel Baiada of BaseCamp Ventures, Brian Kirk of Technically Philly, Elliot Menschik of Venturef0rth and Bob Moul of appRenaissance.
 
"A lot of people are interested in finding better ways to interact with the tech community," says Cera. "[The Community Map] is a minimum viable product we did collaboratively to prove that we can all work together even though we have different goals and different stakeholders."
 
Member listings can include revenue, customers, number of employees and job postings. Cera points out that the project is not solely focused on the commercial aspects of the tech community -- new members can register companies or sign up as people.
 
Moul, who is president of PSL, expects the map will help entrepreneurs, startups and businesses promote themselves, while also making the local tech economy more attractive to inside and outside investment. The Economy League of Greater Philadelphia, Select Greater Philadelphia, PHL Convention & Visitors Bureau, University City Science Center and Startup PHL plan to host the resource on their websites.
 
As of January 28th, 852 people and 328 companies have signed up via WeWorkInPhilly. PSL encourages anyone with a stake in the local tech scene to consider joining.
 
Source: Chris Cera, Bob Moul, Philly Startup Leaders
Writer: Dana Henry

Curalate launched its groundbreaking visual analytics platform in 2011 and began accruing an impressive client base, including The Gap, Michael Kors, Campbell's and Saks Fifth Avenue. Now the University City-based company has broadened its focus to include customer engagement strategy.
 
The investment community has gotten behind the decision. Curalate’s seed round funders—New Enterprise Associates, MentorTech Ventures and First Round Capital—have reinvested $3 million in their Series A. The company has grown from four to 14 employees in the past year and now seeks web developers.
 
Visual analytics, the foundation of Curalate’s subscription plan, enables large companies to track images on platforms like Pinterest, Instagram and Tumblr. "Increasingly, consumers are talking about brands using pictures instead of words," explains founder and CEO Apu Gupta. "We make it possible for brands to understand who’s talking about them, what they’re talking about and what’s important to customers."
 
Graphics, more than text, reveal specifics about consumer preferences. Someone might "like" The Gap on Facebook, but posting a blue sweater explains why. With visual information, businesses can better determine what to include on their homepage, email blasts and billboards, as well as which products to use for social media promotions.
 
"In a social context, [brands] have never known, specifically, which products were driving their engagement," says Gupta. "What brands can do with that is pretty powerful."
 
In September 2012, Curalate launched their "dashboard," allowing clients to manage customer social engagement on visual platforms and administer promotional campaigns. They’ve partnered with several established public relations agencies and helped The Gap effectively promote across nine countries.
 
Source: Apu Gupta, Curalate
Writer: Dana Henry

Philadelphia may be anchored by "eds and meds," but our small businesses -- web design firms, equipment manufacturers, eateries and shops -- help keep us afloat. According to the Sustainable Business Network's Taking Care of Business 2011 report, of the city's 90,000 businesses, 98 percent report less than 50 employees.

Some of those businesses will soon be getting a boost: Philadelphia was recently chosen for the Goldman Sachs 10,000 Business Initiative which will provide up to $10 million in small business loans administered through the Philadelphia Industrial Development Corporation (PIDC).
 
PIDC can serve a broader lending market than a traditional bank. According to Anne Nevins, Senior Vice President of Market Development for PIDC, promising businesses are sometimes held back by issues with credit or collateral. They may also be changing direction and appear risky to financial institutions. "We want to serve those businesses that are established and ready for a growth plan but for whatever reason can’t access the capital," says Nevins.
 
PIDC expects to serve several businesses in the manufacturing and professional service sectors needing $50,000 to $750,000 for new equipment, property, and working capital. They also identify restaurants, retail stores and revenue-earning nonprofits as potential benefactors. Nevins expects many applicants to be referred to PIDC from partner banks.
 
In total, PIDC expects to underwrite approximately fifty loans averaging $200,000, giving priority to businesses located in low to moderate income neighborhoods or those that employ lower to moderate income residents. Lancaster-based Community First Fund will provide up to $5 million in similar loans to 13 counties in southeastern Pennsylvania. Goldman Sachs is also funding financial and operational education offered by Philadelphia Community College and support services through partner community groups for loan recipients. 
 
