Ann Arbor

Coherix hires 15 as it lines up growth capital investors

Coherix is hiring new team members and raising tens of millions of dollars in growth capital to help it reach the next level. The Ann Arbor-based firm creates high-speed, high-definition 3D visualization and inspection software designed to improve the management of manufacturing processes. Its high-tech optical-based measurement and inspection products help find efficiencies in the automotive and semiconductor industries. The seven-year-old start-up now employs about 50 team members and a few interns after adding 15 people over the last year. The company has also been raising a round of growth capital to help fund its latest expansion, most of which appears to take place overseas. "Over 70 percent of our advanced manufacturing work goes to Asia," says Dwight Carlson, chairman & CEO of Coherix. "It will only increase over time. That tells you a lot right there." Most of the capital Coherix has raised comes from Asian funders focused on advanced manufacturing. Carlson says most of his experience with U.S. investors reveals they are more digital-tech oriented while manufacturing is put on the back burner. Does that mean Ann Arbor is in danger of losing Coherix? Carlson puts it this way: "Coherix China will be much bigger than Coherix Ann Arbor." "Asia is interested in manufacturing," Carlson says. "From my perspective America is not. How are you going to be globally competitive if you don't?" Source: Dwight Carlson, chairman & CEO of Coherix Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

3D Biomatrix adds to team as 3D cell matrices gain market traction

Last year was all about the development and launch of 3D Biomatrix's principal product. This year it's all about gaining traction and generating revenues. "This is the year we get all of the adapters rolling," says Laura Schrader, CEO of 3D Biomatrix. "This is a real turn-key year for us." The University of Michigan spin-off (it calls the university's Venture Accelerator in Ann Arbor home) develops and makes 3D cell matrices for cell growth in testing. These small scaffoldings provide small dips for the cells to develop. Most of the current products on the market offer flat surfaces, such as slide or Petri dishes.   3D Biomatrix launched in 2010 and introduced its product late last year. That process allowed the company to hire one employee and bring on two independent contractors. The start-up expects that this year of evangelizing its product and going for global sales will allow it to add one or two more jobs to its team of three employees and two independent contractors. "It has been an impressive launch so far," Schrader says. Schrader recently won the Elevator Pitch contest at the ACE event earlier this month. She hopes to build a lot of little wins like that and new clients to build up 3D Biomatrix this year. Source: Laura Schrader, CEO of 3D Biomatrix Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

Beal, Inc. launches CityFARM to focus on urban agriculture

CityFARM, the latest start-up launched from Beal Inc., has a dual purpose: create more urban gardens and help alleviate hunger in Metro Detroit. The Ann Arbor-based social entrepreneurial venture specializes in designing, building and maintaining urban gardens. The start-up has a couple of projects in the Ann Arbor and Ypsilanti area and is aiming to have 25 under its belt by the end of the year. "Organic urban gardening can make a real difference in communities, both in the environment and job development," says Lauren Maloney, farming genius & business manager for CityFARM. CityFARM's first project is the Adams Street Farm, a demonstration garden in downtown Ypsilanti. CityFARM will install a new garden bed at the Adams Street Farm for every new client it adds this year. The garden will feature 2,000 square feet of growing space, which could allow for up to 6,000 pounds of food production. "All of the food produced there will be donated to Food Gatherers," Maloney says. CityFARM is a wholly owned subsidiary of Beal Inc and employs three people. Maloney is about to graduate from the University of Michigan this spring with a masters degree in conservation biology. CityFARM is offering urban farming internships for this spring and summer. For information, contact Maloney at lmaloney@WeAreCityFARM.com. Source: Lauren Maloney, farming genius & business manager for CityFARM Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

