Top 50 VC-Funded Greentech Startups

Venture capital firms have invested almost $20 billion into hundreds of greentech startups since 2005. All of these firms are looking to launch a disruptive force into their target markets, scale rapidly and grow quickly.

Very few of these firms will actually make it.

We put our energy analysts, reporters and editors to the task of picking fifty VC startups in greentech that have at least a fighting chance of succeeding as VC-funded start-ups and making an impact on our energy-intensive lives.

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Looking back at the dotcom boom, ten years later

Wired claims that this is the tenth anniversary of the dotcom boom, and in honor of that auspicious overheated bubble, they've put together a long, Web 0.96b layout depicting the most hubristicly hubristic predictions and hype of that golden age.

I moved to San Francisco in 1999, and remember the feverish absurdity of it all -- and how hard it was not to feel like all these people must know something if they were pouring all this money and energy into all the odd and improbable ideas (a recurring theme I remember was people explaining how they were going to build shopping malls for the web, which, I guess, is basically what Amazon's Z-shops are).

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Innovation Interviewing: New Game, New Rules

By Dr. Janice Presser, CEO, The Gabriel Institute

I overheard a CEO who prides himself on being an innovator interviewing a candidate the other day.  Maybe it was just the 10 minutes or so that I listened in, or maybe it was like this for an hour or more: the CEO did all the talking.  I don't mean the majority.  I mean ALL the talking.  So here, as a public service, are the rules.  They won't guarantee that you'll get the right person, but at least you won't scare them off.

1- Shut up and listen:  Every moment you speak is a moment your interviewee is silent.  Unless you are interviewing someone who will be working for you as a mime, you aren't learning anything while you're talking.

2- Ask SPIN questions: Help your interviewee learn more about the position and company – while you're learning more about them – by asking value-centric questions.  Try using what sales guru Neil Rackham, author of SPIN Selling and many other books on business communication, calls 'Implication' and 'Need-payoff' questions.  "What if you got this position and could do anything within reason to make it a success?"  "Here's a recurring problem (describe it); how many kinds of adverse impact on our business can you identify?" This gives the candidate an opportunity to 'dig in' and actually sell themselves on the job opportunity, while giving you a view into their thinking and problem solving processes.

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The Joy & Pain Of Running A Young Start-Up

SetJam Inc. Chief Executive Ryan Janssen has perfectly captured entrepreneurial anguish.

On his blog, he described the experience of presenting at a New York tech conference with a buggy Web site and a bottomed-out balance sheet:

“So there I was standing on stage in front of 700 of my peers. I’d spent the last two days preparing for the presentation. I’d spent the last week getting our software ready to show. I’d spent the last 4 months and my life savings to build a company. I’d spent the last decade trying and failing and learning and saving to get this chance, and I had about a 50% of getting up on stage and having everything I’d worked for blow up in my face.”

You can sense Janssen’s love affair with his company, which aggregates TV shows and movies online and offers access to subscription sites like NetFlix. And, you can imagine how rapid his heartbeat must have been when the prospect of throwing it all away seemed like a real possibility.

Five months later, SetJam has redesigned its Web site and attracted a $275,000 bridge investment from two New York-area angel groups. The company is fighting for another day.

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Chu: Yes, We Need a Manhattan Project on Energy

The federal government should be investing "tens of billions of dollars" annually to drive a Manhattan Project-style pace of innovation necessary to address the scale of the energy challenge facing the U.S., said Energy Secretary Steven Chu yesterday.

Speaking to a packed auditorium at Stanford University, Chu expanded:

"If you look at the amount of funding for that [the Manhattan Project], and the amount of funding to put a man on the moon, it was a huge spike in funding. I think we do need that. The recovery act actually was the start of that...you still need I think tens of billions of dollars as a minimum per year invested in these technologies and the associated science. The DOE, our base budget for energy research is on a scale of $3 billion...the primary energy industry budget is about $1 trillion, if it's a high tech industry 10-20% is the usable amount of sale that you invest so that's $200 billion, so what we're investing in federal dollar is less than 1% of that or on a scale of 1% of what should be invested."

The Secretary highlighted the steps the Department of Energy was taking to encourage innovation given the limited funds available, including including the launch of the new Advanced Research Projects Agency for Energy and several Energy Innovation Hubs (nicknamed Bell-lablets) based on the storied Bell Labs innovation model.

Unfortunately, when asked how to deal with the scarcity of engineers and scientists America faces in the coming years and how to direct the talents of those we have, Chu's response was a swing and a big miss. All he had to offer were two suggestions: learn to "read graphs and data... and digest [the reports] for yourselves" and put your computer on sleep mode.

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Innovation center? How Israel became a 'Start-Up Nation.'

In a world where investors seek stability, how has a country that’s been embroiled in three wars in the past decade alone become a high-tech hub sought out by global giants such as Warren Buffett and Intel?

