Entrepreneurs + Innovators

POTUS calls cleveland model of 'reinvention'
President Obama came to Cleveland on Tuesday to hear what small business owners say they need to grow their businesses and thus strengthen the U.S. economy. But the President took the time to praise the region for its growth in biotechnology, sustainability and other innovations.

"Cleveland is a city founded on manufacturing," the President said during his closing remarks on the Winning the Future Forum on Small Business, held at Cleveland State University's Wolstein Center, which this writer attended.

"A lot of people wrote off Cleveland as a shell of what it used to be, but you knew different," the President said to the small business owners and entrepreneurs who had been selected to attend the forum.

The President talked about the united effort of local universities, hospitals and entrepreneurs to advance innovations in biotechnology and clean energy. "They've made Cleveland a global leader in both fields," the President added.

Cleveland's ability to reinvent itself, the President noted, can be an inspiration for other areas of the country, as well as the United States in general. "How will America reinvent itself?" the President asked the audience.

Obama also pointed out the success of several long-standing businesses in Cleveland, including Miceli Dairy Products, which has operated a facility on E. 90th Street since 1949. Miceli's received a $5.5 million SBA loan to build a new factory and expand its production, according to the President. "This will double the output of ricotta cheese and add 60 workers," said Obama, joking that he'd like some cheese samples once the expansion project is complete.


SOURCE: President Obama
WRITER: Diane DiPiero



capitol theatre builds audience, meets projections in year one
The Capitol Theatre, a three-screen movie theater at Detroit and W. 65th Street that opened in late 2009, has met its projections by attracting 45,000 patrons in its first year.

The pioneering venue is the only indie movie theater on Cleveland's west side. The Detroit Shoreway Community Development Organization (DCSDO), the nonprofit developer, secured financing and broke ground on the project just a few months before the collapse of the financial markets in 2008. The theater, which contains a beautifully restored main room and two smaller rooms, is a centerpiece of the burgeoning Gordon Square Arts District.

To ensure continued viability, the Capitol must grow its audience by 10 percent per year for the next five years, says Jenny Spencer, Project Manager with DSCDO. "Right now, we're building an audience," says Spencer. "We're doing about as well as we'd expected, but we need to keep growing."

Spencer cited the strong attendance during recent screenings of Black Swan and True Grit as indication that the Capitol's audience will continue to grow.

Since the Capitol opened, it has broken the corporate mold by offering special events, resident discounts, partnerships with local restaurants and other creative strategies to entice moviegoers. Currently, it is offering a promotion for Lakewood residents, who can see a movie for $6 through the end of March. The Capitol is run by Cleveland Cinemas, which manages eight theaters, including the Cedar Lee.

The Capitol Theatre's growing audience will also help to attract more independent films, Spencer said. When the Capitol Theatre project was first launched, the venue was billed as the "Cedar Lee of the West Side" by promoters. However, the theater had difficulty attracting the indie hit "Waiting for Superman" because attendance wasn't high enough. Thus, the theater has been forced to screen a mix of independent and larger Hollywood films, and Spencer says that will likely continue.

Although movie theaters across the country continue to face competition from Netflix and other online services, Spencer says that special events such as "Sunday Classic Movies" and partnerships with restaurants are attracting patrons seeking a unique movie-going experience. And while Crocker Park has 16 screens, she adds, the Capitol is still the only West Side venue where you can order a beer.


Source: Jenny Spencer
Writer: Lee Chilcote
business grad follows dream to create urban farm
Justin Husher graduated with an MBA from Cleveland State University in May of 2008 -- just in time for the collapse of the financial markets.

Instead of wringing his hands, Husher considered his bleak job prospects as a sign. "I never wanted to be a banker," he told the audience at last week's forum on vacant land reuse at Cleveland State University's Levin College of Urban Affairs. His college major had been botany, and he'd always dreamed of tending the soil.

That's when Husher learned about Reimagining Cleveland, a small grants program that was launched to support the creative reuse of vacant land in the city.

Husher applied to the program, which is managed by Neighborhood Progress (NPI) and funded by the Surdna Foundation and the City of Cleveland. After he was awarded a $7,500 grant, Husher worked with Cleveland's land bank program and Bellaire Puritas Community Development Corp. to cobble together a half-acre of land on W. 130th. Pretty soon, Old Husher's Farm was born.

Husher, who sells his produce at the Gordon Square farmers market and other venues, has a passion for local food. "I like to grow vegetables with storylines, such as heirloom tomatoes," he said. "It's important to learn where our food comes from."

