A new coworking space plans to debut on Houston's northside. Photo courtesy of H-Town Incubator

Freelancers and small business owners might not miss the office politics or mandatory training seminars, but there are quite a few things like mentorship and health insurance that most coworking spaces don't provide. A new Houston company hopes to fill the void.

H-Town Incubator is a 30,000-square-foot coworking space on the northside of town with plans to launch officially in January. The space has desk, cubicle, or office membership options, but also provides its members with advisory services, like legal, accounting, marketing, and more.

"What if an entrepreneur, freelancer, or contractor were given access to an hour or so for a month with legal or accounting," says Stewart Severino, CEO of H-Town Incubator. "You have that real coaching available to you."

Another unprecedented perk is that entrepreneurs can have access to affordable health insurance for as low as $60 a month. Severino says that small businesses can even white label this plan so that their team can have their ID cards labeled with their company's information.

"There are so many underinsured and uninsured people and families out there. It's a big deal," Severino tells InnovationMap. "Because of the co-op we have with our insurance partners, we can put together our own plan and offer that to these individuals."

At this point, about 15,000 square feet of space built out with space for 80 to 100 coworkers to work out of 55 cubicles, 30 offices, and other desk space. The second half of the floor could also be developed for additional offices, desks, and cubicles. The space also has two kitchens and conference rooms that Severino says members won't have any limitations on access, like other models that use credit systems.

"Because we're smaller, we can do that," he says. "We don't have to go that route of being too structured."

With easy access to Bush Intercontinental Airport and neighboring communities like The Woodlands and Spring, Severino says he's already seen both local and international opportunities.

Severino says the idea for the space came organically. He was working out of this office and saw connections happening between various industries. That's how he got the idea to build it into coworking space.

With his 20-year marketing career, Severino says he's seen the smoke and mirrors of "dressed-up" coworking spaces on the market today, he wants to provide something deeper for entrepreneurs.

"When things lack substance, that really bothers me on a personal level," he says. "I want to go out and create something that can serve the individual as a whole."

H-Town Incubator will celebrate a grand opening in mid January, but Severino plans to offer free drop-in days for entrepreneurs to take a trial run. Ultimately, Severino hopes the initiative becomes a collaborative space for companies of all phases and industries to work as resources for each other.

"It will be a dynamic place for sure," he says, adding that he expects to add programming to the mix too.

Urban Harvest is introducing a new location and a new program that accepts government assistance. Erik Scheel/Pexels

Houston nonprofit grows to provide more resources to underserved communities in Houston

Innovating food deserts

For some Houstonians, fresh foods are far away and too expensive to incorporate into their diets regularly. A Houston organization is looking to change that.

Urban Harvest, a 25-year-old nonprofit focused on bringing fresh produce and education to underserved communities, received a $347,000 grant from the Rebuild Texas Fund earlier this year to expand their services across town. The expansion also means a new community farmers market in northeast Houston that opens on Saturday, August 17, at Kashmere Gardens Elementary School (4901 Lockwood Drive).

The farmers market was created to serve a food desert continuing to recover from Hurricane Harvey, according to a news release. Urban Harvest is partnering with Northeast Houston Redevelopment Council and Common Market to create and run the market.

The new market will accept Supplemental Nutrition Assistance Program, or SNAP, benefits, which offer nutrition assistance to over 637,000 low-income individuals in Harris County. With the addition of the Double Up Houston program, which launched in April 2019, SNAP shoppers receive a dollar-for-dollar match, up to $20 per day, that they will be able to use to purchase fresh produce. In total, there are 13 farm stands across Houston that can access the Double Up SNAP incentive.

"Double Up is new to Houston, this is the first time we have had a Double Up kind of program here in the metroplex, ever," says Janna Roberson, executive director of Urban Harvest. "It is something that is very common in a lot of states."

Fair Food Network, based in Michigan, assists in working the Double Up program in 22 states across the country, including their partnership with Urban Harvest in Texas. "It gives people the opportunity to be able to purchase fruits and vegetables, which are very expensive," said Roberson.

"Last fall we received a grant with a large group of partners for Double Up Houston," Roberson tells InnovationMap. The grant was gifted by Rebuild Texas, a fund created by the Austin-based Michael & Susan Dell Foundation after Harvey.

"Initially, they did not do a lot of funding in Houston because we have a lot of resources here in our city, so their primary task was to fund in other places that had been hit by Hurricane Harvey that didn't have that foundation," adds Roberson. "They were really interested in areas of Houston that had been hit by Harvey and impacted, and how those places related to food and food access."

