Three Houston innovators discussed the strides the city is making in terms of equitable funding opportunities. Photos courtesy

Houston has consistently been recognized as one of the most diverse cities in the country — but is that translating into equitable funding opportunities for diverse founders? A panel at SXSW this year discussed whether or not Houston's playing field is level for people of color within the innovation ecosystem.

"People do business with who they know — and who they like," says Felix Chevalier, co-founder of Urban Capital Network, when the panel was asked where the disconnect is with funding diverse founders. "I think it boils down to a lack of exposure and a lack of relationships."

Chevalier was joined by Jesse Martinez of Resolved Ventures and VamosVentures and Denise Hamilton of WatchHerWork, who moderated the discussion, which was hosted in the Greater Houston Partnership's Houston House on Sunday, March 13, at SXSW in Austin.

"We have to look at the pipeline — what the existing ecosystem looks like," says Martinez, who leads the LatinX Alliance, an organization that's relocating its operations to Houston. "We have new funds, new diverse GPs, and we have more investors — and we're building talent. ... We are making great strides, but we still need more of us to be funding our diverse founders."

The key to the equation, the panelists agreed, is education and programming — both for potential investors, like UCN does with its hands-on support for its diverse investor base, and for founders of color who might be more hesitant to plunge by starting a company.

"The way you start to dissolve that fear for folks, for example, who may be in a corporate space but may want to spread their entrepreneur wings, is to just get involved with the ecosystem," Chevalier says. "What ends up happening is you bump into someone you know or someone who is from the same talent you are originally — all you have to do is immerse yourself in the environment."

"The opportunities are out there, but it is incumbent upon in those who want it to put themselves in a position to meet people who are in the environments that are going to help facilitate whatever your objectives are," he continues.

Hamilton explained her experience raising money as a Black woman — investors didn't want to bet on her. It's a chicken and an egg situation, she says, and support for diverse founders in terms of programming and investors focused specifically on underserved communities are going to help break the cycle. It's not about charity, but equitable opportunities.

"I don't want any charity – I don't want an overabundance of kindness. Scaffold me like you scaffolded Mark Zuckerberg," Hamilton says, giving Facebook as an example of a company that was supported in a way she never had. "If you are going to be in a nascent ecosystem, you need to have structures that explain why your pitch deck has to be efficient, why you need a team. We've got to not focus just on the money piece, but on this whole psychosocial aspect."

With Hamilton's call to Houston's development as an equitable tech ecosystem, the conversation turned to discuss whether or not Houston is ready to provide this support to startups and rise to being the global innovation hub the city wants to be.

"We've got to find our tribe. We have all the pieces," Martinez says. "It's going to take time, and we have to be very intentional. ... It's really about thinking of Houston as a startup itself. How do we act as a team, and bring in partners and investors to make it a thriving ecosystem over time."

It takes commitment, Hamilton says, and that's happening in the Bayou City.

"Everything is not figured out right now — but there's a commitment to figuring it out," she says. "It's not going to be Silicon Valley overnight — it will never be Silicon Valley. Because this is Houston."

This week's roundup of Houston innovators includes Aaron Knape of sEATz, Ivery Boston III of Houston Exponential, and Jesse Martinez of the LatinX Startup Alliance. Courtesy photos

3 Houston innovators to know this week

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Editor's note: In this week's roundup of Houston innovators to know, I'm introducing you to three local innovators across industries — from sportstech to startup-focused nonprofit work — recently making headlines in Houston innovation.

Aaron Knape, CEO and co-founder of sEATz

Aaron Knape joins the Houston Innovators Podcast to share how he's taking the sEATz platform into a new vertical. Photo courtesy of sEATz

Although sEATz was founded in 2018, Aaron Knape, CEO and co-founder, says it's only now that the company is really coming into its own as a startup ready to scale in a big way.

"I tell the team that we're kind of coming out of stealth mode — I know we're not in a true stealth mode, but we haven't spent a lot of money on sales and marketing," Knape says on this week's episode of the Houston Innovators Podcast. "Now it's time to start putting that emphasis on who we are, that we're here, and we're ready to take over."

Knape joins the show to discuss sEATz's expansion into health care and what's next for the growing company. Click here to read more and stream the podcast.