At Michigan Green Communities Workshop, green minds think alike

At this week's Michigan Green Communities Workshop organized by a team of five graduate students affiliated with U-M's School of Natural Resources, municipalities and non-profits around southeast Michigan will be sharing the latest environmental infrastructure know-how. The workshop will provide an update to the Michigan Green Communities Challenge, a reporting mechanism for communities to track sustainability activity and share information with one another. The Economic Energy Analysis tool will also be making its debut there. The tool is "a framework and a model for different communities to assess their baseline energy consumption patterns," says Courtney Lee, a graduate student at U-M's School of Natural Resources and one of the organizers. It uses modeling to estimate how much a community is spending on energy imports and how much energy is being lost during transmission. The city of Detroit will make a presentation on the greening of its operations, followed by the cities of Wyandotte, Eastpointe, and Huntington Woods. Ann Arbor-based Clean Energy Coalition, NextEnergy, and the Southeast Michigan Regional Energy Office will also be featured presenters. Additionally, the Southeast Michigan Council of Governments (SEMCOG) will make a presentation focusing on green infrastructure, including its Green Streets program. "We are working with Oakland County, Macomb County, Wayne County and the city of Luna Pier to develop projects along road corridors that can manage some of the stormwater running off the streets through low-impact development and practices, like planting of bioswales and street trees with under drains using green infrastructure techniques, specifically along identified roadways within this corridor area," says Angela Ayers, an environmental planner for SEMCOG. The workshop, to be held on Friday, Feb. 24 at NextEnergy in Detroit, is the third in a series being  offered around the state. Others were recently held in Traverse City and Muskegon. "In the previous two workshops, communities presented on a really wide range of activities, from energy efficiency and conservation and land use planning, so it's really a very wide variety of activities," says Seth Federspiel, workshop organizer and U-M School of Natural Resources graduate student. Representatives from various state agencies, 10 nonprofits, and 16 municipalities, including the city of Ann Arbor, will be in attendance. Sources: Courtney Lee and Seth Federspiel,  workshop organizers and U-M School of Natural Resources graduate students; Angela Ayers, environmental planner for SEMCOG Writer: Tanya Muzumdar

U-M launches sustainable labs program

We're well-versed in plastics, paper, and glass recycling, but how about the reuse of toxic chemicals? The average laboratory consumes four to five times more energy and resources than an office or classroom space, making it a ripe target for "clean" washing and cuts in waste expenditures. Chemical reuse is just one of the instances in which the environment and the University of Michigan, which has over 500 research labs, are benefiting from green chemistry principles and practices. Last summer, U-M launched its Green Laboratory Operation for Sustainability, a certification program for sustainably-run labs. Think of it as LEED certification for the lab space. To date, 11 labs have been certified as "Sustainable Laboratories", and another three are midstream in the certification process, according to Dr. Sudhakar Reddy, sustainable chemistry coordinator for U-M's Office of Campus Sustainability. "The main reason to start this program is to address several areas like waste minimalization in the labs, pollution prevention, and introducing green chemistry, green purchasing, and green computing, to save on energy and utilities, and also looking to opportunities for chemical re-use and recycling and health and safety in the labs," Reddy explains. The program is in accordance with U-M's set of sustainability goals to achieve by 2025. Reddy envisions having between 100 to 200 labs certified by 2025. One newly certified facility, a production lab at U-M hospital, does 50-60,000 Pap smears and other tests every year. It's now recycling about 1,500 pounds of plastic, 200 gallons of Xylene, and 50 gallons of formalin annually. Meanwhile, an immunology lab in the  Taubman Biomedical Science Research Building is looking into substituting less-toxic GelRed  in place of ethidium bromide, a teragen, for DNA sequencing. "At the end of the experiment, your waste is non-toxic, opposed to ethidium bromide, which is very toxic," Reddy says. "It is very toxic to handle, very toxic to dispose of, and expensive to dispose of." In another instance of safe waste treatment practices being instituted at the university, "If the lab is using hydrochloric acid, at the end of the experiment hydrochloric acid can be treated with a mild base to make it a neutral waste and that can go down the drain and it would not affect our waste stream or the Huron River." And the Chemical Reuse Program collects unused and unexpired chemicals, such as acetone, from labs that are closing down and redistributes them. This savings on purchase and disposal costs of nearly 500 pounds of chemicals came to about $20,000 last year, Reddy says. "We are not sending a rock to the moon, just re-thinking, putting things into perspective, what's best for us," Reddy says. Yet, these save the planet efforts haven't gone unnoticed around the world. Reddy is fielding calls from other campuses around the country, as well as Asia and Africa, about the program. He will also be discussing U-M's effort at the 16th Annual Green Chemistry & Engineering national conference this June in Washington, D.C. Reddy estimates about 300-400 people working at the certified labs are now employing sustainable practices. "Imagine this number goes to the thousands and tens of thousands, and I think that's what our goal is." Source: Dr. Sudhakar Reddy, sustainable chemistry coordinator for U-M's Office of Campus Sustainability Writer: Tanya Muzumdar

