entrepreneurship : In The News

The local chicken-and-donuts chain continues its quest for world domination, announcing plans for locations in Miami and Nashville. 

It's all happening. The best fried chicken and doughnuts in the country are no longer confined to Philadelphia. Congratulations, America, you're getting more Federal Donuts.

Philadelphia's beloved fried-chicken-and-doughnuts-and-coffee chainlet was founded in 2011 by acclaimed chef and 2014 Eater Chef of the Year Michael Solomonov with his Zahav restaurant partner Steve Cook, local coffee shop owners Tom Henneman and Bobby Logue, and Philly food maven Felicia D'Ambrosio. The brand (often referred to as to FedNuts) opened to epic lines and now boasts five locations in Philadelphia. Fried chicken and doughnuts were a rare combination in the first years of this decade, but diners can now find similar chicken and doughnut shops across the country.

Federal Donuts' owners have been teasing more locations for years. Back in 2014, Cook told Philadelphia Business Journal that he was looking at "cities that are drivable [to] Philadelphia" for potential new locations. So it was truly surprising when Eater learned earlier this week that the first two locations outside Philadelphia would be opening in the far-flung cities of Nashvilleand Miami. The FedNuts crew has opened the floodgates and is in full expansion mode.

Original source: Eater
Read the complete story here. 

Casting for the entrepreneurship-based reality show is coming to Temple University this weekend. Get your pitches ready!

Entrepreneurial students at Temple University might find themselves on national TV in a few months pitching their best business ideas. The hit ABC show Shark Tank will host a casting session at Temple this Saturday, June 11th. Between 11 a.m. and 2 p.m., students, alumni, faculty and staff will be able to pitch their business ideas to the show’s casting team in hopes of winning a future spot in front of the “sharks.” 

The show, which received Emmy awards in 2014 and 2015, gives budding entrepreneurs the chance to woo over self-made millionaires and billionaires in hopes of securing an investment for their own business. After six seasons, the judges have already offered $66 million to a various start-ups, according to the show’s website.

The casting session will be held at Alter Hall at the Fox School of Business and involves a quick one-minute pitch and follow-up questions with the show’s casting directors. From there, a few people may be chosen to move on to the next round, which is taped and aired.

Original source: Philadelphia Magazine
Click here for details. 

Pruftechnik, global provider of high-quality testing and measuring systems for industrial maintenance, has decided on Philadelphia for it's United States base.

The German company will add 35 new jobs to region, investing $1.4 million in the project. The decision comes a few months after the Kenney Administration said Germany would be a focus of efforts to recruit international businesses to the city.

Pruftechnik's Philadelphia office will hold sales and management positions at a renovated building on Bartram Avenue. Pruftechnik Services, a subsidiary that provides specialized machinery services, will also reside in the city.

“The new operation enables Pruftechnik to bridge the gap between R&D, product management, international sales and production in Germany, and the end-user community in the United States," said Florian Buder, Pruftechnik's North American CEO. "The ‘factory direct’ approach makes us more customer-centric.”

Original source: Philadelphia Business Journal
Read the complete story here. 

This Philly startup got a big boost from their appearance on the ABC hit. You might remember PiperWai from this story in Flying Kite detailing the development of their all-natural deodorant.

Sales of a Philadelphia company's all-natural deodorant skyrocketed since the co-founders appeared on ABC's Shark Tank in December, a reality TV boost that caused the entrepreneurs to wake up in a cold sweat as they quickly scaled up and worked to fill tens of thousands of orders.

"We'd wake up in the middle of the night in a cold sweat, worrying about a millimeter difference on a corrugated box," said Jess Edelstein, who created PiperWai with business partner and childhood friend, Sarah Ribner.

The pair will return to Shark Tank this Friday to give an update on their business. The co-founders pitted two "Sharks" against each other during their initial mid-December appearance on the show, eventually securing a $50,000 investment from Barbara Corcoran in PiperWai...

"Nobody could have predicted the demand we received," said Edelstein. "We were the third fastest company in Shark Tank history to reach a million dollars and our product is only $12."

Hitting the million dollar mark 10 days after the original show aired, PiperWai had more than $1.3 million in sales in the two months that followed their reality TV debut, the co-founders said.

"Before we went on Shark Tank, our lifetime sales were $130,000," Edelstein added.Original source: Philadelphia Business Journal
Read the complete story here. 

