Connecticut is also a hotbed for bioscience talent. It’s no. 4 in the nation in bioscience-related patents and is anchored by two nationally-renowned research institutions in Yale and UConn. It’s also home to major multi-national bioscience companies such as Boehringer Ingelheim, Purdue Pharma, Alexion Therapeutics, Protein Sciences, The Jackson Laboratory and others.
The community, talent and support system is in place, but what about critical funding? That’s where CBIF and RMRF come into play.
How CBIF helps
CBIF came to fruition thanks to legislation passed by Governor Dannel Malloy in September 2013. The fund helps to bridge an important gap in bioscience funding known as the “valley of death.” This is the stage in development after basic research, discovery and prototype design, but before late-phase clinical trials, introduction to market, and growth, where it is difficult to attract critical funding.
So many companies with great potential fail due to a lack of funding. There’s no way around it – starting a bioscience venture is not cheap. While many technology companies can move from development to launch in a short time, bioscience companies often take years and millions of dollars just to get to a stage where venture capitalists are comfortable making an investment.
But for bioscience founders, that’s okay. They’re not discouraged by the time and effort it takes to make a company profitable, but rather they’re encouraged by the potential world-changing effects of the end result. That drives us, too.
Through CBIF, Connecticut bioscience companies doing groundbreaking work in bioscience, biomedical engineering, health information management, medical care, medical devices, medical diagnostics, pharmaceuticals, personalized medicine or related disciplines can receive up to $500,000 to further develop those world-changing ideas. It’s critically important funding.
Our quarter 1 and quarter 2 awardees include companies and researchers developing new surgical techniques, vaccines and other treatments that will save lives. Bioscience innovation is extremely important to making the world a better place. That’s the goal of the fund.
How RMRF helps
The same goes for the Regenerative Medicine Research Fund, which, at eight years old has seen many successes already. Regenerative medicine treats diseases and medical conditions by replacing, engineering or regenerating human cells, tissues and organs.
In 2010, a Yale researcher was able to build functional lung tissues in rats that assumed 95 percent of a normal lung’s inhaling and exhaling functions. Time named the achievement one of its 50 best inventions of 2010 – 22 spots ahead of the iPad. And that’s just one example.
As of June 2014, the fund has supported 170 research projects including one that uncovered a key link between stem cell factors that fuel ovarian cancer growth, one that studied the use of stem cell-based treatments for temporal-lobe epilepsy and one that used stem cells to explore new drug therapies for conditions such as obesity and autism.
Connecticut Innovations assumed control of the fund from the Department of Public Health in 2014. Through this fund, we’re able to offer:
Seed Grant Awards of up to $200,000 for early-stage projects not yet ready for larger-scale funding.
Established Investigator Awards of up to $750,000 for projects that are further along with a track record of independent research, grant support and regular peer-reviewed publications.
Group Project Awards of up to $1.5 million to support coordinated approaches to ambitious strategic goals that are beyond the scope of a typical single laboratory.
Core Facilities Awards of up to $500,000 to provide shared core facilities for regenerative medicine researchers (including stem cell researchers) at eligible Connecticut institutions, hospitals or companies.
What this all means
In any industry, any discipline and any walk of life, if someone has the proper tools, they are much more likely to succeed. Through these funds, Connecticut bioscience researchers and companies are able to access the most important tool of all – capital.
Our new website puts our funds in one, easy-to-access place with clear explanations of all guidelines, deadlines and details. Our goal is to make even more people aware of what’s available so groundbreaking ideas don’t fail before they have the chance to change the world.
If you’re a bioscience researcher or company, check out the new site and let us know what you think in the comments. And, of course, share the information with those in your network who you think may benefit from it.
Four reasons for entrepreneurs to be excited about where the Elm City is headed
Matthew Storeygard Senior Investment Associate Connecticut Innovations
It’s been 11 years since I moved to New Haven from Washington, D.C. with my wife. At the time, we were making the move to further our careers. My wife was pursuing her pediatric residency and I was attending business school.
We were skeptical about the move. We never anticipated staying beyond our respective trainings. However, once we got here, we found a burgeoning small city teeming with culture, great food that has received national recognition, and young, talented people across a variety of industries.
And 11 years later, we’re still here.
People are moving back to the city. Between 2000 and 2010, New Haven experienced the highest population growth rate of any city in the Northeast, even surpassing Boston. A lot of this population growth can be attributed to the growing number of businesses making New Haven their home. It also doesn’t hurt that the city has become a desirable place to live. There are a few compelling reasons for this trend:
1. New Haven’s residents are educated
Companies are finding a strong base of talent across industries. The city demonstrated the 5th highest growth rate in college degree attainment between 2000 and 2010. The talent pool includes many graduates from Yale University, as well as other colleges and universities in the region.
