Tag: Oklahoma Venture Forum Page 5 of 7

A profile on Matt Payne written for the Oklahoma Venture Forum on the subject of The Community Effort to Grow Oklahoma’s Film Industry.

---

The domino of events for Prairie Surf Media’s formation started in 2000 when Gray Frederickson moved back to Oklahoma and started the Oklahoma Film Institute. Rachel Cannon and Matt Payne were among the first of those students. The two pursued film careers outside of Oklahoma, but they eventually found themselves back in the state.

“After a little bit of chat, and discussing perhaps the idea of making a film, or writing something together, [Rachel Cannon and I] decided that maybe it would be more exciting to begin to work to add to the existing infrastructure in Oklahoma so that we could have an even more robust and thriving film community here,” said Matt Payne, co-founder and co-CEO of Prairie Surf Media. “And we’ve been doing it ever since.”

On January 1, 2021, Prairie Surf Media took over the venue, formerly known as Cox Convention Center, through a tenant agreement with the City of Oklahoma City. The venue, now known as Prairie Surf Studios, boasts five flexible, state-of-the-art soundstages with all the amenities needed to create new worlds. Payne explained soundstages are soundproof rooms where productions can build their sets, avoid outdoor elements, and shoot in a more cost-efficient way. While the former Convention is ideal for soundstages, the facility has received upgrades to better suit productions over the past several months. 

“We pulled 10,000 pounds worth of buzzy lights and old speakers out of the ceiling, replaced it with LED lights,” said Payne. “We treated the walls with soundproofing, and we built vestibules on the far end of the building so that we create a barrier, an extra door barrier between the street and the sound-stage.”

In addition to building soundstages, Prairie Surf Media worked to build up the state film incentive and the local workforce. With partnerships with OCU, Oklahoma City Community College and several career techs, including Metro Tech and Francis Tuttle, Prairie Surf Media is training people. Students learn how to work and function on an actual film set. 

“Since then, about 30 of those individuals have gone on to work on different productions in Oklahoma,” said Payne. “It’s been a really successful program, and we take a lot of pride in the fact that we’re not only bringing an industry here, but we’re that industry is creating jobs, and giving paths to kids like Rachel and I, that want to get in the entertainment industry.”

Matt Payne will be speaking at the Oklahoma Venture Forum Power Lunch on Wednesday, December 8, 2021. The event will be open to guests both in-person and virtually via ZOOM. Payne said they’ve been able to pursue this business by “standing on the shoulders of giants” from Oklahoma filmmakers such as Gray Frederickson, Lance McDaniel, and many others, including government officials.

“We’ve only been able to do this because of our partnerships with, particularly, Oklahoma City, and getting into this facility, and the state for putting an incentive in place, and state leadership, you know, Senator Roger Thompson, Chuck Hall, Representatives Fetgatter and Hill,” said Payne. “There were so many leaders that have played a role in getting us here. [Prairie Surf Media] is a very, very small start-up in a very big building, but, really, the truth is that this is a city, state, and community project that we’re all sort of proud of. And we think very much of Oklahoma as a whole, as our partner in this project.”

A profile on Devon Laney written for the Oklahoma Venture Forum on the subject of The Third Way for Economic Development.

---

Coming from Birmingham, Alabama as the co-founder of Innovation Depot, one of the largest entrepreneurial support organizations in America, Devon Laney now resides in Tulsa as President and CEO of 36 Degrees North with a plan to grow entrepreneurs in the Tulsa region. Known as Tulsa’s base camp for entrepreneurs, innovators, and startups, 36 Degrees North is an entrepreneurial support organization focused on providing the resources, the community, and the programs needed to support entrepreneurs as they build, grow and scale businesses.

“When I got in Tulsa, we had two locations,” said Devon Laney. “We had about a 12,000 square foot co-working space, and then we had about an 8,000 square foot hybrid of co-working and small office space. I got here, and we put together a five-year plan and began to think about what we were going to be down the road.”

The first piece of that plan involved building and launching a large technology incubator focused on supporting early-stage technology startup companies and companies making a technology product or service that they can scale and grow and raise capital. In September 2021, 36 Degrees North opened its 50,000 square foot high-tech incubator.

While co-working spaces are an essential piece of the ecosystem, Laney said it’s not the only thing one should have in an ecosystem. While co-working is excellent for individuals, co-working spaces aren’t conducive to people trying to grow a business.

“An incubator is built for growing businesses, to support growing businesses,” said Laney. “It’s not just about one individual membership, and I’m going to charge you every time you have a new member. It’s about, this company applied, we accepted them into the program, and this company is going to pay for an office, and the office is $1,000 a month, as an example. And I don’t care how many people you put in that office. I don’t care if you put two people or seven people. It’s the same price. It’s $1,000, and that $1,000 covers utilities, internet, janitorial, security, conference rooms, phone booths, Zoom rooms, all our programming, all our workshops, all our mentors, all the different things. And the company then, as an entrepreneur, the company doesn’t have to worry about, ‘Well, if I hire two more people, my monthly bill’s going to be higher.’ They don’t have to worry about that. They can focus on growing their business and know that it’s all-inclusive, all the spaces are furnished, and it’s built to support them as they’re growing their businesses.”

On the subject of economic development, Laney said that historically everybody thinks of economic development as two things: recruitment and retention. Laney cited the example of Oklahoma trying to get Tesla to come to the state. The second way most communities have done economic development is through retention. Groups work to retain the businesses that are already in Oklahoma and keep them from going somewhere else.

