An innovative idea, the right pitch and an affiliation with Arizona State University may be the winning combination for two companies participating in the InvestU pitch event on May 20.
Surf Entertainment is focused on customizing passengers’ ride share experiences, while EndoVantage is assisting surgeons with complex procedures. Both companies must persuade accredited investors to invest money and resources in their ventures in a format similar to the show "Shark Tank."
"Phoenix is one of the fastest-growing cities and ASU is the most innovative university,” said Robby Choueiri, associate director of ventures and investments for Arizona State University Enterprise Partners. “There are a limited number of funding options in Arizona during a company’s early stages. We’re building a community entrepreneurial ecosystem to introduce capital and resources, which leads to growth, job creation and more innovation.”
Eli Chmouni, founder and chief executive officer of Surf Entertainment, is excited to showcase his company at the pitch event that provides hands-on learning for ASU students who assist with selecting the companies and researching them for the investors.
“I’m an ASU grad, and I’ve been teaching at ASU for eight years,” Chmouni said. “With Surf we’ve been going beyond Arizona for funding. It’s very exciting to pitch and raise funds locally. It’s a nice endorsement stamp and kind of cool to pitch in front of the ASU (community).”
Chmouni earned his bachelor’s and master’s degrees in mechanical engineering from ASU and teaches entrepreneurship classes in the W. P. Carey School of Business. Previously, he taught engineering classes in the Ira A. Fulton Schools of Engineering.
Surf is Chmouni’s fourth startup and provides free in-car information and entertainment for Lyft and Uber passengers using a tablet mounted to the back of the passenger headrest. The platform launched in Phoenix in March 2018 and operates in nine other markets. It is meant to be similar to in-flight entertainment and is customized by time of day to offer news, streaming music, funny videos and a list of nearby dining options. Brands and businesses can promote themselves through advertising on the tablets, and drivers earn revenue when passengers use the tablets, which are installed in the cars at no charge to the drivers.
The other company vying for an investment and relationship with investors is EndoVantage. The company provides a tool for surgeons to use 3D modeling and visualization to simulate treatment options and insertion methods for stents and other devices in patients with aneurysms. The goals are to reduce patients’ risks and improve outcomes. The technology is already being used at Mayo Clinic in Scottsdale. EndoVantage’s technology was developed by ASU engineers. Robert Green, president and CEO of the company is an academic associate and venture mentor at ASU, Brian Chong is the chief medical officer of the company and associate medical director of development at Mayo Clinic, which works closely with ASU. Haithem Babiker, EndoVantage’s chief technology officer, earned a bachelor’s degree in engineering, master’s degree in biomedical engineering and a doctorate of philosophy in biomedical engineering all from ASU.
InvestU was formed by Arizona State University Enterprise Partners and the former Thunderbird Angel Network to provide funding opportunities for companies that need a financial boost as they scale their companies. The first InvestU pitch event was held in March with two ASU faculty-affiliated companies: CYR3CON and Breezing. Both companies matched with investors from the event and are working on deals.
Paulo Shakarian, CEO of CYR3CON, was grateful to raise funds for his cybersecurity firm where he lives and works after traveling to several other U.S. cities to meet with investors.
“It means a lot to have it all be a single ecosystem,” Shakarian said. “If you look around the country at other hubs like Silicon Valley, Los Angeles, Boston, New York and Denver, all of these places have the right technology, an innovative university, entrepreneurs and capital. You need all of those things together in one place. It makes it easier to move quickly.”
Shakarian is an ASU Fulton Entrepreneurial Assistant Professor in the Ira A. Fulton Schools of Engineering and specializes in artificial intelligence and cybersecurity, which led to his company’s development in conjunction with ASU.
The other firm to match with investors in March was Breezing, which measures metabolism over time using a mobile metabolism tracker and a breathalyzer with biosensors, enabling users to implement a personalized diet and exercise plan to improve their metabolism. Breezing is being used to combat obesity, Type 2 diabetes and maintain healthy weight gain during pregnancy.
Andrew Steele, CEO of Breezing and a member of the board of advisers for the HEALab at the Edson College of Nursing and Health Innovation, said the InvestU event has enabled Breezing to advance to the next level. That means commercially launching a second generation tracker that will be used with physicians to help patients with obesity and other medical conditions and obtaining FDA approval for additional medical uses.
Breezing’s chemical sensor technology was developed by researchers in the ASU Biodesign Institute before it evolved into the ASU spin-off company.
To participate in an InvestU pitch event, business leaders must apply and have a connection to ASU as an alumni or faculty through the firm’s board members or executives, and the business must be at the revenue-generating stage of growth or show compelling traction. Company representatives pitch to an advisory board, and ASU students conduct company research about the startups for the investors. During the pitch event, the students present their research findings and the company representatives pitch their companies. Then investors express their interest in investing and conduct their own diligence in the following few weeks. No final deals are made at the event.
Companies participating in InvestU have customers and are looking to raise between $100,000 and $2 million, Choueiri said. Additionally, they are looking to build relationships through investors’ connections, enter new markets and acquire additional customers.
Investors must be accredited and typically have an affinity to ASU as donors, faculty, staff, alumni or their family members.
This event is open to the public.
If you go:
When: 5:30 to 8 p.m. Monday, May 20
Where: ASU Fulton Center, Sixth Floor, Lincoln Room, 300 E. University Drive, Tempe