The high number of well-educated residents also means a stronger economy. Those with advanced degrees earn more money, on average, and can afford to spend more locally. New Haven has been seeing this trend for several years now.
2. New Haven has culture
New Haven offers more food, art, and culture that most cities of similar sizes, making it an attractive place to run a business. It has the best pizza in the country (I’m partial to Frank Pepe’s – try the bacon and clam), is home to the world’s first hamburger, the Yale Art Gallery, which is completely free to the public, and the Peabody Museum. Combine this with exciting nightlife and beautiful scenery, and you’ll understand why the city has been getting a lot of attention for its culture in recent years:
Not dependent upon one large employer or industry, the region’s sectoral diversity has helped it weather economic and social changes. It was even named one of the country’s 20 recession-proof cities during the recent economic downturn. While education and medicine represent New Haven’s core strengths, the city also has a base of talent in finance, IT, manufacturing, and other industries.
4. New Haven’s relationship with Yale has improved dramatically
Perhaps most import of all, Yale and the City of New Haven are working together to move the city forward. The divide between town and gown was previously a wide chasm, with a baseline of antipathy that occasionally erupted into larger demonstrations of tension and differences. By the time I came to New Haven, the leaders of both New Haven and Yale had recognized the symbiotic relationship, and have fostered a much closer partnership. A good example is the New Haven Homebuyer Program in which Yale provides financial incentives to employees and faculty to purchase homes within designated areas of New Haven.
Former New Haven mayor John DeStefano, Jr. on the relationship between New Haven and the Yale University.
The excitement and energy from these positives is reflected in the city’s startup scene. This list of New Haven startups, which was put together by local entrepreneur Miles Lasater (with help from the community) shows just how many startups call New Haven home. The Elm City has become increasingly attractive to companies because it provides access to talent and capital at a cost of living dramatically lower than other hubs on the East Coast.
On top of that, potential connections with Yale cannot be understated. The university attracts many established venture capitalists and entrepreneurs to campus for events that are open to the public, and produces talent to fill the hiring needs of startups. A particularly notable theme within the startup list is the Yale Entrepreneurial Institute. The organization was founded in 2007, and ventures emerging from it have raised over $100 million. Many have also tested their visions and products within the city, adding to its vibrancy. A few notable startups in New Haven from this list that illustrate the diversity of thriving sectors include:
Arvinas (CI Portfolio Company) – an early stage biotechnology company based on a game-changing technology from Yale that opens new drug target categories for biopharmaceutical products. It is focused on developing new small molecule strategies for degrading disease-causing cellular proteins.
Continuity Control (CI Portfolio Company) – provides community banking executives with a smarter approach to managing compliance. The software as a service (SaaS) company provides community banks with a comprehensive platform to reduce compliance burden in the face of the increasing number of regulations faced by these institutions. It has even created the Banking Compliance Index which tracks the total regulatory cost to the banking industry. The Index has been picked up for distribution by the Wall Street Journal.
Digital Surgeons – a full service creative agency that provides integrated marketing, brand development, content planning and execution, and website design among other services. Its client list includes Guess, Camelbak, Crossfit, Sephora, United Technologies, and many other large companies. Additionally, the company has been instrumental in helping many local startups with their media, marketing, and websites. As they write on their own website, “We’re headquartered in New Haven, CT. A vibrant city steeped in history with a culture of innovation. We love its energy, independent spirit, and crazy-good food scene. We’re proud to call it home.”
Rally Bus – emerged from Yale Entrepreneurial Institute and is a crowd-sourced, on-demand travel company. The company organizes transportation to special events such as political rallies, concerts and sporting events. It provides a cheaper alternative to a taxi, and a more convenient option than public transportation. Thus far, Rally Bus has organized travel for over 50,000 people.
SeeClickFix – SeeClickFix provides tools for citizens to report on non-emergency issues, access information and submit service requests. It provides comprehensive back-end solutions for governments to triage these requests, assign service tickets, and close issues, providing increased levels of transparency and communication.
These are just a few of the many companies on the startup list that represent the full spectrum of industries and talent that exists in New Haven.
The Ultimate Startup Weekend in New Haven (Friday, November 14)
If you want a true taste of the great things going on in the city’s startup community, I highly recommend spending the afternoon of Friday, November 14, on the New Haven Startup Tour. You’ll have the opportunity to visit your choice of 10 New Haven-area startups as well as The Grove, a co-working space that houses a number of startups in New Haven, and the Yale Entrepreneurial Institute.