Urban Harvest, founded in 1994, is a 501(c)3 nonprofit organization providing community garden programming, farmers markets, gardening classes, and youth education. The farmers markets, launched in 2014, bring in farmers and producers from within 180 miles of Houston, offering the freshest, local produce and meats available. The organization has a staff of 11 and is located in east downtown Houston.

"There is programming also going at these markets where we are working with the University of Houston and the Houston Food Bank's nutrition office to have people come out to the markets and actually prep fresh produce to be able to show people, with very simple recipes, what you can do with the extra vegetables that you are purchasing," says Roberson.

In the past year, Urban Harvest has been working to strategically grow in the greater Houston area. In September of last year, the organization's main farmers market moved to its current location at 2752 Buffalo Speedway, tripling in size.

"We moved the market and expanded it, presenting some 72 vendors at the market location," Roberson tells InnovationMap. The Buffalo Speedway market operates 52 weeks a year every Saturday from 8 a.m. to noon.

Urban Harvest has over a dozen spots where it has weekly farmers markets around town. Courtesy of Urban Harvest

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Here's how far Houston's robust population of 'super commuters' drive to and from work every day

on the road again

If you’re a workday commuter in the Houston metro area, you may be among the many motorists who’ve cursed the snarled traffic on I-610/West Loop Freeway. This route routinely takes the crown as the most clogged roadway in Texas.

But imagine if you were one of the nearly 80,000 workers in the Houston area who travel at least 90 minutes each way for their jobs. That’s an even more gripe-worthy commuting scenario.

U.S. Census Bureau data gathered by Apartment List shows that as of 2022 in the Houston area, 79,645 workers were tagged as “super commuters.” These workers represent three percent of all commuters in the region.

The Houston area’s 2022 number is down slightly from the pre-pandemic year of 2019, when 82,878 workers across the region were super commuters, according to Apartment List.

Igor Popov, chief economist at Apartment List, says 3.7 million American workers spent at least 90 minutes traveling each way for their jobs in 2022. These extreme commutes are becoming more commonplace as suburban populations rise and employers pull back on remote work, he says.

Nationally, the number of super commuters jumped by 593,000 in 2022 compared with 2021, when the pandemic caused the figure to plummet by more than 1.5 million.

“Generally, super commuting is most common for transit users, workers who live on the fringes of the metropolitan area, or those who commute to separate metros entirely,” Popov says.

Super commuting is also common among high-income workers who are willing to travel longer distances for higher-wage jobs, according to Popov.

A recent study by Stanford University and travel data provider INRIX mostly aligns with the Census Bureau data cited by Apartment List.

Since the pandemic, the study says, the share of one-way commutes covering at least 40 miles has gone up in the country’s 10 largest metros, including Houston. In the Houston area, the share of one-way super commutes, which the study defines as those over 75 miles, grew 18 percent from 2019-20 to 2023-24.

Among the 10 areas examined in the study, a typical two-way super commute lasts nearly four hours and 40 minutes.

Experts: What Houston startup founders need to know about conducting a successful IPO

guest column

Home to a wealth of world-changing innovations and a highly skilled labor pool, Houston has attracted startups and digital tech firms for years. Today, the city stands at the forefront of a promising era with seven Houston startups beginning the year strong with more than $380 million in venture funding, and the city ranked among the top emerging startup ecosystems in North America

Houston-based startups planning their exit strategies have good reason to be optimistic about an initial public offering, or IPO, market that is expected to grow in 2024. After a two-year slump in startup investing, some market watchers are predicting that the IPO window may reopen as the economy improves and inflation and interest rates cool.

But good timing requires good readiness. The window of opportunity for preparation now appears to be a microwindow. As any company that went public at the peak of the dot-com or post-COVID booms can attest, preparation is essential to quickly take action when the time is right. Hitting that microwindow will require that IPO-bound Houston companies be strategic about their IPO readiness planning. A lack of planning can result in an IPO experience that is not well planned, and potentially a missed opportunity altogether.

It’s unclear when the next IPO window will open, or for how long the window will remain open, but it could happen quicker than expected. This unpredictability suggests that Houston startups seeking to go public should start their legal, financial, and regulatory planning now. The important period for many companies planning an IPO begins six to 18 months prior to listing and lasts until the six months post-IPO.

Readying an IPO

We gained several insights from our discussions with CEOs and CFOs who have effectively navigated IPOs recently to provide insights for companies contemplating going public when the next microwindow opens. A company’s comprehensive readiness plan can be key to performing well in the market, whether it is up or down. Summarized below are common key areas that challenged many C-Suite executives in being a public company and, in hindsight, areas they wished they had addressed earlier in the process.