Since launching in Spring 2010, over 1,000 businesses in eleven cities have completed the program. Roughly 70 percent report increased revenues and 50 percent have created new jobs. 

Source: Anne Nevins, Philadelphia Industrial Development Corporation 
Writer: Dana Henry

 Parker Whitney and Jake O’Brien--who cofounded Flyclops with Dave Martorana--started developing Domino ! as a two week side project, but it rapidly grew into a fulltime gig. The game launched in May 2012 in a highly competitive market and grew its user-base by 500 percent between June and December. The Indy Hall-based company is hiring an Android developer. 

According to O’Brien, the vast majority of mobile games fail, and many are built around complex, character-driven narratives that have a limited market. Classic games, on the other hand, are often overlooked. Whitney and O’Brien were working on an imaginative game when Whitney discovered one of his favorite childhood pastimes was missing from the app store.

"It was like a giant hole," says O’Brien. "The more we started working on [Domino!] the more we were sold on the idea of it."

The success of Domino! is partially due to timing. As devices spread to new demographics and geographies, the mobile market increasingly includes people who grew up with a game board instead of a PlayStation. Domino! is downloaded throughout the United States, Latin America, the Middle East and Europe. Whitney, who handles customer service, says he’s continually impressed by the enthusiasm. One customer routinely plays with her husband while he’s stationed in the Middle East. In the Midwest, a family of eight gathers in the living room after Sunday dinners to play on their devices. A devotee named "Coach" sends Flyclops bi-weekly emails.

With 97,000 users playing Domino! every day, Flyclops can return to action-based game development. Additionally, they plan to create new variants for Domino! and build a stronger market in Latin American countries. 

Source: Parker Whitney and Jake O'Brien, Flyclops 
Writer: Dana Henry

The seventh PennApps -- held January 18 through January 20 -- was the largest student-organized hackathon to date worldwide. Over 450 students from universities across the United States, Switzerland, Canada and Germany competed for cash prizes during the 40-hour app building session. On the final afternoon, Irvine Auditorium at 34th and Spruce Streets was packed, as the top twenty teams presented demos to students and national talent scouts.

"Team after team, for twenty straight teams, just killed it," says Pulak Mittal, a PennApps organizer and Penn junior studying computer science and business. "One of our goals as organizers is to put Penn on the map as a top ten technology school. The feedback and the experience of everyone at [the hackathon] indicate that that’s actually happening."

Amongst international contenders, Nop Jiarathanakul, a Penn graduate student in computer graphics engineering who worked solo during the hackathon, placed third for his project Web Tube. The hack is a lightning-speed web browser with an old-school TV monitor graphic interface.

Representatives from many of this year’s sponsors -- which included Microsoft, Yahoo, Venmo, Dropbox, Ebay, Facebook, First Round Capital, Kayak, The New York Times, Twillo, AppNexus, RedHat and Tumblr -- awarded their own prizes to Challenge teams. Winners from Penn were WebTube, Social Development and Urban Sustainability, Uncloseted, Enligne, OnShift, Skynet Command, and Beets.

Mittal says this semester’s PennApps broke the "mobile or web dichotomy" inherent to software hacks -- many teams produced hardware aimed at enhancing everyday objects including backpacks and bikes.

With several listings on Hacker League each week, hackathons have become a phenomenon. As Mittal points out, some hacks even go on to become startups--Firefly,Snapsite, and PayTango came from past PennApps. Traditional computer science education is valuable, he believes, but so is building.

"You see all these other ways technology is changing education," he says. "But I think education in the technology space might be changing dramatically as [hackatons] become something people go to consistently. It will be interesting to see what hackathons contribute in terms of people going into the industry. I’m glad to see PennApps at the forefront."