After that, join Startup Weekend New Haven to learn what it takes to launch a company in New Haven. You’ll meet like-minded entrepreneurs, share your great ideas, and join forces to turn the best ones into companies. It’s 54 hours of exhilarating, informative madness.
It’s clear to me that The Elm City is a city on the rise. What do you think about New Haven? I’d love to hear your thoughts in the comments below.
Startup culture is, by nature, inherently radical: offices with open layouts, irregular hours for employees, nap rooms, free beer, TVs, video games, loud music and more. These are perks employees at traditional companies can only dream of.
But startups are different. With innovative ideas come innovative ways of doing work, and as Facebook, Google and many others have shown, doing it differently does work.
So when I read about Buffer’s intense focus on transparency, I thought it was fascinating. Here’s another startup trying to redefine what “normal” is, but doing it in a completely different way: culture first.
The Buffer Way
Buffer is a social media management software company founded by Joel Gascoigne and Leo Widrich. When the duo became a team of seven in January 2013, the company laid the foundation for its long-term culture. Here’s where they started:
This slide deck, just like everything else about Buffer, is available to the masses online. There are no secrets. Transparency is the number two most important value at the company just behind happiness.
The company announced on October 27 that it’s raising a $3.5 million round of funding and published a blog post explaining the ask and providing key metrics. In it Buffer shared a spreadsheet of all employee salaries (including the formula used to arrive at each salary), a dashboard with all metrics including money in the bank, monthly recurring revenue and net revenue, as well as negative metrics like cancellations, refunds, downgrades and revenue churn.
Photo credit: Buffer
This is how the founders qualified their decision:
One of the most exciting parts of our journey so far has been in pushing the boundaries of how transparent companies can be, both with team members and with the wider public of customers, users, blog readers and other entrepreneurs. We now feel a duty to continue to be fully transparent about everything we do, always finding areas [where] we can be even more open.
Perhaps even more fascinating than the access to the company’s internal metrics is the breakdown of its fundraising strategy. It doesn’t fit the traditional series A, B, C, IPO model that most startups follow. Gascoigne and Widrich had particular opinions about what they did and didn’t want when it came to raising funding and put it all out in the open. Want 20-30 percent equity? You’re not for Buffer. Want a board seat? No way. Expecting an IPO in 5-7 years? Sorry, Charlie.
Most startups would be concerned that listing these demands so publically would scare potential investors away. But despite its strict qualifications, Buffer has had no problem raising money. At the time of my writing this, it is $350,000 away from being fully subscribed. The company’s investors value Buffer’s commitment to transparency and share a lot of the same views.
Entrepreneurs on the outside have been applauding the move. All you need to do is scroll through the comments section of the blog post to see that. Commenters are throwing around words like “inspiration,” “epic,” “amazing” and “heroes.”
[Tweet “Is Buffer’s Culture of Transparency a Model Other Startups Should Follow?”]
Are They Right?
I imagine this post is equally likely to find startup founders as it is investors. How does Buffer’s commitment to transparency sit with you?
Buffer has received some flak for publishing employee salaries. Some believe that the company’s employees have a right to privacy. Gascoigne and Widrich counteract that argument with the fact that since publishing the salaries, the company has actually seen an increase in applications for open positions.
An investor I spoke said that the approach to transparency was “indeed interesting,” but he found it “a bit gimmicky.” Most startups ask investors to sign non-disclosure agreements, he said, so he wasn’t sure if total transparency was a trend that was going to catch on.
Just do a little bit. Experiment with transparency in a small way. You don’t have to go as far as posting everyone’s salary on the blog. There’s some cool things you could do. Every email between two or more people, any email in the team you cc a list. We have a bunch of different lists. I’m emailing who I’m going to meet. We’ve found some really incredible benefits of that. So share something that’s not your most critical information. See how that feels—and just build from there.
What do you think? Is “the Buffer way” the right way?
Throughout our careers, whether we’re working for someone else or working for ourselves, the ultimate goal is always growth. Growth is the upward trajectory that we ride straight to success. At least, that’s how many entrepreneurs see it. I have an idea, I’ll start a company, we will grow because people will love it and we’ll be successful.
Of course, after just a few days into chasing that dream, we realize that it’s not that easy. So, we focus on nailing down the growth part first.
But, what is growth? There’s not a set answer, really. Growth is defined as different things to different people. It can be higher revenues, higher salaries or simply helping more people. Maybe it’s none of those things at all. Your definition of growth is based on your business and/or personal mission.
