Entrepreneurs + Innovators

1 million cups, a national entrepreneurial effort, comes to cle
On Wednesday, June 25, Cleveland will become the 43rd U.S. city to join the 1 Million Cups campaign, a national effort to engage, educate and connect entrepreneurs both locally and nationally -- and eventually internationally. The program, funded by the Kauffman Foundation, is based on the idea that entrepreneurs network and move their ideas forward over one million cups of coffee.

“It’s just about creating a community put together by entrepreneurs, for entrepreneurs, across multiple industries,” explains Jose Vasquez, owner of Quez Media Marketing and one of the organizers of the Cleveland chapter.
 
1 Million Cups Cleveland will host weekly meetings, during which two entrepreneurs each will deliver six-minute presentations followed by 20 minutes of Q&A with the audience. “What can we do for you? is the question to be answered at these weekly engagements,” says Vasquez. “A lot of opportunity can come from the community. This is really about entrepreneurs who need help and advice from the community.”
 
Vasquez explains that 1 Million Cups is different from other entrepreneurial networking organizations in that it spans multiple industries. “It brings all these communities together,” he says. “It’s really just helping people.”
 
The goal of 1 Million Cups is to eventually serve as a worldwide networking organization, where entrepreneurs can call upon other entrepreneurs in similar industries for advice and support.
 
Other Cleveland organizers include Colleen Beyer of Borrow Vintage and Eclectic Rentals; Cole Worley, a co-conductor of StartupBus and GiveCamp volunteer; and Carl Shotwell, a developer and entrepreneur at LeanDogJumpStart and LaunchHouse worked to help make Cleveland a 1 Million Cups City.
 
Meeting locations will change on a quarterly basis, with the first meetings being held at JumpStart’s offices on June 25th, from 9 to 10 a.m. Vasquez says they are still recruiting entrepreneurs to speak, location sponsors and coffee sponsors. The two entrepreneurial speakers have yet to be announced.
 
daily press juice bar to open this summer in gordon square arts district
Jodi Rae Santosuosso grew up in the restaurant business, working in her parents' Italian restaurant. She later moved to California for 10 years, where she grew enamored of the healthy living movement and got into cold-pressed juices. When she returned to Cleveland to join the revitalization of her hometown, she discovered that there weren’t many juice bars in the city, so she decided to launch her own.

If all goes as planned, Daily Press, a juice bar and vegan café, will open next month in the Gordon Square Arts District (6604 Detroit Ave.). The cafe will serve cold-pressed juices and vegan menu items that include raw sandwiches, soups and salads. Daily Press will open at 7 a.m., with evening hours yet to be determined.

"I want to help people be healthy and feel good, and to make it easy and convenient for people to do that," says Santosuosso. "This is new to Cleveland, but the market is here; people are just not aware of the benefits of juicing this way."

Cold-press juicing is different from tossing fruit in a blender and grinding it up, she explains. The heat from a centrifugal juicer can destroy natural enzymes in the drink, making it less nutritious. There are two steps in the cold-pressing process: First, you turn the produce into pulp so that the vitamins and other good stuff stays intact. Second, you put the pulp into a bag and place it in a hydraulic press, where 2,000 pounds of pressure releases all that sweet goodness.
"The result is delicious juice that has all kinds of good things for your body," she says.

Some of Daily Press's offerings will include the Johnny Apple Manziel (apple, ginger and lemon), Greenest Cleanse (kale, spinach, chard, parsley, cucumber, ginger and turmeric) and Water You Doing? (watermelon). A 16-ounce juice in a glass jar will sell for $7-9. If you bring back the jar, you get $1 off your next juice.

The 800-square-foot storefront will have a bar that seats five to six people, additional window seating and some outside tables. There will be Wi-Fi access for anyone who wants to work at the cafe. Santosuosso is looking forward to joining the neighborhood.

"I love the neighborhood and the arts district, and Detroit Shoreway Community Development Organization was really excited about having me come to this space," she says. "It helped that the neighborhood wants me here."

If you're interested in checking out Daily Press before the cafe opens, Santosuosso will be at the Gordon Square Farmers Market for the next few weeks, and she invites you to come by and learn more about juicing.
all-natural applesauce start-up something both 'mothers and kids love'
Ethan M. Holmes learned how to make applesauce from his grandfather at a young age. By the time he was 15, he had mastered the recipe and decided to go into business with it. “I looked at the market and saw an opportunity,” says Holmes. “I looked at other applesauces and they were all made with corn syrup and artificial flavoring.”
 
