The Cannon launched Cannon Connect — an online platform that takes its community of entrepreneurs, investors, and more online — amid the pandemic and plans for growth. Photo courtesy of The Cannon

When the team at The Cannon — a Houston coworking company with three locations across town — was planning an online platform that would connect members across their properties in January, they didn't see a global pandemic enroute to upend how Houstonians work. It did, however, make the need for an online platform all the more relevant.

Now, Cannon Connect has launched to its members — and it comes equipped with virtual networking, job hunting, resources, and more. The whole goal of the platform is to democratize the programming, resources, and culture The Cannon has created.

"Our recognition was that we have a lot of value we can deliver," says Jon Lambert, CEO of The Cannon. "We want to provide the value that we have to entrepreneurs anywhere and everywhere — we don't want to preclude entrepreneurs, investors, advisers, and service providers from being part of what The Cannon is trying to build just because you're not close to one of our facilities."

Cannon Connect acts as a virtual hub for networking, resources, and more. Photo courtesy of The Cannon

A pivot toward a virtual platform isn't a novel idea, Lambert admits, and other Houston organizations have rolled out their platforms — like Houston Exponential's HTX TechList and Sesh Coworking's Inner Circle. However, The Cannon's main goal is replicating the community it has in its locations and creating an online space for that.

"Having a portal is one thing — creating an environment and an experience where people want to spend their time is another," Lambert says, comparing Cannon Connect to social media platforms and how people use them regularly to stay connected to what's going on.

Another differentiating factor is The Cannon is planning to have its platform used by more than just the Houston ecosystem. Lambert says that over the past year, he's talked to around 30 cities from around the world who are interested in The Cannon's concept. The "future-proofed" virtual platform will enable connectivity and consistency as the company grows.

Current members have access to the portal, and new members can opt in for $30 a month. Image courtesy of The Cannon

"If we're really going to create and grow this community, there's not a building that's big enough for every entrepreneur out there, but certainly in a digital environment, we have the ability to pull those folks in," Lambert tells InnovationMap.

While the conversations on physical spaces in these cities has stalled, Lambert says entering into new markets with a digital-first plan has become the new priority.

The online community is made up of a forum section, jobs board, knowledge center, and more. In the future, The Cannon, which recently acquired Houston crowdfunding platform LetsLaunch, will add in a crowdfunding capability to the site. Live streaming events is another tool that's in the works.

Cannon Connect is available to all Cannon coworking members, and online-only registration is $30 a month or $300 a year. The Cannon team is also working on creating a student membership option, which should be available in the near future.

Learn more in The Cannon's promotional video below:

The Cannon is an Entrepreneurial Ecosystem www.youtube.com

Impact Hub Houston has signed a new lease for the Downtown Houston Launch Pad, Rice students re-think dorm design, and more local innovation news. Photo courtesy of The Cannon

Impact Hub Houston has new HQ, HCC creates AI program, and more innovation news

Short stories

Houston's innovation ecosystem has been booming with news, and not all make the news. For this roundup of short stories within Houston innovation, a Houston startup incubator has a new home, a local school creates AI-focused program, Astros manager taps into sports tech, and more.

Impact Hub Houston makes downtown partnership

Impact Hub Houston has a new headquarters in downtown. Photo courtesy of Central Houston

Impact Hub Houston, a nonprofit organization that promotes and accelerates sustainability-focused startups, is resident partner at Downtown Launchpad, according to Central Houston and the Downtown Redevelopment Authority.

The organization now has a 10-year lease and a new headquarters for its team and events. Impact Hub joins two accelerator programs — MassChallenge Texas and gener8tor — which both have a global presence and launched in Houston in the past two years.

"We celebrate Central Houston's vision in launching this 'vertical village' and appreciate their ongoing support in including Impact Hub Houston as a part of it," says Grace Rodriguez, CEO and executive director of Impact Hub Houston, in a news release. "It takes a village to raise an entrepreneur, and now we have that village with the infrastructure and community to raise generations of diverse innovators. It's another exciting step towards our goal to build an authentically inclusive and equitable entrepreneurial ecosystem that looks like Houston and works for all in our region."

