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WHAT’S CLEAN


Impact Engine – Part 6

John Jonelis

~ VERBATIM from a special correspondent ~

PortaPure WaterChildLoop Lonagan here. I’m at a place where my natural greed ‘n’ avarice can do some good fer dis poor worn-out world. This is the Chicago CleanTech Competition—what you might call a race between high-tech global janitorial services. Ten distinguished judges will pick the best o’ da best—companies that’re really doin’ somethin’ to deal with the mess we’re makin’ outa our little corner o’ God’s creation. What we got here is da last ten finalists in our great city and tonight that gets cut down to five.

Every one o’ these companies is a specialist with a different slant on how to get the job Chicago Clean Energy Alliance logodone. You know as well as I do—the only company that succeeds in this world is the one that makes good business sense. But are those the ones that’ll win? Probably not. But we’ll see.

The MC makes sure we know today is Earth Day, which gets a shrug all around. Then he explains how the winners move on to the big international GCCA event and compete with companies from Europe ‘n’ Asia. You heard all about that organization, right? If you didn’t, see the link and the video at da bottom. I got no time to explain.

.GCCA

A Strange Encounter

Lemme give you summa da local color. Things is movin’ along real nice when I hear this harsh voice all the way from the other side o’ the room. He’s yellin’ at an elderly gentleman for nodding off during the meeting. Then he turns his foghorn on me: “Hey Lonagan, are you going to be writing this up? Because I’m going to call you every hour on the hour till you do!”

Sheesh, I ain’t kiddin’. The guy blares that out right in the middle o’ da meeting in fronta all these gentle souls. I’m wonderin’ if any of them clean tech folks ever ran into anybody like Rong Mayhem before.

I know that Rong singled me out ‘cause of a simple misunderstanding. He thinks I’m some kinda reporter. Well, this ain’t no newspaper and nobody sticks me with no deadline. I’m lookin’ for companies to invest in. So’s I keep takin’ notes.

Then he howls. “Lonagan, what the hell are you doing?”

This time I answer. “Just writin’ down what you say, Rong.”

But he’s got a come-back to that: “You know what you are? You’re a legend in your own mind!” Then he repeats it a couple times.

Impact EngineAfter that, things quiet down for a while. And I’m smiling to myself, thinking about the poor MC tryin’ to control the meeting. So I glance over the program and get a jolt. Outa these ten companies, I see two graduates from Northwestern University’s Impact Engine. Lemme tell you about one o’ them:

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Portapure

Portapure George PageGeorge Page is the founder of Portapure and he’s da keynote speaker tonight. He’s also one o’ da judges, so maybe things’ll work out all right after all. He’s a chemical engineer that worked in Chicago water projects so he’s a practical guy. And he’s on a mission. He wants to make clean water available to anybody, anywhere, anytime. To do that, he makes water filtration affordable for the developing world.

Portapure won this event last year and ended up among the top 30 in the world. I first seen him at BNC Venture Capital when he invented a pocket size water purifier. I’ll tell you about that one first:

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Pocket Pure

Picture this: Say yer goin’ into the jungles of Haiti to do disaster relief. Yer gonna be

Dirty water

Dirty water

there for weeks and the water is mostly muddy streams and swamps. This is da 3rd World. There ain’t no EPA out there to slap people with fines fer makin’ a mess. Still, you gotta get yer butt out there no matter what the conditions. So whaddaya do? Pack in lotsa fresh water, right? Think again. Got any idea how many pounds a few gallons o’ water weighs? It’s impossible to lug all that with you. Airdrop it, maybe? Not a practical solution.

As it turns out, you don’t even need to carry a canteen. Instead, you take along a little pocket-size device called PocketPure. It weighs next to nothin’. Any time you get thirsty, you stop at a convenient swamp and make yerself some clean drinking water—one cup at a time. You can stay in the field as long as you want ‘n’ you never run outa water.