A shining star in the local startup scene, Curalate has impressed again with a huge funding round. Philly.com's PhillyDeals blog has the scoop.

Curalate, the "visual commerce" software maker that helps Urban Outfitters and Forever21 sell clothes via partners Instagram, Pinterest and other social media, has raised $27.5 million from its past investors New Enterprise Associates (the largest U.S. venture capital outfit), Josh Kopelman's Philadelphia-based FirstRound Capital (biggest VC based on the East Coast), and MentorTech Ventures (a Phila-based group, includes Pa. state venture capital, which backs firms run by Penn people like Curalate CEO Apu Gupta, a Wharton MBA). "They believe," Gupta told me...

Gupta says the latest cash infusion, which follows $12.5 million in fundraising since 2012, will pay to double Curalate's staff -- currently 115 at its Center City HQ, New York and Seattle offices -- to 230 by year's end. "We're trying to disrupt a $1.6 trillion (ecommerce) market. It's gonna take some money," Gupta told me. "There's a lot of hiring to be done."

"Curalate is transforming ecommerce," NEA general partner Harry Weller said in a statement. He called it "one of those rare companies," combining: a "disruptive vision" for ecommerce, also capable of building rugged software that speeds consumers to buy stuff. 

Original source: Philly.com
Read the complete story here. 

This Philadelphia startup gets a big spotlight in The New York Times. Their food-testing technology could help solve headaches for big companies like Chipotle who struggle with outbreaks of bacteria including E. coli or listeria that sicken customers. 

Troubles for one business can mean opportunities for others. And the competitive field of food testing is one. Companies big and small are looking for ways to make food testing faster, more accurate and less expensive. It requires sophisticated scientific and technological skills and is far from the easiest point of entry for a small start-up. But one Philadelphia biotech company led by a pair of entrepreneurs is hoping it has found a niche.

The company, Invisible Sentinel, has developed a patented technology called Veriflow that uses a hand-held device to detect the DNA of micro-organisms like E. coli, salmonella and listeria quickly and at a relatively affordable price. The technology has been approved by AOAC International, an association that sets standards for microbial food testing.

“It’s like a pregnancy test — one line negative and two lines positive — except that it’s amplified DNA that you’re reading,” said Benjamin Pascal, a co-founder of Invisible Sentinel.

Today, according to Invisible Sentinel, 114 companies in the United States and more than 50 internationally use the technology at more than 250 different sites in 18 countries.

Wawa Inc., which owns dairy and beverage manufacturing plants as well as 715 convenience stores in six states, tested Veriflow for about six months before signing on in March 2013. “Invisible Sentinel’s technology was two to three times faster than others,” said Chris Gheysens, the company’s chief executive.

Original source: The New York Times
Read the complete story here. 

The former Bok Technical High School is being transformed into a hive for local businesses, innovation and community engagement. As more tenants are announced, it becomes clear that the space will serve diverse masters.

Having already signed on makerspace Hive76 and Fringe hair salon, newish owner Lindsey Scannapieco and her development company, Scout Ltd., has signed Project P.L.A.Y., a private nonprofit preschool based in Elkins Park, to open a second location inside the hulking school building at Ninth and Mifflin in September 2016."The community was kind of seeking more day-care options," Scannapieco told Property. "I think it’ll be great." 
In an effort to subsidize building overhead and support the local business within the space, Scannapieco said they have applied for a liquor license for a permanent rooftop cafe...

In March, Scout Ltd. was awarded an endowment of $146,960 through the Knight Foundation's Knight Cities Challenge to reimagine Bok's outdoor spaces as a community engagement area called the "South Philly Stoop." The school will be located on the first floor and have direct access to a new outdoor play space on South Ninth Street, which is currently being designed. Scannapieco said that it would be open for community use after school hours...
 
Original source: Philadelphia Magazine (Property)
Read the complete story here. 

In a stunning move, local chef and restauranteur Marc Vetri and his partner Jeff Benjamin have sold their empire to Urban Outfitters, Inc. The high-end flagship resto Vetri was not included in the sale.

Restaurant patrons will not notice a thing, Vetri said in an interview. "Nothing is changing. In meetings, everyone from Urban kept saying, ‘It’s more crucial than ever that you guys are at your restaurants.’ " Terms were not immediately disclosed.

