CFI June Newsletter

SBA AWARDS 2

INNOVATE ND 3

CLEANTECH WORKSHOP &

ACTION SUMMIT 4

CLEANTECH SPEAKER &

SPONSORSHIPS 5

MINI-SOCIETY® SUMMER CAMPS

6

FLAXMILKTM & NBIA AWARD

FINALIST 7

Grand Forks, North Dakota June 2011

Ina Mae Rude Entrepreneur Center Skalicky Tech Incubator 4200 James Ray Drive Grand Forks, ND 58203 Phone: 701-777-3132 Email: [email protected] Web: www.innovators.net

Inside this issue:

Senators Kent Conrad and John Hoeven recently announced that the Center for Inno-vation Founda-tion has been ap-proved to operate North Dakota's and Min-nesota’s only EB-5 Re-gional Center. This desig-nation is expected to attract tens of millions of dollars of private investment and create hundreds of new jobs in North Dakota and Northwest Minnesota.

Authorized by Congress in the Immigration Act of 1990, the EB-5 program facilitates permanent residency status and Green Cards for immi-grants who invest in U.S. companies inside regional centers to help facilitate job growth in rural areas and areas with high unemploy-ment. The program has at-tracted several billion dollars in foreign investment to the United States and created tens of thousands of new domestic jobs.

In February, Senators Conrad

and Hoeven sent a joint letter to U.S. Citizenship and Im-migration Services expressing their support for the Center for Innovation Foundation's efforts to secure an EB-5 Regional Center designation.

"It is imperative that our federal government and the private sector work together to foster job growth and capital investment to bring jobs to the unemployed and underemployed in regions like North Dakota and Northwest Minnesota. The EB-5 Regional Center pro-gram is ideally suited and designed for rural regions like ours, and Foreign Direct Investment under the EB-5 program and the resulting increase in jobs would greatly benefit this region," the Senators wrote in their let-ter.

The new EB-5 Re-gional Center in North Dakota and Northwest Minne-sota is expected to bring foreign capital to high-growth, local companies,

inject private investment into regional ventures, and create partnerships between re-gional angel investors and international investors, all of which will help create more high-quality jobs in the re-gion.

The Center for Innovation Foundation made an applica-tion to be an EB-5 Regional Center in 2010. The Center for Innovation Foundation anticipates that up to $60 million will be invested in the region over the next 3 to 4 years, creating over 600 jobs.

Contact Rodrigo Cintra at ( 7 0 1 ) 7 7 7 - 3 9 7 0 o r [email protected] or visit www.ndeb5.com for more information about t h e N o r t h D a k o t a /Northwest Minnesota EB-5 Regional Center.

CENTER FOR INNOVATION FOUNDATION RECEIVES EB-5 REGIONAL CENTER

PAGE 2 Center for Innovation

MICHAEL SHOPE OF CLEAN REPUBLIC, LLC NAMED SBA REGION VIII YOUNG ENTREPRENEUR OF THE YEAR

Michael Shope, CEO of Clean Re-public, LLC, has been named the U.S. Small Business Administration’s 2011 Region VIII and North Dakota Young Entrepreneur of the Year. This annual award recognizes small busi-ness owners, less than 30 years of age, who exemplify the entrepreneurial spirit. Nominated by Bruce Gjovig, Di-rector and Entrepreneur Coach at the Center for Innovation, Shope was selected following a statewide and re-gion-wide competition. SBA’s Region VIII consists of Colorado, Montana, North Dakota, South Dakota, Utah, and Wyoming.

Shope began his career as an entrepre-neur while studying aviation at the Uni-versity of North Dakota. He invented an innovative flashlight to solve a problem indentified when trying to read maps

while flying at night. He developed and marketed the Tri-Lite LED Flashlight through his first business, Pilot Friendly Products, LLC, under the Center for Innovation’s Mueller En-trepreneur Internship program and with a $20,000 investment from the Dakota Venture Group. After suc-cessfully growing the business, Shope sold the company to an aviation equip-ment supplier.

He co-founded his current business Clean Republic, a current incubator tenant of the Center for Innovation, with the goal to produce practical alter-native energy products which empower consumers to conserve money and en-ergy without sacrificing an enjoyable standard of living. Clean Republic’s first product is the Hill Topper electric bike conversion kit which has been sold in 14

countries with 1,500 units currently in the field in just one and a half years.

The SBA award was presented at the Grand Forks Chamber’s Community and Business Excellence Award Program on May 26.