HCC introduces artificial intelligence program

Data science startup based in Houston focus on neuroscience software nabs $3.78M grant

A local college system is training the future AI workforce. Getty Images

Houston Community College is the first community college in the state to introduce a new program focused on artificial intelligence. The new Associate of Applied Science degree program has been approved by Southern Association of Colleges and Schools Commission on Colleges, according to a press release from HCC, and is available for the fall 2020 semester at HCC Southwest, HCC Northeast and HCC Southeast.

"It is the latest of HCC's ongoing efforts to embrace new technologies and keep a pulse on the ever-changing needs of the industry," HCC Chancellor Cesar Maldonado says in the release. "Offering an innovative program like AI will allow our students to take advantage of all the accelerated job openings in Houston, in Texas and beyond."

The new program exists to fill the rising need for AI professionals. Last year, the job site indeed.com identified machine learning engineers at the top of its annual list of the 25 best jobs, citing a 344 percent increase in job postings from 2015 to 2018 with an annual base salary of $146,000.

"Because of a dire shortage of AI specialists, many companies are offering big salaries," says G. Brown, Ph.D., program coordinator of Networking and Telecommunications at HCC Southwest, in the release. "AI specialists are in high demand by companies like Microsoft, Apple and Amazon, as well as NASA and SpaceX."

Rice project re-envisions dorm layouts

The dorm design created socially-distant spaces that can be used in times of a pandemic. Photo via rice.edu

Two Rice University students received top marks in the 2020 American Institute of Architects Houston (AIAH) Gulf Coast Green Student Competition for their pandemic-proof dorm design. Carrie Li and Mai Okimoto, both 2022 Rice master's of architecture students, won first place in the competition that challenged students to design a dorm for the University of Houston-Downtown that would adhere to the Centers for Disease Control's social distancing guidelines.

"Carrie and Mai's timely and innovative proposal is beautifully conceived, highly resolved and elegantly presented," says interim dean, John J. Casbarian, in a news release. "I am particularly struck by how seamlessly it addresses the pressing issues of flooding, natural ventilation and social distancing, and how well sited it is in relation to UHD while mitigating the adversity of the freeway expansion.The competition consisted of eight teams from Texas and Louisiana which presented to judges from Kirksey, PDR Corporation, Gensler, Walter P Moore and UH-D. Li and Okimoto's project features 432 units across three villages and even factored in the area's flooding challenges.

"[Our design] aims to: allow social interaction to happen on different scales, from the one-on-one connection to larger scale gatherings; provide the users with safe but varied circulation paths, through which natural ventilation also occurs; treat dining as a key socializing program; and address the site's flooding risks and impacts of the I-45 corridor expansion," Li says in the release.

City of Houston passes small business-focused economic relief initiative

A new program from the city of Houston is helping to provide funds for businesses affected by COVID-19. Getty Images

Last week, Mayor Sylvester Turner and the Houston City Council passed the city's Small Business Economic Relief Program, funded with $15 million of the City's allocated CARES Act 2020 funds. Small businesses can apply for up to $50,000 and the grant can be used for payroll, accounts payable, rent, mortgage, PPE for employees, marketing strategies, including creating an online presence and other sales alternatives.

"We know small businesses throughout Houston have suffered greatly due to the global pandemic, and it could take months or years before the business climate returns to normal," says Mayor Sylvester Turner in a news release. "I thank Vice Mayor Pro-Tem Martha Castex Tatum and other council members for bringing this program forward. We are working on other relief packages that will keep us Houston Strong as we navigate the public health crisis."

The program will be administered by Houston's Office of Business Opportunity and the Houston Business Development Inc.

To qualify for the SBERP, businesses must be located in Houston, have been in business for at least one year, provide evidence for revenue decrease due to COVID-19-caused closures, have less than $2 million in gross annual revenue pre-COVID-19, be in good standing with the city, and commit to complete technical assistance.