Source: Pulak Mittal, PennApps
Writer: Dana Henry

In late 2011, Aaron Frazin, future co-founder and CEO of Charlie, was a college senior frustrated with the job application process. To prepare for an interview, he’d spend hours combing the web for information on the company and the interviewer.

"I found myself doing the same research over and over," says Frazin. "I asked, 'Why isn’t there anything out there that can do this for me?'"

A year later, Frazin's mobile tool to help professionals "get up to date"--which he co-founded with Junaid Kalmadi--graduated from DreamIt Ventures. Charlie is also completing its first round of financing with significant investment from angel investors and DreamIt. The company is split between Philadelphia and Chicago; the tech arm is based in University City. On the cusp of launching in beta, they are seeking a VP of Engineering and plan to hire software engineers.

Charlie could be described as a cheat sheet for meetings, but Frazin likens it to a personal assistant or butler on your mobile device. (The bowtie insignia is a nod to that inspiration.) Before a critical first impression, the app fetches commonalities, life events, social updates and company news on the client or contact. It also provides news updates on the subject’s specific interests for elegant icebreakers and syncs the virtual briefing with appointments stored in your mobile calendar.  

Frazin, a 2012 Kauffman Global Scholar who studied business economics at Indiana University and moved to Philly to attend DreamIt, made an animated short he considers his Minimum Viable Product (MVP). The video went viral six months ago and the budding entrepreneur says he’s been inundated with emails asking for the product. "I really wanted this kind of app," says Frazin."We realized other people want it that bad too."

Source: Aaron Frazin, Charlie
Writer: Dana Henry 

From meetups to coworking, the "better together" ethos is on the rise. For women in technology, the local peer support network continues to grow with Girl Geek Dinners, Tech Girlz, Web Start Women and Philly Women in Tech.

One such organization, Girl Develop It Philly, more than tripled its membership at the close of 2012. All sixteen GDI-Philly classes—which cover both soft skills and advanced programing—sold out, with most active members attending more than one class. 

Since establishing GDI-Philly in September 2011, Yasmine Mustafa, founder of 123Linkit and self-proclaimed "non-techie software entrepreneur" (Mustafa was profiled by Flying Kite in November 2011), has witnessed more women attending Philly Tech Meetup, Word Camp Philly and Lean Startup Machine Philly. One member landed a tech job at Center City-based ad agency Red Tettemer after completing GDI-Philly’s full roster of front-end development classes. Another member was hired by Zoe Rooney Web Development  after connecting with the founder through GDI-Philly. Many members credit their new skills for promotions and higher salaries.

While Mustafa says she can’t pinpoint exactly why membership spiked—some women sign up to supplement self-directed learning, others want to make a career change—she believes computer science is becoming more attractive to everyone. "You're stuck on developing something and then, suddenly, everything clicks," explains Mustafa. "It's an incredibly empowering feeling."

To match the growing interest, GDI-Philly beefed up their 2013 offerings with three learning trajectories: a comprehensive front end developer track (starting in January), an introductory back end developer track and a mobile Android/iOS  developer track (available in the spring). They’re also launching a mentorship program and a scholarship fund for their classes.  

For Mustafa, watching members develop and share success is the most rewarding part. "Besides educational reasons, the top reason members state that they signed up is to meet other technical women," she says.

Source: Yasmine Mustafa, Girl Develop It Philly
Writer: Dana Henry

In 2010, a Cornell University-led research team made a technological breakthrough: Tiny beams of light reached into a microscope slide and grabbed a cellular protein without significantly altering the protein’s environment. Scientists were already capable of grasping a whole cell using optical tweezers, but a protein is up to 5,000 times smaller and in constant rapid motion—it’s also critical to our understanding of physiology and disease.
 
Thanks to Optofluidics, research labs will finally be able to pin down this elusive element. The company, a tenant of the University City Science Center, licenses Cornell’s technology and is currently marketing the "Molecular NanoTweezer." They will launch their product within six months, and are hiring a nanobiotech applications engineer.
 