With Vetri as president and Benjamin as COO, the Vetri Family will become a subsidiary of Urban Outfitters Inc., known as URBN. It will join a stable of brands that includes hip clothing retailer Urban Outfitters, female-focused lifestyle store Anthropologie, home and garden center Terrain, and apparel enterprise Free People, which operates both retail and wholesale arms.

Vetri Family partners Jeff Michaud and Brad Spence each will assume the title "executive director, culinary," and will continue their roles overseeing menu development and execution at all properties.

No branding or logo modifications are planned, and no employee moves are expected...

All of URBN’s current food and beverage brands will be folded into and managed by the Vetri Family. The restaurant veterans will also be tasked with helping Urban develop food and beverage concepts - a challenge both Vetri and Benjamin say they are very much looking forward to.

"It’s like after 17 years, Jeff and I are renewing our vows instead of getting a divorce," Vetri said, clearly energized by the whole deal.

Original source: Philly.com
Read the complete story here. 

This quick-serve concept from chef Michael Solomonov and partner Steve Cook is preparing for world domination, starting with a stall at Manhattan's Chelsea Market.

Chelsea Market is using the former Ruthy’s Bakery space for another collection of kiosks, to open in January. The confirmed tenants are Dizengoff, the Philadelphia-based hummus stand from Michael Solomonov and Steve Cook; Berlin Currywurst from Los Angeles; Davidovich Bakery, a New York artisan bakery; Filaga, for Sicilian pizza cooked on a stone; Seed and Mill, selling halvah and tahini; Cappone’s Salumeria and Sandwiches, relocating from Gansevoort Market; and Li-Lac Chocolates: 75 Ninth Avenue (15th Street).?

Original source: The New York Times
Read the complete story here. 

As the fall leaves turn, long-anticipated restaurants are opening across the city. Are there any future neighborhood institutions in the bunch? Any trends worth tracking? Philadelphia Magazine runs down almost a dozen of the spots they're most excited for.

Restaurant Neuf
943 South 9th Street, Bella Vista
Joncarl Lachman of NOORD is opening his second restaurant, this one with a bar and the French influenced flavors of Northern Africa. Lachman is especially excited about the bouillabaisse which will be a dynamic experience with the broth presented first and the fish added. The chef, who has spent lots of time researching in North African neighborhoods of Paris is also looking forward to the braised goat leg with sweet potatoes, dried apricots, roasted vegetables, crushed mixed nuts and spiced tomato broth....The bar will be the focus after 10 pm with a menu of bar snacks and a Cornell especially wants people to try VP Chartreuse. The aged chartreuse will be available for $20 during happy hour. Half-carafes are another way to enjoy time at the bar. A bar specific menu will be offered after 10 pm as the lighting gets darker and the music is turned up....

Buckminster’s
1200 South 21st Street, Point Breeze
The team behind Café Lift, Prohibition Taproom, Bufad and Kensington Quarters is adding another name to the list with Buckminster’s—a French-Asian concept going into the space at 21st and Federal in Point Breeze. And the chef they’ve got on board? Rob Marzinsky, who did his time at Pub & Kitchen and Fitler Dining Room before taking off to wander around Asia.
Now that he’s back, he’s using the food he ate there as an inspiration for the menu at Buckminster’s. And as a bonus, he’ll be working with Kensington Quarters butcher Heather Thomason, so we know he’ll be getting his hands on some good meats to start things off.

Original source: Philadelphia Magazine
Read the complete list here. 

With the Pope descending on Philadelphia, the city's shops and designers are creating some awesome threads and keepsakes. (Philadelphia Brewing Company is also getting into the act, producing "Holy Wooder" IPA.) 

When you attend a big concert or an event, grabbing a souvenir is a great way to remember the moment. And with the pope coming to our area there are plenty of unique items being created to mark the occasion.

You'll find a Philly-fied find inspired by Pope Francis' historic visit to Philadelphia on the shelves at Monkey's Uncle in Doylestown.

"The turning water into wine kind of jumped into my head and knowing that we love water ice - one thing led to another," said Dan Hershberg, President and Owner of Philly Phaithful.

The threads are the kitchy and creative work of homegrown Philly Phaithful.

The apparel company, based in the Northern Liberties neighborhood of Philadelphia, wanted to welcome Pope Francis to the "Philavatican" with a sort of South Philly-esque, modern day miracle. 

Original source: 6 ABC
Read the complete story here. 

