Startup founders seek answers to how PPP loan funds provide their companies security and support. Miguel Tovar/University of Houston

Unless you've been vacationing on Mars for the past six months, you know that a $2 trillion Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was recently approved by Congress. Business owners are sifting through the fine print to see if they qualify for PPP loans for startups.

The stimulus package carries provisions that will surely assist startups and small business during our current state of national emergency. The most notable part of this legislation is known as the Paycheck Protection Program, or PPP.

"Under the PPP, startups can qualify to attain a forgivable loan of 2.5 times the average monthly payroll, with restrictions, of course," explained the vice president of communications for Zeni Inc., Emilie Pires.

Emilie Pires oversees Zeni, a company that helps startups manage financial affairs and helps clients apply for PPP loans.

The federal government has a history of lending to small businesses through the Small Business Administration. The PPP loan differs from past loans, however, because it can be forgiven, and because it doesn't require a personal guarantee.

"Loan forgiveness is the most notable aspect of the PPP. It is significant because if you comply with the requirements, the loan actually functions like more of a grant. It's non-dilutive capital from the federal government to keep your company alive," Pires continued.

Perks of PPP

According to Bloomberg business writer Sara McBride, not requiring a personal guarantee gives startup founders a much needed boost.

"If a loan requires a personal guarantee, the founder would likely be weighed down with heavy personal debt if the startup ended up failing. A loan like this is not very appealing, so it's a big deal that the PPP loan doesn't require a personal guarantee."

Here are the two requirements if you want the loan to be forgiven. Per Bloomberg:

1) You must spend the money within 24 weeks of receiving funds, and;

2) You must use the loan on payroll, rent, mortgage, interest, or utilities.

The affiliate rule

Here's where it gets a little dicey. First off, it's best to consult a lawyer regarding the specifics of the affiliate rule. The affiliate rule essentially states that, if you own multiple startups, you have to count all the employees of all your companies when determining if you qualify for the PPP loan, which requires you to have less than 500 employees total to qualify.

With that said, here is an interpretation given by tech industry venture capitalist and lawyer Ed Zimmerman: "You might be able to skate by the affiliate rule if no one who owns other companies has more than a 20 percent stake in your company, and if no one in your company has enough control to veto any actions from your board."

Qualifying for PPP

Zimmerman also lays out a three-question test that might help you determine if your venture capitalist-supported startup qualifies for a PPP loan. The three questions are:

1) Does your venture capitalist hold 50 percent of your company's equity?

2) Even aside from that, does at least one venture capitalist control the majority of the company's board?

3) Further, does any venture capitalist control large portions of protective provisions, allowing him or her to veto corporate action, giving this venture capitalist control of the startup?

According to Zimmerman, if your answer to any one of the above is yes, you should attain legal counsel. If you answered no to all three, that's great news for you (but should still seek out legal counsel).

It is worth noting that the CARES Act does offer a program for companies with up to 10,000 employees. But those rates will be higher and will come with much bigger caveats.

Again, it's best to consult a lawyer to decide if you qualify to avoid the affiliate rule.

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This article originally appeared on the University of Houston's The Big Idea. Rene Cantu, the author of this piece, is the writer and editor at UH Division of Research.

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6 Houston health tech startups making major advancements right now

meet the finalists

Home to leading hospitals, universities and health-focused incubators, Houston is a breeding ground for innovative medical technology and breakthroughs that can improve outcomes and lead to a better quality of life for patients.

The Health Tech Business category in our 2025 Houston Innovation Awards will honor an innovative startup within the health and medical technology sectors.

Six forward-thinking businesses have been named finalists for the 2025 award. They range from an end-of-life care company to others developing devices and systems for heart monitoring, sleep apnea, hearing loss and more.

Read more about these businesses, their innovative founders, and how they're shaping the future of health care below. Then join us at the Houston Innovation Awards on Nov. 13 at Greentown Labs, when the winner will be unveiled at our live awards ceremony.

