OwlSpark Accelerator

The Rice University StartUp Accelerator

#OwlSpark

Vivas KumarOwlSpark Accelerator Co-Founder

Rice University BSEE ‘14

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Table of Contents

OwlSpark: The Rice University Startup Accelerator Page 1

Unique Advantage

Page 2 Value Proposition

Page 4

Program Success MetricsPage 5

Company Sourcing

Page 7

2013 Sponsors and Donors

Page 8

Rice Entrepreneurial Ecosystem

Page 9

Comparable Programs

Page 11

Donation Tier Privileges

Page 12

Page 6

Program Financials

Participant Companies and Co-Founders

Page 13

Board of Directors

OwlSpark creates value for participant companies by providing them with resources and connections to further their entrepreneurial development


Space – Co-located collaborative office space for company offices, lectures, mentor office hours, meetings, and general networking events

Seed Grants– $1000/cofounder/month stipend to help participants cover basic living costs; additional funding awarded to companies based on donor preferences (ex. Laura and John Arnold foundation social enterprise grants)

Community – Participating companies benefit from strong ties to mentors, service providers, experienced entrepreneurs, venture capitalists, and angel investors from the Rice and Houston communities

Active Start-up Community – Participating companies work alongside other companies undergoing similar processes of customer development and hypothesis validation, leading to idea and talent cross-pollination

Rice University affiliation – Strong alumni network and Rice name brand lend credibility, further helping companies approach new customers and potential investors

OwlSpark is uniquely positioned to take advantage of existing entrepreneurial synergies and organizations in the Houston community.


Valued partnerships with Houston organizations

• NASA, Texas Medical Center, and booming energy industry create unparalleled nexus of entrepreneurial opportunities and talent• Houston-area professionals and active Rice alumni community

provide strong support through company mentorship

Nationally recognized entrepreneurial events and competitions

• Rice Alliance for Technology and Entrepreneurship hosts notable venture forums and Rice Business Plan Competition attracting companies from around the world

• Strong partnership with Surge Accelerator program (TechStars affiliated energy software accelerator)

World-class researchers developing innovative technology

• Premier undergraduate research institution with significant per-capita research funding• Strong potential for translatability of laboratory findings

into entrepreneurial ventures

Other

OwlSpark 2013 featured 9 companies from 6 different industries, involving 37 full-time co-founders from varied Rice-affiliated backgrounds.


Participating Companies

Representative Industries

Participating Co-Founders

Healthcare

IT Software

Education Finance

Social Media

15 11 7 3 1

Undergraduates1

AlumniGraduates

Non-Rice

Faculty

27 5 2 12Engineering

MBAArchitecture Social

ScienceParticipant

Demographics

1 8 out of 11 residential colleges represented

2013 OwlSpark companies benefitted from significant community involvement and a strong culture of mentorship and risk-taking


Funds RaisedOwlSpark Operations

By 2013participatingcompanies

By companies prior to program

OwlSpark Mentors

Pitch DayAttendees

CommunityMembers Engaged

$313K

$50K

$1.08M

>120

>340

>1000

Community Engageme

nt

OwlSpark: The Rice University Startup Accelerator

Sourcing Channels

Up to 3 from RUVC1

Up to 3 from OwlOpen 2 social enterprises

Companies apply through open application process

Companies must meet LJAF2 eligibility rules

OwlSpark leadership nominates up to four companies for LJAF consideration

Companies are interviewed and two are selected by LJAF Board

Open to companies of currently enrolled undergraduate students

Top 3 winning companies receive cash prizes and offer to join OwlSpark

Offer package consists of $3K/founder for summer stipends and additional seed grant3

Open to companies of at least one currently enrolled graduate student

Top 3 winning companies receive cash prizes and offer to join OwlSpark

Offer package consists of $3K/founder for summer stipends and additional seed grant3

OwlSpark 2014 applicant companies will be vetted by external judges and experts through competitions, donors, or a rigorous interview process

Spring 2014: Companies are sourced from competitions and open application process

Eligibility criteria for companies selected through Open Applications

• Teams are composed of at least 2 individuals, at least one of whom:

• Is a currently enrolled Rice University student (grad or undergraduate); or

• Is a current Rice University faculty or staff member; or

• Is a Rice University alum from any of the previous 5 graduating classes (Class of 2008)

All company members from each company are expected to participate in 12-week OwlSpark summer program

1 Rice Undergraduate Venture Challenge2 Laura and John Arnold Foundation3Projected at around $2000 for 2014

Remaining companies

Open application process

OwlSpark leadership screens, and vets companies based on applications

Companies are interviewed early February and offers are extended after Board approval

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Stipend - $120,000 Supplies, Marketing, and Events - $65,000

Space & Discretionary - $21,000Staffing - $269,000

OwlSpark 2014 is projected to require about $475K in funding to cover major staffing, space, and participant companies’ stipend needs

MD1 salary $200,000Fringe Costs $59,000Interns $10,000Total $269,000 • 1Full-Time Managing

Director to be hired

• 2 student summer interns

Summer 2014 projected budget breakdown

• Each company will receive $1000/mo./cofounder to cover living expenses

• Expected four cofounders/company based on 2013 OwlSpark average participant company size

• Marketing to attract mentors, students, companies, and donors to participate

• Various supplies for OwlSpark networking events, lectures, mentor sessions, and stationary

• Currently negotiating contract to host Summer 2014 program at Willy’s Pub and adjoining RMC facilities

• Back-stop for unforeseen costs and new activities

Summer 2014 projected funding sources

Rice University

Laura and John

Arnold Foundation

Projected 2013

rollover funds

Alumni, foundational,

and corporate donors

Committed or identified

$100K $88K $125K $162K

Yet to be raised or identifiedFunding Sources Breakdown

• Rice University $100K commitment to fund stipends from RUVC and Owl Open Winners

• Follow-up report from 2013 OwlSpark sent to LJAF Board for further funding granting

• Potential $100K grant from BlackStone foundation currently being negotiated

• OwlSpark leadership team working together with Rice University Development staff and Office of Corporate and Foundational Relations

OwlSpark is overseen by a 7-member Board of Directors, with the day-to-day operations overseen by a full-time Managing Director and student leaders


Brad BurkeRice Alliance

Ray SimarRice Center for Engineering

Leadership

Tom Kraft, PhDRice Alliance

Vivas KumarOwlSpark Co-founder

Veronica SaronOwlSpark Co-founder

Kaz KarwowskiRice Center for Engineering

Leadership

Kerri SmithInterim MD, OwlSpark

2013 OwlSpark Sponsors


Appendix


OwlSpark fits clearly into Rice’s entrepreneurial ecosystem with in-built mechanisms for regular updates to Rice leadership


Companies Mentors Internal Relations External Relations Operations

Facilitate mentor development

Communicate with mentors

Track mentor engagement

Greater Houston and national PR

Manages external Rice relationships

Oversees innovation community dynamics

Manages logistics and space design

Tom KraftKaz Karwowski

Veronica Saron

Brad Burke

Ray Simar

Oversees company recruitment into OwlSpark summer program

Communicate with Rice stakeholders

Arrange board meetings agendas and minutes

Managing Director

President/Provost

Board of Trustees

Dean of Engineering Dean of Business

Board of Directors

Vivas Kumar

Kerri Smith

OwlSpark borrows elements from several other comparable successful tier one university accelerators, many of whom were consulted for programmatic advice


http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=hrG6-frFLEbryM&tbnid=2AatToYvQd2zuM:&ved=0CAUQjRw&url=http://web.mit.edu/newsoffice/topic/startups.html&ei=r9tFUrG6LvHw2gWa9IHAAg&bvm=bv.53217764,d.b2I&psig=AFQjCNHYPYBRSB6cRSMRWGuztWBlVlJnDA&ust=1380396305230135

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=-lvNo5VRNHmX0M&tbnid=sab0qTQPXCosKM:&ved=0CAUQjRw&url=http://www.newswise.com/articles/babson-college-hosts-15-start-ups-in-2013-summer-venture-program&ei=R9xFUoKAPIfl2AXjvIFQ&bvm=bv.53217764,d.b2I&psig=AFQjCNFujHbkGttadd_qt7kKH8-OHH3ivw&ust=1380396471303712

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Summer 2014: OwlSpark offers multiple support levels for donor participation