Ivery Boston III, director of inclusive innovation at Houston Exponential

Ivery Boston III joins HX to lead inclusive efforts. Photo via LinkedIn

Houston Exponential made a new hire to reflect on the city's diversity. Ivery Boston III is one week into his role as HX's director of inclusive innovation. He will be tasked with leading prototyping and testing new inclusive ideas and ways of operating, according to a news release from HX. He will also be responsible for creating opportunities for underrepresented founders to succeed in Houston.

Boston joins HX from Miami, where he led research, strategy, recruitment of high-growth startups, and impact reporting for the Miami Downtown Development Authority.

"I am excited to serve the Houston community as the director of inclusive innovation at Houston Exponential," says Boston in the release. "I'm a massive fan of HX's work advocating for, connecting, and raising the profile of the Houston innovation ecosystem while linking local founders to funding. It is a privilege to join this exemplary team and provide additional attention to underrepresented and under-encouraged founders within the city." Click here to read more.

Jesse Martinez, founder of the LatinX Startup Alliance

Jesse Martinez, founder of the LatinX Startup Alliance, joins InnovationMap for a Q&A on why he's relocating his nonprofit to Houston. Photo courtesy of LSA

Wheen Jesse Martinez was looking for startup support as a Latino founder, he couldn't find it. So, he took the initiative to make it himself and launched the LatinX Startup Alliance. The Houston native announced his plans to relocate his Silicon Valley nonprofit to The Ion next year.

He tells InnovationMap why he thinks Houston is the right market for LSA.

"We're on the ground floor. We're helping to build that foundation. It's not an afterthought. It's not something that now we're trying to go back and think of diversity," Martinez tells InnovationMap. "I think that's the beautiful thing about Houston and everyone that I've met is that it's been so diverse and inclusive. That spirit is already there. So, how do we just maximize that?" Click here to read the full Q&A.

Jesse Martinez, founder of the LatinX Startup Alliance, joins InnovationMap for a Q&A on why he's relocating his nonprofit to Houston. Photo courtesy of LSA

Houston native brings LatinX startup support to the Ion with HQ move

Q&A

Jesse Martinez was working in Silicon Valley before it was Silicon Valley. He took his years of experience within that tech ecosystem and launched the LatinX Startup Alliance to support his fellow Hispanic entrepreneurs — and now he's bringing that support to his hometown.

The LatinX Startup Alliance will move its headquarters into The Ion in 2022, Martinez tells InnovationMap. He's excited to finally make his professional return to Houston and to help support the diverse ecosystem — one that has been created with diversity at the forefront, unlike Silicon Valley and other coastal tech hubs.

"We're on the ground floor. We're helping to build that foundation. It's not an afterthought. It's not something that now we're trying to go back and think of diversity," Martinez tells InnovationMap. "I think that's the beautiful thing about Houston and everyone that I've met is that it's been so diverse and inclusive. That spirit is already there. So, how do we just maximize that?"

Martinez joined InnovationMap for a Q&A about the new HQ announcement and what he's excited about in terms of DEI in Houston's tech scene.

InnovationMap: Tell me a little bit about your own tech and entrepreneurship journey.

Jesse Martinez: In 1996, one weekend I was at Barnes and Noble reading the newspaper, and, for whatever reason, I went through the classified ads and this one ad caught my eye. It said, "internet sales for internet company." So I faxed in my resume and I got a call back, did my phone screens, and they flew me out to San Jose. I interviewed with the founders in Sunnyville where the startup was based. The name of the startup was Internet Systems Inc., funded by Sequoia Capital and I ended up joining as employee number 27.

I was new to this whole world. We were one of two pioneers in the web hosting services space — pre-Rackspace, pre-AWS, et cetera. In less than a year, we went from startup to public company trading at $35 a share via two acquisitions. So that was my whole intro into the world of tech startups, Silicon Valley, and stock options.

Because of that work, I caught the startup bug and did my first startup with my brother in 2000. We had two acquisition offers. We turned one down, and we were entertaining the second one, which was between $8 and $10 million. And then the market crashed in March of 2000. Those offers went away, and we tried to raise more money, but just couldn't do it. And then we ended up shutting down December of 2000.

IM: How did you come to start the LatinX Alliance?