Regardless of how you define it, one thing remains constant – growth is tangible. Success is tangible, too. People who achieve growth and are successful set measureable goals and benchmarks to track their progress. They know where they want to end up, but just have to figure out how to get there. The best way to do this is by setting goals.
I have to give a nod to Joe Pulizzi of Content Marketing Institute for that contribution. Pulizzi, in his keynote during Content Marketing World 2014, told us that he used to struggle to understand what success was. He had a job at an insurance company and was doing fine, but wasn’t sure if he was headed down the right path in life. Pulizzi didn’t say it directly, but he implied that he thought could be doing much better. He went on to explain that a few different books changed his outlook and drove him to start setting goals for himself. Seven years later, Pulizzi is the head of a very successful company.
But again, we know that it isn’t that easy. Simply setting goals alone is not going to launch you to growth and eventually success. So what’s the missing ingredient?
[Tweet “Why knowledge is the missing ingredient to success:”]
Not to be confused with intelligence, knowledge is the facts, information and skills you acquire over time. It takes work to gain knowledge. Intelligence is your natural ability to acquire and apply knowledge and skills. It’s something some of us are born with. Your level of intelligence will remain fairly constant throughout your life. It’s part of your personality. Knowledge, however, can grow. It’s limitless. You can always learn more.
In order to accomplish your goals and achieve growth and ultimately success, you should always pursue knowledge. Those who are intelligent sometimes short change themselves in this department. You may be smart, but there is always more to learn. Be open to different opinions, ideas and perhaps most important, criticism. Take advantage of every opportunity to learn something new.
[Tweet ““I did then what I knew how to do. Now that I know better, I do better.” – Maya Angelou”]
We are never perfect. If you have a groundbreaking product that you think will change people’s lives, keep fine tuning it. Make it better based on new knowledge that you gain. Consider Maya Angelou’s quote above. It’s basic, but so true. Your product may be your greatest accomplishment to date, but if you continue to learn, it won’t always be that way. You can always make it better. You can always be better.
In order to do that, you need knowledge. With it you will be better aligned to achieve your goals, set yourself up for growth and ultimately, be successful.
Where does knowledge fit into your growth strategy? I’d love to hear in the comments.
If you’re not yet subscribed to Product Hunt, take a moment to do so. I get a list of great new products sent to my inbox every day. A lot of the tools I find increase my day-to-day productivity. Others are just plain cool.
Today, Product Hunt launched its first “startup toolkit.” What an awesome idea! Even better, the products on the list all have discounts for those who come from Product Hunt.
Here’s who they included (descriptions from Product Hunt):
No matter the stage your company is in, your primary goal always remains the same: revenue growth. To accomplish this, early-stage companies often focus on product development, validation, market research and customer acquisition. But as your business takes shape, an important part of your growth strategy is your team. Talent is everything.
[Tweet “Talent is everything. Learn the five must-know steps to hiring your first employee:”]
But when it comes time to grow your team, are you prepared? There’s a lot more to it than simply hiring employees. You’ll likely be faced with this task at least once, and if you’re like most early-stage companies, you’ll face it often. What are the steps to take to ensure that you not only hire the right person, but do so legally?
I talked to our vice president of human resources here at CI, Suzanne Kaswan, and got the skinny on all you need to know.
Step 1: Take stock of state and federal hiring regulations
Employing someone legally requires a lot of work. There are regulations, forms and standards that you’ll need to know about and understand. The Small Business Administration (SBA) put together a nice list of steps to take when hiring to ensure proper compliance. You should keep it handy, especially if you’re making your first hire.
Have new hires fill out these forms either prior to or on their first day.
Step 2: Write a killer job description
After evaluating your needs, the first step to finding the perfect employee is mastering the job description. This is going to be your first point of contact with potential candidates, so you’ll want to make sure it’s clear and accurate. You may be tempted, but don’t make any false promises in your job descriptions. If someone joins your team with an expectation that you can’t deliver on, you’ll be searching for someone new before you know it. HYRELL has some more great tips on writing job descriptions that are well worth a look.
Step 3: Determine salary and benefits
Right out of the gate, it’s important to note that you must provide some benefits to all fulltime employees. These are covered by the SBA and include social security taxes, unemployment insurance, workers’ compensation, disability insurance, leave benefits and family and medical leave.
You can provide other optional benefits including healthcare, retirement plans and pensions, and employee incentive programs at your own company’s discretion. Many employees value a strong benefits package as much or more than salary, so it’s important to consider what you’re offering if you’re hoping to attract top talent.
