HOUSTON INNOVATORS PODCAST EPISODE 107

Houston entrepreneur amps up support for diverse businesses with new NAACP partnership

Carolyn Rodz joins the Houston Innovators Podcast this week. Photo courtesy of Hello Alice

Carolyn Rodz didn't feel the need to rush into Hello Alice's series B raise. The company, which was co-founded by Rodz and Elizabeth Gore in 2017, closed its series B at $21 million this summer, but Rodz says they did so with a specific goal.

Rodz, who joined the Houston Innovators Podcast this week, says she didn't want to get on the cycle that is round after round of venture capital. Instead, she's prioritizing profitability. And to have that, Hello Alice — platform for small business owners to find capital, networks and business services — needed to be able to reach more small business owners.

"When we made the decision to raise, it was really about making sure that we had good, strong core fundamentals and that we felt like we were putting good money to work where we can scale the business," Rodz says on the show. "It's our belief that the more smalls business owners we can support, it gives us a more unified and stronger voice to go implement systemic change."

The round was led by Virginia-based QED Investors with participation from new investors including Backstage Capital, Green Book Ventures, Harbert Growth Partners, and How Women Invest. It followed what was not only a rollercoaster of a year for the small businesses Hello Alice exists to serve, but also the company itself.

"It changed us permanently as a company," Rodz says of the pandemic.

On the show, Rodz characterizes the time for Hello Alice, which included slimming down the company's overhead, while simultaneously offering thought leadership, support, and resources for companies. Within a few days of the shutdown, Hello Alice was helping to deploy grants to entrepreneurs affected by COVID-19.

As challenging as the pandemic was for Hello Alice, it was validating too. Rodz says the company had a 700 percent increase in revenue and an 1,100 percent acquisition growth.

"We'd never operated in a downcycle, but what we learned through that process was that we're a really valuable resource for business owners when times are great, but we're also a really valuable resource for them when times are tough," she explains.

This validation set the scene for the series B, but following that raise, and, due in part to the doors opened by new investor networks, a new partnership with the NAACP Empowerment Program. Rodz says that the NAACP was given a lot of resources to put to work to build racial equity through economic empowerment. The relationship began with an introduction from Hello Alice investor, Green Book.

"They are real co-builders of this platform with us, so we're making sure we're actually putting money back into those communities," Rodz says of the partnerships Hello Alice has had with the NAACP and other equitable organizations. "NAACP was a huge milestone for us, something we're really proud of as a business. And I think it's a partnership that will continue to grow and make sure that we're aligned with how we're working on how we can build better together.

Rodz shares more on Hello Alice's growth as well as her observations on how Houston has evolved as an innovation ecosystem. Listen to the full interview below — or wherever you stream your podcasts — and subscribe for weekly episodes.


Trending News

Building Houston

 
 

SurgWise is giving surgical teams the right support for hiring. Photo via Getty Images

A surgeon spends over a decade in school and residency perfecting their medical skills, but that education doesn't usually include human resources training. Yet, when it comes to placing candidates into surgical programs, the hiring responsibilities fell on the shoulders of surgeons.

Aimee Gardner, who has her PhD in organized psychology, saw this inefficiency first hand.

"I worked in a large surgery department in Dallas right out of graduate school and quickly learned how folks are selected into residency and fellowship programs and all the time that goes into it — time spent by physicians reviewing piles and piles of like paper applications and spending lots and lots and of hours interviewing like hundreds of candidates," Gardner tells InnovationMap. "I was just really shocked by the inefficiencies from just a business and workforce perspective."

And things have only gotten worse. There are more applicants hitting the scene every year and they are applying to more hospitals and programs. Future surgeons used to apply for 20 or so programs — now it’s more like 65 on average. According to her research, Gardner says reviewing these applications cost lots of time and money, specifically $100,000 to fill five spots annually just up to the interviewing phase of the process.

Five years ago, Gardner came up with a solution to this “application fever,” as she describes, and all the inefficiencies, and founded SurgWise Consulting, where she serves as president and CEO.

"We help provide assessments to help screen competencies and attributes that people care about," Gardner says. "(Those) are really hard to assess, but really differentiate people who really thrive in training in their careers and people who don't."

Aimee Gardner is the CEO and president of Houston-based SurgWise. Photo via surgwise.com

These are the non-technical skills, like the professionalism, interpersonal skills, and communication. While SurgWise began as a service-oriented consulting company, the company is now ready to tap technology to expand upon its solution. The work started out of Houston Methodist, and SurgWise is still working with surgery teams there. She says they've accumulated tons of data that can be leveraged and streamlined.

"We're now pivoting from a very intimate client approach to a more scalable offering. Every year we assess essentially around 80 percent of all the people applying to be future surgeons — those in pediatric surgery, vascular surgery, and more,” Gardner says. “We’ve used kind of the last five years of data and experiences to create a more scalable, easy-to-integrate, and off-the-shelf solution.”

Gardner says her solution is critical for providing more equity in the hiring process.

“One of our goals was to create more equitable opportunities and platforms to assess folks because many of the traditional tools and processes that most people use in this space have lots of opportunity for bias and a high potential for disadvantaging individuals from underrepresented groups," she says. "For example, letters of recommendation are often a very insider status. If you went to some Ivy League or your parents were in health care and they know someone, you have that step up from a networking and socioeconomic status standpoint."

Personal statements and test scores are also inequitable, because they tend to be better submissions if people have money for coaching.

SurgWise hopes to lower the number of programs future surgeons apply to too to further streamline the process. She hopes to do this through an app and web tool that can matchmake people to the right program.

“Our ultimate goal is to create a platform for applicants to obtain a lot more information about the various places to which they apply to empower them to make more informed decisions, so that they don't have to apply to a hundred places," Gardner says. "We want to essentially create a match-style app that allows them to input some data and tell us 'here's what I'm looking for here are my career goals and any preferences I have.'”

While that tool is down the road, Gardner says SurgWise is full speed ahead toward launching the data-driven hiring platform. The bootstrapped company hopes to raise early venture funding this summer in order to hire and grow its team.

“As we continue to consider this app that I talked about and some of the other opportunities to scale to other specialties we're gonna start looking for a series A funding later this summer.”

Trending News