Investing In Our Future SMBC & The North Bay iHub Oct 2011 Contact: Address: Telephone: Website: Michael Newell, Executive Director 1300 Valley House Drive, Suite 100 Rohnert Park, CA 94928 (707) 480-1577 www.somobc.org 1 Where do we invest? • 2/3 of all the net new jobs are created by companies that are less than 5 years old (Kauffman Foundation, 2009) • Job Growth in U.S. Driven Entirely by Startups (Kauffman Foundation 2010) – 1977 - 2005, Existing firms lost 1M jobs net per year (job destroyers). – 1977 – 2005, New firms add an average of 3 million jobs in year 1. • Startups & young companies need the most support to be successful 2 SMBC – the North Bay’s Business Incubator • Mission: To create high value jobs in the North Bay by enabling and accelerating the success of innovative startups • Goals: Be the entrepreneurial hub of the North Bay supplying the infrastructure to: - accelerate >100 start ups over 10 years - create >2000 high paying white/green collar jobs 3 What does SMBC provide? • “Plug and Play” Office Suites – – – – – – – – • Entrepreneurial Services Furnished offices 24/7 card access security Conference rooms with A/V Shared reception area Library Kitchen Lounge Business services: copiers, fax, printers, data lines, mail, utilities… – – – – – – – – Individualized mentoring Advisors Technical experts Service provider network Connections to capital/funding University relations & facilities access Educational and networking events Entrepreneurial environment 29,000 sq.ft facility Office & lab space Designed for LEED Gold Cert. • Future plans Virtual Incubator / Entrepreneur Group Second Incubator 4 Why join an Incubator? • Save time, Save $$ – Plug and play office space saves up to $10,000 in startup costs – Saves weeks of your time • Increase your chances of success (4X) – You are 4x more likely to succeed if you are in an incubator – Do you want an 80% chance of success or failure? • Reduce isolation – Join a community of entrepreneurs – Built in support group, keeps motivation high • “Its who you know, not what you know” – Increase your network – Your network is a big factor in determining success or failure 5 Some Success Stories Pix2o • LED video screens • Exclusive for Michael Jackson Tour Westcoast Solar • Joined for “plug and play” office space, mentoring & other services • Graduated in <1 Yr, fastest growing solar co. Barspace • Live webcams in bars across US • Social networking/mobile app overlay 6 • Started with 2 SSU students Some Current SMBC Clients K-Diagnostic • Revolutionary solution for sleep apnea monitoring • Winner of 2010 Seed Round Bus Plan Comp NonProfitEasy • Software suite for managing non-profits • Comprehensive & affordable AspenAir • Air filters for residential & commercial • Saves up to 30% on your heating/cooling bill • Cleans the air better 7 North Bay Innovation Hub (iHub) • About Us – Regional economic development organization focused on job creation by fostering innovation, entrepreneurship and commercialization of technology – One of 12 iHubs in the State of California – iHubs designated by GOED (Governor’s Office of Economic Development) – Tactics: o Foster regional collaboration to provide an innovation platform o Leverage assets like universities, technology incubators, and federal laboratories o Three Programs created to date, see >>>> – Coordinated by SMBC (501c3 non-profit) – Received $200K matching grant from SBDC Innovation Incubation Investment North Bay Investor Summit 10 pitches, 150+ investors CARS, CABERNET, AND CASH 8 IHub Geographic Region Three County Region • Sonoma • Marin • Napa 9 North Bay iHub Partners • Program Partners (to date) Innovation Incubation Investment • Supporting Partners City of Rohnert Park Santa Rosa Chamber of Commerce City of Santa Rosa Sonoma County EDB City of Petaluma Marin Economic Forum Rohnert Park Chamber of Commerce SBDC (more organizations are in discussion) Innovation Program, 2011 Collaborators are SSU and SMBC • The Seed Round Business Plan Competition – – – – – – SSU & SMBC co-producing $40,000 total prize package Open to North Bay Entrepreneurs Give participants exposure (press & VC) 35 applicants 24 participants learn better business planning in workshop and received mentoring – Grand finale Event June 1, 2011 o K-Diagnostic were the inaugural winners Incubation Program, 2011 Collaborators are Wavepoint Ventures and SMBC • Sprout Program – Venture Preparedness Program for Startups – Help to achieve readiness for Angel/VC financing ○ 1:1 intensive mentoring for participants ○ (up to 60 hrs over 6 – 8 weeks) ○ Complete opportunity/needs assessment ○ Complete 18 month tactical plan ○ Introductions to funding sources ○ First 3 “Seeds” are sprouting Do you know a candidate for our Sprout program? Investment Program, 2010/2011 SMBC, Wavepoint Ventures, North Bay Angels & Keiretsu • North Bay Investor Summit, Nov 10, 2010 – CARS, CABERNET & CASH ○ 10 companies pitched for investment ○ >150 investor attendees (VC and angel) – Partnered with North Bay Angels and Keiretsu Forum – Exotic & Performance Car Expo ○ Tesla, Lamborghini, Mercedes Gullwing. Fantasy Junction, Club Sportiva – Wine Tasting of 5 of California’s finest cabs NBIS 2011 Nov 9 We’re Here to Help • • • • We are here to help startups and entrepreneurs We have resources, programs & connections We are helping the young innovative companies They will create the jobs that are vital to our future Contact: Address: Telephone: Email: Websites: Michael Newell, Executive Director 1300 Valley House Drive, Suite 100 Rohnert Park, CA 94928 (707) 664-6201 michaeln@somobc.org www.somobc.org www.northbayihub.org 14