  1. Internal forecasting. Internal forecasting is paramount. In fact, it’s one of the primary takeaways cited in our conversations with the C-suite execs who went through the IPO process. Houston companies on an IPO track should be prepared to provide accurate forecasting and timely fulfillment of projections. Missing projections can result in significant regulatory repercussions.
  1. Key performance indicators and non-GAAPmeasures. Take reasonable steps towards performing a comprehensive benchmarking study to determine relevant KPIs and non-GAAP measures and metrics to report upon; be ready with the frameworks in place to report upon during quarterly and annual reporting.
  1. Growth story. The ability to communicate the company’s growth story can be essential to an effective IPO. Company leaders should be able to clearly convey topics such as the company’s growth, vision and strategy, its plans for improving performance metrics, the market opportunity, its competitive edge, and how its product or services will meet market demand. Meetings with analysts and other market influencers are also necessary to gain investor support. The executives we talked to said that when they did not invest time in this awareness-building step, they often found themselves rushing to get the word out as the offering date closed in.
  1. Finance infrastructure and human capital. Understand the infrastructure and operating model required to operate as a public company, along with the human capital necessary to sustain operations. Identifying the necessary skillsets and bandwidth within the team supports a smoother IPO process. Collaborating with experienced, independent advisors is also vital. These advisors assist in organizing the process, outlining SEC reporting requirements, updating SEC-compliant financial reporting, preparing Management Discussion and Analysis (MD&A) and pro forma financial information, and offering guidance throughout the pre-IPO preparation.
  1. Governance. IPO-bound companies need to anticipate new corporate governance requirements as a publicly traded entity, particularly in terms of their board of directors. Proper governance and board oversight can be essential to support the quality of financial statements produced by management. Executives told us that recruiting the right board members is often a significant pre-IPO challenge. Identifying these members early is crucial, as the right resources may not be available later.

Closing thoughts

If you are among those companies looking to go public in the near future, now is the time to get your house in order. Companies are often surprised to discover how much preparation it truly takes to operate as a public company. In fact, we typically recommend starting the preparation journey 18 to 24 months before the anticipated public listing date. Simply stated, if you wait until the IPO window opens before gearing up, you likely will be gearing up for the next window.

Deloitte’s complimentary IPO

SelfAssess tool can help you gauge your ability to go public with a tailored assessment. The tool provides you with useful insights and identifies potential areas for improvement based on the feedback you provide.

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Will Braeutigam is the U.S. capital markets transactions leader at Deloitte & Touche LLP. Laura Evans is audit and assurance partner at Deloitte & Touche LLP.

Former Shopify exec joins Houston scale-up e-commerce software company

joining the team

Houston-based e-commerce software and services company Cart.com has hired a former Shopify executive as its chief people officer.

Before joining Cart.com, Lani Doyle was chief HR officer at Strategic Solutions Group, a provider of health care software. Previously, she was vice president of HR and people operations at 6 River Systems, a provider of software and robotics for warehouses. Prior to that, Doyle was head of talent development and operations at Shopify, an e-commerce platform for businesses that posted revenue of $7.1 billion in 2023.

Cart.com is one of the fastest-growing companies in commerce today, and I’m excited to partner with our teams to help drive growth and scalability,” Doyle says in a news release. “I am eager to contribute to shaping our culture and developing programming that supports and elevates high-performing teams, ensuring we achieve our ambitious goals.”

Omair Tariq, founder and CEO of Cart.com, describes Doyle as a “strategic leader” who will help develop the startup’s continually growing team. The company, founded in 2020 in Houston, employs more than 1,600 people.

“Her deep expertise in HR strategy and talent development will be instrumental as we accelerate our growth trajectory and foster a dynamic workplace culture,” says Frank Parker, chief operating officer of Cart.com.

In February, Cart.com made another high-level executive move by promoting Joe Barth from senior vice president of fulfillment to chief logistics officer.

Cart.com has more than 6,000 customers. The company handles more than 75 million orders per year from 14 fulfillment centers in the U.S.

Earlier this year, Tariq joined the Houston Innovators Podcast to share a bit about his company's growth and its relocation from Austin back to Houston.

"I think Austin served its purpose. It certainly allowed us to be in the limelight in all the right ways, and I'm grateful for it," Tariq says on the show. "But once we got to a point, once we closed our series C round and became a unicorn ... I think we're now at a scale where the infrastructure that Houston provides is probably something that will be more attractive and useful for us in the long term."