Holmes Mouthwatering Applesauce makes an all-natural product in plain and cinnamon varieties. “My goal was to take all the stuff out of it and make something mothers and kids love,” Holmes explains. “The only ingredients are apples, pears and apple cider.”
 
Today, at age 20, Holmes sells his applesauce at farmers’ markets, area events and through his website. He is in talks with local grocery stores and is joining the Cleveland Culinary Launch and Kitchen.
 
Recently, Holmes gave out samples of his sauce at Entrovation. The attendees voted the company one of the top five at the event, earning Holmes the chance to pitch his applesauce company to a panel of judges at the Innovative Entrepreneur of The Year Competition. Holmes took home $500 from the event, tying for third place.
 
Holmes is using the money to cover the Culinary Launch fees and inventory. “We are on our way this upcoming month to producing our first run in their facility,” Holmes says of his move to the Culinary Launch. “This will help us create a large amount of product and educate us in the licenses and procedures needed to be in retail markets.”
 
Holmes donates 10 percent of his profits toward fighting childhood obesity.
 
developer purchases southworth building, plans 18 new downtown apts
Developer Rich Cicerchi of Cicerchi Development Company was scouting for an investment opportunity downtown when he met Matt Howells, owner of the Park Building and the Southworth Building. The two developers stayed in touch, and Cicerchi later purchased the vacant Southworth building from Howells. Now he plans to convert it to 18 high-end apartments that will add to downtown's rental housing boom.

Cicerchi's interest in downtown goes back to when he was a kid. "I remember going downtown with my dad,” he says. “I'd grab his big hand in my two little hands and he'd swing me from one sidewalk line to the next, having a good old time. He was twice my height, and I'd look past him at all the big buildings, all the activity and people. That's what got me enamored with downtown."

Cicerchi, who is primarily a residential developer, watched downtown's decline and resurgence and decided that he wanted to be a part of the efforts to improve Cleveland's urban core. In 2006, he purchased the Krouse building on East Fourth Street and converted it to apartments.

The Southworth Building is located at 2013 Ontario, across from Tower City and the casino. Built in 1850, the four-story building will be converted to nine one-bedroom and nine two-bedroom apartments. The plans call for an atrium to be constructed in the center of the building to bring in natural light, Cicerchi says. On the lower level, there are two retail spaces that house a Subway and an Indian restaurant. Parking will be a short distance away in the May Company garage.

Perhaps the coolest feature, other than the suites themselves, will be the roof deck overlooking Public Square and downtown.

Cicerchi plans to preserve the building's historic features wherever he can, including refinishing existing wood floors that can be salvaged. High-end features likely will include granite countertops and stainless steel appliances. The suites will have a lofted look, with exposed spiral ductwork and high ceilings. One bedrooms will be about 750 square feet, two bedrooms about 1,100 square feet. The building also will boast many green, energy-efficient features. Tri-State Capital will soon provide financing for the $4 million project.

The first suites should be completed by early 2015, the developer says.

"I always look at properties with the eyes of potential," says Cicerchi. "I saw a great way to add more downtown living and integrate it with the downtown community."
new collaboration aims to support entrepreneurs who focus on social enterprise, sustainability
Three organizations -- LaunchHouseCivic Commons Ideastream and Economic and Community Development Institute (ECDI) -- have come together as the lead partners in supporting entrepreneurs with ideas to improve their communities.

SEA Change, a Social Enterprise Accelerator, provides up to $50,000 in funding, coaching and connections to eligible candidates trying to make a difference in Cleveland neighborhoods. “We’re funding people who have ideas to improve their communities in a sustainable way,” says Mike Shafarenko, Civic Commons director. “A number of organizations came together last November to discuss how to revive development and support of social enterprises in Northeast Ohio.”
 
Seven other groups are also involved, including JumpStart, Foundation Center Cleveland and Business Volunteers Unlimited (BVU). SEA Change is funded by the Business of Good Foundation, the Generation Foundation, the Burton D. Morgan Foundation and the George Gund Foundation.
 
Shafarenko says SEA Change emerged as the involved organizations saw a need to support the growing number of social enterprises in Cleveland. “We have a tremendous amount of talented, active people in Northeast Ohio who just don’t have the means to execute their ideas,” he explains. “The entrepreneurial spirit needs a little bit of coaching and support to take it to the next level.”
 
