CenterState CEOInnovation & Entrepreneurship Portfolio May 2014 — TECH ESHIP 101, SUNY ESF

Vision  • Innovation  ●  Collaboration  ●  Transformation  Members  • Non-­‐profit,  economic  and  business  development  organization  

• 2,000  members  across  12  New  York  State  counties  Core  Focus  Areas  • Business  expansion,  retention  and  attraction  • Infrastructure  and  urban  redevelopment  • Workforce  and  talent  initiatives  • CenterState  chamber  business  services  • Government  relations  • Tourism  and  regional  marketing  • Innovation  and  Entrepreneurship  

CenterState CEO is

• The  Tech  Garden:  a  33,000  sq  ft  incubator  in  downtown  Syracuse  

• Adjacent  Building  “Tech  Garden  2”  with  18,300  sq  ft    

• 31  companies  with  over  100  employees  

• 400+  virtual  tenants  and  program  participants  

• Syracuse  CoWorks:  first  downtown  coworking   space  

• Tech  Garden  2  Opening  May  2014  

• Very  fast  IT  Infrastructure,  Advanced  A/V,  conference  rooms,  various  sized  suites  

• Partner  with  Syracuse  Center  of  Excellence  in  environmental  and  energy  systems  to  staff  the  office  of  industry  collaboration  

• Access  and  synergies  with  the  2000  members  of  CEO

CEO’s Innovation Assets

• One  of  Five  incubators  designated  as  Hot  Spots  

• Access  to  Hot  Spot  Tax  Credits  Program  

• Tech  Garden  1  and  Tech  Garden  2  are  eligible  locations  for  Startup  NY  Zones,  with  University  cooperation  

• Operating  capital  to  support  the  Partner  Network  

• Success  via  strong  partnerships  and  leveraging  existing  programs  and  assets  of  the  network  

• 21  Organizations  and  programs  in  the  Partner  Network  

• Syracuse  University,  Upstate  Medical,  SUNY  ESF,  SUNY  Oswego  and  others  

• New  virtual  incubation  client  programming  and  opportunities

CNY Innovation Hot Spot

PreSeed Workshop

Syracuse Tech Meetup

UPStart Syracuse

Startup Weekend

Ideation

Startup Labs CEO Ventures

Student Sandbox

Grants for Growth: Track 1

Acceleration

Grants for Growth: Track 2

The Clean Tech Center

C.H.O.P.P. Shop

Armory Square

Ventures

Venture Development

Tech Garden Incubation

Innovation Programs 2010-2013 !“merger change management”

Hybrid programming, 2014 and on…

Incubation Accelerators

The “Hybrid”

Pros:    -­‐ Place  based  hubs  in  

community  -­‐ long-­‐term  relationship  

model  between  tenants  and  mentors  

-­‐ can  be  self-­‐sufficient  w/reant  

Cons:  -­‐  Both  operators  and  tenants  get  comfortable  with  “real  estate  play”

Pros:    -­‐ High  level  of  excitement  

and  marketing  -­‐ They  actually  make  seed  

investments  -­‐ intense  mentorship,  often  

from  national  circuits  Cons:  -­‐  Most  only  last  6-­‐12  weeks,  they  tend  to  disappear  when  they  are  over  

Combine  the  pros  of  both  but  mitigate  the  cons.    !2  year  program  with  intense  mentorship  and  investments  every  6  months

PreSeed Workshop

Syracuse Tech Meetup

UPStart Syracuse

Startup Weekend

Ideation

Startup Labs CEO Ventures

Student Sandbox

Grants for Growth: Track 1

Acceleration

Grants for Growth: Track 2

The Clean Tech Center

C.H.O.P.P. Shop

Armory Square

Ventures

Venture Development

Tech Garden Incubation

And this can become…

The “Germinator"