"The SBERP will help all sizes of small businesses move one step closer toward financial recovery. This program is intended to maximize the long-term, positive impact of these small businesses on our local economy through their contribution to job retention and the continued availability of their services," says Marsha Murray, director for the Office of Business Opportunity, in the release. "If our local small businesses did not qualify for other federal or local programs, or did not receive enough funds to mitigate the impact of the crisis, we encourage them to apply for this program."

Astros manager joins venture capital firm

Not only is Dusty Baker at the helm of the 2017 World Series-winning Astros, but he's also a founding partner of a sports-focused venture capital firm. Getty Images

The Houston Astros manager, Dusty Baker, is a founding partner of a new venture capital firm focused on sports tech and innovation. New York-based Turn2 Equity Partners is a new fund is beginning with a focus on amateur and professional baseball markets.

"For decades, baseball players, managers and executives have lended their credibility to brands as endorsers," Baker says in a press release. "With the establishment of Turn2 Equity, for the first time, faces of the game have the opportunity to own and influence people at all levels."

Co-founded by sports venture capitalists Jarett Sims and Peter Stein, the firm's team also includes Jim Duquette, New York Mets general manager; Bobby Evans, who was formerly with the San Francisco Giants as general manager; and John Haegele, the former CEO of Van Wagner Sports & Entertainment.

GotSpot Inc. places at veterans competition

A Houston startup that's using technology to optimize short-term real estate space took home a prize in a virtual pitch competition. Image via LinkedIn

Houston-based GotSpot Inc. has claimed another pitching competition prize for veteran-owned businesses. Reda Hicks, founder of the Houston startup, received third place and $10,000 at the Ford Fund Virtual Pitch Competition last month. Memphis-based Pure Light Clean Air Services took first place and $15,000 and Raleigh, North Carolina-based Blue Recruit won second place and $10,000.

"The experiences, teamwork and skills learned in service of our country can serve as a solid foundation for these men and women as they build sustainable businesses," says Yisel Cabrera, manager of the Ford Motor Company Fund, in a news release. "We're proud to work with Bunker Labs to assist these inspiring entrepreneurs as they pursue new roads to success."

Calling all energy startups

Upstream startups can submit to a new virtual pitch competition. Photo via atce.org

The Society of Petroleum Engineers is calling for applications from energy startups to compete in a virtual pitch competition. Applications for the ATCE Startup Village, which is a collaboration between SPE and the Rice Alliance for Technology and Entrepreneurship, are live online and due by August 14. The competition will take place Tuesday, October 13.

The competition is free to compete and to apply, and open to early stage upstream technology companies. Each company selected to present will have 5 to 8 minutes to provide a "quick pitch" about their company to a group of venture capitalists, angel investors, and industry leaders. Judging will be based on innovative technology, commercial strategy and business plan, market potential, and management team and advisers.

The Cannon Tower in downtown Houston now houses a new innovation hub that is geared at promoting resiliency. Image courtesy of The Cannon

New innovation hub focused on resilience rises in downtown Houston

new to hou

It's hurricane season in Houston, and, after months of reacting to a pandemic, resiliency and storm preparedness on the top of the businesses and local government's minds.

Insurance Information Institute and ResilientH20 Partners have teamed up with The Cannon to create the Gulf Coast & Southwest Resilience Innovation Hub, which is now open in downtown Houston's Cannon Tower (1801 Main Street, Suite 1300).

"The Cannon Tower will provide a seamless onboarding for the Resilience Innovation Hub's activities. Houston is already home to networks which focus on issues like sustainability, green infrastructure, and smart cities," says Remington Tonar, chief revenue officer of The Cannon Accelerator and Fund in a news release.

The hub will act as a space for private and public sector entities — from academic partners and tech companies to investors and government agencies — to work together on pre-disaster mitigation innovations.

"As households and businesses learn from past natural disasters, especially those which struck the U.S.'s Gulf Coast, the Resilience Innovation Hub can accelerate the deployment of products, services, and projects aimed at reducing disaster-caused losses in consultation with insurance carriers and brokers," says Michel Léonard, vice president and senior economist for the Insurance Information Institute.

