Houston scores top ranking of best cities for entrepreneurs

easy living

The Bayou City ranks highly thanks to a high quality-of-living score, lack of a state income tax and state capital gains tax, and a state sales tax rate of 6.25 percent. Photo by Natalie Harms/InnovationMap

Houston joins Dallas and Austin in a new ranking of the 10 best U.S. cities for entrepreneurs to live.

Houston appears at No. 7 on the list, compiled by SumUp, which provides payment and banking services for businesses. In part, Bayou City ranks highly thanks to a high quality-of-living score. Houston also fares well due to the lack of a state income tax and state capital gains tax, and a state sales tax rate of 6.25 percent.

Here are the top 10 places in the U.S. for entrepreneurs to live, according to SumUp:

New York City
Chicago
Miami
Los Angeles
Dallas
Austin
Houston
Seattle
Washington, D.C.
Boston

SumUp, based in the United Kingdom, weighed 16 factors to come up with the ranking. These factors included tax rates, number of millionaires, internet speeds, and number of international airports.

Not surprisingly, the ranking factors featured a decidedly British slant. For instance, the ranking took into account Google and TikTok search volumes in the United Kingdom for “Moving to [city name].”

Of course, Houston offers more entrepreneurial advantages than the ones cited by SumUp. For example:

Rice University’s Jones Graduate School of Business ranks as the country’s No. 1 graduate entrepreneurship program, according to The Princeton Review and Entrepreneur magazine.
The University of Houston’s Cyvia and Melvyn Wolff Center for Entrepreneurship at the C.T. Bauer College of Business ranks as the No. 1 undergraduate entrepreneurship program, according to The Princeton Review and Entrepreneur magazine.
The George W. Bush Presidential Center awarded Houston the No. 6 spot on its 2024 ranking of the top U.S. metro areas for university innovation.
A 2023 ranking from the LendingTree personal finance website put Houston in 13th place among the U.S. metro areas where minority entrepreneurs are enjoying the most success.
“Houston’s reputation for entrepreneurship is inextricably linked to the city’s diversity,” the Understanding Houston website notes.

“The growing populations in Houston from diverse backgrounds, namely immigrants and people of color, are not only the economic and cultural driving force for the evolution of our city, but also the future of our country.”

From Your Site Articles

Ad Placement 300x100

Ad Placement 300x600

CultureMap Emails are Awesome

Property Showcase

10+ can't-miss Houston business and innovation events for October

WHERE TO BE

From networking meetups to pitch competitions, October is lined with opportunities for Houston innovators.

Here's a roundup of events you won't want to miss out on so mark your calendars and register accordingly.

Note: This post might be updated to add more events.

Additionally, mark your calendars for November 14 for the annual Houston Innovation Awards.

October 3 — Texas Venture Fest: Houston Edition

More than 10 cities simultaneously host this statewide phenomenon, as Texans rally to see innovation flourish. Hear from leaders in impact investing, climate tech startups, and sports tech entrepreneurs. This year's event registration asks for your favorite investor, startup, and community leader for the Texan's Choice Awards— the "People's Choice Awards" for statewide innovation.

This event is Thursday, October 3, from 8:30 am to 8 pm at the Niels Esperson Building. Click here to register.

October 4 — 15th Annual Yatsu Day Symposium

This year’s symposium, “Reviving Hope: AI Innovations and Emerging Technologies in Stroke Recovery,” will unpack life-changing research into emerging stroke recovery technology and methods. This comprehensive program will explore critical topics such as artificial intelligence in healthcare, cognitive recovery post-stroke, stroke rehabilitation and recovery, tele-health, pediatric stroke recovery, and more.

This event is Friday, October 4, from 8 am to 4 pm at the Cooley Center. Click here to register.

October 9 — Future of Global Energy Conference

This premier event convenes industry leaders, policymakers, innovators, and academics to explore Houston's pivotal role in addressing the dual challenge of meeting growing energy demands while reducing carbon emissions. This conference delves into Houston's unique position to lead in this effort, driving innovation, collaboration, and investment towards a sustainable, low-carbon future.

This event is Wednesday, October 9, from 8:15 am to 5:30 pm at Hilton Americas. Click here to register.

October 9 — Houston Methodist & Ion Digital Innovation Reverse Pitch Info Session

Innovators, engineers, students, start-ups, developers, experts, and community members alike can take part in Houston Methodist and Ion's first reverse pitch event. During this session, attendees will hear from Houston Methodist leaders about the problem statement, goals & objectives, program guidelines and timeframe to develop a unique digital solution to help advance the healthcare industry into the future.

This event is Wednesday, October 9, from 4 to 6 pm at the Ion. Click here to register.