JM: In 2010, I was looking to do my second startup. And it was early days of community-based organizations providing services for their founders — Black founders, Jewish founders, and others. And I did a set of Google searches to try to find something for myself. I'm like, "I'm Latino, I'm a tech and founder what's available for us?" And there was nothing. That left me scratching my head. Like how can this be? This is the global mecca of tech. That became the beginning of Latino Startup Alliance. We launched in 2011 in the Mission District of San Francisco with six people with their mission to empower Latino tech founders. Fast forward to today, we're over a thousand members globally. Our mission is still the same. And last year, we changed our name from Latino to LatinX to be more supportive and inclusive.

IM: You’re from Houston originally, but when did you have the idea of bringing the alliance to Texas?

JM: I was super excited to meet Bob Harvey (from the Greater Houston Partnership) and team, when they did a delegation to Silicon Valley. I met them at the Salesforce Tower, and we started talking about tech and Aggies and all the above. And they're like, "by the way, do you know that we're know committing to tech? We're finally making that commitment from the city on down, you should be there." And I'm like, "well, I've been waiting for this all my life." Houston was so engaged in oil, gas and energy. And so it was finally refreshing to hear that Houston had made that commitment. It felt right and it made sense to move our headquarters to Houston, and we'll officially launch in 2022.

IM: The new headquarters of the LatinX Startup Alliance is in The Ion. How will you work with them collaboratively and what can people expect from your organization?

JM: One of the things that we did early on as an organization is do a series of events — weekly events as well as a yearly summits. We were actually going to host our first summit in October of this year, because of the pandemic and the uncertainty, we decided to postpone it just because we wanted to be respectful for everyone's health and safety. We pushed it to next year, targeting the same month — October of 2022. And that'll be two days of programming focused on tech and also tech careers. So, there'll be a Friday and a Saturday. One of the things we want to ensure is that by hosting something on Saturday on tech careers, is that more people will be able to attend. And then Friday we'll focus on tech, founders, and startups.

Through our monthly events, we'll have office hours, we'll have meetups, and what we call LSA founder dinners. We just hosted one last week in Oakland, and we used to do these all the time. We're going back to that now that we can, and especially as we launch in Houston is ensuring that we have that consistency as we start building that community. It's like starting over, which is great. The biggest part is being able to support and champion the LatinX tech community here in Houston and also the state of Texas.

IM: How do you envision growing the LatinX Startup Alliance internationally? 

JM: We've always been global from day one. We've had founders come from other cities and countries to Silicon Valley because it was such a hub for many, many years. It'll be interesting to see what happens moving forward. A lot of people have moved away to their hometowns or new cities. So now we have a more distributed network of founders and startups and also investors. So when you talk about access and access to opportunities, it's certainly a big win for those founders and startups across the west.

IM: What should people know about LSA? 

JM: We operate under three pillars, which are awareness, access, and acceleration. Through the awareness piece, it's creating awareness around LatinX tech, startups and founders, both of those that are in the ecosystem and those that want to learn more. Access is being able to include people in tech programming, again for founders or for the public to participate in whatever it is we post, you know, from a founder perspective, it could be an invitation to attend Techcrunch or SaaStr Annual— either virtually or in person in San Francisco. We've had a partnership with both of them. So, we have diversity scholarships for our members.

IM: How have you seen things change in terms of connecting LatinX founders with funding?

JM: There is more access, and we help facilitate some of the awareness. You might not be aware of all the investors angel investors. And so that's where we try to be the bridge and be able to make those warm introductions between investors and also the startup founders. There are a lot more diverse funds. There's a lot more diverse general partners, which is awesome. And I think there's access to more. Does that mean that everyone's getting funded? No. It's not easier to get money, but there's just more money to go around. But you still have to go through the same steps and follow the process.

IM: Ahead of the launch of the LatinX Startup Alliance in Houston, who are you looking to connect with?

JM: Everyone, because you never know who that one person's going to be —corporates, companies, startups, founders, investors, other nonprofits. One of things that I've been doing as I've been going back to Houston is just meeting people from the ecosystem.One of the things that we're working on right now is setting up a group of key stakeholders for LatinX Houston Alliance. Who are those key players that we can bring together on a monthly basis? I'm thinking like a town hall of 40 or so people talk about what we need to do to better support and champion the ecosystem.