Gathering water in a swamp

Up till now, all anybody had was water purification tablets. Those take half an hour to work and you still gotta filter out the dirt somehow. But technology moves forward and you might as well take advantage of it. As you might’ve guessed, Portapure is sellin’ these things to NGOs by the boxful.

Drinking water is in short supply across the world. Lotsa people in all kindsa places die of E. coli and such. Kids even. That brings me to Portapure’s next product:

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Pure Lives

Purtapure Purelives

Purtapure Purelives

This one’s on a bigger scale. It’s a three-phase filter with a 5-gallon capacity—just right for yer typical grass hut. Hey—people in the developing world want clean water for their families, too.

This thing filters both bacteria and viruses outa real filthy water. I’m talking real nasty critters like cholera, typhoid, amoebic dysentery, E. coli, coliform bacteria, cryptosporidium, streptococcus, salmonella, giardia, and of course, yer ordinary dirt ‘n’ sediment—it’s enough t’ make yer flesh crawl. This device filters out 99.99% o’ that muck—the definition of clean water according to the World Health Organization. And the filter lasts for maybe 10,000 gallons! This thing was tested in an NSF certified lab and reduced the E. coli count from 5490 to less than 1.

Muddy waters

Muddy waters

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Da Business

This keeps getting better. He sells these things to NGOs, but there’s another angle. Clean water’s at a real premium. It’s like liquid gold in some places. And folks livin’ there wanna make a living just like anybody else. That gives Portapure a natural distribution network and a sustainable solution that pays for itself. At the same time, they’re putting people to work and boosting the economy in these far-flung places.

.PortaPure WaterChild

Da Awards

This company’s got its share of ‘em:

  • Impact Engine graduate
  • GCCA Global Top 30 company
  • Chicago Innovation Awards 2011 Up & Comer
  • Office of the Treasurer Small 2012 Business Plan finalist
  • Tech Cocktail 2011 Finalist

Here’s a good video on Portapure:


I wanna tell you ‘bout the other companies and who won. But I ain’t got room to do it justice here, so I’ll be back with more.

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LOOK FOR PART 7 – COMING SOON
Go back to Part 1

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Meanwhile, here’s a video that explains the whole international competition:

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Da Contacts

Portapurewww.portapure.com

Contact – Info@PortAPure.com – 773 251 5779

1507 E 53rd. St, Suite 218PortaPure logo

Chicago, IL. 60615

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Portapure on 5 NBC Chicago

PortAPure’s George Page is Saving the World

http://www.nbcchicago.com/blogs/inc-well/Portapures-George-Page-is-Saving-the-World-132243943.html

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Portapure on Crain’s Chicago Business

http://www.chicagobusiness.com/article/20120823/BLOGS06/120829905/seeing-promise-in-water-purification

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Impact EngineImpact Engine

www.theimpactengine.com

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Chicago Clean Energy Alliance

www.theccea.org

.Chicago Clean Energy Alliance logo

GCCA—Global Cleantech Cluster Association

Their ten 2011 winners raised $462 Million.GCCA

www.globalcleantech.org/

Images and video courtesy Portapure, CCEA, GCCA, Impact Engine, and AP.

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Chicago Venture Magazine is a publication of Nathaniel Press www.ChicagoVentureMagazine.com Comments and re-posts in full or in part are welcomed and encouraged if accompanied by attribution and a web link . This is not investment advice. We do not guarantee accuracy. It’s not our fault if you lose money.

.Copyright © 2013 John Jonelis – All Rights Reserved

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t-enu

SIX REASONS WHY TECH BELONGS TO THE YOUNG


entrepreneur@nuWhy are young entrepreneurs taking over the tech world? Who gets these kids charged with the kind of passion that induces investors to open their tightly held wallets? They lick their chops like old men lusting after eager young virgins. We’re going to take a closer look at this phenonemon.