At last week's forum, the young farmer also offered recommendations for improving the business climate for urban agriculture. Husher's wish list includes longer-term leases with property owners and an initiative to help farmers purchase land at affordable prices. He'd also like to see a cooperative stand for urban farmers to sell locally grown food at the West Side Market.

Since Reimagining Cleveland launched in 2008, the program has funded 56 projects to creatively reutilize vacant land in Cleveland. According to the Reimagining Cleveland website, there are an estimated 3,300 acres of vacant land in the city of Cleveland.


Source: Justin Husher, Reimagining Cleveland
Writer: Lee Chilcote
local female entrepreneur chats biz with POTUS, cabinet
Rachel Talton, Ph.D. was one of the entrepreneurs invited by the Obama Administration to attend Tuesday's Winning the Future Forum on Small Business. Talton, co-founder of Cleveland-based Trust, a marketing and management consultant agency, and founder and CEO of Fairlawn-based Synergy Marketing Strategy & Research, joined about 20 other small business owners and entrepreneurs in a discussion on entrepreneurism. They had the ear of President Obama himself, who took the time to listen in on various breakout sessions during the forum.

"President Obama was very engaged in intensive and substantive conversation," says Talton. She and her fellow entrepreneurs in the group shared with the President a list of ways that the administration could help both small and large businesses thrive: access to capital, formalized mentorship programs, access to capacity-building services and less onerous processes for doing business with the federal government.

Talton says she was encouraged to hear that Steve Case, co-founder of AOL and a career entrepreneur, will be taking a lead role in President Obama's Council on Jobs and Competitiveness. "The initiative will be quasi-government. Decisions will be made more quickly -- without much red tape," she says.

Talton was also happy to hear that Obama expects to engage large corporations in mentor-protegee programs. "I think this approach can be truly sustainable," she notes.

The President's "real commitment on this issue [of spurring small business growth to strengthen the economy] can move people within the federal and state government, even those who disagree," Talton says. "He can also attract large corporations to participate, for the greater good and for their own good."


SOURCE: Rachel Talton, Ph.D.
WRITER: Diane DiPiero


IT firm acendix says it weathered recession, now ready to grow
For Jonathan Husni, founder and president of Cleveland-based IT development firm Acendex, It's not enough to sit back and reflect on how his company emerged from the recession relatively unscathed. The fact that Acendex had no layoffs and managed to gain an impressive list of clients over the last few years motivates Husni and his team to set impressive goals for 2011.

"We are focusing on making raving fans of a number of new customers this year," says Husni. "Acendex anticipates double-digit growth in 2011 spurred by the onset of the economic recovery in the region -- particularly in the manufacturing sector -- which is empowering companies to take a second look at the way their information management solutions can be leveraged as competitive assets."

Thanks to "unprecedented demand" for a host solution for cloud computing, Acendex is advancing a new application of what it calls "Get Your Own Cloud!"

Advancements such as these have encouraged Husni to build up his IT team to meet existing and new customer needs. "Our take-no-prisoners approach to the cloud computing solution has won favor from the word go," Husni says, "and we are staffing up to meet customer demand for our outsourcing services."

In 2010, Acendex took on a number of new projects, such as providing an IT infrastructure with VOIP for Flack Steel, a Cleveland steel distributor.


SOURCE: Jonathan Husni
WRITER: Diane DiPiero

place making: MRN caps off string of successful urban developments with tudor arms
The stately Tudor Arms has been vacant since 2007 when its last tenant, Cleveland Job Corps, moved to a new home. Now, thanks to a $22 million restoration project, the landmark property appears set to reclaim some of its former glory when it reopens this spring as a Double Tree Hotel. The project is the latest in a string of successful urban developments by local firm MRN Ltd.
POTUS is in the house
A recent TIME posting mentions President Obama's upcoming visit to Cleveland. President Obama and members of his cabinet, in association with Cleveland State University and Northeast Ohio organizations JumpStart and NorTech, will hold a "Winning the Future Forum on Small Business" on February 22.

The Forum will present an opportunity for small business owners to communicate their ideas for economic growth and creating jobs directly to the President and his economic team.

"In his State of the Union address, President Obama spoke of the need to out-innovate, out-educate, and out-build our competitors in order to sustain our leadership and secure prosperity for all Americans."