Tickets are now on sale for this exclusive event celebrating all things Houston Innovation.

Bairitone Health

Bairitone Health is bringing anatomy imaging for sleep apnea to the home environment. The company's platform maps users' anatomy during natural sleep using a facial patch to determine the root cause of airway obstruction. It then offers effective therapies for each patient. The system is currently in the research and development phase and is being used in clinical trials and studies.

The company was founded in 2022 in the Texas Medical Center's Biodesign program by CEO Meagan Pitcher, CTO Onur Kilic and chief medical officer Britt Cross. It was a member of Activate Houston's inaugural cohort and has participated in numerous accelerators and incubators. It raised a pre-seed round last year of $435,000.

Corveus Medical

Corveus Medical has developed a novel catheter device that allows cardiologists to perform a splanchnic nerve ablation, restoring the pressure balance in patients with moderate heart failure. Its pre-FDA-approved, minimally invasive solution deactivates a nerve that has been demonstrated to be a root cause behind heart failure progression, which allows physicians to treat patients who have traditionally had few options.

The company, formerly known as Caridian Medical, was founded in 2021 by CEO Tyler Melton and CMO Ishan Kamat. It has participated in incubators such as TMC Biodesign, Y Combinator, MedTech Innovator and Fogarty Innovation and was named one of the 10 most promising life science companies at Texas Life Science Forum in 2022. The company says it will move toward validation and verification testing for its device in Q4 of this year.

FibroBiologics

Regenerative medicine company FibroBioligics uses fibroblasts, the body’s most common type of cell, rather than stem cells, to help grow new cells to repair tissue and modulate the immune system. The cell therapies offer treatments for chronic conditions such as degenerative disc disease, multiple sclerosis and non-healing wounds.

The publicly traded company was founded in 2021 by CEO Pete O'Heeron. It opened a new 10,000-square-foot Houston lab earlier this year to scale up research efforts and pave the way for in-house manufacturing. The company says it plans to launch its first clinical trial for diabetic foot ulcers soon, representing the transition of its fibroblast technology to the clinic setting.

Koda Health

Koda Health has developed an advance care planning platform (ACP) that allows users to document and share their care preferences, goals and advance directives for health systems. The web-based platform guides patients through values-based decisions with interactive tools and generates state-specific, legally compliant documents that integrate seamlessly with electronic health record systems. The company also added kidney action planning to its suite of services for patients with serious illnesses last year.

Koda Health was founded out of the TMC's Biodesign Fellowship in 2020 by CEO Tatiana Fofanova, chief medical officer Dr. Desh Mohan, and chief technology officer Katelin Cherry. The company raised a $7 million series A earlier this year, and also announced major partnerships and integrations with Epic, Guidehealth, Medical Home Network, Privia Health and others.

NanoEar

NanoEar has miniaturized hearing aid technology so that it can be implanted across the eardrum, allowing adults with age-related hearing loss to enjoy better sound quality than they would with behind-the-ear hearing aids.

Dr. Ron Moses, an ENT specialist and surgeon at Houston Methodist, developed the technology, and the company was founded in 2016 with CFO Willem Vermaat and COO Michael Moore. The company participated in the TMC Innovation Institute in 2016. It has issued nine U.S. patents and performed successful human cadaver and animal proof-of-concept experiments. Its next step is developing a prototype.

Wellysis USA

Wellysis USA Inc. works to detect heart rhythm disorders with its continuous ECG/EKG monitor with AI reporting. Its S-Patch cardiac monitor is designed for extended testing periods of up to 14 days on a single battery charge. The device weighs only 9 grams, is waterproof and designed to be comfortable to wear, and is considered to have a high detection rate for arrhythmias. It is ideally suited for patient-centric clinical trials to help physicians make diagnoses faster, cheaper and more conveniently.

It was established in Houston in 2023 and participated in the JLABS SFF Program the same year. It closed a $12 million series B last year. It was founded by CEO Young Juhn, CTO Rick Kim, CFO JungSoo Kim and chief strategy officer JoongWoo Kim.

