TechColumbus puts $1.2M into firms; agency readies satellite offices

Five Central Ohio startup businesses are getting cash infusions from TechColumbus, and more young companies should soon be in line for aid as the technology incubator opens two satellilte offices.

Executives at TechColumbus said the organization funded five companies with nearly $1.2 million.

The agency also plans to find more deals with regional entrepreneurs through offices in Dublin and New Albany scheduled to open in the next three months.

"One of our objectives is to turn Central Ohio into a hotbed of new-company formation," said Ted Ford, TechColumbus' CEO.

By opening the satellite offices, Ford said TechColumbus will be in a better position to help entrepreneurs in areas northwest and northeast of Franklin County. The offices will be staffed with one worker each, said William L. Indest, TechColumbus' vice president of capital access and formation. Who will lead the offices and where they'll be situated have not been determined.



Maximum impact

The expansion is part of TechColumbus' drive to service a 15-county region around Columbus as part of the state's Entrepreneurial Signature Program. The program, which TechColumbus has dubbed TechStart, is a publicly and privately funded initiative that makes grants available to early-stage entrepreneurs from a $22.5 million fund.

Three of the five companies that TechColumbus funded this month got so-called TechGenesis grants from the program. The other two received larger capital infusions from a $2.3 million regional commercialization fund designed to help businesses reach a level where they can attract more investment from venture capitalists.

Diramed LLC, Final Affairs LLC and Melody Management LLC each received $50,000 TechGenesis grants to help them determine the commercial possibilities of their products:

Final Affairs is a Lewis Center startup that wants to create an Internet-based suite of programs to help people quickly settle their estates.

Melody Management of Columbus is working on a self-service record label product for independent artists.

"We're focusing on health-care innovations and (information technology), but we're also looking for ideas that fall outside that have high-potential growth opportunity," Ford said.

"Our goal is to pick the best opportunities that have potential for the greatest impact on the region."



Ready for more

TechColumbus awarded $500,000 each to Columbus-based Traycer Diagnostics Systems Inc., which is developing a noninvasive medical imaging system to detect diseases, and to Columbus-based IT firm 3X Systems.

3X plans to hire workers to market and sell an information backup system for small- and medium-size businesses, said Clayton Daley, the company's vice president of marketing.

"We'll be bringing on additional sales reps and tech support people," he said. "We're shooting for a midyear date when we will be in a good place to seek a new round of venture capital funding."



TechStart TechGenesis grant

What: $22.5 million state program managed by TechColumbus. Distributes seed money to qualifying startup companies. Grant awards: $50,000 Companies eligible: Technology startups in the medical, advanced materials and information technology fields. Web site: techcolumbus.org



Regional Commercialization fund

What: $2.3 million venture capital fund managed by TechColumbus. Distributes money to qualifying firms looking for future venture capital investment. Grant awards: $300,000 to $500,000 Companies eligible: Technology startups in the medical, advanced materials and IT fields. Web site: techcolumbus.org



3X Systems Inc.

Business: Data management for small and midsize businesses Based: Columbus CEO: Alan Arman TechColumbus investment: $500,000 from Regional Commercialization Fund Web site: 3x.com



Traycer Diagnostic Systems Inc.

Business: Developer of noninvasive health-care imaging systems Based: Columbus CEO: Brad Beasecker TechColumbus investment: $500,000 from Regional Commercialization Fund Web site: N/A



Diramed LLC

Business: Developer of painless glucose monitoring technology Based: Columbus CEO: Don W. Caudy TechColumbus investment: $50,000 TechGenesis grant Web site: diramed.com



Final Affairs LLC

Business: Developer of online estate-planning software Based: Lewis Center CEO: Ernest Lambert TechColumbus investment: $50,000 TechGenesis grant Web site: none



Melody Management LLC

Business: Developer of a self-service record label for independent artists Based: Columbus CEO: Claude Durette TechColumbus investment: $50,000 TechGenesis grant Web site: melodymanagement.com