Read the post here.

new mediterranean restaurant to open in university circle
A new Mediterranean-themed restaurant will open this April in the Tudor Arms, a landmark at East 107th and Carnegie Avenue that is undergoing a $22-million makeover to a Double Tree Hotel.

The restaurant will be operated by Samir Khouri, owner of Somer's restaurants in Cleveland, Bedford and North Ridgeville, and Serge Elias, owner of Cedarland at the Clinic, a popular Middle Eastern Restaurant.

Tentatively called the Canopy, the restaurant will feature a menu offering both Mediterranean and American cuisine. It will serve hotel guests as well as the visiting public. It will also have a coffee bar, a party room, and a lounge that will stay open for late-night revelry.

"In addition to serving hotel guests and providing room service, we're marketing it as a meeting place for people who work in University Circle," says Khouri. "We will have valet service, and we're toying with the idea of offering a shuttle for Clinic employees."

The new restaurant offers a testament to the buying power of the University Circle area. With almost 40,000 full-time positions, the Circle is the second largest employment center in the region. A 2010 study by Real Estate Strategies Inc. showed the area is on track to produce about 10,000 new jobs between 2005 and 2015.

Although Cedarland may eventually close -- the building is slated to be demolished to accommodate the Cleveland Clinic's ever-growing appetite for expansion -- the timeline is uncertain, and Khouri says it will stay open at least another two years.


Source: Samir Khouri
Writer: Lee Chilcote



artist goes to work on historic tudor arms
Artist Nicolette Capuano has spent the past year painstakingly restoring the ornate plaster trim and low relief sculptures in the Tudor Arms building.

Yet she's doing more than simply recreating the past; she has worked closely with building owner Rick Maron and designer Cindy Rae Cohen to create her own masterpieces -- original, hand-painted murals -- that will grace the landmark structure.

"We wanted to highlight the beauty of this historic building while adding a more contemporary touch," says Capuano, who started her company, Beyond the Wall Mural Design, after graduating from Columbus College of Art and Design in 2005.

"Blending the historic and contemporary is definitely a trend in interior design these days," Capuano adds. "We wanted to create something that felt somewhat timeless."

In April, MRN Ltd. will complete a $22 million restoration of the Tudor Arms building, converting it to a new 154-room Double Tree Hotel. The vestibule that Capuano restored will be the hotel's main entrance, while the rejuvenated ballrooms will be used for special events. (See comprehensive Tudor Arms feature in next week's Fresh Water.)

In addition to the mural restoration, Capuano also helped repair the building's one-of-a-kind plaster work where it was damaged or missing pieces. This labor-intensive process required making custom molds, recreating each piece by hand, and patching it in.

When she couldn't find the color she wanted for the trim, Capuano created one from scratch.

"The Tudor umber that we used to glaze the plaster work was hand-mixed," says Capuano. "I went through all of the Sherwin-Williams colors, but I couldn't find exactly what we wanted. I'm a perfectionist, so I kept mixing colors until I got it right."



Source: Nicolette Capuano
Writer: Lee Chilcote
GLBC ranks #22 on "top brewers" list
Great Lakes Brewing Company, Ohio's first and most celebrated craft brewer, ranked #22 out of 25 "Top Brewers" in the latest issue of Beer Advocate, a respected monthly magazine dedicated entirely to beer. Beer Advocate reviewed hundreds of thousands of customer beer reviews for their annual "Best of" issue, which is now on shelves.

Beer Advocate also included two Great Lakes Brewing Company beers, Dortmunder Gold Lager and Eliot Ness Amber Lager, on its list of "Top Lighter Lagers." Both lagers also recently received gold medals at the World Beer Championship.

Great Lakes Brewing Company was the first microbrewery in Ohio and remains the state's most award-winning brewer.

Drink up the good news here.

jumpstart's ray leach on midwest innovation

manufacturing mart competition looks for cleveland’s ‘sputnik moment’
Winners of a new entrepreneurial contest will have the opportunity to develop a novel idea or product that embodies the innovative spirit described in President Obama's State of the Union address. Cleveland's recently launched Manufacturing Mart has announced a competition called "The Export Experiment," a new-product competition designed to grow business for American component manufacturers.

To be eligible, a product must be manufacturable in the United States and designed for a niche market in a foreign country. In addition, it must solve a scalable problem and be patent-pending or patented.

The cost to enter the competition is $25, and the deadline is April 30, 2011. See additional details here.