Examples of existing successful social enterprises include Edwins Restaurant at Shaker Square, which employs former inmates, Tunnel Vision Hoops, which manufactures and sells hoop houses to extend the growing season, and From the Blue Bag, which converts recyclables into works of art.
 
Sea Change will host training sessions on Friday, June 13 and Friday, July 11 from 9 a.m. to 5 p.m. The events will provide training, one-on-one consultation and networking to help participants get social enterprise ideas off the ground.

 
young entrepreneurs recognized at annual ceremony
Youth Opportunities Unlimited (Y.O.U.) and Ernst & Young named Thomas W. Harvey High School junior Brandon McClain "Young Entrepreneur of the Year" during its annual ceremony. McClain is CEO of B Kind Cards, which features his original photography of Cleveland landmarks. He received $1,000 and the chance to compete in the national Network for Teaching Entrepreneurship (NFTE) competition in November at the Computer History Museum in Mountain View, California.
 
Y.O.U. is a non-profit organization dedicated to helping at-risk teens succeed in life. The E-City program uses the NFTE curriculum to teach entrepreneurship, business and leadership skills and encourages participants to start their own companies. “They can go to school, take the E-City class, enter the workforce and pursue their own ideas,” explains Emily Bacha, development and marketing administrator for Y.O.U. “Lots of students go on to continue their businesses after taking the class.”
 
Y.O.U.’s E-City classes prepare students for the real business world, especially when finding a decent job or going to college can be difficult right out of high school.
 
“Teaching our students about entrepreneurism and how to start their own business is important because it provides another route to economic and personal success,” says Bacha. “A number of our alumni have sustained their businesses after finishing the program and the income they’re earning is helping them pay bills and pay for college.”
 
Eight high school entrepreneurs from Horizon Science Academy, John F. Kennedy High School, Shaw High School and Thomas W. Harvey High School had eight minutes to present their business plans to a panel of three judges on May 22 at E&Y’s new Flats-based offices.
 
The experience of presenting provides its own rewards in putting classroom lessons into practice. “Youth are tasked with presenting their business plans, but are rewarded with practical advice on how to grow their businesses from successful entrepreneurs,” says Bacha. “Our finalists are rewarded with financial investments in their businesses.”
 
In addition to McCain, Harvey senior Byron Alston, CEO of Jazzy Scarves, took second place and won $500 from Y.O.U. to put towards his business and a trip to the NFTE competition. Shaw senior and CEO of KJ’s Steam Clean Service Kevin Alexander took third place, winning $250.
 
study shows local startups are getting the funding, support they need to thrive
An annual economic impact study conducted by Center for Economic Development at Cleveland State University’s Levin College of Urban Affairs shows that companies that received support from 16 of the area’s business accelerators, incubators and other organizations generated $424 million for Ohio.
 
Of the 245 companies surveyed, 236 companies are in Northeast Ohio, generating $306.2 million in the region. These numbers reflect good news for the startup community in Cleveland. “Companies that start here are growing,” says JumpStart chief marketing officer Cathy Belk. “The fact that companies are growing and generating jobs reflects that those courageous folks jumping into the startup world are able to access great people, capital and the expertise -- and are able to lead their companies forward. The ecosystem here is robust and getting more robust all the time.”
 
Of the companies included in the latest study, 42 local businesses have participated each year over the past four years. “Over that time, they have grown payroll by $14.7 million and created and retained 134 jobs in this region,” says Belk. “This reflects that startups here are able to be successful, creating sustainable jobs for people who live here.”  
 
Belk wants to see these trends grow. “We want entrepreneurs to continue to decide to start companies in this area, and keep them here because of their ability to be successful here,” she explains. “We have to make sure we continue to have the successful startup programs and ecosystem in this region, ensuring companies are able to access the capital they need. And we must continue to help a broader number of small businesses -- including those that could create a significant number of jobs. These are all next steps for our community to maintain and accelerate our momentum.”

 
bizdom searches the country for its next class of talented tech startups
Startup accelerator Bizdom is looking for its ninth group of tech companies to join its three-month summer/fall session. Bizdom’s accelerator program mentors and provides companies with up to $125,000 to launch and grow their tech-based businesses in Cleveland.

"We're looking for amazing founders -- founders with passion, uncommon ideas and the technical, design and leadership skills to build a business," says Bizdom Cleveland leader Paul Allen. "We're looking for everything from an idea on a napkin to a business that's already developed a product and has one or two customers."
 
