The Big Story: Amidst pandemic, data privacy debate continues. As the coronavirus pandemic forces people to rely on digital services to abide by statewide stay-at-home orders, the state- and federal-level debate over data privacy rages on.
#StartupsEverywhere: Woodland, Calif.
Located in one of California’s busiest farming regions, Woodland-based startup Nytch is working to foster greater engagement between consumers and their local small businesses. Since small brick-and-mortar businesses are unable to put their entire inventories online, the mobile service allows local businesses to use their greatest assets—knowledge, experience, and product awareness—to provide local consumers with more convenient retail services. We recently spoke with Nytch’s co-Founder, Grant Lea, to learn more about his startup’s work helping small businesses, the Woodland startup ecosystem, and what steps he believes policymakers should take to further support the startup community.
Engine Hosts Town Hall With Rep. David Schweikert and Arizona Startups
With many small businesses struggling as a result of the COVID-19 outbreak, startups are stepping in to offer free services to help small firms navigate the economic uncertainty. Whether it’s opening up their platforms to keep small businesses engaged with their local communities, or aggregating available resources and federal loan information for struggling firms, startup founders are using their knowledge, experience, and services to support other entrepreneurs in need of assistance.
Broadband Access Critical to Startups, Consumers
TLDR: Internet connectivity has become a critical resource for Americans coping with the pandemic, and the increased reliance on digital services is already highlighting gaps in Internet access and sufficient broadband infrastructure across the country. As Congress debates passing a phase four coronavirus relief package that would in part address broadband access concerns, it’s critical for policymakers to understand just how important connectivity is to U.S. startups and consumers.
Startup News Digest 05/01/20
The Big Story: Lawmakers propose freezing mergers during pandemic. Several congressional Democrats have proposed a temporary halt on certain “big” mergers and acquisitions during the coronavirus pandemic, saying that the outbreak could allow large companies to consolidate their power by buying up smaller firms. While larger tech companies have faced scrutiny in the past for allegedly acquiring potential competitors in order to protect their market share, acquisitions during the COVID-19 pandemic are far more likely to involve larger companies rescuing at-risk startups that would otherwise go out of business. It’s hard to see how blocking these types of acquisitions would promote competition. Efforts to curb what policymakers see as predatory behavior could instead deprive many startups of a critical lifeline they might need to remain in business.
#StartupsEverywhere: South Bend - Elkhart Region, Ind.
The South Bend - Elkhart Regional Partnership includes 47 smart connected communities across Northern Indiana and Southwest Michigan that are working together to improve economic development across the region. With five distinct committees focused on improving business opportunities, increasing per capita income, and improving quality of life, the largely volunteer-driven partnership is working to make the region a hub of economic activity. We recently spoke with Bethany Hartley—the partnership’s Director of Diversity & Inclusion—to learn more about the organization’s work improving diversity and inclusion programs for entrepreneurs across the region.
Looking Beyond PPP Loans for Startup Relief
TLDR: Although the U.S. Small Business Administration is once again accepting applications from small businesses for Paycheck Protection Program loans, many startups still remain ineligible for the emergency funding that they need to survive the economic downturn caused by the coronavirus pandemic. It’s critical for lawmakers to pursue other policy proposals that will help startups and small businesses weather the current uncertainty.
Startup News Digest 04/24/20
The Big Story: Pandemic underscores the need for broadband boost. Congress voted this week on a $484 billion coronavirus relief package to help support small businesses and Americans who are struggling as a result of the pandemic, but policymakers are already discussing additional legislative measures to bolster the nation’s broadband infrastructure.
#StartupsEverywhere: Lincoln, Neb.
Based in Lincoln, fyiio is a new tutorial management platform using its patented technology to create user-centric educational guides. By combining video and written guides into templates, the startup is working to ensure that consumers and businesses are getting the most out of their tutorial experiences. We recently spoke with fyiio’s founder, Alex Kuklinski, to learn a little more about the startup, Lincoln’s startup ecosystem, and the patent process.
Startups Supporting Small Businesses Through The Pandemic
With many small businesses struggling as a result of the COVID-19 outbreak, startups are stepping in to offer free services to help small firms navigate the economic uncertainty. Whether it’s opening up their platforms to keep small businesses engaged with their local communities, or aggregating available resources and federal loan information for struggling firms, startup founders are using their knowledge, experience, and services to support other entrepreneurs in need of assistance.
