This document outlines the development of an entrepreneurial ecosystem in Kansas City from 2003-2016 through building connections between entrepreneurs, resources, ideas, corporations, investors, and the community. It describes the creation of a "Digital Sandbox" program in 2013 that provides funding and resources to help early-stage companies develop proof-of-concept projects, with results including 73 funded projects, 34 new companies, $16.7 million in new sales, and 340 new jobs. The Sandbox is filling an important need in the Kansas City startup ecosystem by helping companies become "funding-ready" and connecting them to potential investors.

2. BUILDING AN ENTREPRENEURIAL ECOSYSTEM

3. FILLING THE GAPS TO CONNECT AN ECOSYSTEM
2003
Service Providers
Entrepreneurs
Created a network
of resource providers
Connected
entrepreneurs to
resources
2009
Researchers
Created a pipeline
of ideas ready to
match with
entrepreneurs
2012
Corporations
Engaged
corporations in the
entrepreneurial
ecosystem
Attracted $28MM+
in follow-on
funding
2013
Community
Rallied community
around making
Kansas City an
entrepreneurial
destination
2015/16
Investors
Created an action
with key
stakeholders to
improve access to
capital

4. Increase Corporate Engagement
Improve Follow-on Funding/Sales

6. Open
enrollment
via website
Submit Profile
Complete pitch
presentation to
Evaluation
Team
Evaluation
Team
Recommends
projects
Advisory Board
Final approval
Sandbox
prepares
company for
fund raising
Project
approved and
vendor
contracted
Project
completed,
approved and
vendor paid
Idea Feasibility Prototype Commercialization
CENTRAL STRUCTURED ENTRY POINT
Evaluation team
• deep expertise in working with
early-stage companies
• provides critical feedback
• includes next step investors
Projects
• Vendors paid directly to develop
proof-of-concept project

7. RESULTS
Sandbox Applicants 310
Projects Funded 73
New Companies 34
New sales $16.7MM
Total Add-on
funding
$28.2MM
New jobs created 340
Cumulative totals for program since February 2013 launch

8. WHO IS IN THE SANDBOX?
Previous experience in industry 77%
Members of founding team:
Teams with veterans 5%
Teams with people of color 22%
Teams with women 34%
Engage in other ecosystem support 74%
55 Products Launched
38 Patent Applications
6 Patents issued
EDUCATION ATTAINMENT
CUSTOMER BASE: B2B vs B2C
PRODUCT DEVELOPMENT
DEMOGRAPHICS
B2B
67%
B2C
22%
Both
11%
Some
College
10%
Bachelor's
36%
Graduate
Degree
37%
PhD/MD
17%

9. LESSONS LEARNED
• Steady flow: 16-24 new applicants/month since 2013
• Average project size $19,028
• High demand for technical resources – coding, design, mobile apps
• No money goes directly to the company, ensures project definition
and milestone achievement
Vital to:
• Select projects that move company significantly forward
• Combine resources across ecosystem to maximize success; also
lowers staffing needs
• “Get them ready” for first real fund-raising experience
• Connect “funding-ready” start-ups to potential investors
Digital Sandbox is filling a REAL need in KC’s startup ecosystem

10. Industry/Technology Specific Sandboxes
Geographically-Specific Sandboxes
BUILDING ON PROVEN SUCCESS

11. Cooperation, Collaboration, Commercialization

12. e-beacons
Heart to Heart
Smart Steps
Teracrunch
Zorilla

13. DigitalSandboxKC.com
Funded through support
from the
EDA i6 Challenge
Maria Meyers
@mariaemeyers
mmeyers@joinsourcelink.com