According to Rob Hart, co-founder and chief technical officer at Optofluidics, commercializing a new technology is a "heck of a lot of work." In the confines of the academic laboratory, a ten percent success rate is considered an achievement. The real world, however, is a far messier place, and a marketable product needs to work consistently.
 
Optofluidics partnered with NextFab Studio on a range of custom parts and developed their system design in conjunction with Horsham-based Avo Photonics. They’ve accumulated $580,000 in private investment from the Ben Franklin Nanotechnology Institute and BioAdvance, along with $1.5 million in federal and foundation grants.
 
Nanotechnology has broad implications for the spectrum of scientific research--it can be used to make new medicines, create more efficient solar panels or build better bike frames. For health sciences, the Molecular NanoTweezer enables the increasingly popular field of single-molecule research. "It sounds advanced because it is," says Hart. "It’s a really cutting edge way of moving things around."
 
According to Hart, pharmaceutical companies and several large universities, including Drexel, Penn, Princeton and Cornell, have expressed interest in purchasing the product upon it’s release.

Source: Rob Hart, Optofluidics
Writer: Dana Henry

Think about your favorite bar or coffee shop. Sure, you enjoy the grub, the décor, even the snarky comments from the hipster behind the counter, but none of this would impress without decent music.

Sevenpop—an Israeli startup with U.S. headquarters in Center City—mines our timeless urge for good tunes, integrating mobile requests into a business' preexisting music player. According to cofounder John Vairo, when patrons influence the sound system, they’re more likely to stay—and spend—giving the business a competitive edge.

Recently, the company closed its first round of financing with a $400,000 investment from JanVest. They’re currently releasing the United States version of Sevenpop across the country.

Cofounders Nuke Goldstein and Eyal Bernstein created the product at a bar in Tel Aviv that later became their alpha test site. When the team asked for a computer to run the system, the bar explained their only apparatus was the music player. "We concluded [Sevenpop] should focus on the music and the product was shaped," says Vairo.

The resulting “Social Jukebox” provides a lean solution for three popular multimedia systems. (The company says they will adapt their software for other systems.) They've landed in bars, cafes and DJ booths, and expect to add grocery chains, gyms and sports arenas to their client base. The company sells added social features, but Vairo says the best way to approach a market segment of this size is to keep the basic software free. “Once [the client] is up and running, the system is theirs for as long as they want it," he says.

Source: John Vairo, Sevenpop
Writer: Dana Henry

South Philly’s “light” industrial core—a.k.a. Washington Avenue West—just got a lot heavier. NextFab is expanding their stable of high-tech gear and community of inventors to a 21,000-square-foot warehouse at Washington Avenue and 21st Street. The grand opening party is scheduled for January 17.

The doors open wide enough for an onsite forklift. They guard cutting-edge equipment, including a five-axis waterjet cutter and a computer numerical control (CNC) milling machine. Additional room allows for private member offices, a sizeable woodshop, conference and class rooms, and a walk-in booth for painting hefty objects. The new site also includes a television lounge and satellite Cafe L'Aube.

“There is enough space for all of us to think and work in comfort,” says founder and president Evan Malone.

Three years ago, NextFab made news, pioneering a space where emerging makers could access 3D printers, laser cutters, textile machines and other advanced technologies for a monthly fee. Their short legacy of STEAM (Science, Technology, Engineering, Arts and Math) achievement for Philadelphia at large includes work with Optofluidics, UE Life Sciences, Philadelphia Futures and Atomic Robotics.  

Although an impressive list of creative enterprises—including Pocket Grill, Master of None and Maria Eife Jewelry & Design—has hatched under their roof, most do not come to NextFab with know-how. "We helped hundreds of people with no technical background understand and learn to use digital fabrication technology," says Malone.

He adds that anyone with an affinity for technology and creativity is welcome to check out the space. Co-making, after all, is about sharing. "[The grand opening party] is our chance to show off the amazing new capabilities our members and clients now have access to," says Malone, "and to entice other curious Philadelphians inside."