Startups Need More Than Current Relief Loans
TLDR: Congress is set to allocate additional funding to the U.S. Small Business Administration’s Paycheck Protection Program to aid small businesses coping with the economic fallout of the coronavirus pandemic, but available loan programs are not doing enough to support startups that are in desperate need of financial assistance. As policymakers continue to evaluate legislative and regulatory responses to the ongoing outbreak, it’s imperative that they pursue policies—such as public-private equity investments, R&D tax credits, and forgivable loans beyond payroll expenses—that can adequately support the nation’s startup ecosystem.
Startup News Digest 04/17/20
The Big Story: Small business loan program hits funding limit. The U.S. Small Business Administration announced that it hit the $350 billion limit in funds Congress allocated for the Paycheck Protection Program (PPP) to help small businesses as part of last month’s Coronavirus Aid, Relief, and Economic Security (CARES) Act. At this time, SBA says it is unable to accept any more applications for PPP loans. While the program was designed to support companies with under 500 employees, many venture capital-backed firms were ineligible for the loans because the SBA’s “affiliation rules” require companies to count the employees of their “affiliates”—broadly defined in the law—as their own employees.
#StartupsEverywhere: New York City, N.Y.
Based in Lower Manhattan, JustFix.nyc is a nonprofit startup that is harnessing technology and data to promote housing justice across New York City. As New Yorkers continue to deal with the COVID-19 pandemic, the City has issued an eviction moratorium and closed its housing courts except for virtual-only emergency repair and illegal lockout cases. JustFix.nyc has partnered with the housing court system to adapt their existing tools in order to streamline the emergency filing process for tenants. We recently spoke with Georges Clement—JustFix.nyc’s Co-Founder and Acting Executive Director—to learn more about the startup’s work, how technology can be used to promote housing justice, and how they’re working to support tenants amidst the coronavirus outbreak.
App-Focused Startups Pivoting to Support Communities impacted by COVID-19 Outbreak
As federal officials increasingly rely on tech companies to help combat the spread of COVID-19, entrepreneurs across the country are retooling their existing digital applications to aid in coronavirus detection and prevention efforts. Whether it’s working with local and state health officials to leverage their apps, or figuring out ways to implement their services in a beneficial way, startups are determining how to best utilize their mobile apps for the public good.
Surveys Show Startups Need Immediate Assistance
TLDR: Surveys conducted by Engine and other entrepreneurial organizations show that U.S. startups need further economic relief to sustain their operations in the midst of the coronavirus pandemic. Almost two-thirds of respondents to our survey said their startups are in need of emergency financial support, even as entrepreneurs told us they are still seeking certainty that they will be eligible to apply for existing government programs.
Startup News Digest 04/10/20
The Big Story: Privacy, big data, and COVID-19. As federal officials, tech companies, and researchers are using data to help identify and track viral transmissions and coronavirus hotspots, policymakers and advocates are raising concerns about the collection and use of potentially sensitive data. This week, the Senate Commerce Committee held a paper hearing to examine how anonymized and aggregated data is being used to combat the spread of COVID-19.
#StartupsEverywhere: New Smyrna Beach, Fla.
Capice, a Florida-based AI startup that uses deep learning to analyze data, is helping companies of all sizes quickly generate predictive outcomes from a variety of sources—including audio, image, spreadsheets, and text. But the startup also recently announced that it is offering medical researchers free access to its deep learning network to help combat the spread of COVID-19. We recently spoke with Capice’s CEO, Gordon McDonald, to learn more about how the startup’s deep learning platform works, and the firm’s decision to open up its platform to coronavirus researchers.
Startups Changing Their Business Models in Response to COVID-19
As Americans struggle to cope with the COVID-19 pandemic, hundreds of startups all across the country are leveraging their tools, resources, and services to aid medical researchers and businesses in need of immediate assistance. Engine spoke with four entrepreneurs who pivoted their business practices to better support those affected by the ongoing pandemic. This is the first post in a series on startups and entrepreneurs who are responding to the COVID-19 pandemic.
IP Recap - 04/09/20
During these unprecedented times, the U.S. Court of Appeals for the Federal Circuit is one of the many institutions taking steps to avoid the spread of COVID-19: shifting to telephonic proceedings, releasing live audio of oral arguments, restricting in-person access to court buildings, and modifying operations. But the court is continuing its work, issuing new opinions every day.
SBA’s Affiliation Rules Still Unclear for VC-Backed Startups
TLDR: The startup community is still waiting for clarity about whether venture capital-backed startups are eligible for small business loans included in the $2 trillion Coronavirus Aid, Relief, and Economic Security (CARES) Act, despite suggestions by federal officials that the issue would be addressed shortly. To better understand the relationship between economic relief efforts and startups, we are asking companies to fill out a brief survey here to help determine how the government can clarify existing rules—such as the SBA’s affiliation rules—to better protect the nation’s startup ecosystem.