To learn more about Clean Repub-lic and its products visit www.electric-bike-kit.com.

John and Stephanie Stober, co-owners of Flax USA, Inc. near Goodrich, ND, have been named the U.S. Small Busi-ness Administration’s 2011 North Da-kota Jeffrey Butland Family-Owned Small Business of the Year. The Jeffrey Butland Family-Owned Small Business of the Year award honors a family-owned and operated business which has been passed on from one gen-eration to the next.

The Stober family farm’s roots go back to 1901 when their family began grow-ing flax and other agricultural products outside of Goodrich, ND. In the 1990s, traditional farming faced a number of

challenges including high fuel, machin-ery and equipment costs along with low prices for certain types of crops. Want-ing to stay on the farm, the Stobers be-gan to look for ways to add value to what they were producing or find alter-nate markets. Looking to the “old standby”, flax, they began producing a variety that is especially rich in omega-3 fatty acids. Targeting the health food and organic food industries, they started production and distribution from their farm location with all three children pitching in to work with the planting, harvesting, milling, cleaning, and bag-ging of their Golden Omega Flax.

After completing his education at the University of North Dakota where he majored in Marketing/Entrepreneurship and earned a Bachelor of Business Ad-ministration degree, the Stobers’ oldest

son, Jared, returned to the family busi-ness as the Vice President of Sales and Marketing.

The Stobers market their products online through their website, through Pride of Dakota and various dealers. With assistance from Marv Erdman, a counselor for SCORE – “Counselors to America’s Small Business” – they have also been able to secure a contract with a national food wholesaler which distrib-utes their products across the country. As their business grows, they have been able to provide employment and busi-ness opportunities for their neighbors in this rural area.

To learn more about Flax USA and its products read the FlaxmilkTM article on Page 7 and visit www.flaxusa.com.

JOHN AND STEPHANIE STOBER OF FLAX USA, INC. NAMED SBA NORTH DAKOTA FAMILY-OWNED BUSINESS OF THE YEAR


FIVE INNOVATE ND WINNERS AWARDED $15,000 EACH

The North Dakota Department of Com-merce Commissioner, Alan Anderson, an-nounced five winners for the fifth statewide Innovate ND pro-gram on May 24. A panel of 12 private sector judges made the final selections out of a field of 20 finalists. Winners each received $15,000 in cash and a valuable package of in-kind professional services to help them launch and grow their business. The winner of the Peo-ple's Choice Award was also named.

"This is an exciting program because it demonstrates that innovation and entre-preneurship are alive and well and hard at work in North Dakota," Anderson said. "Business development drives our economic growth and it all starts with innovative people who have a promising business idea and the desire to build that venture right here in our state."

The five winning entries, un-ranked, are:

The LightsOn Safety Solutions – John Holtan, Chris Lane, Kara Holtan and Mike Holman of Bismarck – A self-certification system for mining compa-nies and firemen that preserves human life by properly training these individu-als how to interpret hazardous gas at-mospheres and provides real-time train-ing by simulating real meters and teaches the students how to interpret the readings without putting them in harm's way.

Talon by Safe Pursuit, LLC. – Evan Anderson, Jon Sanstead, Chris Loraas, and Ken Walter of Bismarck – Enables law enforcement officers to quickly and safely bring fleeing vehicles to a stop by securely grabbing the back of the fleeing vehicle the moment contact is made with its bumper.

Tommies LB Roller – Stan Tomlinson, Mike Tomlinson and Jason LaDuke of Turtle Lake – A specialty tool specifically designed for electricians and electrical lineman to use for pulling large conductors through an electrical LB by greatly reducing the amount of time spent performing this task and pre-venting hand injuries.

Field of View, LLC. – David Dvorak and Jonathan Alme of Grand Forks – Utilizes remotely piloted aircraft to pro-duce timely, high-resolution imagery depicting relative crop health to increase a net profit realized through a cost-savings on field inputs combined with an increased yield.

Lift'N Buddy – Aaron Lamb, Richard Cossette, Nate Trostad, and Douglas Snider of Fargo – Combines the best of a standard two-wheeler's durability and functionality with automatic lifting and lowering capabilities into one versatile mobile lifting device. With multiple attachments available, we can customize it for proper ergonomics for nearly any person and almost any lifting and mov-ing job.

The winner of the People's Choice Award went to Valley Med Flight. This is an idea to expand its Critical Care Air Ambulance operation. More than 2,200 total votes were cast. For the third year, the $500 cash award was sponsored by the North Dakota Cham-ber of Commerce.