I’m at Northwestern’s all-day conference put on by “entrepreneur@nu,” their in-house accelerator for student startups. This session is called “Tech for Non-Techies.” I asked Bill Blaire to cover the keynote address. I want to be here, at this session. I want to hear Mert Iseri who’s on the panel. I’ve seen him present at the Levi mastermind group with his parner Yuri Malina and I already visited their skunkworks on the Northwestern campus for a closer look. These guys are recent grads, young and untested. But I’d be pleased to work with them no matter what the venture. (Well, almost.) Right now, they have something exciting by the tail. But if it morphs in an entirely new direction, it’s a good bet they’ll succeed just as well at whatever that is. Consultants are gathering like wolves but Mert and Yuri don’t need them–not yet, as you will see.

So here I am to hear Mert but I’m in for a surprise. I see what looks like an entire panel of Merts. Yes, every one of them is as electric as my favorite young entrepreneur. They each come from a different background, a different expertise, a different culture. But the reckless abandon is there in all five of them—and it’s addictive. I love it. Truly I do. So do the investors.

THE JOCKEY OR THE HORSE?

My belief in two young entrepreneurs begs a familiar question. Which is more important—the jockey or the horse? I’m backing the jockey this time. Am I right?

I mention this to David Culver of Extraordinary Success – www.extraordinary-success.com. He responds with an interesting comment: “Last time I checked,” he says, “nobody won the Triple Crown, finishing without a horse.” He goes on to say he’s seen plenty of enthusiastic entrepreneurs flame out. But I’m rooting for these two jockeys anyway.

Mert

I believe the entrepreneur is more important than the product or service at the very early stages. I believe this to be true especially if the leader is young. There’s no doubt these young entrepreneurs are smart–scary smart. But more than that, they’re having a whale of a good time. They think business is a blast–a rush. They’ve found a new drug. Instead of greed, they’re driven by joy. Look into their eyes and tell me you want to compete with them. I believe that the young have earned a number of advantages over those who call themselves “seasoned.” I can cite a few good reasons for these beliefs:

1—An early stage product and an early-stage business model will go through multiple iterations during the maturation process. I’m talking huge changes happening fast. Seasoning doesn’t prepare you to handle that kind of rapid change—quite the reverse. But the young seem wired for it—especially students who have no responsibility outside of their class work, their venture.

2—These kids bootstrap on the shoulders of a university-provided ecosystem. Free labs. Free PhD-level advisors. Free prototypes. Plenty of collaboration. We’re talking about a new kind of accelerator. As lean startups and with modern technology they can get up and going quickly. It no longer takes 20 years and millions of dollars to get a company on track. Old folks are financially responsible. These kids have little to lose.

3—They live in a Bohemian community of highly intelligent and creative people, wild new ideas, and a spirit of shared innovation. They feed on each other’s ideas and enthusiasm. They multiply each other’s output. Avaricious old men don’t do that. We chain ourselves to our desks. If we ever come up with a new idea, we immediately build fences. And how many of us want to go back to our college-day living standards? University students don’t live under such burdens. Hey, they finally got out of Mom and Dad’s clutches—that’s enough for the time being, right?

4—The university now teaches them an important lesson: Permit yourself to fail. Failure merely affords the opportunity to change direction. It’s called “pivot.” Under circumstances like those, the process isn’t that scary. Philosophically, it’s a paradigm shift. I was never told to fail anywhere between kindergarten and grad school. Were you ever told such a thing?

5—These kids are untamed and impulsive. They learn a lot and learn it fast. But it’s what they don’t know that makes them fearless. Old farts know better. Knowledge breeds risk-aversion. That’s why we don’t start companies such as Google, Facebook, Apple, or Microsoft.

6—Do any of you recall the malaise of the ‘70s? No gas–no jobs? Cottage industries sprang up all over. It was a practical way to earn the money to buy peanut butter. That phenomenon is happening again. Unlike computer games and other labor-intensive projects, mobile apps and web-based services are a kind of cottage industry. So this isn’t really new—it’s just different. And it’s a whole lot more exciting than selling macramé at an art fair.