Diamond Tier ($250,000 – Limit: One)Provides funding for a full OwlSpark member company’s summer acceleration program, general OwlSpark activities, and allows full funding of a single OwlSpark event

• Named sponsorship rights for one year• Explicit verbal acknowledgment of named sponsorship at all OwlSpark events over the course of the year• Quarterly acknowledgement through all social media accounts • Name exclusively on sleeves of OwlSpark Pitch Day shirts• Invitation to speak at OwlSpark Pitch Day (usually, mid-August)• Sponsorship rights (with any Platinum Tier sponsor) at all OwlSpark events during the year• Seat on the Board of Advisors• Plaque of appreciation for supporting entrepreneurship at Rice, held at OwlSpark throughout the year until provided

to the donor during Pitch Day. A copy will be displayed at OwlSpark offices permanently.• Invitation to bi-weekly update meetings with a sponsored team• Four VIP invitations to all OwlSpark events, including OwlSpark Pitch Day and Banquet• Personalized commemorative booklet including sponsor recognition, company and team bios. • Recognition on the OwlSpark website and at OwlSpark events


Platinum Tier ($100,000 – Limit: Three)Provides funding for a full OwlSpark member company’s summer acceleration program, general OwlSpark activities, and allows full funding of a single OwlSpark event

• Co-named sponsorship rights (with Diamond Tier sponsor) of one OwlSpark event of donor’s choosing, including explicit verbal acknowledgment of sponsorship (along with any Diamond Tier sponsor)• Seat on the board of advisors• Plaque of appreciation for supporting entrepreneurship at Rice, held at OwlSpark throughout the year until provided

to the donor during Pitch Day. A copy will be displayed at OwlSpark offices permanently.• Invitation to monthly update meetings with a sponsored teams• Two VIP invitations to all OwlSpark events, including OwlSpark Pitch Day and Banquet• Personalized commemorative booklet including sponsor recognition, company and team bios. • Recognition on the OwlSpark website and at OwlSpark events• Gold Tier ($50,000)Provides funding for a full OwlSpark member company’s summer acceleration program, OwlSpark events and general OwlSpark activities

• Plaque of appreciation for supporting entrepreneurship at Rice, held at OwlSpark throughout the year until provided to the donor during Pitch Day• Invitation to monthly update meetings with a sponsored teams• Two VIP invitations to all OwlSpark events, including OwlSpark Pitch Day and Banquet• Personalized commemorative booklet including sponsor recognition, company and team bios. • Recognition on the OwlSpark website and on signage at OwlSpark events

Summer 2014: OwlSpark offers multiple support levels for donor participation (cont.)


Silver Tier ($25,000)Provides funding for half of an OwlSpark member company’s summer acceleration program, OwlSpark events and general OwlSpark activities • Two VIP invitations to OwlSpark Pitch Day and two invitations to the OwlSpark Banquet• Personalized commemorative booklet including sponsor recognition, company and team bios. • Certificate of appreciation for supporting entrepreneurship at Rice, co-signed by a sponsored team• Recognition on the OwlSpark website and on signage at OwlSpark events Bronze Tier ($10,000)Provides funding for an entire OwlSpark member company’s founders’ summer stipends and general OwlSpark activities

• Two VIP invitations to OwlSpark Pitch Day• Personalized commemorative booklet including sponsor recognition, company and team bios. • Certificate of appreciation for supporting entrepreneurship at Rice, co-signed by a sponsored team• Recognition on the OwlSpark website



Blue Tier ($5,000)Provides funding for one OwlSpark member company founder summer stipend and general OwlSpark activities

• Personalized commemorative booklet including sponsor recognition, company and team bios.• Certificate of appreciation for supporting entrepreneurship at Rice, co-signed by a sponsored founder of a member

company• Recognition on the OwlSpark website Gray Tier ($3,000)Provides funding for one OwlSpark member company founder summer stipend

• Certificate of appreciation for supporting entrepreneurship at Rice and signed by a sponsored founder of a member company• Recognition on the OwlSpark website

White Tier ($1,000)Provides funding for general OwlSpark activities

• Certificate of appreciation for supporting entrepreneurship at Rice• Recognition on the OwlSpark website