When deciding salary, you should do some research to determine the market rate for pay in the position you are hiring for as well as a number of other factors. This is a good overview of the steps to take when executing that research.
You should also determine how valuable the new hire will be to your company. If successful, how much will this person bring into your business? This number may be obvious for some positions (like sales people), but if the position doesn’t lend itself to bringing in revenue directly, think about how much time or money they may save you. Will they be doing tasks that allow you or someone else on the team to focus on revenue-generating tasks? Will they save you a lot of headaches? Apply a dollar value to the position and set a max salary cap.
On the flip side, you’ll also want to want to set a salary floor – the lowest you’ll pay someone in the position. This is when you want to factor in the market rate. You can expect to pay your new hire somewhere between market value and your max perceived value – the two dollar amounts you will have determined.
These are tools to help you determine the market rate of the position you’re hiring for.
[Tweet “The formula to determining salary, plus four more hiring tips:”]
Step 4: Properly classify the position
Once you have the position defined in terms of description, salary and benefits level, you must also be sure that you’re making the proper legal distinctions. There will be two things to decide:
Exempt or nonexempt? This is a determination of whether or not your new hire will be eligible for overtime pay. Exempt employees are not eligible for overtime pay while nonexempt employees are. The Fair Labor Standards Act (FLSA) governs this distinction and it’s important to review the criteria before hiring. Employees that are classified as exempt are generally those who work in administrative, executive or professional positions because the work they do involves duties related to the company’s management. The criteria do vary, however, so it’s important to review the guidelines and seek professional advice if you’re unsure of how to classify your new hire.
Independent contractor or employee? While many businesses rely on independent contractors because of the savings in labor costs, reduced liability, and flexibility in hiring and firing, it’s important to understand the differences in classification between an independent contractor and an employee.
Misclassifying your new hire as an independent contractor could cost you in payment of back taxes, owed wages and benefits and could even result in legal action.
Step 5: Set expectations for your employees
Once your new employees are hired, it’s important to have documented rules, procedures and expectations. While it isn’t required by law, an employee handbook is strongly recommended for a few reasons:
It will serve as a reference guide for employees
It will serve as a management tool for supervisors
It will serve as protection should any legal issues arise
Ann Kontner of SJ Steptoe & Johnson gives a nice overview of what should go into a handbook in this blog post. As an employer, you have some legal obligations regarding meals and breaks, so you’ll certainly want to include that, but other items may include standards of conduct, an “at-will” disclaimer, an equal opportunity employment opportunity statement, an anti-harassment policy, a benefits overview, a computer use policy, etc.
These are links to posters that you’re required to post in your workplace. You can contact the Connecticut Department of Labor at 860.263.6790 to request that a packet of all required State of Connecticut postings be mailed to you.
If this sounds like a lot, well, you’re right. Managing the human resources function of a growing business can be challenging, especially as your hiring becomes more frequent. Some early-stage companies choose to outsource human resources, and there is certainly some benefit to that. Others feel that bringing on a full-time human resources staff member (or team) is more beneficial, as it’s important for human resources to build a rapport with employees. There are pros and cons to either decision and each situation is unique.
What are the biggest human resources challenges that you’ve run into? Let us know in the comments.
[Tweet “Five Steps to Flawlessly Navigating Your First Hire:”]
One of my favorite things about the internet is its vastness. There is so much out there just waiting to be explored; so much to read, so much to watch, so much to look at and through all of that, so much to learn. It’s amazing, impressive, scary and overwhelming all at once. There are over four billion webpages indexed by Google and Bing. Four billion…with a “b.” 20 years ago, at the dawn of the internet, there were a whopping 130 websites. Now, just look how much is going on per second.
[Tweet “There are over 4 billion webpages indexed by Google + Bing. That leads to a lot of clutter. More:”]
With so much out there, it’s easy to understand why there are no shortage of places to turn to when you want a little advice or inspiration. And that’s the beauty of the internet—anyone with a connection can publish something. The majority of the platforms that people publish on are free. People that were once voiceless now have a voice. There are very few barriers. That in itself is great.
But it’s also a bad thing. Why? Well, from the standpoint of someone who consumes that information, it leads to a whole lot of clutter, a whole lot of noise and a whole lot of junk. Getting to the good stuff is sometimes hard.
[Tweet “With so much content out there, getting to the good stuff can be hard.”]
A lot of us start our mornings reading some of our favorite blogs. They teach us, inspire us, make us laugh, make us happy, and even sometimes make us upset or sad. At least the good ones do. The ones that don’t—they’re the junk.
As an entrepreneur, constantly learning is a part of your daily routine. You need to have a pulse on what’s new and what’s hot.