The Cannon Tower also serves as the headquarters for ResilientH20 Partners, and the space will eventually house in-person events for resilience-focused programming and events. On July 16 at 8:30 a.m., the hub will host its inaugural "Lightning Round" session for technology companies and investors.

"There has been a widespread interest in, and demand for, best-in-class actionable, alternative disaster mitigation solutions since 2017's Hurricane Harvey and subsequent storms caused extensive insured losses to autos, homes, businesses, and governmental properties," says Richard Seline, managing partner of ResilientH2O Partners, in a news release.

According to the release, nine of the 10 most expensive hurricanes in the United States have occurred in the past 16 years.

"Society saves six dollars for every dollar spent through mitigation grants funded through federal agencies and even more progress can be made on this front through further investment in pre-disaster risk mitigation," Seline continues.

The Cannon has announced plans to acquire Houston-based crowdfunding startup LetsLaunch. Courtesy of Quy Tran/The Cannon

Exclusive: Houston entrepreneurial hub set to acquire local fintech startup

growth stage

The Cannon, a Houston startup development organization with a network of coworking hubs, has announced its plans to acquire a Houston fintech startup.

LetsLaunch, an online investment platform that allows for smaller investments from non-accredited investors, has been connected with The Cannon in the past, and the two entities have even had a partnership arrangement. Now, The Cannon has plans to acquire LetsLaunch in order to provide Cannon member companies with the fundraising option.

"The Cannon and LetsLaunch have a shared vision for enabling and optimizing the innovation ecosystem," says Jon Lambert, CEO of The Cannon, in a news release. "LetsLaunch has passionately developed a technology platform that will deliver significant value to the entrepreneurial community by bringing together start-ups and investors of all kinds. By integrating the LetsLaunch platform into The Cannon's digital offerings, we will enhance the fundraising and strategic connection value we offer to our innovation community."

Lambert says the opportunity to provide The Cannon's members this opportunity to fundraise comes at an important time.

"Fundraising in the COVID-19/Post COVID-19 era is, and is likely to remain, a bit of an unknown," he continues in the release. "Adding another viable funding channel for the startups in our community who are ready for investment will be a valued benefit for our members and will provide us exposure to a whole new group of entrepreneurial investors."

The terms of the deal haven't been disclosed, but it is expected to close in June 2020. The transaction remains subject to customary closing conditions and approvals.

"We built LetsLaunch to provide broad segments of the population with a mechanism to invest in startups, while giving startups another source of capital," says Nick Carnrite, who co-founded LetsLaunch in 2018, in the release. "Crowdfunding will always remain at LetsLaunch's core, but it also became clear we had a role to play in connecting the innovation community, including startups, investors, advisors, mentors and service providers, based on their location, interests and preferences."

According to the release, the acquisition falls in line with both companies' missions to help develop an ecosystem of resources for startups.

"[LetsLaunch's] vision is completely complementary to The Cannon's goal to develop a tightly integrated innovation ecosystem," adds Brian Coyle, co-founder of LetsLaunch. "There is no better time to work together to help support private businesses."

This week's batch of Houston innovators includes Lawson Gow of The Cannon, Tracey Shappro of VISION Production Group, and Seamus Curran of the University of Houston. Photos courtesy

3 Houston innovators to know this week

who's who

Across industries, Houston innovation leaders, entrepreneurs, and innovators are coming up with creative solutions for the coronavirus or its subsequent challenges — from digital resources to reliable face masks.

This week's innovators to know shared their thoughts with InnovationMap on how the pandemic is affecting their industries.

Lawson Gow, founder of The Cannon

Innovation leaders have worked hard to advance its innovation infrastructure, and Lawson Gow doesn't want to see COVID-19 hold Houston back. Photo courtesy of The Cannon

Lawson Gow is confident his coworking and entrepreneurial-focused business will survive the COVID-19 pandemic, but he remarks on this week's episode of the Houston Innovators Podcast that there will be a significant shift in how the city's developing innovation districts present themselves.