The Center for Innovation provided operational leadership and educational content to the Governor's Innovate ND program.

"These businesses have strong potential for creating jobs and economic develop-ment in our state," Bruce Gjovig, entre-preneur coach and

director of the Center for Innovation, said. The awards were presented at the Innovate ND Awards Social and Cere-mony on May 24 in Grand Forks. This event was presented by the North Da-kota Department of Commerce. The final competitors were narrowed from 58 teams that began the competition in October 2010.

All finalists completed an extensive written summary and made an oral pres-entation in front of the panel of judges. In selecting winners, judges looked at five criteria: innovation, commercial viability, investment opportunity, entre-preneur team, and quality of presenta-tion. The People's Choice Award was determined by online voting.

Innovate ND was launched in Novem-ber 2006 by Governor Hoeven and is coordinated by the Governor's Office, the North Dakota Department of Com-merce and the Center for Innovation Forum Communications is the lead sponsor for Innovate ND. Participants paid $250 to enroll in the program.

"Our goal with this initiative is to help entrepreneurs turn business ideas into functional businesses," Gjovig said. "To date, nearly 800 people with 350 ideas have participated in the program and 100 new businesses are operational or in the development stage as a result."

The program was made possible by more than $200,000 in private-sector contributions and in-kind professional services donations as well as appropri-ated funds from the Department of Commerce. For more information, see www.innovateND.com.


Two‐hundred to three‐hundred techni-cal, business and governmental experts in the fields of clean technologies from throughout the nation – and more par-ticularly from the Upper Midwest – will gather in Grand Forks on June 19-21 for the Cleantech 2011 Workshop and Action Summit.

This is an excellent opportunity to gain exposure to potential clients and busi-ness partners. Sponsorship opportunities are available to help you showcase and market your company to this targeted audience.

Renewable fuels and chemicals, solar, wind, geothermal energy, fixed com-bustion systems (clean coal), coal/

biomass blending, carbon capture, and energy conservation are the many tech-nical areas included in the conference.

Business involvement topics include technology startup companies, venture capital firms, angel investment funds, entrepreneurs, and end‐user companies such as utilities, fuel companies and chemical companies.

Networking time is included in the con-ference. Specific time is set aside to al-low networking of participants and sponsors.

The conference is hosted by ND SUN-RISE, a technology research group, and the Center for Innovation, which is

nationally recognized for its work in fostering and developing business con-nections with novel technologies.

Multiple levels of sponsorship are avail-able, ranging from extensive promo-tional opportunities as a Platinum Spon-sor ($5,000 or greater) to more limited exposure at Gold, Silver and General Sponsor levels. For more information about sponsorship opportunities visit: www.theresearchcorridor.com/sunrise/sponsorships.html

Contact Tiffany Roberts at (701) 777-3132 or [email protected] or visit www.theresearchcorridor.com/sunrise for more information about Cleantech 2011.


CALCEF CLEAN ENERGY ANGEL FUND MANAGER TO SPEAK AT CLEANTECH 2011 WORKSHOP AND ACTION SUMMIT

Ms. Susan Preston, a leader in clean en-ergy fi-nance, is scheduled to speak at the Clean-tech 2011 W o r k -

shop and Action Summit in Grand Forks on June 19-21.

Preston is a general partner of CalCEF Clean Energy Angel Fund. CalCEF is a private venture capital fund that invests in seed stage clean energy com-panies. The fund invests in a wide range of energy-related companies. Preston is a patent attorney and a world-recognized expert in angel financing and angel organizations. She has spent most of her career in senior management po-sitions in public and private companies.

Preston speaks nationally and interna-tionally on economic development, an-gel and venture financing.

“Ms. Preston is a national expert in an-gel investing as well as in investing in cleantech ventures. We have worked on several projects together over the years, and we are fortunate to have Ms. Pre-ston bring her expertise to our confer-ence,“ said Bruce Gjovig, program co-chair of Cleantech 2011 and director of the Center for Innovation.

Preston is one of the founders of the Angel Capital Association, the North American industry association for angel organizations. She was an Entrepreneur-in-Residence with the Ewing Marion Kauffman Foundation for six years and continues to serve as a consultant, spe-cifically focusing on initiatives related to angel investing and angel organizations.