This post from Bplans has a lot of great suggestions for blogs that will keep you up-to-date on just that, and it’s what inspired this post. I read many of them. But as I was scanning the list, I also got to thinking. What do Connecticut entrepreneurs read? Who are their teachers and motivators?
So, I’m hoping I can make a deal with you.
I’ll give you a list of my favorite blogs first, and then I want you to tell me what your favorites are. If I get enough responses, I’ll publish a list right on our blog for you to refer back to. These blogs can be about anything (within reason). If you think a fellow Connecticut entrepreneur or small business owner can benefit from reading it, leave it in the comments below. Deal?
Here are my nominations (full disclosure, I am a marketer, so I tend to read mostly marketing blogs. That’s why I need you!):
Danny Brown’s blog is chock full of useful marketing and social media advice, but that’s not why I love it. He also peppers in posts about life. He writes about family, life lessons and “not giving a crap.” His added personal touch brings it to the next level and gives me the inspiration that I’m looking for.
If you don’t want to or can’t afford to spend money on an Adobe Suite license, Canva is an amazing free alternative for designing. Best of all, you don’t need any design experience to make it work. The Canva blog is your source for design inspiration and tips so you can make beautiful graphics for all of your marketing efforts.
CopyBlogger is a content marketing company that started years ago as a simple one-man blog. Today it’s a full-fledged content marketing operation that produces one of the most valuable content marketing blogs out there. If you want to get a grasp on how you can become a better online marketer, this is a good place to start.
For pros and newbies alike, Buffer does an excellent job teaching you how to make social media work for your business. I’m subscribed to the email list so great blog posts come to me every day. Buffer’s primary business is its social media management software, so these guys know what they’re talking about.
Product Hunt has come a long way since its humble beginnings in November 2013. The company just announced $6.1 million in funding thanks to its fast-growing audience. But why is it so great? Simplicity. It’s extremely scannable and I find something new and useful almost every day. And from a business aspect, Product Hunt could help you launch your product:
Marc Andreessen is one of the most outspoken people in the VC industry. He’s well known on Twitter for his “tweet storms” where he sounds off on current issues in startup/entrepreneur/VC culture. His firm’s blog is also well known and well worth subscribing to.
Want quick reads that really make you think? Seth’s blog is for you. He’s a marketer by trade but writes about all sorts of business and life topics. Some of his posts are as little as a paragraph with one idea. One of my favorites is this:
Is the goal to get people to notice what we make?
Are we setting out to make something people choose to talk about?
If you don’t know your boss’s answer to this, find out. If you do, act accordingly.
Pretty thought provoking, huh?
Now it’s your turn.
What are your favorite blogs and why? It’s time we helped Connecticut’s entrepreneurs break through the clutter so they can find content they actually want to read. I’ll feature your answers in a future blog post and will, of course, give you credit. If you prefer to send them to me via email, you’re more than welcome: email@example.com.
Also, invite your friends in the Connecticut entrepreneurial community to do the same. Go ahead and click the box below and share the challenge with your followers:
[Tweet “We’re creating a list of the best small business/startup blogs and we need your help!”]
Over the past few days, you may have heard that CI has run out of money. That is not true. What is true is that we have very limited dollars to invest in the short term and that there will be a delay in funding which will affect some programs and contracts, as well as a number of new investments in our pipeline. Rest assured we have set aside sufficient capital to fulfill existing obligations and that we remain committed to serving companies in all stages of growth.
We understand how this news may impact you, which is why we are doing everything we can to provide accurate information and take actions that will preserve the value of the state’s investment and the positive economic impact that Connecticut Innovations has created.
To give you more context, the 2011 Jobs Bill authorized $125 million in additional investment into CI to enable us to have a greater impact on starting and growing high-tech companies in Connecticut. Since that time, CI has more than doubled the number of early-stage, high-tech companies we invest in annually, along with the amount we invest, growing our investment from $9.5 million in 2011 to $24.6, $21.2 and $21.8 million, respectively, in 2012, 2013, and 2014—for a total of $67.5 million. We have also invested nearly $10 million to help promote a vibrant entrepreneurial community. To date, CI has drawn down only $20 million of the Jobs Bill allocation, funding the remaining amount of investment growth through existing resources and investment earnings.
What we have been able to accomplish is dramatic not only compared to what we’ve done in the past, but also to what’s happening nationally. We have been named a top 10 seed funder in 2013 by Forbes; one of Entrepreneur magazine’s VC 100, which evaluates the most active venture capital firms funding U.S. startups in 2013; and a 2013 top 10 investor in seed/angel and early-stage venture capital deals by Pitchbook, a venture capital trade publication. These accomplishments are due in part to the support we have received from this administration.