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The Houston Innovation Awards program is sponsored by Houston Community College, Houston Powder Coaters, FLIGHT by Yuengling, and more to be announced soon. For sponsorship opportunities, please contact sales@innovationmap.com.

Houston university is at the top of the class in new college ranking

Top of the Class

Rice University is maintaining its reputation as one of the top colleges in the U.S., according to a new batch of rankings from WalletHub.

Rice topped WalletHub's 2026 lists comparing the best colleges and universities in Texas and the best universities in the South. The private institution also ranked as the 9th best university in the country, three spots lower than its 2024 ranking.

The personal finance website's experts analyzed nearly 800 colleges and universities in the U.S. using 30 key metrics, including factors like student-faculty ratios, graduation rates, campus safety, and many more.

Rice was ranked across seven major categories in the report and scored highly for its faculty resources (No. 10), student educational outcomes (No. 12), student selectivity (No. 16), student career outcomes (No. 26), and campus experience (No. 46).

The only two categories Rice lagged behind in were campus safety (No. 576) and cost and financing (No. 700). U.S. News & World Report says tuition and fees at Rice can add up to more than $65,000 per year for in-state students, with the total cost soaring to nearly $84,000 when factoring in the price for housing, food, books and supplies, transportation, and personal expenses.

In addition to topping WalletHub's rankings, Rice has also claimed top spots in other prestigious lists by U.S. News, Forbes, The Princeton Review, and more. Rice's revered graduate schools – including the MBA program at the Jones Graduate School of Business and Brown School of Engineering and Computing – are also among the best in the country, according to U.S. News and The Princeton Review.

Locally, University of Houston also ranked among the statewide top 10 and ranked as the 268th best university in the U.S. for 2026. In the regional rankings of best universities in the South, UH ranked 52nd on the list

The 10 best colleges and universities in Texas for 2026 are:

  • No. 1 – Rice University, Houston
  • No. 2 – The University of Texas at Austin
  • No. 3 – Trinity University, San Antonio
  • No. 4 – Texas A&M University-College Station
  • No. 5 – Texas Christian University, Fort Worth
  • No. 6 – Austin College, Sherman
  • No. 7 – Southwestern University, Georgetown
  • No. 8 – University of Dallas
  • No. 9 – The University of Texas at Dallas
  • No. 10 – University of Houston
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This article originally appeared on CultureMap.com.

Port Houston reports emissions progress as cargo volumes climb

Greener growth

Port Houston’s initiatives to reduce emissions have shown some positive results, according to new data from the Port of Houston Authority.

Pulling from the Goods Movement Emissions Inventory (GMEI) report, which tracks port-related air emissions, Port Houston cited several improvements compared to the most recent report from 2019.

The port has seen total tonnage and container volumes increase by 16 percent and 28 percent, respectively, since 2019. However, greenhouse gas emissions have increased at a slower rate, growing only by 10 percent during the same time period, according to the data.

Additionally, emissions of nitrogen oxide fell by 7 percent, and emissions of particulate matter fell by 4 percent, despite adding 280 more pieces of cargo handling equipment.

“These results show that our emission-reduction efforts are working, and we are moving in the right direction,” Chairman Ric Campo said in a news release.

The Port Commission also recently approved items related to the $3 million U.S. Environmental Protection Agency Clean Ports Program (CPP) grant, which it received last year. The items will allow the port to work towards five new sustainability initiatives.

They include:

  1. An inventory of the port’s Scopes 1, 2, and 3 for greenhouse gas emissions
  2. A Port Area Climate Action Plan for the area and surrounding communities
  3. A CPP Truck Route Analysis
  4. Creation of the CPP Trucking Industry Collaborative
  5. Design of a customized website for Port of Houston Partners in Maritime Education, which is a non-profit leading maritime workforce development effort in local schools

Port Houston aims to be carbon neutral by 2050.