PreSeed Workshop

Syracuse Tech Meetup

UPStart Syracuse

Startup Weekend Startup Labs

CEO Ventures

Student Sandbox

Grants for Growth: Track 1

Grants for Growth: Track 2

The Clean Tech Center

C.H.O.P.P. Shop

Armory Square Ventures

Germinator Events

Germinator Seminars

Germinator Trellis

DevBoxOrg Chart in Residence

(CEO Ventures)

Regional Programs

TG Real Estate

Germinator Graduates

Feeder

Feeder

Feeder

Feeder

Feeder

Feeder

Feeder

Syracuse CoWorks

Staff / Mentors

Feeder

Hot Spot and Zones

Virtual Hot Spot Zones

…this

Traditional Incubation

Downtown, Neighborhood and Regional Real Estate

Feeder

Tech  Garden    Real  Estate

Incubation•Eventually 30% of space or

less•Startup NY Zone recruits•Germinator Grads•Partners: NYBDC, MedTech,

LaunchNY, etc.•Legacy Leases

Accelerators•Eventually 40% of space•Continue to evolve SL•Solve Sandbox sustainability•Look at new programs in

clean, bio/ag, health, D2D

The Germinator•Active Client portfolio of 6-9 companies•Eventually 30% of space or more•Combine uniquely a Hybrid Accelerator

and Incubator•Creates a set of 3 offerings: events,

workshops, and the physical trellis

5C.  Germinator—internal  (required  for  clients)

GerminatorEvents

Trellis  Seminars

• Weekly activities intended to encourage cross-pollination, support and motivation

• 8 “first year” companies + 4 “second year” companies

• Access to progams: Including trademarked DevBox and Org Chart in Residence

• TTG space, Resource Center and Co-Op credits

• 24-month curriculum

• Periodic inspections ensure that companies make appropriate progress

5C.  Germinator  —  external  (open  to  tenants  and  public)

GerminatorEvents

TTG Outreach

• Community-building gatherings focused on coalescing the Centerstate NY tech community

• Coordinated with other CNY entities

Alumni gatherings• Strategic partner

recruitment• Investor relations

(CSA)• Co-op

participation

• Public access to select core and elective workshops elements

• Sponsorship opportunities are available

$$

$$$ $

SeminarsTrellis

SeminarsPre  Seed  Workshop  • Three  day  workshop  includes  a  week  of  homework  • Participants  build  foundational  plans  and  evaluation  tools  to  

determine  go/no-­‐go  • Teams  formed  around  some  IP  already  in  place  • Often  a  tool  used  by  Universities  to  consider  spin-­‐out  !!Growing  Pool  of  Success  –    

as  of  June  2012  !•          55  pre-­‐seed  workshops  with    •          2000  participants  working  on  •          302  high-­‐tech  ideas  to  •          create  138+  high-­‐tech  companies

Syracuse  Tech  Meetup  • The  Tech  Garden  has  its  own  technology       oriented  social  media  site  • Use  meetup.com  infrastructure  for  our       own  branded  event  platform  • www.meetup.com/Syracuse-­‐Tech-­‐Meetup/  • 895  users  on  the  platform  • An  event  every  6  weeks  !

!!

Events

Startup  Weekend  • Host  and  organize  Syracuse  Startup  

Weekend  • Avg.  135  attendees  • Integrated  curriculum  at  local  universities  

with  students  earning  credit  for  participating  

• CEO  Staff  facilitate  Startup  Weekends:  Albany,  Rochester,  Ithaca,  Binghamton,  Saratoga  Springs  and  Buffalo  

!

Events

Trellis ProgramsOrg  Chart  in  Residence  Short  acceleration,  fee-­‐for-­‐service  engagements  to  provide  long  term  success  for  early  stage  companies:  • Provide  incubation  space  • Access  to  local  business  leaders  • Business  and  technical  

development  activities  with  consulting  and  mentorship  !!!