A commercialization grant worth $5,000 will be awarded to the top three winners. The grant can be used for a number of development services outlined by the Manufacturing Mart. One free year of exhibition space at the Manufacturing Mart, a landing page on the mart's website and two press releases are also part of the awards package.

The Manufacturing Mart opened its doors at The Galleria on December 1 of last year. Currently, the mart occupies 3,500 square feet of exhibiting space for manufacturing resources; another 6,000 square feet are scheduled to open later this year. The mart caters to engineers, inventors and business professionals who want to locate innovative manufacturing options in Greater Cleveland.


SOURCE: The Manufacturing Mart
WRITER: Diane DiPiero
i live here (now): valerie mayen
Valerie Mayen may have left Season 8 of Project Runway prematurely, but she won't be leaving Cleveland anytime soon. In addition to headquartering her burgeoning fashion label Yellowcake here, the Corpus Christie native will soon launch an innovative sewing co-op for budding designers. And that is just the beginning.
'creative class' author sees rust belt turn around
A recent article in The Atlantic examines a new study of the migration trends of young adults and college grads across America's 52 largest Metropolitan Statistical Areas over the years 2007-2009. Austin topped the list, closely followed by Dallas, Houston, Denver, and Seattle. Big cities like New York, Boston, D.C., Chicago, and LA have also improved their ability to attract young grads.

But the study also indicated that more and more talented young people are choosing to live in Cleveland.

"But perhaps the best news is that a significant number of older Rustbelt metros -- like Buffalo, Cleveland, St. Louis, Hartford, and Milwaukee -- that had been losing young adults and college grads have stemmed those previous losses, while others -- including Pittsburgh, Columbus, and Baltimore, as well as New Orleans -- have begun to turn them into gains."

Examine the data here.

neo’s flexible electronics cluster flexes its muscle
Northeast Ohio's ingenuity in polymers and advanced materials is having a positive impact on the region's production of flexible electronics products for the global market. FlexMatters, a cluster of businesses, suppliers, service providers and institutions within the flexible electronics industry, has attracted a significant amount of capital from public and private sources in the last several months.

NorTech, which launched FlexMatters to address low-cost manufacturing of electronic devices printed on flexible plastic materials, recently released information on funding for members of the cluster. In all, FlexMatters members garnered $14 million in capital, according to NorTech.

The funds were offered at a variety of stages and for different purposes. Cleveland's Blue Spark Technologies, for example, received a $6 million private equity series B investment, which will be used to accelerate new applications for thin, printed, disposable batteries.

The FlexMatters cluster connects member organizations with funding, revenue and technology partnership opportunities. "We are building a robust innovation cluster in Northeast Ohio that is going to put our region at the forefront of the global flexible electronics industry," says Rebecca Bagley, NorTech president and CEO.

SOURCE: NorTech
WRITER: Diane DiPiero
dim and den sum one 'top 20' food trux in US
Eater.com, a website that covers the nation's restaurant news, recently featured a list of the Top 20 food trucks in America. Cleveland's Dim and Den Sum, at less than a year old, snagged a spot in the Tasty Top 10.

Chris Hodgson's riotous rig dishes up "American comfort food with Asian flair." Though the menu changes weekly, the signature PBLT (pulled pork, house-smoked bacon, lettuce, tomato, and sirachi mayo) is always available.

Most of the other top food trucks singled out are on the West Coast, including Skillet and Maximus Minimus in Seattle, Solar Waffle Works in Portland, and Spencer on the Go! and Sam's Chowdermobile in San Francisco.

Look for Dim and Den Sum to hit the streets in mid-February.

Eat up the entire list here.
new yoga gallery seeks to revitalize lorain avenue, one class at a time
Inspired by one of Mahatma Ghandi's famous mantras -- "we must become the change we wish to see in the world" -- Open Yoga Gallery, a yoga studio with a mission, will launch this weekend at 4736 Lorain Avenue in Ohio City.

"One of our goals is to get people onto the yoga mat for the first time," says April Arotin, the studio's founder. To that end, Open Yoga offers several classes per week that merely suggest a donation. During the opening weekend, the studio will offer free classes on Saturday from 12-6 p.m., as well as a free workshop for beginners on Sunday.

Open Yoga is a labor of love for Arotin, who lived in San Francisco before she moved back to Cleveland last summer. The studio is located in a storefront that was last used as an antique store -- 10 years ago. Arotin and the friends whom she corralled into helping her spent six months renovating the space.

