growth stage

Exclusive: Houston entrepreneurial hub set to acquire local fintech startup

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

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."

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Building Houston

 
 

You can order Mala Sichuan to be delivered thanks to newly launched Chowbus. Photo by Isabel Protomartir

A new delivery app wants to make it easier for Houstonians to access the best dishes from Chinatown. Chowbus, a nationwide service that focuses on Asian cuisines, has arrived in Houston.

Among the 80-plus restaurants available at launch, diners may use the app to order dishes from Chinatown favorites such as Mala Sichuan Bistro, Arco Seafood, and Ocean Palace as well as relative newcomers like Chengdu Taste, Chongqing Chicken Pot, and Meet Fresh. Deliveries are available from 11 am to 10 pm to points within the Houston city limits as well as to suburbs such as Pearland, Sugar Land, and Katy.

Customers pay a delivery fee that costs between $2.99 and $4.99 depending on their proximity to the restaurant, but the app does provide a bundling option that allows people to order dishes from multiple restaurants without paying an additional fee. True die-hards can subscribe to Chowbus Plus; for $9.99 per month, all deliveries over $25 are free and deliveries between $15 and $25 cost $1.99.

"We are excited to roll out our service to the Houston community," Chowbus co-founder and CEO Linxin Wen said in a statement. "The city is known for its vibrant culinary scene, which includes tons of great authentic Asian restaurants. We're proud to help Space City discover them."

Beyond helping restaurants expand their reach, Chowbus aims to be a good partner to its restaurants by providing them with analysis of best-selling dishes as well as high quality digital photography. On average, Chowbus claims to boost delivery revenue by 25-percent for restaurants on the platform.

"We're thrilled by the opportunity to partner with Chowbus," said Shanjian Li, the owner of Chongqing Chicken Pot, a Szechuan restaurant in Chinatown's Bellaire Food Street complex. "We hope this will help more Houstonians discover the flavorful dishes that we work so hard to create every day."

Based in Chicago, Chowbus has been a growth spurt. The platform now offers delivery from more than 3,000 restaurants in over 20 cities across North America such as Los Angeles, Seattle, New York, and Boston.

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This article originally ran on CultureMap.

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