Incubator for high-tech businesses celebrates a milestone
Nine businesses served by the 'Lawrence Regional Technology Center' have attracted more than 60 million dollars in financing during the past four years. Enlarge video
High-tech companies receiving advice, support and even office space from a business incubator in Lawrence now have attracted more than $60 million in investments.
Nine clients of the Lawrence Regional Technology Center are working on generating even more investments from angel investors, venture capitalists, federal agencies and the Kansas Technology Enterprise Corp.
After four years of growth, the companies - including six in Lawrence that have drawn a total of $31.5 million - are busy building payrolls, creating products and shopping their creations in a market that demands high performance and, increasingly, deep pockets.
"The formula is working," said Matthew McClorey, the center's president and CEO. "The companies are having success, and the challenge for us is to continue to grow and expand our reach so that we can impact other companies in a positive way."
The center, 1617 St. Andrews Drive, provides services that include consulting, administrative support and office accommodations for promising startup companies working to break new ground in life sciences, software, information technology, communications and manufacturing.
Center clients in Lawrence include Cadstone, CritiTech, Deciphera Pharmaceuticals, Griffin Technologies, HiPer Technology and KalScott Engineering. Others in the region are LaGarde, Proteon Therapeutics and TVAX Biomedical.
During the past four years, center clients have added 104 jobs, McClorey said. The average salary is $66,000, or more than twice the $31,000 average for all of Douglas County.
Ted Haggart, who is chairman of the center and president and CEO of Douglas County Bank, said, "This is quite an accomplishment in the Midwest and, in particular, Kansas. Kansas is succeeding in finding many different sources of funding for our companies. We are very proud of this milestone as it clearly demonstrates that significant money can be raised by promising, local technology businesses."
The center's operations are financed by the Kansas Technology Enterprise Corp., Kansas University and the Lawrence Chamber of Commerce.
Because demand for center assistance is on the rise, McClorey said, KU students studying for Master of Business Administration degrees are serving as center interns, working directly with high-potential tech companies and entrepreneurs.
"It's great experience for the students, and the clients benefit as well," he said.
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lunacydetector (anonymous) says…
i wonder if these companies will move to overland park when they get too big for their britches? that's what typically happened in the past.
the key is keeping them in lawrence. that is why we need a business friendly atmosphere in city hall. it will benefit the masses as opposed to benefitting a small minority (like it does now). they've had better things to do like ponder the more expensive non-use of pesticides in our parks, or requiring bicycle lanes or paths on every block for the 1/2 of 1% of the population that rides their bike, and of course a new park every quarter mile or whatever - (the modern day version of a chicken in every pot) - that's a pot to boil the chicken herbie hoover used way back when and in no way refers to legalizing marijuana (something pondered perhaps?), or a permit to cut down the tree in your yard (that's why congested apartment living in the inner city has advantages and is promoted by city hall).
change is coming soon, i can feel it. i think the majority will vote american this go around :) hopefully lawrence can retain these start-ups.
j4708 (anonymous) says…
It would be interesting to hear from the companies on how much of their success was due to the incubator services and how much these services are costing the taxpayer.