The Washington Post names Philadelphia one of the best cities in American, and takes a deep dive into what makes us unique. 

In modern Philadelphia, small is big. Unlike in other major markets, rents here are moderate, making it easy for chefs to open personal expressions. With $100,000 and a decent piece of real estate, says chef Rich Landau of the innovative vegan restaurants Vedge and V Street, “you can snap your fingers and open in two months.” Craig LaBan, the authoritative restaurant critic of the Philadelphia Inquirer, says that a hallmark of the city he covers, rich with museums and historical sites, is its “accessible sophistication.”?

Original source: The Washington Post
Read the complete story here. 

The founder of Chobani yogurt looks to coffee, La Colombe.

Having shaken up the yogurt world, Hamdi Ulukaya, the founder of Chobani, now has his sights on a much tougher target — coffee.

Mr. Ulukaya has taken a stake in La Colombe Coffee Roasters, one of the many coffee brands that have sprung up over the last 10 years to cater to the tastes of coffee drinkers who consider themselves connoisseurs...

“We’re in what I call the third generation of coffee,” said Todd Carmichael, the co-founder and chief executive of La Colombe Coffee Roasters. “For your grandfather, coffee was basically a commodity, roasted dark, quick, hot, hard to differentiate. For you and me, it was discovery of lattes, milk-based coffee drinks. And for this generation, it’s about different beans and how a coffee grown in Ethiopia tastes different from one grown in Costa Rica.”

Mr. Carmichael once set a record for an American crossing Antarctica on foot without assistance. “The reason I did that is really just because I told people I would,” he said, explaining how he plans to grow La Colombe into a coffee empire with 150 stores, a thriving online store and robust sales into restaurants.

Original source: The New York Times
Read the complete story here. 

This ambitious project between Chinatown and Northern Liberties looks to attract young workers.

The 250,000-square-foot building, now occupied by a distributor of maternity clothing, will be remade into a center for media, advertising and technology companies, under plans recently announced by the developer, Alliance Partners HSP.

The building, in an industrial zone between Philadelphia’s Chinatown and the rapidly developing Northern Liberties neighborhood, will be reconfigured at a cost of about $50 million into space expected to accommodate up to eight tenants employing a total of 1,000 to 1,500 workers in an open-plan arrangement, the developer said...

The project aims to tap into an influx of millennials — those born between the early 1980s and the early 2000s — who are being drawn to Philadelphia by growing job opportunities and housing that, for now, is more affordable than that in Washington or New York.

The city is also retaining more local university students who are staying after graduation in response to the growing job market, greater availability of housing, improved amenities such as public parks, and a vibrant downtown restaurant scene.

By creating the new space on the southern edge of the already millennial-rich Northern Liberties and within a 20-minute walk of City Hall, Alliance believes it will be well positioned to attract tenants that employ the targeted work force...

Mr. Previdi said the new space — named SoNo, for south of Northern Liberties — will be designed to encourage the collaboration that is highly valued by tenants like software companies. “They want everybody talking; they want everybody sharing ideas,” he said.

The redesign will minimize the amount of individual employee space while allowing more for common areas like a cafeteria, a gym and parking space for 70 bicycles. Alliance plans to begin construction by the end of this year, and to complete the project within 24 months.

Original source: The New York Times
Read the complete story here.
 

Zoom Interiors, a startup run by three Philly transplants, earned a deal on the ABC show that funds promising entrepreneurs. In the end, Barbara Corcoran offered $100,000 for 33 percent of the company.

Beatrice Fischel-Bock, Madeline Fraser and Elizabeth Grover all met as students during their first interior design course at George Washington University. “We became friends instantly and worked together for the next three years of design school learning each other’s strengths and weaknesses,” Fischel-Bock said.

The company was born after friends started asking them to design their first apartments upon graduation. However, at the time they were all studying abroad, but quickly realized they were still able to assist their friends, who were all on budgets.
“It dawned on us that this is clearly an undeserved part of the market,” Fischel-Bock explained. “The design industry had just been shaken by the recession and people were very conscious about affordability. We decided to try our new formula with paying customers.”

...After starting their business in Washington DC, where they were in school, they moved to Philly after graduation. Fischel-Bock refers to the city as “the best kept secret on the East coast.” “It has the highest rate of millennials moving in to the city and just has such an authentic feel. The startup community is very close knit and supportive and continues to grow,” she said.

Original source: The Heavy
Read the complete story here.