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This conversation has been edited for brevity and clarity.

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California-founded biotech startup relocates to join Houston's emerging bioeconomy

Cameron Owen had an idea for a synthetic biology application, and he pitched it to a handful of postdoctoral programs. When he received the feedback that he didn't have enough research experience, he decided to launch a startup based in San Diego around his idea. He figured that he'd either get the experience he needed to re-apply, or he'd create a viable company.

After three years of research and development, Owen's path seems to have taken him down the latter of those two options, and he moved his viable company, rBIO, to Houston — a twist he didn't see coming.

“Houston was not on my radar until about a year and a half ago,” Owen says, explaining that he thought of Houston as a leading health care hub, but the coasts still had an edge when it came to what he was doing. “San Diego and the Boston area are the two big biotech and life science hubs.”

But when he visited the Bayou City in December of 2021, he says he saw first hand that something new was happening.

“Companies from California like us and the coastal areas were converging here in Houston and creating this new type of bioeconomy,” he tells InnovationMap.

Owen moved to Houston last year, but rBIO still has an academic partner in Washington University in St. Louis and a clinical research organization it's working with too, so he admits rBIO's local footprint is relatively small — but not for long.

"When we look to want to get into manufacturing, we definitely want to build something here in Houston," he says. "We’re just not to that point as a company."

In terms of the stage rBIO is in now, Owen says the company is coming out of R&D and into clinical studies. He says rBIO has plans to fundraise and is meeting with potential partners that will help his company scale and build out a facility.

With the help of its CRO partner, rBIO has two ongoing clinical projects — with a third coming next month. Owen says right now rBIO is targeting the pharmaceutical industry’s biologics sector — these are drugs our bodies make naturally, like insulin. About 12 percent of the population in the United States has diabetes, which translates to almost 40 million people. The demand for insulin is high, and rBIO has a way to create it — and at 30 percent less cost.

This is just the tip of the iceberg — the world of synthetic biology application is endless.

“Now that we can design and manipulate biology in ways we’ve never been able to before,” Owen says, "we’re really only limited by our own imagination.”

Synthetic biology is a field of science that involves programing biology to create and redesign natural elements. While it sounds like science fiction, Owen compares it to any other type of technology.

“Biology really is a type of software,” he says. “Phones and computers at their core run on 1s and 0s. In biology, it’s kind of the same thing, but instead of two letters, it’s four — A, C, T, and G.”

“The cool thing about biology is the software builds the hardware,” he continues. “You put that code in there and the biology builds in and of itself.”

Owen says the industry of synthetic biology has been rising in popularity for years, but the technology has only recently caught up.

“We’re exploring a brave new world — there’s no doubt about that,” Owen says.

Houston Airports soar with first-class awards in international ceremony

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We can now dub Houston the city of first-class airports and first-class service.

During the 2023 Skytrax World Airport Awards in Amsterdam, the Houston airport system earned several prestigious honors, including a second consecutive five-star rating.

Skytrax is the leading international air transport rating organization; they determine their ratings based on annual audits of every airport. This year, the Houston airport system won in a new category that was unveiled at the ceremony – “Best Art in the Airport” – which was determined by a panel of judges.

Mario Diaz, the director of aviation for Houston Airports, said in a press release that superior customer service is the “guiding light” for the city’s airport system.

“Excellent customer service is at our core; an expansive and eclectic arts program, just awarded World’s Best Art Program in 2023, provides a meaningful and memorable experience,” said Diaz.

The awards continued to stack up. William P. Hobby Airport maintained its five-star rating for the second year in a row. It is one of 18 total five-star airports in the world, but the one and only five-star Skytrax airport in North America.

Other accolades the Hobby Airport earned include:

  • Best Regional Airport in North America, for the second consecutive year
  • No. 2 Best Airport in the United States
  • No. 3 Best Airport in North America

George Bush Intercontinental Airport (IAH) maintained its four-star classification for the sixth year in a row. It was also named the fourth best airport in North America, and third best in the United States.

Houston mayor Sylvester Turner said the Skytrax awards reaffirm the city airports’ “dedication to detail and commitment to customer service.”

“Houston truly is a global city where our guests are valued and celebrated,” he praised. “Another year of [five]-star and [four]-star ratings is proof that the investments we continue to make in our Houston Airports arts program, airport infrastructure and technology and team members are smart and successful investments that lead to a world-class and award-winning passenger experience.”