Arboretum Ventures heralded for funding of life science companies

The typical model of venture investment is to attract a large pool of subscribers to fund portfolios, but this model doesn't always work in the life sciences waiting game. Ann Arbor's Arboretum Ventures is a firm cited for its small syndicate approach. Excerpt: "A broad syndicate is supposed to reduce the risk that a start-up will run out of cash and enable the company to bargain from a strong position with new investors or collaborators. When a syndicate is united, it can do just that. But the difficulty health-care investors have had in selling companies or taking them public recently has forced them to hold positions longer. As years go by, investor groups that started strong can fray. Syndicate members may develop different agendas depending on how the rest of their portfolio is performing. One member is counting on a company to produce big returns and wants to hold out for a 10X; another wants to exit soon. Some members have plenty of cash reserved, while others run short. Meanwhile, pay-to-play provisions punish firms that are unable to continue participating in a company’s financing rounds." Read the rest here.

Michiganders’ fave city? Ann Arbor

They may derisively call us The People's Republic Of Ann Arbor to our face, but secretly Michiganders have a crush on us. Excerpt: “The most popular of the 5 cities we tested was Ann Arbor. 63% of voters see it favorably to 13% with a negative opinion,” PPP wrote in a release. “It's no surprise given the city's liberal reputation that Democrats see it most positively (73/7), but Republicans generally have a good perception of it as well (53/21).” Grand Rapids came in second place, while Lansing came in third place." Read the rest here.

Ann Arbor ranked as top city for singles

Though I'm certain they didn't speak to any of my unattached friends, Kiplinger's has concluded that Ann Arbor is the number one city for singles in America. Take for it what you will. No one said these things were scientific. Excerpt: "Nearly 43,000 students attend undergraduate, graduate or professional school at the University of Michigan, skewing the city's demographics toward the younger set. One in four residents is between 20 and 34; one in two is unmarried. While it’s true that undergrads and dive bars can be found around every corner –- a blessing or a curse, depending on your dating objectives -- Ann Arbor offers amenities for post-grad bachelors and bachelorettes, as well." Read the rest here.

Michigan Clean Energy Venture Challenge focuses on venture creation

The Michigan Clean Energy Challenge is evolving and the latest version has added a new word to the business plan competition's name: Michigan Clean Energy Venture Challenge. The Clean Energy Challenge began a few years ago, thanks to a partnership between the University of Michigan and DTE Energy. The idea is to create a platform to launch green-tech startups in Michigan with an annual prize purse of $100,000. This year's competition is shifting its focus from awarding the best of the startups with cash prizes to helping more of these startups make it to launch, hence the name change. "We're really focused on venture creation," says Amy Klinke, assistant director of small company initiatives at the Center for Entrepreneurship at the University of Michigan's College of Engineering. "Before it was sort of a formal business plan competition. This time we let all the teams stay in and we grow them." This year, 16 student-led startups from six universities across Michigan will present their green technology solutions later this week for a chance to win a piece of the $100,000 pie. The Clean Energy Venture Challenge encourages students from Michigan colleges and universities to grow clean-energy solutions into thriving businesses. "We found in the past that a lot of the teams have great ideas but need mentoring and work," Klinke says. Source: Amy Klinke, assistant director of small company initiatives, Center for Entrepreneurship at the University of Michigan's College of Engineering Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

Huron Valley Financial grows staff 27 percent, eyes big acquisition targets

Ann Arbor-based Huron Valley Financial is poised to take a huge step forward this year through a potential large acquisition. "We have definitely grown," says Eric Bradley, president & CEO of Huron Valley Financial. "We added a branch in Clarkston in late 2010. In October, 2011, we have acquired Approved Mortgages in Canton. We worked with them in the 1990s so it made a lot of sense to acquire them. Both the acquisitions have propelled our growth." Huron Valley Financial is a full-service mortgage banking firm specializing in every area of mortgage lending, such as construction loans or refinancing. The 15-year-old firm employs 61 people and has grown its staff by 27 percent over the last year, including two recent hires. Bradley sees 2012 as a "watershed year" for Huron Valley Financial. The company has been looking at acquiring a couple of larger competitors. It was close to a deal last year but didn't move forward with it. Bradley thinks a similar acquisition is distinctly possible this year. "What we're finding is there are a lot of mortgage companies with a lot of loan office staff but they don't have the capital to effectively build the infrastructure and manage today's regulatory environment." Source: Eric Bradley, president & CEO of Huron Valley Financial Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

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