Kirk Coburn & Surge on Energy & Technology Growth in Houston


Published on

Published in: Technology, Business
  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide
  • Why Houston?Access to Capital:HAN (ranked top 5 most active angel network in Q1’13 + HALO fund)Mercury (Midcontinent’s most active seed stage VC firm)Institutional Investors (corporate offices of some of the largest energy companies located in Houston)Access to Customers:Houston ranks 3rd among metropolitan statistical areas in Fortune 500 headquarters, behind New York and Chicago Houston is home to 40 of the nation’s 145 publicly traded oil and gas exploration and production firms; 20 of the top 25 firms have headquarters, subsidiaries, major divisions or other significant operations in the Houston area 16 of the nation’s 20 largest petroleum products and crude oil pipeline operators have corporate or divisional headquarters or ownership interests based in the Houston region. These 16 pipeline companies control 47% of the U.S, pipeline capacity 17 of the nation's top 20 natural gas transmission companies, controlling 64% of the U.S. pipeline capacity, have corporate or divisional headquarters in Houston Texas is the 11th largest electricity market in the world, deregulated and manages the largest number of deployed smart meters in the US+ SURGE has deep personal relationships with key industry playersAccess to TalentThe Houston area has added nearly 98,000 new jobs over the last 12 months. #1 highest level of entrepreneurial activity among largest metro areas (Kauffman Foundation of Entrepreneurship; May 2010) Highest demand for engineering jobs in 2013 ( #2 fastest growing city in the U.S. (Forbes; Jan. 2013) 2nd highest concentration and population of engineers in the U.S. (U.S. Bureau of Labor Statistics) Houston is a leader in Clean EnergyHouston is: one of the top 10 cities for green technology innovation Houston’s depth in engineering talent has attracted renewable energy research and development to the region by traditional energy companies including Shell, BP, Chevron, Dow and GE, among many others. the #1 municipal purchaser of green power in the nation, according to the U.S. Environmental Protection Agency the leader in the deregulation of the utility market and has the largest distribution of smart meters in the country the largest U.S. municipal purchaser of wind energy. Texas is the #1 state in wind power generation, and it is a deregulated electricity market that is regulated by ERCOT rather than FERC. SURGE is building an engaged community dedicated to supporting innovation in energy.
  • Y-Combinator is Valued at $7.8BUntil SURGE, there wasn’t a collective effort to take ideas from prototype to commercialization in the field of energy and take advantage of the massive changes occurring like cloud computing and big data. We ask for 6% common equity.150 MentorsWe looked at 500 prospects last year to choose our class of 12 – 2.5% admit rate. We’ve graduated 23 companies total.Our program is 3 months long from February to May.We provide $30,000 initial seed funding + option for up to $50,000 convertible note.
  • Houston has a world-class ecosystem in the energy space, and there is a strong community of later-stage investors, including VCs, PE firms, and venture arms of corporations. But there has been a lack of an organized effort to support early-stage entrepreneurs. SURGE was founded in Houston to leverage the city’s deep resources.
  • Deep Domain Expertise: Scientists, Engineers, Policy Experts, Executives, Entrepreneurs, InvestorsWe give our companies direct access to customers, investors, and mentors.
  • SURGE DayNearly 600 attendees, consisting of investors + industry representatives, potential customers + community+SURGE Rush300 meetings scheduled - the largest gathering of energy VCs and industry decisionmakers in one room. 49 industry partner attendees – Statoil, NRG, Reliant, Conoco, Halliburton, BP, Schlumberger, etc. 33 startups were showcased33 representatives from venture capital and investment firms – Andreeson Horowitz, Rockport, Energy Ventures, etc.Feedback from a major venture executive: “What I accomplished at SURGE Rush in one day would have taken my team and me almost 6 months to complete on our own. And the best part was that SURGE connected us with later stage companies that we could do business with today.”
  • Kirk Coburn & Surge on Energy & Technology Growth in Houston

    1. 1. WHO IS GOING TO WIN? vs.
    2. 2. • #1 Energy Capital of the World • Deep Domain Expertise #2 IT Services Economies • #1 Technology Job Growth • #1 Medical Center in World • #1 Manufacturing in US • #1 Largest Export Market • #1 Purchaser of Green Power • #1 Producer of Wind Energy in US • #11 Electricity Market in World • #1 Smart Meters • #1 City for Jobs • #1 Diversity in US • #1 Paycheck Stretches Scientists, Engineers, Policy • #1 Coolest Cities Experts, Executives, Entrepreneurs, Investors
    3. 3. Mentor Driven Seed Fund & Accelerator 6% 150 600 12 3 $80k Profit Class Months Cash Mentor Global The #1 Accelerator in the world focused on ENERGY + WATER
    4. 4. Houston’s World Class Energy Ecosystem Capital Customers Community Service Providers Accolades
    5. 5. Investors, Sponsors, Partners
    7. 7. Scientists, Engineers, Policy Experts, Executives, Entrepreneurs, Investors
    9. 9. Results to Date * 21 of 23 investments are still operating * Raised $20M since May 2012 * Landed over 75 pilots and customers * Created over 125 jobs (hint: Real Estate!) * Developed Deep Energy Relationships * Known Globally by Entrepreneurs and Media * Ranked by Forbes as “Accelerator to Watch”
    10. 10. WHY NOW? 9 Billion People by 2050 Energy Demand is Insatiable (Imagine 1M city every week for 30 yrs)
    11. 11. WHY NOW? CREW CHANGE
    13. 13. WHY NOW? SOFTWARE
    14. 14. Examples v. Telecom v. Photography v. Retail v. Entertainment
    15. 15. WHY NOW? Availability of Data
    16. 16. WHO IS GOING TO WIN? vs.
    17. 17. YOUR ROLE Invest Get Involved Do
    18. 18. THANK YOU