At the conference, Preston will review what angel investors are looking for in a

cleantech venture and how entrepre-neurs should structure the deal/relationship with angel investors. She will share her experience and perspec-tive on these topics based on lessons learned along the way. She will also give her expert insight on what angels would like cleantech ventures to do before they approach investors and what pitfalls companies should avoid.

Cleantech 2011 is a unique combination of events designed to foster and pro-mote sustainable energy-related tech-nology centers. It is hosted by two Uni-versity of North Dakota-based groups—the Sustainable Energy Research Initiative and Supporting Educa-tion (SUNRISE) program and the Center for Innovation.

Contact Tiffany Roberts at (701) 777-3132 or [email protected] or visit www.theresearchcorridor.com/sunrise for more information about Cleantech 2011.

SPONSORSHIP OPPORTUNITIES STILL AVAILABLE AT PREMIERE SUSTAINABLE ENERGY EVENT IN GRAND FORKS


MINI-SOCIETY® YOUNG ENTREPRENEURS SUMMER CAMPS NOW ENROLLING

The goal of the ND Youth En-trepreneurship Education Program is to give youth and teachers the authentic experi-ence of entrepreneurship while building a better community through individual initiative and collaborative action. Youth and teachers think and act as entre-preneurs and community lead-ers. They apply their academic, social and technological skills in a true-to-life environment. Teachers, who register for the camp to earn continuing educa-tion credits, learn how entre-preneurial thinking in the class-room can be an effective strat-egy for meeting many of their academic achievement, social interaction and personal devel-opment goals. The program is part of a statewide effort en-couraging youth to consider business ownership as a real career option and community

leadership as a rewarding outlet for their natural creativity.

On the first morning of Mini-Society® Young Entrepreneurs Summer Camp, kids and teach-ers establish their own town, vote on its name, design their own currency, and organize their town council. Camp facili-tators use North Dakota exam-ples to demonstrate how entre-preneurs recognize opportuni-ties that others may have over-looked. Then the young citizens start up their own businesses offering goods or services they believe their new neighbors need or want. As business own-ers they are responsible for set-ting prices, marketing the busi-ness, keeping accurate records, and actively participating in town council meetings.

Mini-Society® is not a simula-tion, a game or make-believe.

Their currency is real because participants earn it to buy busi-ness supplies, hire employees and pay bills. The businesses are real because the decisions made will affect cash flow, business growth and profits or losses.

Managing all these new chal-lenges teaches valuable lessons in entrepreneurship, economics, personal money management, citizenship, leadership, resil-ience, and ethics. Experience is the best teacher.

To learn more about the ND Youth Entrepreneurship Educa-tion Program and Mini-Society® Young Entrepreneurs Summer Camps contact Barry Striegel a t 7 0 1 - 7 4 1 - 6 9 8 5 o r [email protected] or visit www.ndyoungentrepreneurs.org.

2011 MINI-SOCIETY®

CAMPS

BELCOURT JULY 18-22

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BISMARCK AUGUST 1-5

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DICKINSON JUNE 27-JULY 1

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FORT YATES JULY 25-29

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GRAND FORKS JUNE 6-10

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MINOT JULY 18-22

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NEW TOWN JUNE 13-17

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PARSHALL JUNE 13-17

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PEMBINA COUNTY JUNE 6-10

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WAHPETON JULY 11-15

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WILLISTON JUNE 20-24

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REGISTER NOW AT WWW.NDYOUNG

ENTREPRENEURS.ORG

New This Year!

iPADS in the Young Entrepreneur Business

Center to design web pages, create and transmit live promos, design print

ads, manage financial records, and create

colorful charts.


FLAX USA, INC. LAUNCHES FIRST AND ONLY FLAXMILKTM

The Center for Innovation was named one of two finalists for the National Business Incu-bation Association’s (NBIA) 2011 Incubator Innovation Award for its Innovatively Increasing Access to Capi-tal program. The other finalist is Powerhouse Ventures in Can-terbury, New Zealand.

The Center for Innovation’s Innovatively Increasing Access to Capital program aims to im-prove access to capital for incu-bator clients and entrepreneurs throughout the state of North Dakota. The Center for Innova-tion has developed a unique

menu of capital options for en-trepreneurs, including the na-tion’s first fully student-run venture fund for early stage ven-tures, a statewide network of angel investment funds for growth companies and a pro-gram to facilitate foreign direct investment in later-stage compa-nies throughout the region.

The Center for Innovation has received eight national and in-ternational awards for excel-lence in entrepreneurship, incu-bation and tech-based economic development. In 2010, the Cen-ter for Innovation was certified by the NBIA as a Soft Landing

International Incubator for the third time, one of just 19 incubators worldwide so desig-nated for being well suited for international entrepreneurs.