"What's interesting is if you read the academic literature on innovation districts, it talks about density, collisions, interactions, and an ecosystem of swirling hustle and bustle of people interacting with each other," Gow says. "It reads like a how-to manual for how to spread disease."

Gow, who is the son of David Gow, owner of InnovationMap's parent company, Gow Media, joins the podcast to explain what he's closely watching throughout the pandemic. Click here to read more and stream the episode.

Tracey Shappro, CEO and founder of VISION Production Group

A Houston company focused on event production is helping its clients navigate a socially distant, increasingly digital time. Photo courtesy of VISION Production Group

Events and conferences across the world have been hit hard by the coronavirus as everyone focuses on staying home and socially distant. But for Tracey Shappro, CEO and founder of Houston-based VISION Production Group, who's worked for over a decade in event production, says she sees an opportunity to advance her clients' digital presences.

"We've got to leverage all of these ways to communicate that are not based on group experiences," she tells InnovationMap. "And I think this position is really going to help our clients make the right decisions and [allow them to] have options on how they want to communicate and engage their audiences."

Shappro sat down with InnovationMap to talk about how to use technology to make events virtual due to the coronavirus pandemic. Click here to continue reading.

Seamus Curran, professor of physics at the University of Houston

A new technology developed by the University of Houston's Seamus Curran is making a mask that's more resistant to viruses. Photo courtesy of the University of Houston

Seamus Curran is well-known for his work commercializing nanotechnologies, and he is pulling from his past to deal with a future demand. The professor is using a hydrophobic coating he developed nearly 10 years ago to improve the ability of surgical masks to protect against transmission of the virus.

The world is in dire need of more face masks, and Curran notes that standard masks are "somewhat porous, and especially if they get wet, they can allow the virus to penetrate." People infected with the virus, he adds, could spread it even through a mask, while people who aren't sick could still become infected, despite wearing a less-protective mask.

Curran is hoping his solution can prove to be much more effective at preventing the spread of the disease. Click here to continue reading.

Innovation leaders have worked hard to advance its innovation infrastructure, and Lawson Gow doesn't want to see COVID-19 hold Houston back. Photo courtesy of The Cannon

Houston's innovation ecosystem can't lose momentum amid COVID-19, entrepreneur says

HOUSTON INNOVATORS PODCAST EPISODE 28

If you would have asked Lawson Gow a few weeks ago how he was feeling about the coronavirus closing down all three of his company's coworking spaces, his answer would have been pretty bleak. But now, as The Cannon has turned its attention to creating crisis-focused programming and digital resources and support for startups, he has a much more optimistic outlook on the future of his company.

What he's worried about now is the city as a whole losing its traction in developing its innovation ecosystem. Pre-COVID-19, the city was on a path to a robust and developing environment for startups and technology. Now, the city's innovation leaders need to stick together to keep from backtracking.

"We've got more momentum than we've ever had before," Gow says on this week's episode of the Houston Innovators Podcast. "What keeps me up at night is trying to consider how we don't lose any of this momentum. We're in a good, exciting spot. It's not an option for us as a city to lose this momentum right now."

While Gow — who is the son of David Gow, owner of InnovationMap's parent company, Gow Media — is optimistic about Houston's future, he notes how there will be a significant shift in the city's developing innovation districts present themselves.

"What's interesting is if you read the academic literature on innovation districts, it talks about density, collisions, interactions, and an ecosystem of swirling hustle and bustle of people interacting with each other," Gow says. "It reads like a how-to manual for how to spread disease."

When it comes to the future of coworking, Gow observes that, after companies have downsized and even let go of some physical space they have, shareable spaces — with the proper precautions — might be even more in demand.

"I think coming out of this, there's going to be a real place in the world for coworking. It's not going away, and, in fact, it's going to be even more necessary than ever," he says. "There's going to need to be policies and procedures that are much more mindful of health and wellness and the spread of infection."