Bizdom primarily is looking for web and mobile software, and technology-enabled services companies. "We're especially interested in seeing sports, wellness, healthcare, financial tech, marketing, real estate and hospitality related business ideas," explains Allen. "Those are ones where we can really leverage the over 100 business in the Quicken Loans Family of Companies to help the startups grow bigger faster."
 
Startups are a critical part of Cleveland’s economic success, says Allen, and he describes Bizdom as the first rung on the ladder to success. "To have a thriving economy you need to have lots of smaller, more agile companies that push the boundaries with new technologies and business models," he says. "Not all of these businesses will succeed, but many will. Over time, these businesses will contribute greatly to the regional GDP. But just as importantly, they attract a highly desirable type of creative worker to the region."
 
Twelve tech companies will be accepted into the next session. The deadline to apply is Monday, June 2. The session begins on July 7. The summer session is funded $240,000 grant from the Ohio New Entrepreneurs (ONE) Fund.
 
early adopters: how teaching entrepreneurship at a tender age pays off down the road
Area schools are offering entrepreneurship education to high school, middle school and even elementary school students. Aside from the extra cash, entrepreneurship teaches skills that will last a lifetime, including self confidence, time management, problem solving and creative thinking.
ohio city-based north coast courier is first worker-owned bike courier service in town
Navigating the streets of Cleveland on a bicycle is nothing new to Will Ansley; he's an experienced and dedicated bike messenger. “A lot of people do it for a little bit and either can’t handle it or don’t like it,” Ansley says of the high rate of turnover in his vocation.
 
The only problem Ansley has encountered is that he wasn't earning his fair share. “A lot of [messenger] companies these days don’t give you a fair percentage of the rate they are charging,” Ansley says. “Since you’re not getting that much money and the company doesn’t care about their workers, people leave.”
 
So Ansley decided to take matters into his own hands. This past March he launched Ohio City-based North Coast Courier, the only employee-owned bike courier service in Cleveland. He based the company on a trend he’d seen in Chicago, where many courier companies are worker-owned and everyone gets a say in company decisions.
 
Right now, North Coast Courier is focused on personal deliveries, like food and groceries. But the company will deliver pretty much whatever a customer wants. The delivery zones are downtown from the lake to Carnegie Avenue and E. 30th Street, Tremont, Ohio City and Gordon Square. The cost is only $5 for delivery in any of these zones and $7 for delivery beyond E. 9th Street.
 
There are a few spots that North Coast Courier also will deliver to: The Hildebrandt Building, 78th Street Studios, the Flats and Jakprints. “It’s because we know a lot of people in those buildings and lots of them are worker-owned businesses or solo-owned,” explains Ansley.
 
landmark detroit shoreway building will be reborn as 30-unit apartment building
The Templin Bradley Company building, the stout brick frame of which has served as a gateway to the Detroit Shoreway neighborhood for the past 100 years, once housed the nation's largest seed and bulb company. Templin Bradley gave away literally hundreds of thousands of seeds and bulbs during the Depression, and was a leader in helping citizens start victory gardens during World War II.

Yet this landmark property at 5700 Detroit has been vacant and boarded up for over 10 years, collecting weeds and trash. Plans to remake it into loft condos floundered during the recession. But now that property will be reborn as a 30-unit apartment building, slated to open next spring. Detroit Shoreway Community Development Organization (DSCDO) and its partners have worked doggedly over the past few years to assemble the development plans and financing to get this long-sought project off the ground.

"It's been a major eyesore along Detroit Avenue, and really remains the largest problem property there," says Matt Lasko, Assistant Director of DSCDO. "It's really important for us as a CDC to be able to preserve its history and story."

The project will consist of 15 affordable apartments and 15 market-rate units. The redevelopment will return the building to its original 1916 look, which includes the reinstallation of fabric awnings on the first floor, the re-creation of a master stairwell on the front of the building, and the restoration of a seed bed along Detroit that Templin Bradley once used to test and advertise its products.

The front of the building also will feature a prominent public art installation and a quasi-public space with benches that can be enjoyed by residents and the public.

The building will offer secure indoor parking on the first floor and unique living spaces above. There will be four artist live-work spaces with lower levels designed for painting, sculpting and other artistic endeavors. The units will have concrete floors, high ceilings, exposed ductwork and expansive windows. Prices will range from $630 to $840 per month for one-bedroom units and $750 to $950 per month for two-bedroom suites.