October 10 — Fall 2024 TIEEP Energy Forum

The mission of the Texas Industrial Energy Efficiency Program (TIEEP) is to provide thought-leadership, sharing ideas, technologies, opportunities and timely information to Texas industries on ever-improving energy intensity, reduced environmental impact, resilience, and enhanced social and economic development. In this forum experts and attendees will discuss how the cost of decarbonization can be lowered, by examining both technical and financial strategies, as the industrial sector strives to meet increasingly aggressive goals.

This event is Thursday, October 10, from 4 to 6 pm at University of St. Thomas Center for Science and Health Professionals. Click here to register.

October 14-15 — IMPACT 2024: Cognite’s AI and Industrial Data Conference

This global data and AI conference will bring together digital-first innovators and leaders across energy, manufacturing, and power and renewables, from around the world and will showcase real-world success stories, case studies, and state-of-the-art digital transformation strategies. The focus will be on the latest industrial Data and AI trends, hands-on practitioner sessions, proven success sharing, and peer networking.

This event begins Sunday, October 13, from 6 to 10 pm at Norris Conference Center. Click here to register and for the full schedule of events.

October 16 — Houston Methodist Clinician Speaker Series - Dr. Jonathan Rogg

Head to the Houston Methodist Tech Hub at Ion for another clinician speaker series presentation by Dr. Jonathan Rogg.

Jonathan Rogg, MD, MBA is an Emergency Physician, Vice President and Incoming Chief Quality Officer at Houston Methodist Hospital. Dr. Rogg will speak about emergency room operations from a clinical and administrative lens and the innovations being implemented in this unique hospital setting.

This event is Wednesday, October 16, from 4:45 to 6 pm at the Ion. Click here to register.

October 19 — Energy Day

Energy Day is Houston’s largest annual free family festival showcasing science, technology, engineering, and mathematics (STEM). Energy Day has nearly 70 interactive demonstrations and exhibits that teach students and their families about the various forms of energy through STEM fields, along with efficiency, conservation, and other related STEM industries.

This event is Saturday, October 19, from 11 am to 3 pm at Sam Houston Park. Click here to register.

October 22 — The Greentown Labs Climatetech Summit 2024

Greentown Labs invites you, your colleagues, and all the climate champions in your life to step into their incubators for a day of hands-on exploration with our 200+ startups and their climatetech solutions; keynotes and sessions featuring leaders across climatetech, finance, policy, and equity; and networking with key climate-action trailblazers.

This event is Tuesday, October 22, from 8 am to 7 pm at Greentown Labs. Click here to register.

October 23 — TiE Women Houston Showcase

TiE Global is a nonprofit venture devoted to entrepreneurs in all industries, at all stages, from incubation, throughout the entrepreneurial lifecycle. Meet this years TiE Women Houston finalists, program co-leads, and community partners. There will be panels, pitches, awards, and networking.

This event is Wednesday, October 23, from 4 to 6 pm at the Ion. Click here to register.

October 28 — October Odyssey: Start Ups in Space

The final event in TMC's October Odyssey speaker series will feature innovative discussions at the intersection of space and healthcare. Hear from the visionary founders of TMC Innovation startups as they share how space has played a pivotal role in their entrepreneurial journeys. Moderated by Emily Reiser, Ph.D., Strategy and New Ventures at TMC, this engaging session will explore how these startups are revolutionizing healthcare on Earth and pushing the boundaries of what’s possible in space.

This event is Monday, October 28, from 9 to 10:30 am at TMC Helix Park. Click here to register.

Houston PE firm scores $725M to launch new business unit to invest in decarbonization

seeing green

Houston-based Ara Partners, a private equity firm that focuses on industrial decarbonization investments, is receiving up to $725 million from a Tennessee-based family office to launch an energy decarbonization unit.

HF Capital, the Knoxville, Tennessee-based investment arm of the Haslam family, made the multimillion-dollar commitment to set up Ara Energy Decarbonization. The new business will work toward reducing carbon emissions at ethanol plants, natural gas power plants, and other traditional energy assets.

The Haslam family founded Pilot Co., North America’s largest transportation fuel business and chain of travel centers. Shameek Konar, former CEO of Pilot, has been tapped to lead Ara Energy Decarbonization.

“It is an uncomfortable truth that highly pollutive energy sources are going to play an essential role in delivering an energy transition over the next several decades,” Charles Cherington, co-founder and managing partner of Ara, says in a news release. “We can ignore these staggering carbon emissions, or we can apply our proven methods and financing expertise to decarbonize the conventional energy value chain.”

The energy sector accounts for more than 75 percent of global greenhouse gas emissions.