There's still a lot to be determined on how The Cannon will emerge from the shutdown and what sort of new methods of keeping members safe and healthy they will implement — but Gow says knows those days are coming.

"There's a resiliency to the human spirit — and also an insistence on living life uninterrupted," Gow says on the episode. "We will get back to normalcy. I think it'll be gradual."

Gow shares his thoughts on the pandemic, as well as his advice for struggling startups on the podcast. Listen to the full episode below — or wherever you get your podcasts — and subscribe for weekly episodes.


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Houston coworking space to donate office space to startups affected by COVID-19

need some space?

A Houston-based commercial real estate company in the historic East Downtown District, is giving away free space to two startups who have been negatively impacted by the COVID-19 crisis.

The Headquarters is currently accepting submissions from startups, founders, and entrepreneurs to be considered for free office space through Friday, October 2, with recipients set to be announced the week of October 5th.

Founded in 2014 by brother and sister duo, Peter and Devin Licata, Headquarters provides flexible office space and suites to startups and young businesses in a variety of industries. Inspired by creative office spaces in Denver and coworking sites to create a completely new way to work.

Devin and Peter Licata founded Headquarters six years ago. Photo courtesy of Headquarters

"For Devin and I being local Houstonians," says Peter. "It was very exciting to bring a product to Houston that we had never seen before in the city. When we started the search for a building, we had a very specific idea of how we wanted it to look and feel, and the amenities we wanted to provide."

The building located on 3302 Canal St, was repurposed from an old warehouse built in the mid 20th century. The Licatas spent about eight months designing the building, which had sat vacant for seven years. The design features, evoke a feeling of a corporate campus but for small business which works perfectly for COVID-19 social distancing measures.

"One of the things we wanted was really wide hallways," says Devin. "Typical hallways here are about seven feet, when we were working with our architect we said, double it. The specific visuals are there to invoke a feeling, with an interior courtyard, and lots of natural light.

"Our architects weren't used to working with clients in commercial real estate who were designing based on an office where we would want to work, instead of a client who wanted to maximize every square footage."

The coworking space is adhering to social distancing recommendations. Photo courtesy of Headquarters

The wide open spaces, with hallways over 13 feet wide, high ceilings about 18 feet tall, and HVAC unit that does not recirculate air, along with the office suites that are on average 2 to 3 times larger than other coworking spaces allows all of their tenants to practice social distancing in a safe environment.

Headquarters is monitoring infection rates locally, while following safety guidelines to operate their facility safely. All guests are required to answer health screening questions upon entry and wear face coverings. They continue to clean all common areas and high touch surfaces with EPA-approved products and provide hand sanitizer at all points of entry.

With 35,000 square feet in total and 45 office suites, the Licatas say they chose the East End as their headquarters because of its close proximity to downtown and renewing growth of the community.

"The East End was an obvious location for us, we had been looking for buildings in the area for other development opportunities," says Devin. "Given it's proximity to downtown and its access to three different freeways, from a commuter standpoint it was really important as well as the community aspect."

Headquarters is located just east of downtown Houston. Photo courtesy of Headquarters

Mental health gets a spotlight at free online summit for Houston employers

Mental Health Matters

While the world's population has been focused on the physical effects of COVID-19, there hasn't always been as much attention paid to mental health amid the pandemic.

Every socio-economic class, demographic group, and industry has felt the strain, brought on by social isolation, job instability, and increased stress.

"It quickly became clear that these preventative measures, while recommended for reducing the spread of COVID-19 in the workplace, were not providing the feeling of security for company employees that we had hoped for," says Next Level Urgent Care's chief medical officer, Karen Rakers, MD. "We needed to address employee mental health."

Next Level Urgent Care began COVID-19 testing across its 15 urgent care locations in March, and shortly after expanded into Houston workplaces, providing onsite COVID-19 testing and temperature checks for large employers in the Houston area.

When it became clear that mental health required more attention than it had been getting, the Next Level Health and Wellness team worked with clinical psychologist Ilyssa Bass, PhD, to assemble a group of diverse mental health and workplace wellness professionals.