To cut costs and keep with their green business practices, Arotin reused much of the existing space, cleaning the 1940s tile floor, for instance, rather than replacing it with shiny hardwood planks.

"Ninety percent of the furniture in our space is up-cycled," explains Arotin, meaning that it's been reclaimed from other spaces or purchased from thrift stores and refurbished. In addition, the studio has set an ambitious goal to produce zero waste.

To encourage walking, bicycling and carpooling, Open Yoga offers patrons a chance to win free classes if they choose alternative transportation. The 1,000-square-foot studio also functions as an art gallery, with local artists' work adorning the walls.

Although yoga is not often associated with inner city neighborhoods, Arotin wants to change this. "There's a perception that yoga is only for a specific demographic -- women with a lot of disposable income -- but we want to make it accessible," she says.

After all, yoga is not just about staying healthy and flexible; it's also about unlocking the potential for change. "Yoga helps us move our bodies in a way that we never thought possible," says Arotin, "and that can help us realize our true potential."


Source: April Arotin
Writer: Lee Chilcote
lake effect jobs: wind turbines likely to generate big business
Two weeks ago, we told you about the many jobs likely to develop in the area over the next several years thanks to a wind turbine project on Lake Erie. Lorry Wagner, Ph.D., president of Lake Erie Energy Development Corporation (LEEDCo), which is overseeing the project, says that Cleveland's growing expertise in the wind energy industry could reach well beyond the local shores.

The wind turbine pilot project, which is in its infant stages, will be a learning process for those involved, according to Wagner, but will likely establish Cleveland and Northeast Ohio as the source for wind energy expertise.

"As offshore wind develops on the Great Lakes, many of our services can be exported," Wagner says. "Canada, for example, has a huge plan for offshore wind development, but it will only have a 50 percent Canadian content requirement. That gives us tremendous incentive to develop our industry here."

In addition to Canada, Michigan and New York are reviewing opportunities for wind energy along the Great Lakes.

"If Ohio doesn't become the biggest in the world, the fact is we are the first in the region to do this, and if we develop the infrastructure, it will help us to serve the entire Great Lakes region," Wagner says.

To get there, Cleveland needs to leverage the talents and resources it already has and encourage other companies and individuals to join the wave. "We have to develop the expertise so that wherever this alternative energy occurs, we will be able to provide the most cost effective and the technologically best service," Wagner says.


SOURCE: Lorry Wagner
WRITER: Diane DiPiero
gilbert's land purchase for casino big news
News of Rock Ohio Caesars Cleveland's recent land purchase of 16 acres adjacent to Tower City Center is making its way across the news ticker. Rock Ohio is the development arm of Dan Gilbert, who is building a $600 million casino in downtown Cleveland.

On Tuesday, as reported in this Columbus Business First article, Rock Ohio Caesars paid Forest City Enterprises $85 million, $11 million of which was paid this week with the balance set to be paid through 2012.

Gilbert's Cleveland casino is slated to open sometime in 2013, which puts it behind the three other Ohio casinos. An agreement to lease space at the nearby Higbee Building could allow for a temporary casino to open in the meantime.

Jeff Linton, a spokesman for Forest City, told Columbus Business First the Higbee lease is still on the table.

"We certainly anticipate they might be in a position to make a decision on that soon," Linton told the reporter.

Read the entire article here.

monster names cleveland one of hottest job markets
Job matching engine Monster.com recently announced the "Top 10 Hottest Markets for Job Seekers." Rankings were determined by the relative number of job openings for a given city's workforce. Cleveland came in at a promising #7, wedged between Minneapolis and Tampa. Topping the list are Washington D.C., San Francisco, and Boston.

Monster also identified some of the hottest occupations within these job markets, noting that most fall within the IT and healthcare industries. Healthcare support jobs such as nursing aides, orderlies, occupational therapist assistants, and dental assistants remain in high demand in Cleveland.

"Healthcare has long been immune to the economic recession, especially given the skills shortage in that industry due to baby boomers' retiring, taking those skills with them in the process," the article finds.

The Monster study also indicates that retail is another hot job market in Cleveland.

Charles Purdy, career expert for Monster.com, encourages job seekers in these hot markets to take advantage of the rise in job openings. "Now is the time for qualified candidates to make their move into a better and more challenging role. This will be quite a luxury for some seekers who have struggled to seek more inspiring work in the past year or two. For them, 2011 will become 'their' year for surpassing the status quo, propelling their career a step or two forward."

Read the full report here.