Saul Singer and Dan Senor, a former spokesman for the Coalition Provisional Authority in Iraq, have drawn much attention for their explanation of that question and others in their New York Times bestseller Start-Up Nation: The Story of Israel’s Economic Miracle. But critics say that the story behind how a country of 7 million has more Nasdaq-listed companies than Europe is more complex than Singer and Senor paint it to be. They also question how sustainable Israel’s success as an innovation center will be.

Data released today added a sobering dose of news, revealing just how hard the global credit crunch hit one of the world's hottest centers of innovation. Israel’s IVC Research Center reported that Israeli venture capital funds were able to raise only $229 million in 2009, a 72 percent decline from the previous year, though fundraising is expected to rebound to $500 million for 2010.

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What distinguishes innovators

The key qualities that separate great leaders from not-so-great ones can be developed...

That is according to researchers from BYU and Harvard Business School, who surveyed 500 innovative company founders (including Pierre Omidyar, Michael Dell, and Jeff Bezos) as well as 3,000 execs who had not launched a business or invented a product. There are many interesting findings, but one stands out:

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SBIR Insider 3-09-10

Dear SBIR Insider, 

I just learned that a good number of our >8,000 subscribers work for, own, or partner with "marginal companies" that are recipients of SBIR "corporate welfare".  If you think I'm shocked, wait till you read on!

Of all the SBIR Insider issues I have addressed over the years, this may well be the most outrageous.  It brings to light the true feelings of Nydia Velazquez, the House Small Business Committee Chair, and her disdain for the thousands of small businesses participating in the SBIR program. 

VELAZQUEZ AND HER COMMITTEE, INSULTS AND DEMEANS AMERICA'S SMALL BUSINESSES PARTICIPATING IN SBIR

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How to Quit Your Job

File this under entrepreneurial advice

I know that this will sound like a random post topic for startup advice but I promise it’s relevant.  You actually need to give advice to nearly every employee whom you offer a job to on how to best quit their job.  This is important to improve conversion rates of accepted offers / joiners, shorten the time-to-join ratio and the improve the ability of that employee to maintaing good relations with their former employer.

When I started blogging I had an idea.  I would take all of the one-on-one conversations that I have with entrepreneurs from the things I’ve learned and just write them up for anybody to read.  This is advice that I end up giving ALL THE TIME and every CEO of a company I’m involved with will have heard this from me. (also, please remember my disclaimer – I’m not a lawyer)

You just made an offer to a new employee to join your company. It might be a VP of Sales, Marketing or Technology. Or it may just be a junior programmer, sales rep or accountant. The reality is the same. In a startup you want them to join immediately. Tomorrow if possible.

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Chicagoland Entrepreneurial Center, US Department of Commerce, Economic Development Administration Launch $1.4 Million Mentoring Program to Spur Economic Development and Job Creation in Illinois

CHICAGO, March 9 /PRNewswire/ – The Chicagoland Entrepreneurial Center (CEC) recently secured a two-year, $716,853 matching grant from the US Department of Commerce, Economic Development Administration (EDA). The EDA funds were awarded under the American Recovery and Reinvestment Act of 2009 to launch a $1.4 million entrepreneurial development program that provides critical resources and relationships to businesses in key Illinois industry clusters. Known as the Cluster Acceleration Program, or "CAP," the program will support entrepreneurs in alternative energy, consumer products and services, and information technology for the new media, financial services and healthcare markets. The program will serve businesses in five regions: Chicagoland, Rockford, Quad Cities, Peoria and Carbondale.

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Austin Or Bust: 25 Entrepreneurs, Five Ideas And One Bus

There are many ways to start a company, but catching a two-day-bus ride with 25 entrepreneurs is a new one.

A group of 25 strangers set off Tuesday on Startup Bus, a vehicle wired with Wi-fi and caffeine going from San Francisco to Austin, Texas, for the South By Southwest technology and music confab. As they left, the tech geeks were eating chicken and ribs left over from a kick-off party the group held the night before while organizing their business ideas.

Part gimmick, part contest, the Startup Bus tasks these entrepreneurs with conceiving five start-ups by the time the trip ends on Thursday.

The group is splitting up into small teams to develop their ideas. When they reach Austin, they will present them to Capital Factory, an incubator group in Austin and eStrategyGroup, an Australian consulting firm.

The winner will get mentoring and advice from Naval Ravikant, a Silicon Valley angel investor and a potential to get funded from angels in Ravikant’s network.

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Commercializing Research: We’ve got the brains, now we need some brawn

Of you saw Trevor Immelman drive a golf ball farther and harder than the rest of the field to win the 2008 Masters Tournament then you saw research from a Canadian university in action.