• Provide  strategic  board  of  advisors  • 2  startups  engaged,  launched  as  a  

pilot  in  2012  • Ready  to  scale  with  sponsor  

support  

5.C org chart in residence

Finance

Operations

Technology

Vision, direction, executive management, fundraising

Accounting, capital formation, fundraising

Project management, staffing, HR, partner/vendor management

Design/Development strategy, developer recruitment/management, tech landscape/horizon expertise

Company formation/protection, intellectual property protection, corporate governance advice

Sales force development, sales forecasting, lead management

Marketing strategy development, branding, pricing, promotion, media

Intern

SCORE

SBDC

Strategy

EIR

Intern

SCORE

SBDC

EIR

Intern

SCORE

SBDC

EIR

Intern

SCORE

SBDC

EIRIntern

SCORE

SBDC

Legal

EIR

Intern

SCORE

SBDC

Sales

EIR

Intern

SCORE

SBDC

Marketing

EIR

Tenants

Germinator Participant

Trellis: OCiR

Trellis ProgramsThe  Dev  Box  • An  In-­‐house  software  development  shop  • Two  Principles:  “Software  eating  the  world”  and  Development/Coding  is  as  good  as  cash  

• Serve  TG  companies,    • existing  software  shops  as  referrals  and  talent  placement  • Public  

Syracuse  Student  Sandbox  • Student  venture  incubator  and  accelerator  program  • Joint  partnership  with  The  Tech  Garden,  Syracuse  

University  and  16  regional  colleges    • Featuring  the  $1.7  million  SU  Raymond  von  Dran  

IDEA  Fund  • Recognized  by  the  Kauffman  Foundation  as  a  

national  model  • 70+  ventures  in  program  • 115  mentors  • Over  $3  million  in  follow  on  funds  raised  by  

participant  companies  • Rounded  Co.  (2010  participant)  became  anchor  

tenant  of  The  Tech  Garden  bootstrapped  via  revenue  with  15  employees  inside  of  3  yrs

Student Acceleration

University  Research  Centers

Industry  Partners

Grants  for  Growth  • Commercializing  university  IP  • $25K  “Proof  of  Concept”  grants  • $150K  convertible  debt  “Concept  to  

Market”  notes  • 41  ventures  in  the  program  • 55  patents  • $43.5  million  in  follow  on  funding  • 7  university  partners  • $5  million  in  New  York  State  

investment  since  2005  

!!

Regional Resource Programs

Clean  Tech  Center  • $1.5M  NYSERDA  clean  energy  incubator  

• One  of  six  in  the  state  • Commercialize  technology  &  launch  companies  

• Consortium  model:  academic,  industry,  bus.  dev.  &  investors    

• Top  ten  cleantech  cluster  region  in  the  world  –  GCCA  2010  • Physical  &  virtual  tenants

!34  Client  Companies  

!22  Product  Launches  

!!!

Acceleration

Results  to  date:

$9M  follow  on  Grants

$17M  private  capital

State Income

Tax Credit

Payroll Tax Credit

Property Tax

Abatement

Locus of Decision

Expected Turn

Around Time

Other Other 2

Hot Spot Incubator

Yes, 5

yearsNo

Possible, TBD July 2014

Incubator Director (only 5 in the state)

less than 2 weeks

Graduate a Hot Spot and company is eligible for Startup NY

Zones and 10 yr benefit

clock resets

Program is open to

tenants and Virtual

Tenants of the Tech Garden,

making it effectively all

of NYS

Startup NY

Zone

Yes, 10

years

Yes, 10 Years

(based on job

creation)

Yes

Any public and private university,

campus by campus,

with lengthy

state and public

comment periods.

At least 90 days

Upon 10 year lease on campus

property uncertain if company would be

required to move

Program is restricted to

property controlled/

owned by an academic institution,

and generally within 1 mile of campus

Seth MulliganVice  President  for  Innovation  Services  Executive  Director  of  the  Clean  Tech  CenterThe  Syracuse  Technology  Garden,    CenterState  Corporation  for  Economic  Opportunity  235  Harrison  Street   Syracuse,  NY  13202   phone:  315-­‐470-­‐1963 smulligan@centerstateceo.com

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