Together, they worked to address mental health stigma in the workplace and educate employers on how to implement creative solutions to address employee mental health issues.

One of the major results is the Prioritizing Workplace Wellness Summit, a free five-day virtual event taking place September 28-October 2.

Attendees can look forward to interviews with more than 25 interviews experts, including such as Sally Spencer-Thomas, Psy.D; Daryl Shorter, MD; Craig Kramer; Liz Kislik; Bill Judge, JD, LL.M; and Jeff Gorter, LMSW.

Here's a taste of what you'll discover during the summit:

  • How a multi-faceted approach to improving the mental health of an employee group leads to success
  • Which qualities make organizations resilient when responding to crises including the pandemic
  • Leadership skills and techniques that help maintain a strong workforce
  • Threat assessments and multidisciplinary workplace violence prevention programs to keep an employee group safe
  • How now, more than ever, technology can help reach the masses and deliver easily accessible solutions for common mental health issues
  • Steps employers can take to reduce stigma in their organizations
  • Why the time for action is right now during the pandemic

As a bonus, each free ticket also comes with access to an exclusive new report, "The Top Workplace Wellness and Mental Health Strategies."

Sign up to discover what's working today to optimize mental health in the workplace — your employees will thank you.

Exclusive: Houston blockchain startup closes $4M series B round led by new investor

money moves

An industrial blockchain-as-a-service startup based in Houston has closed a series B funding round thanks to support from both new and returning investors.

Data Gumbo Corp., which uses its blockchain network GumboNet to optimize smart contracts for oil and gas supply chains, announced its first close in its $4 million series B funding round that was led by new investor L37, which has operations in the Bay Area and in Houston. The round also saw contribution from returning investors Equinor Ventures and Saudi Aramco Energy Venture.

The funds will go toward growing Data Gumbo's sales team, which has been busy with the company's growth. While providing their own set of challenges and obstacles, both the pandemic and drop in oil prices meant oil and gas companies are prioritizing lean operations — something DataGumbo is able to help with.

"The opportunity in all this is companies have got to cut expenses," Andrew Bruce, CEO and founder, tells InnovationMap. "What's happened to us is our sales have absolutely exploded — in a good way. We have a huge number of leads, and we have to be able to deliver on those leads."

Bruce says leading the sales growth is Bill Arend, who was hired Data Gumbo's chief commercial officer this spring. Data Gumbo also recently announced that Richard Dobbs, 30-year veteran of McKinsey and former director of the McKinsey Global Institute, has joined the board as chairman.

"Dobbs is a recognized strategic industry thinker," Bruce says in a release. "His distinct expertise will lend structure, support and validation to Data Gumbo as we experience aggressive company growth."

Of course, fundraising in this unprecedented time, isn't easy. Bruce says he and his team were able to succeed thanks to a new investor, L37, which came from an introduction within Bruce's network.

"Data Gumbo is the category leader for industrial smart contracts, which is an inevitable next step in digital transformation of the oil and gas industry," says Kemal Farid, a partner in L37, in a statement. "There is a lack of transparency, visibility and accuracy between counterparts of contracts that increases the costs of doing business and this has been greatly exacerbated by the current business landscape. We look forward to applying our experience to propel the company along its journey to bring transactional certainty and cost efficiency to commercial relationships."

Additionally, Bruce says he's very proud of his company's return investors, who are also clients of DataGumbo.

"[We also have] the continuous support by our original investors — Aramco and Equinor — they invested in us not just once but twice," Bruce says. "They have been tremendously supportive, not just from an investor perspective, but also proving the value. We've got multiple projects starting with both of those companies."

Bruce says he already has eyes for another venture capital round — perhaps sometime next year — for Data Gumbo, which has raised $14.8 million to date. However, the company isn't far from profitability and growth from that avenue too.

"We're going to have the luxury of choice," Bruce says. "We want to grow as aggressively as possible so we are probably going to go the venture capital route."


GumboNet: Smart Contacts Made Simple www.youtube.com