More information about the awards can be found on fly2houston.com.

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This article originally ran on CultureMap.

Houston expert: Here's why your top candidate turned down your job offer

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One of the most disappointing (and costly) things as a hiring manager is when your top candidate declines the job offer. You spend months defining target skills and characteristics, reviewing résumés and interviewing candidates to narrow down to your finalist of choice. You put together what you believe is a strong offer, and the candidate says “no.” What went wrong?

It’s not an employer’s job market anymore. In this transformed workplace, and at a time of historically low unemployment, it is very much an employee’s market, and he/she can afford to be selective. Below are some common reasons candidates turn down job offers and what you can do to prevent them.

No. 1: The interview process took too long

It takes time to identify the right fit, and a typical hiring process will often involve 2-3 interviews with decision makers in different locations. You also want to pinpoint a candidate you like and compare him/her to other candidates. When all is said and done, you’re often looking at an interview process that can take 6-8 weeks. During this time, it’s critical to stay in touch with the candidate. A simple email with a status update will help keep them engaged. This is also a great time to check references, showing the candidate your continued interest.

While you’re focused on filling the position, it’s easy to forget candidates have deadlines, too. A lengthy interview process with periods of little interaction can make a candidate feel you don’t respect his/her time or make your company appear disorganized, something they may be leery of based on past experience. Setting expectations upfront and maintaining open lines of communication are key in this candidate-driven environment.

Equally important to an efficient hiring process is encouraging non-essential decision makers to let go after a certain point. For example, once a small sized business graduates to a midsized company, a CEO should not make the mistake of thinking they have to talk to every single prospect. They need to approve them. Delegating and trust are key.

No. 2: You didn’t ‘sell’ the opportunity enough

It’s easy to forget interviews are as much about the candidate interviewing you as you interviewing the candidate. While you want to assess the person’s skills and cultural fit, the candidate wants to know how the role will match his/her personal and professional goals. Heck, they want to know how it stacks up against other jobs for which they might be applying!

Career growth is something every candidate wants. It’s critical for the hiring manager to discuss training and personal development opportunities. This is particularly important for millennials, who are often more motivated by the ability to learn and grow than they are by an increase in financial compensation. It’s also important to talk about the company culture and what makes you stand out. Bottom line: You want the candidate to leave the interview knowing he/she will be appreciated by your company and will get an experience that can’t be found elsewhere. To this end, expressing genuine interest in their life outside of work (loved ones, what makes them tick, etc.) can make all the difference.

No. 3: Lack of employer brand appeal

Companies spend a lot of time branding their products and services but don’t always think about how they look to future employees. Your M.O. is how you show candidates what it’s like to work for you. This includes their overall interview process experience, reviews on websites like Glassdoor, as well as posts your company and employees share on social media.

Let candidates get to know your company through posts. Show your team having fun together, being involved in the community and as customer-focused professionals. Employees also give hints about their work experience in their own social content. If they’re happy, it’ll show in their online activity.

These first three reasons for why a job offer might be turned down are all about how a hirer makes a candidate feel, but the fine print matters too.

No. 4: Job duties

It may seem like a no-brainer that a job description should be well-written, but more often than not, it’s unclear what will be expected of said employee. When you do the internal work ahead of time, getting alignment on what’s required and the intricacies of the existing (or new) position, it leaves little room for misunderstanding and/or disappointment post-hire.

No. 5: Compensation and benefits

Lastly, a strong compensation and benefits package is critical in securing your top pick. For some roles, that will mean an offer heavily weighed on the salary side. For others, it will be uncapped commissions or the opportunity for equity. Make sure the package is competitive with the industry, and will appeal to your ideal candidate and make him/her want to join your team.

Remember to think “outside the box” with extra benefits like flexible work hours, the ability to work remotely, PTO/unlimited sick days or vacation. The cost to implement these perks is low, but they often mean more to the candidate than higher pay.

In today’s employee-driven job market, top candidates are looking for a comprehensive package, growth opportunities, and a welcoming work environment that will provide lasting happiness and satisfaction.

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Hazel Kassu is the managing director of Houston-based recruiting firm, Sudduth Search.