“I think there’s a third,” said Laney. “I’m a big believer in the third, which is let’s grow new businesses. Let’s make sure we’re supporting the growth of new industries and new businesses here. We don’t just have to recruit them here; let’s grow them here. But it requires the same kind of investment in terms of infrastructure, resources, workforce, capital, tax incentives, all those same things.”

Laney clarified that we should continue the other two ways and add the third piece to support the growth of new businesses. 

Devon Laney will be speaking at the Oklahoma Venture Forum Power Lunch on Wednesday, November 10, 2021. The event will be open to guests both in-person and virtually via ZOOM. Laney is excited for the opportunity to be able to share a success story from a community perspective. 

“36 Degrees North is a non-profit, 501C3, and it would not exist without the public and the private partnership together,” said Laney. “In 2017, when 36 Degrees North launched, you had philanthropic community, public, private, chamber. They all came together to create this thing, and it’s a success story. It’s a win, and that’s what has enabled us to even evolve and to think about what we’re going to be in five years from now. If they hadn’t been successful at doing that, we wouldn’t be in a position to think about how to evolve it and be better and bigger going forward. So I love the opportunity to share about a success from a public-private partnership.”

A profile on Rick Nagel written for the Oklahoma Venture Forum on the subject of Adding Value to Investment Deals.

---

Rick Nagel is the Managing Partner of Acorn Growth Companies. This small middle-market private equity firm focuses exclusively on ladder stage and growth investments in the aerospace, defense, and intelligence sectors. The company has been around since 2000, starting as the first privately certified incubator in the state of Oklahoma. After 30 deals and on their fifth fund, the firm seeks opportunities to add value as an operating team.

“We look at 250 deals a year,” said Rick Nagel. “We do about two or three. So, we’re very picky. We invest mostly in North America and Europe.”

To boil down the selection process, Nagel explained that they focus on their strengths. Some deals are fast nos, and they get to a no quicker than they get to a yes. One of the critical filters is that they have to add value to the company.

“For us, and not every firm is like this, but for us, we want one plus one to equal seven,” said Nagel. “We’ve been driving historical performance since our internal rate of return really kind of, since the beginning on all of our platform exits, is track more than 30%.”

To maintain their high-performance level, they do this by not overpaying for anything and adding value after the close. This philosophy helps mitigate risk and drive more organic growth opportunities.

“We’ve got a lot to say grace over, so we don’t have that problem,” said Nagel. “It doesn’t mean we always get it right, but we have a pretty good batting average so far.”

Nagel advised those looking for funding to have their head screwed on straight on value and terms when making themselves look suitable for potential investors. People also need to be realistic going in on a deal. There’s a lot of great technology that never gets the funding behind it because the entrepreneurs are just too proud of it. Rick made the analogy of having a big percentage of a small pie or having a small percentage of a massive pie, which leads to having more pie on your plate. 

“As much as we looked at bringing on value-added partners, I think it’s important that entrepreneurs looking for capital equally go out and find value-added partners,” said Nagel. “It’s amazing to me what they’ll do and give up to people to get a deal done. They have no value at all in helping them drive to their end results. So, you want investors that are not just passive. Typically, the younger the company is, you want more hands-on deck. I always encourage people to do value-added capital.”

Rick Nagel will be speaking at the Oklahoma Venture Forum Power Lunch on Wednesday, October 13, 2021. The event will be open to guests both in-person and virtually via ZOOM. Nagel said OVF is great for entrepreneurs and potential investors. 

“My advice to anybody that might be reading this that’s not currently engaged would be to get engaged,” said Nagel. “If you’re an early-stage investor, whether you do a deal or not, you’ll see things that will make you smarter in that process by listening to these presentations.”

A profile on Melissa Huston written for the Oklahoma Venture Forum on the subject of Making Legislation Work for Businesses.

---

With over 20 years of experience, Melissa Huston has made a career in public service in various roles. She has recently served as the Oklahoma Labor Commissioner, Secretary for Education and Workforce Development, and previously as Chief of Staff for the Oklahoma Attorney General and the Oklahoma Office of Homeland Security. She’s worked under four governors, both Democrat and Republican, and has been referred to as the Swiss army knife of public policy.  

“I’ve had some really interesting positions,” said Melissa Huston, founder and principal for 929 Strategies. “And everyone, I didn’t know anything about when I walked into it. It’s not like you go to law school to go into Homeland Security. It didn’t exist then. So as I was finishing my term as labor commissioner, I was trying to figure out what I was doing next. I knew I wanted to stay in public policy. I really enjoy finding solutions to complex public policy issues that are facing the state of Oklahoma. Ended up starting at 929 Strategies.”  

The mission of 929 Strategies is to help businesses and governments navigate complex public policy issues. Houston elaborated her job ranges to finding growth opportunities, solving a regulatory environment challenge, or consulting in a major project. One of the projects Huston is currently assisting the legislature is on The American Rescue Plan funds and how to set up a process in the state for the legislature to assess the needs of the state following the pandemic. She has learned that it’s about bringing the right people around the table and discussing and brainstorming solutions.  

“You’ll find that we have a lot more in common than we have differences,” said Houston. “And that’s what our company does. We try and bring together different sides of the equation, brainstorm some solutions, and then hopefully help to make those solutions a reality. That’s what we’re doing in the entrepreneurship space and for several other of our clients.”  

An example Houston shared was during her time as labor commissioner, and they regulated amusement rides. To do this, she sat down with members of the business community and the state’s inspectors, and learned how the regulation worked for them. Both the parties had a common goal of providing a safe experience. They were able to come together to find a solution to protect the public without having unnecessary or burdensome regulation in a way that made sense. