UX expectations

Growing UX developer credits Houston with company success

When Marcelo Cordini moved his company to Houston, he didn't know what to expect. Now, a couple years later, he's poised for growth. Courtesy of December Labs

In December 2014, four guys from Uruguay banded together and created December Labs, a company specializing in UX and UI design, web development and mobile development for startups. After three years of success there, co-founder Marcelo Cordini's wife had her job transferred to "a city full of companies from everywhere" — Houston.

"To be honest, I came without expectations, not knowing what to do with the tech space here," Cordini says. "But I discovered that the city's innovation scene was rising and that the whole startup environment too. We didn't know Houston had a startup environment."

Cordini, along with co-founders, Martin Palatnik, Diego San Esteban, and Washington Miranda, have created a base here in Houston at Station Houston, with headquarters stationed in San Francisco as well as Uruguay.

The company's international presence can be seen in their client base, which includes industry giants like Google, Accenture, and Nest.

"When I got here, people told us that we should just go to Austin," Cordini says. "But, to be honest, this is a big city with lots of great companies — not just corporations, but startups — that are growing and thrive and have good connections. So, maybe you don't hear much about the startup world outside the U.S., but I think the startups right now are at a different level here."

December Labs has started working with local startups around the city and has grown to have around 15 engineers and designers working for the company.

Cordini says that their experience working at Station Houston has really broadened their horizons and allowed them to make connections that they wouldn't have made otherwise.

"It's great to have connections, and that's something that I love here in Houston," Cordini says. "People are willing to help each other."

A main goal for December Labs is to help other companies succeed through their mission-driven, people-focused work. But they're focused on the future.

"We've been growing like crazy over the past year," Cordini says. "We would love to keep growing here in Houston by getting more clients and helping more startups and corporations. Our idea is to continue our expansion here in Houston and all around Texas, for sure."

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Building Houston

 
 

Last weekend was a tumultuous one for founders and funders in Houston and beyond. Here's what lessons were learned. Photo via Getty Images

Last week, Houston founder Emily Cisek was in between meetings with customers and potential investors in Austin while she was in town for SXSW. She was aware of the uncertainty with Silicon Valley Bank, but the significance of what was happening didn't hit her until she got into an Uber on Friday only to find that her payment was declined.

“Being positive in nature as I am, and with the close relationship that I have with SVB and how they’ve truly been a partner, I just thought, ‘OK, they’re going to figure it out. I trust in them,'” Cisek says.

Like many startup founders, Cisek, the CEO of The Postage, a Houston-based tech platform that enables digital legacy planning tools, is a Silicon Valley Bank customer. Within a few hours, she rallied her board and team to figure out what they needed to do, including making plans for payroll. She juggled all this while attending her meetings and SXSW events — which, coincidentally, were mostly related to the banking and fintech industries.

Sandy Guitar had a similar weekend of uncertainty. As managing director of HX Venture Fund, a fund of funds that deploys capital to venture capital firms around the country and connects them to the Houston innovation ecosystem, her first concern was to evaluate the effect on HXVF's network. In this case, that meant the fund's limited partners, its portfolio of venture firms, and, by extension, the firms' portfolios of startup companies.

“We ultimately had no financial impact on venture fund 1 or 2 or on any of our portfolio funds or our underlying companies,” Guitar tells InnovationMap. “But that is thanks to the Sunday night decision to ensure all deposits.”

On Sunday afternoon, the Federal Deposit Insurance Corp. took control of SVB and announced that all accounts would be fully insured, not just up to the $250,000 cap. Customers like Cisek had access to their accounts on Monday.

“In the shorter term, the great news is SVB entity seems to be largely up and functioning in a business as usual manner,” Guitar says. “And they have a new leadership team, but their existing systems and predominantly the existing employee base is working well. And what we're hearing is that business as usual is taking place.”

Time to diversify

In light of the ordeal, Guitar says Houston founders and funders can take away a key lesson learned: The importance of bank diversification.

“We didn't think we needed one last week, but this week we know we need a resilience plan," she says, explaining that bank diversification is going to be added to "the operational due diligence playbook."

"We need to encourage our portfolio funds to maintain at least two banking relationships and make sure they're diversifying their cash exposure," she says.

A valued entity

Guitar says SVB is an integral part of the innovation ecosystem, and she believes it will continue on to be, but factoring in the importance of resilience and diversification.

"Silicon Valley Bank and the function that they have historically provided is is vital to the venture ecosystem," she says. "We do have confidence that either SVB, as it is currently structured or in a new structure to come, will continue to provide this kind of function for founders."

Cisek, who hasn't moved any of her company's money out of SVB, has similar sentiments about the importance of the bank for startups. She says she's grateful to the local Houston and Austin teams for opening doors, making connections, and taking chances for her that other banks don't do.

"I credit them to really being partners with startups — down to the relationships they connect you with," she says. "Some of my best friends who are founders came from introductions from SVB. I've seen them take risks that other banks won't do."

With plans to raise funding this yea, Cisek says she's already started her research on how to diversify her banking situation and is looking into programs that will help her do that.

Staying aware

Guitar's last piece of advice is to remain confident in the system, while staying tuned into what's happening across the spectrum.

“This situation that is central to the venture ecosystem is an evolving one," she says. "We all need to keep calm and confident in business as usual in the short term while keeping an eye to the medium term so that we know what happens next with this important bank and with other associated banks in the in our industry."

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