The shaft of his driver was made from Grafaloy, a revolutionary new nano-treated material that adds extra strength without increasing weight, and which was developed by Integran Technology Inc. of Oakville.

Integran, in turn, was created by PARTEQ Innovations, the Queen’s University unit responsible for commercializing research done by faculty members.

If the seasonings on your favorite snack food are in perfect balance, you might send a note of thanks to McMaster University. McMaster’s research commercialization team spotted work being done by a professor using digital cameras to remedy irregularities on production lines, gave him support and space at its industrial park and the result was Prosensus Inc.

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To Create Jobs, Streamline Technology Transfer, Report Says

The U.S. government can stimulate the creation of jobs and businesses by streamlining its policies for bringing new technologies to market, says a report from the Association of University Research Parks (AURP). The report offers a 10-point plan, including targeted federal investments, and would be especially beneficial for high-tech states, according to its author.

"This is not only about money—it's also a matter of adjusting the policies and regulations that too often deter entrepreneurial researchers in our universities and federal labs from commercializing their work," says report author, Brian Darmody, president of the AURP and University of Maryland associate vice president for research and economic development.

"Job creation in the United States will largely depend on start-up companies and entrepreneurs who populate university research parks, laboratories and incubators across the nation," Darmody says. "These are the main centers of innovation in this country. Much more of their work would be commercially viable if some of the roadblocks could be eliminated. Other countries simplify commercialization and lure away U.S. corporate research. We need to provide incentives to keep this work in the United States."

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New Investment Fund Backs Space Technologies Finding Uses on Earth

PARIS, March 9, 2010 /PRNewswire/ -- For years, ESA has been bringing space technologies down to Earth through its Technology Transfer Programme and Business Incubation initiatives. Now, the Agency will strengthen these initiatives by supporting new businesses using space innovations through a dedicated venture capital fund.

The Open Sky Technologies Fund (OSTF) is an early-stage venture capital fund aimed at nurturing the most promising business opportunities arising from space technologies and satellite applications for terrestrial industries. The OSTF will be managed by Triangle Venture Capital Group on ESA's behalf.

Michel Courtois, ESA Director of Technical and Quality Management, formally signed an agreement with Bernd Geiger, Managing General Partner and founder of Triangle, at ESA Headquarters on 4 March.

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For European Startups, New €6 Million Seed Fund Is A Step In the Right Direction

Early stage startups in Europe will be the primary beneficiaries of a new €6 million seed fund just announced by Berlin-based Team Europe Ventures. In the past we've talked about Europe's entrepreneurial woes, most notably a dearth of seed funding due to having a culture largely averse to taking risks financially. This new fund is a good step towards changing that trend and keeping more startups from looking for funding elsewhere.

The €6 million fund (over $8 million) will provide up to €500,000 to early stage startups in the Internet and mobile Internet spaces over the next three years. Team Europe plans to selectively choose four to five startups each year to receive the funding, rather than quickly spreading the wealth around to any worthy recipient.

"If we feel that a business will succeed without us, but will be quicker, larger, nicer with us - than it's a case for us," said Team Europe partner Kolja Hebenstreit in a press release Tuesday. "Experience shows that decisive decisions are often made during the foundation phase, so we think it's good to speak with experienced potential partners as early as possible."

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At Cleveland Mall Green Market, Sustainability Is the New Hot Topic

Yesterday, we reported on the Cleveland Galleria mall's plan to build a massive urban greenhouse where retail shops once stood. The real story, it turns out, is what the two people behind the Gardens Under Glass project have planned for tomorrow. An urban wasteland is being transformed into a green paradise.

The idea came about as a way to put some of the mall's empty space to good use, the Galleria's marketing and events director Vicky Poole tells FastCompany.com. At its peak, the Galleria had approximately 200 shops. Then the economy tanked. Stores shuttered. A regional bank took over a quarter of the building, the Cleveland Metropolitan Bar Association took over another chunk of space, and much of the rest of the mall was left abandoned.

Poole's first venture into making some extra cash for the mall came 5 years ago when she transformed the food court into an event space for weddings. And then she read an article in Urban Land magazine about vertical farming in cities. "As we run out of land, where can we grow our food? We can utilize empty buildings and empty areas," she explained.

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NASVF Award for Excellence, Nominations Being Accepted

NASVF Award for Excellence, Nominations Being Accepted

Do you know people or organizations that excel in early-stage or seed capital? NASVF is seeking nominations for the 2010 NASVF Awards for Excellence in Entrepreneurial Capital Formation. There are three separate categories of nominees:

• Private sector person or entity
• Public sector person or entity
• Greater Baltimore-Washington area, public or private sector person or entity

Please submit names, contact information, and a short description of people and/or entities that exemplify outstanding and professional excellence in seed and early-stage capital. Nominations will be accepted now through April 30, 2010. There is no limit to the number of nominations you may submit.