CI has also been directly responsible for bringing significant non-state investment dollars into Connecticut’s economy. For example, from January 2012 until today:
CI has invested nearly $60 million in early-stage Connecticut companies, while others investing alongside us have provided an additional $135 million to those startups.
CI loaned more mature Connecticut companies nearly $39 million and leveraged an additional $114 million from banks and other investors.
CI’s $4.1 million investment in companies through our other innovation programs has been matched with $26.8 million from federal and private company resources.
Our current limitations are due to the fact that we had expected to have a tranche of funding allocated by the bond commission in September (which, along with our earnings, is how we are funded). The cancellation of the bond commission meeting caused our funding delay. We anticipate the ability to make new commitments in early 2015. As we learn more, we will share it with you and we welcome any questions you might have.
Recently, I was lucky enough to spend several days in the beautiful city of Cleveland, Ohio, with 2,500 other content marketers from 50 different countries. While there, we were schooled by some of the most brilliant minds in the industry. A few of my favorites were Joe Pulizzi, Andrew Davis, Scott Stratten and Mark Schafer. They highlighted a list of more than 50 different speakers.
Oh…and there was some guy named Kevin Spacey, who, as it turns out, knows a thing or two about content:
What I’m bringing back to you is five of my most important takeaways that I hope will inspire your team to really embrace content marketing so you can do it effectively. Content marketing is both necessary and possible no matter the stage of your company or the industry you’re in. As Spacey said during his keynote, “There are no more excuses. Anyone can build an audience. Just do it!”
So, let’s do it.
1. Content marketing is not a new concept.
Right from the very start, Andrew Davis, the opening keynote speaker, made sure we knew this. Content marketing has been around for more than a century. In fact, as many of us learned, John Deere is largely credited with being the first content marketer. His magazine, “The Furrow,” was started in 1895 to help farmers learn about new technology that could help make their lives easier. It’s still being published today.
Knowing this, I think we can dismiss the notion that content marketing is a fad. It has staying power. It has survived more than 100 years. The idea has just exploded now because of the vast number of messages people are seeing on a daily basis and the distribution vehicles that are available. There is a ton of noise to compete with and it doesn’t begin and end with your competitors. How do you get in front of your audience when there is so much to compete with? Think about how much content you see on a daily basis. To give you an idea, here’s my morning:
Check any missed texts, phone calls and emails on my phone.
Shower and get ready for work.
Eat breakfast and browse Facebook, Twitter, Instagram, Snapchat and the latest news. There are thousands of messages that fly across my screen in just a 10-minute session.
I flip on the TV and watch the news. I largely ignore the commercials and focus back on my phone where the news is tailored to my preferences.
Drive to work.
Throughout my day, I continue to stay updated in the same way. I communicate with friends and family. I check my social networks for the news and information I care about. I read blogs that write about things I care about. I share things that I think my followers will care about. Everything I see is based on my preferences. And guess what? None of those preferences are your product…unless you make me care.
2. “If you sell something, you make a customer today. But if you genuinely help someone, you make a customer for life.” – Jay Baer
Jay Baer is a genius for this one. It borrows from the “if you teach a man to fish” philosophy. What it tells you is that if you sell someone your product, you have made one sale. But if you broaden your focus beyond sales, and concentrate on helping people, you will keep them coming back for more.
Content marketing is all about offering value to people. Helping people is a part of that value. Everything your business does should be focused on solving a problem that people have. Because you’re a good marketer, you know that no one cares about the technical aspects of your product. When you’re doing your marketing and selling, you’re speaking to how your product solves their problems, right?
Your content should solve problems too. Home Depot is a brand that does it right. They sell home improvement items, so what do they do? They make “do it yourself” videos for various home improvement projects:
This is a retail outlet producing extremely valuable content. These aren’t advertisements about their products. These videos show people that Home Depot cares about its customers’ problems and wants to fix them. It also positions the company as a thought leader. These are two major wins!
On my next home improvement project, I may head over to YouTube to see if Home Depot has covered it in this series because I’ve seen these videos before. And once I watch it, guess where I’m heading to buy what I need to make it happen?
3. “I’ve learned people will forget what you said, they will forget what you did, but they will never forget how you made them feel.” – Maya Angelou
This quote comes from the amazing Maya Angelou and was told to us by Robert Rose, one of the keynote speakers and chief strategist at Content Marketing Institute.