“The world’s energy demands are increasing and complex, and renewable power needs time and support for it to fulfill rising global energy demand. Ara’s … skillset, portfolio network, and decarbonization management knowledge [are] perfectly positioned to attack the carbon-intensive energy sector,” Konar says.

Ara Partners closed its third private equity fund in December 2023 with over $2.8 billion in new commitments. As of June 30, 2024, Ara Partners had about $6.3 billion of assets under management.

------

This article originally ran on EnergyCapital.

Expert advice: Should your Houston startup apply for this lesser known SBIR grant?

guest column

Inside the Department of Commerce is a relatively small federal agency, compared to the others, call the National Oceanic and Atmospheric Administration. They too have a small business innovation research (or SBIR) program in which technology startups can have access to funds to de-risk their innovation.

Here’s what you need to know about this non-dilutive funding opportunity:

Overview of NOAA’s SBIR Program

Although the SBIR program has been around for over forty years, NOAA entered the scene in 2010 when their research and development budget reached over $100 million. Per the federal statue, they joined a host of federal agencies that were to devote 3.2 percent of that budget to small businesses.

In the last few years, NOAA has devoted $10 to $15 million annually to small businesses in the form of SBIR grants. These Phase I awards have reached $175,000 in funding for a six-month feasibility study. Follow-on Phase II awards can reach up to $650,000 for 24 months of R&D. Each year’s solicitation is generally announced near the end of the calendar year with deadlines ranging from December to March. While not exactly cyclical, anticipating these deadlines allows a company to set aside enough to prepare a proper application.

What is NOAA Looking For?

According to the NOAA’s website, “NOAA is an agency that enriches life through science. Our reach goes from the surface of the sun to the depths of the ocean floor as we work to keep the public informed of the changing environment around them.“ Their SBIR research topics have stayed consistent since 2011 with minor general topic changes. These six topics have been the same for the last two funding cycles:

9.1 Extreme Events and Cascading Hazards
9.2 Coastal Resilience
9.3 The Changing Ocean
9.4 Water Availability, Quality, and Risk
9.5 Effects of Space Weather
9.6 Monitoring and Modeling for Climate Change Mitigation

When analyzing past winners, which you can find online, a clear emphasis is placed on developing advanced tools for data collection, analysis, and prediction, particularly in the areas of weather forecasting, oceanic observation, and ecosystem health. Many projects involve AI and machine learning for processing large datasets to improve decision-making in disaster response, fishery management, and habitat conservation.

The recurring theme of scalability, real-time data applications, and cost-effective, sustainable solutions shows NOAA's interest in technologies that not only address immediate environmental challenges but also have broader implications for global climate and ecosystem management. Additionally, NOAA seems to value partnerships that leverage cross-disciplinary expertise, integrating cutting-edge science with practical applications.

Their grading criteria also give you some early insight into what they are interested in receiving:

The scientific merit and technical approach of the proposed research (40 points)
The level of innovation the proposed effort offers to the research topic area (20 points)
Consideration of an application’s commercial and societal impacts and potential applications (20 points)
Qualifications of the proposed principal/key investigators, supporting staff, and consultants and availability of instrumentation and physical facilities necessary to complete the proposed work (20 points)

How to Apply

Because of the previous trends, we anticipate NOAA will publish a similar list of research topics along the same lines as the last few years within the next several months. With a deadline being between December and March, it’s in your best interest to begin preparing your application now. Here are the first three early steps I’d recommend for you to get a headstart:

Check your eligibility
- You must be a for-profit organization.
- You must have fewer than 500 employees
- You must be primarily owned by a U.S. citizen or permanent resident
- You must not be majority owned by venture capital or private equity
Complete your registrations
- System for Award Management (SAM) — registration can take over a month and must be renewed on an annual basis.
- Small Business Association SBA — registration can take up to 90 days.
- Grants.gov — registration typically takes between three to 10 business days.
Start writing your first sections
- Develop your abstract and specific aims. If possible, schedule a meeting with a program manager from NOAA to review and provide early feedback on these early sections.

Don’t Forget About Asking for Help

Practice regular and open communication with NOAA and their SBIR program managers. Ask questions early and often to make sure you have the best chance of receiving positive feedback when you finally submit your application. I’d encourage you to find previous NOAA SBIR reviewers to do a preliminary review before your submission. Since these solicitations only come around once a year, it’s worth the time and effort to polish your application to the highest degree. If you’re worried about the time commitment of writing a 15 page application for funding, find a local grant writer (or grant writing firm) to help with application and submission process.

Finally, good luck to all you NOAA applications as you innovate in such a way to make the world a better place.