A NEW CLASS OF ENTREPRENEURS

These kids are wildly enthused—their creativity is launched by the fuel of an adrenaline rush. Sparks fly around them. Fireworks. One commented that he’ll probably live only another 15 years because he never sleeps. Is this sounding like a recipe for a new class of successful entrepreneurs? I think so. I’ll ask again: Do you expect to compete with them? Think again.

NorthwesternHas Northwestern found a way to teach the joy of creative drive? Sure looks that way. And why shouldn’t these kids be enthusiastic? They don’t know any better. They’re fresh. Untried. No tire tracks across their backs. For the most part, they have yet to get knocked around by the world. And here they are—at one of the most prestigious schools on the planet, and they’re learning the entrepreneur game from professionals with every possible resource at their fingertips.

When I attended this school they taught venture capitalism. I remember the day they brought in a couple VCs. Those guys had a peculiar message. It was their job to steer us away from venture capital and point us in safer directions. The LBO was the big thing back then. Debt was cheap and easy. Times change. It’s not so simple to borrow any more. I’m convinced that the lousy economy is stirring up the recent explosion of new ventures. And it’s plenty lousy right here in Chicago. Adversity breeds creativity. Northwestern is nurturing it.

If youth is winning out over age and experience in this one arena, I cheer them on. What they’re doing was unthinkable when I was their age. And you have to admire them—they’re doing it so well. This is a highly creative response to tragic circumstances. Jobs are scarce. For many, entrepreneurship is the only career path open after graduation.

OUT OF THE MOUTHS OF BABES

I’ll give you the takeaways from what was a wildly dynamic session:

1 – BUILD A GOOD TEAM—You don’t have to be a tech wizard to work for a tech startup. The purpose of being technical is to build a scalable product that works. A good initial team is made up of three elements: a developer, a designer, and a “Husla” (the business end). These are complimentary skill sets. Each personality type is actively seeking the others. A world of opportunity opens up when you view the future this way. For example, a pure developer focuses on building a solid product but may not be sensitive to other issues. A startup also needs a designer to translate that code into a good customer experience. It also needs a businessman that can sell product and run the operation. Fill out your team with all three elements. One panelist admitted that he hadn’t taken math since HS. He stayed up all weekend and got help from students and a prof for a math test. He failed utterly. Then he visited a huge conglomerate and found his talent in the marketing process. Where do you fit? You need to discover what value you bring—your CORE competency. Work on that element. Translate it into language that customers and decision makers understand. Find somebody smarter than you are in the other areas you need—people that are passionate about your idea. Friends if possible because co-founding a new company is a close relationship. If you don’t know who to bring onboard, get a team of advisors to help you vet people. The university is a great resource for that.

2 – LEARN AS MUCH AS YOU CAN—One panelist developed a mobile app. But when he started out, he didn’t know anything about coding. So he learned all he could. Lots of listening. Lots of reading. Lots of playing with other apps. Another had to learn about payment processing to be able to empathize with customers. Another needed to learn about the medical industry and spent a lot of time searching on Google. If you know a little about disciplines outside your expertise, you make a good team leader. Don’t despair. Just knowing Java is awesome. Yes, top developers know lots of languages, but new languages come along all the time. Keep learning so you’re ready for the next opportunity. How technical do you really want to be? Learn the foundation. That understanding helps you find the tech people you need.

3 – GET A TECHNICAL CO-FOUNDER—You don’t need to be the company tech guru. Find a technical co-founder. Outsourcing all the development just doesn’t work. You need a CORE capability to do itty-bitty things and reduce the need to hire outsiders. Outsourcing everything uses up seed money too fast and isn’t the most efficient way to make small changes. It’s especially not a practical way to create a winning unified design. In-house technical competency allows you to put out fires on the spot. You can orchestrate your outsource money more intelligently. You stand a fighting chance of building an end product that isn’t a hodgepodge of aimless code. Also, a co-founder can hear ALL of your ideas–every one of them.