Construction will begin next month, and DSCDO is hosting a groundbreaking event on Thursday, May 29 at 10 a.m.

The project is being developed by DSCDO in partnership with the Ohio Housing Finance Agency, Ohio Capital Corporation for Housing, Ohio Development Services Agency, Huntington Bank, City of Cleveland, Cuyahoga County, The National Endowment for the Arts, Vintage Development and Marous brothers construction.
healthcare startup outgrows launchhouse, expands to heights rockefeller building
Eugene Malinskiy already is on his third startup and he's not even 30 yet. He created his first company when he was 16, later selling both for a profit. Now he's launched Dragon ID, a healthcare innovation and design firm that has grown from zero to 20 employees in the span of just two years.

Dragon ID is a biomedical startup that helps doctors and hospitals solve healthcare problems. The firm focuses on the medical device, health IT and surgery markets, and has a cross-functional team of whizzes to help healthcare professionals create solutions. The Dragon ID team is working on a number of products, but one that's getting buzz is EuCliD, which will be used in transcatheter aortic valve replacements to help prevent emboli from breaking away and causing blood clots or strokes.

Recently, Dragon ID moved from Shaker Launchhouse to the Heights Rockefeller building, where it is currently customizing its own space, including a lab, to accommodate growth. Malinskiy says the firm will benefit from having more professional offices and a location that's closer to where employees live.

"The City of Cleveland Heights was very welcoming," he says, referencing financial incentives that helped seal the deal. "They really want us here."

Malinskiy attributes Dragon ID's growth to the booming healthcare sector in Cleveland, where he can do business with the Clinic and other big players. "Being here, companies can come to us and say, 'We have this idea, what can you do?'"

Typically, Malinskiy and his cohorts receive an inquiry, then spend time vetting it, including attending surgeries, to understand the scope of the problem and potential solution. Once a solution is identified, the team builds a digital or physical prototype. Then, if the client decides to move forward, the company invests in bringing the product market through animal and human trials.

Dragon ID is internally funded through contracts with hospitals and doctors. The company has also won grant awards from MAGNET and the Innovation Fund.
piccadilly artisan creamery unveils concept behind new university circle location
 
The entrepreneurs behind Piccadilly Artisan Yogurt have unveiled the concept behind their new shop in University Circle. The Cleveland-based company's latest location, Piccadilly Artisan Creamery, will feature a style of ice cream and yogurt that is made using liquid nitrogen to rapidly freeze small batches of delicious ice cream.

This process of using liquid nitrogen to instantly craft yogurt and ice cream has grown rapidly on the West Coast, but Piccadilly is the first company in Cleveland to employ the technique. The process has three main benefits, say founders Adrian and Cosmin Bota: the rich and creamy texture it gives the frozen treats, the customization afforded to the customer, and the lack of preservatives needed when making it.

It all begins with the liquid nitrogen, which boils at an astounding -321 degrees Fahrenheit (that's several degrees colder than it was during the recent Polar Vortex). The nitrogen is added to the other ice cream ingredients in a mixer, where the nitrogen instantly freezes the contents on contact.

“We're really gonna let people go crazy and create their own thing,” Adrian explained during a demonstration on Thursday evening. Customers can decide what goes into their yogurt or ice cream and how soft or hard the texture will be. Because the ice cream or yogurt is being prepared fresh for each customer, preservatives are never necessary, which the owners claim results in a better-tasting product.

The Botas teamed up with designer Sailee Gupte, who helped transform the new store on Euclid. The tables and countertops are made of thick slabs of raw, live-edge wood. Exposed brick on walls gives the shop an edgy, urban feel. “Each area [Piccadilly] moves into has a specific feel and we want to pay homage to that," Sailee explained. To pay tribute to University Circle, the owners opted for “a more vintage and rustic theme.”

Piccadilly's owners have a passion for local, organic food that is evident in the menu offerings at their existing locations in Cleveland Heights and Ohio City. The owners buy from a local farm that does not use any preservatives, hormones or antibiotics, and they source other ingredients from the West Side Market. The Botas also will offer vegan yogurt options in the University Circle store.

“We’re just excited to be a part of this neighborhood," Bota told those in attendance.
 
The official grand opening of the new Piccadilly in University Circle is May 24th.