The NBIA is the world's leading organization advancing business incubation and entrepreneur-ship. Each year, the NBIA Incu-bation Awards honor the busi-ness incubation programs, graduates and client companies that exemplify the best of the industry.

To learn more about the NBIA and i t s programs v i s i t www.nbia.org.

WELCOME!

NEW INCUBATOR

TENANT:

JETE ~

STUDENT

ENTREPRENEURS:

ANTIQUE DOOR VINTAGE RENTALS CAITLIN LEVESSEUR

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GLARESTRIPS TYSON PAGE

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HOCKEYCAMPS.COM BRETT BRUNETEAU

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USAF ACADEMY CENTER OF

INNOVATION INTERN

MICKAYLA ZINSLI ~

CENTER FOR INNOVATION NAMED FINALIST FOR PRESTIGIOUS INTERNATIONAL AWARD

Flax USA, Inc. recently launched the first and only FlaxmilkTM, an all natural dairy free beverage made from flax seed. Flax USA also announced FlaxmilkTM is now available at Walmart.

Flax is a powerhouse of disease-fighting compounds researchers have found prevent heart dis-ease, protect against inflamma-tory disorders and certain can-cers, and lower your choles-terol. FlaxmilkTM is a balanced source of Omega-3, Omega-6 and “good fats” and contains as much calcium as dairy milk. FlaxmilkTM can be enjoyed by the glass, in smoothies, over your favorite cereal, or as a re-placement for milk in your fa-vorite recipes.

FlaxmilkTM Highlights Excellent Source of Omega

3’s– 1,100 mg per serving Dairy Free Gluten Free Lactose Free Soy Free Kosher Original & Vanilla flavors

Flax USA has been producing flax since 1901 on a fifth genera-tion farm. Flax USA products are made from the finest natural ingredients like cold pressed unrefined flax seed oil, whole golden and brown flax seed and evaporated cane sugar.

Flax USA Vice President of Sales and Marketing, Jared Stober, graduated from the University of North Dakota in 2006 where he majored in Marketing/Entrepreneurship and earned a Bachelor of Business Admini-stration degree. He developed and marketed interchangeable

custom holiday lighting system for homes called MyLites under the Center for Innovation’s Mueller Entrepreneur In-ternship program.

In 2007, Flax USA was awarded a $77,500 grant from the North Dakota Agricultural Products Utilization Com-mission (APUC) for market-ing to grow the business.

To learn more about Flax USA and i t s p roduc t s v i s i t www.flaxusa.com.

Ina Mae Rude Entrepreneur Center

Norm Skalicky Tech Incubator 4200 James Ray Drive

Grand Forks, ND 58203

Address Service Requested

Phone: 701-777-3132 Fax: 701-777-2339

E-mail: [email protected]

THE CENTER FOR INNOVATION HELPS ENTREPRENEURS, STUDENTS AND RESEARCHERS LAUNCH NEW TECHNOLOGIES, PRODUCTS AND VENTURES, DEVELOP BUSINESS AND MARKETING

PLANS, ACCESS TALENT OF UNIVERSITIES AND SECURE VENTURE FINANCING. WE ARE A DIVISION OF THE

UND COLLEGE OF BUSINESS AND PUBLIC ADMINISTRATION.

V I S I T U S O N T H E W E B : W W W . I N N O V A T O R S . N E T

NON-PROFIT ORG. U.S. POSTAGE

PAID Grand Forks, ND

58201 PERMIT NO. 10

Congratulations to ICON Architectural Group on their recent move from the Center

for Innovation to their new building.

ICON is now located at

4050 Garden View Drive* Grand Forks, ND 58201 701-772-ICON (4266)

www.iconarchitects.com *Opposite the Alerus Center/Canad Inns off 42nd Street

HOLADAY ATHLETIC CENTER • U.S. AIR FORCE ACADEMY • COLORADO SPRINGS, CO

Bart Holaday, USAFA Class of ‘65 and Center for Inno-vation Foundation Board of Trustees Chairman, and his late wife, Lynn, committed $5 million toward the con-struction of a new indoor athletic training facility.

The 92,000 square-foot center will house a regulation-sized field that can accommodate football, lacrosse and soccer, in addition to many other athletic activities.

Left: Construction progress in March 2011

Below: Artist’s rendering

Documents

CFI June Newsletter