Now I don’t think that Angelou was speaking about content when she said this, but it absolutely applies to your content marketing. People love to get what I call “feels.” Make them happy, make them sad, make them excited. Make them feel some sort of emotion with your content.
The best way to do this is usually by telling a story. Every industry has its stories. Find yours and tell it. Here’s one of the more popular examples of great storytelling:
Chipotle’s mission is to serve “food with integrity.” This video is an absolute home run in delivering that message. I grabbed a few top-rated (verbatim) comments on the video just to show how it resonated with people:
“That poor cow. looked sooo sad”
“beautiful movie ! proud to be a vegan..”
“Shocking!!! if we don’t do something now who knows what will happen to us”
“I saw this at school I like the song but it almost made me cry because the poor cow”
“I cried… It BURNS”
So, we gather that people were saddened by some of the images, shocked by what happens to some of the food we eat and proud that Chipotle caters to vegans and has “food with integrity.”
Emotion spawns brand advocates. It creates customers for life. Emotion is one of the most powerful things in the world. If you can draw it out of people, it will be more effective than just about any other tactic you’re using right now.
Here are some other great examples of storytelling that may inspire you:
And perhaps one of the best examples of brand storytelling of all time…The LEGO Movie.
Pretty amazing, right? You can do this, too. I know that many of you reading this don’t have large staffs or big budgets. The concept of storytelling doesn’t have a price tag, though. Your production value might not rival some of these examples, but if you can tell a good story, you’re going to do really well.
4. “Content is fire. Social media is gasoline.” – Jay Baer
Another quote from Baer here. The guy is good, what can I say?
One of the common problems companies have with social media is not knowing how to use it effectively. By now, everyone knows they need to do it. They just don’t know how to do it.
I actually did a podcast on how to use Twitter for B2B recently, so if you want to dive a little deeper into that, I recommend checking it out.
But back to Baer’s point. Your social media strategy is entirely dependent on your content strategy. You can’t have a good social media strategy if you don’t have content.
You need to produce great content “fire,” and then promote it with social media “gasoline.” Listen to the way Baer breaks it down here:
It makes sense, right? If we’re producing helpful content or content that incites emotion, we need a way to get people to it so maybe it can go “viral.” If you think throwing it up on your website is the way to do that, well, you’re wrong.
Even the best content needs to be promoted. Social media is that “gasoline” to make that fire bigger. You have access to networks with billions of people. Bring your great content to them there and if you do it right, watch what happens.
By the way, if you don’t yet have a large audience on social, you should:
Still produce content and share it on social.
Experiment with some paid advertising.
If advertising on social media is a bit foreign to you, I strongly suggest subscribing to the content put out by both Jon Loomer and Mark Schafer. I sat in on sessions with both of these guys during CMWorld and they have my stamp of approval.
5. Twitter (and all social media) is powerful social proof for your business
While we’re talking about Mark Schafer, let me bring up an important point he made during his session. Twitter (and all social media) is an extremely powerful social proof for your business.
What does that mean? Well, let’s first understand the concept of social proof. From Wikipedia:
“Social proof is a psychological phenomenon where people assume the actions of others in an attempt to reflect correct behavior for a given situation.”
From a marketing standpoint, this means that people rely on their friends’ suggestions to make decisions about your business. It is Yelp personified.
From a social media standpoint, it means that the more people that follow your business, the more social proof you have. When you come to a Twitter profile and see that someone has 25,000 followers, does that pique your interest a little more than someone who has 100?
But before you go run off and start buying your followers and likes from some follower farm…stop. Irrelevant likes and followers will hurt you a lot more than having a smaller number of followers that actually care about your business and engage with you.
Consider two scenarios:
I throw a baseball into a room of 25,000 mannequins.
I throw a baseball into a room of 100 living, breathing people.
Which room is more likely to have someone catch the ball? You guessed it, scenario 2.
You want people that can potentially catch your baseball and then come ask for your autograph.
In marketing terms, you want people that will engage with your content and then eventually become leads.
Spending money to get an audience works, but only if you do targeted campaigns through the various platforms. Refer back to Jon or Mark if you want to learn more about that.
So, yes, size does matter. But only if you do it right.
The bottom line is this: Content marketing is powerful and extremely effective when done correctly. I think many of us know this, but sometimes, one of the best ways to evaluate what we’re doing is to take a step back and look at what other people are doing.
We’re sometimes so engrossed in the day-to-day activities of our companies that we don’t consider the big ideas. CMWorld opened my eyes to some big ideas that simply make sense.
Like Mr. Spacey said:
Got a sixth thing to add to this list? Let me know in the comments. And don’t forget to share this with someone who could use a little marketing inspiration!
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