Source: Evan Malone, NextFab
Writer: Dana Henry

We've all been there: You pass by a trash-strewn lot or hear an account of school violence and, suddenly, you have an idea. Philadelphians are great at creating opportunity from seemingly hopeless situations. The road to implantation, however, can be littered with naysayers and fundraising bureaucracy. So how do you know your stroke of genius has merit?
 
The Philadelphia Social Innovations Lab—an outgrowth of the Philadelphia Social Innovations Journal (PSIJ)— aims to help instigators test their vision against respective markets before fully committing. This may sound like private sector incubation, and that’s exactly the point. The 15-week program will provide mentorship, strategy development and return on investment modeling—opportunities not generally afforded to nonprofit and government organizations. They launch mid-January and will support up to 40 projects per semester.
 
With a combined 40 years of experience in social programming, Lab cofounders and PSIJ editors Tine Hansen-Turton and Nick Torres consider public sector innovations critical to a developed society. These services not only build our quality of life, Hansen-Turton explains, they also provide an essential step in workforce development via volunteer positions and help foster a regional culture that’s attractive to outside businesses and talent. "Connecting people and companies to the missions of these organizations makes not only social sense, but can translate into economic outcomes," she says.
 
Despite the economic setbacks of recent years, social innovations continue to thrive. The Nonprofit Almanac of 2011 acknowledges 1.5 million tax-exempt organizations in the United States—they are responsible for as much as five percent of GDP (source: National Center for Charitable Statistics). The Philadelphia region alone has over 15,000 nonprofit organizations employing 242,000 people and furnishing $11 billion in annual wages (Source: Philadelphia Foundation).
 
It was passionate PSIJ readers that inspired Hansen-Turton and Torres. In three years of quarterly publication, the pair has taken hundreds of phone calls from social innovation enthusiasts seeking input on their ideas. The pair partnered with Penn’s Fels Institute of Government (where they are adjunct faculty), PennDesign and PennPraxis. The first batch of accepted proposals were largely from Penn students, faculty and staff, and focused on health, education, and arts and culture.
 
In 2010, 26 percent of Americans over age 16 volunteered for a nonprofit (Source: National Center for Charitable Statistics). Locally, a new generation of visionaries—including Young Involved Philly and Philly Stake—prove our will is stronger than ever. "[Social innovation] is the foundation of America and our future," says Hansen-Turton. "We need to support [their leaders] with the tools and techniques that is afforded the private sector."

Source: Tine Hansen-Turton, Philadelphia Social Innovations Lab
Writer: Dana Henry

Establishing a quality reputation in the age of social media is a challenge. It takes just one irate customer to drag down a Yelp profile and leave a permanent stain on a virtual record.  

For businesses trapped in twitter-roulette, Yorn (Your Opinion Right Now) circumvents the online commotion with real time customer feedback. The two-year-old company is doubling business every quarter, recently reaching 2,000 accounts including Deutsche Bank, Intuit, UPS, Cisco and Stanley Black and Decker. The good news is they’ve also moved to Philly. 

Unofficially, the company left Conshohocken for 24th and Chestnut Streets in October, but they plan to open the doors of the new office before the end of 2012. Yorn recently added seven employees (rounding out a core team of twelve) and seeks additional leadership in software development, marketing and product management.
 
Rick Rasansky, founder and CEO, refers to the company's product as "the anti-social network to a certain degree," but it could also be considered an antidote: When experiencing a problem, today’s constomer consults their computer in lieu of confronting the manager. Yorn mends the broken channel for businesses, coneferneces, hospitals, and hotels with a unique URL or QR-code. Customers access the code--displayed on cards, posters and other promotional materials--and receive a temporary app to send comments and ratings directly to the owner.
 
Rasansky says he scouted a location near two prime clients: Drexel and Penn. Of course, the spot also provides access to another resource—"The base of talent that we’re going after is absolutely centered in here in Center City," he says. "Not to put down Conshohocken, but the action is here in Philly."

Source: Rick Rasansky, Yorn
Writer: Dana Henry