4 – DON’T KEEP SECRETS—Inventors are typically afraid to tell anybody their idea. These kids believe that’s the wrong way to think. They say, there are ten people already working on your idea and they’re smarter than you. If your idea is so simple that it’s easily stolen, then it’s already been invented. These kids believe you should tell everybody your idea and get as much help and feedback as you can. In their world, entrepreneurs love helping each other. Any one of them may have 63 ideas here and 64 ideas there. Impossible to work on them all. They actually need to filter their ideas. What kind of company do YOU want? Are you passionate about solving THAT problem? Get yourself involved in the crazy growth of the Chicago tech community. If you have an idea, go for it. Here’s how far they’ve carried this philosophy: They say, “It’s better to grow the pie as a whole than to fight over individual slices. Instead of taking a fighting stance, gather a community and be the hub. Keep your friends close and your enemies closer. Make your competitors your friends.”

5 – HAVE A LARGER PURPOSE—Out of all the insights, this one startles me the most. It goes like this: It’s easier to get people excited about saving 100,000 lives than to get them to believe in a device. Be committed to the PURPOSE not the SOLUTION. Otherwise, when you fail you’ll give up. I’m talking about a cause—something you believe in passionately—a larger purpose that keeps you trying when others fail. It’s crucial to hold strong beliefs, loosely held. Go to the customer. Show what you have. If the response is, “I won’t pay for that.” go back and find another solution that serves the PURPOSE. Before working on an idea, ask: “Am I solving an important problem?” The problems that you have in your own life are probably the same ones other people experience. Learn from your personal pain and passion. If you’re working on a larger PURPOSE, other people have the right to work on it too. You will actually welcome it.

6 – TELL A GOOD STORY—Somebody at Northwestern is teaching these kids to tell to do that. They’re poised. They’re concise. They’re on message. I will add to that, “WRITE a good story.” In consulting, I use a complex mindmap that asks one embarrassing question after another. If a client can answer all the questions, I know it’s a real business. One question in particularly seems extraordinarily difficult for entrepreneurs and nobody had ever answered it to my satisfaction. Then Mert did, and got it right—an immediate and strong response—just as if he’d rehearsed it. Amazing.

CLOSING QUOTES

“My entire life, I wanted to solve problems.” – “A lot of people don’t want to be consultants—do what you love.” – “When you’re a student you can take big risks and try new things without knowing what you’re doing.” – “Are you scared? JUST BUILD IT. You’ll be depressed for a little while because you’ll fail, but when you finally succeed, there’s no feeling like it.”

My thanks to Northwestern’s entrepreneur@nu entrepreneur.northwestern.edu for a brilliantly organized event, all the way from advance parking to orange-vested staff that pointed me in the right direction to a conference sparkling with excellent planning and execution.

And special thanks to the young panelists of this session—a group of people who can teach us all:

Elizabeth McCarthy, Moderator

Jeremiah Serapine of GrooveBuggroovebug.com

Stella Fayman of Entrepreneurs Unpluggd and Fee Fightersentrepreneursunpluggd.com and feefighters.com

Zach Johnson of Syndio Socialwww.syndiosocial.com

Mike McGee of Codeacadamywww.codecademy.com

Mert Iseri of SwipeSenseswipesense.com

Check out their sites carefully. They’re just as polished as big money but kids on a shoestring built these.

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Find Chicago Venture Magazine at www.ChicagoVentureMagazine.com Comments and re-posts are welcomed and encouraged. This is not investment advice – do your own due diligence. I cannot guarantee accuracy but I give you my best.

Copyright © 2012 John Jonelis – All Rights Reserved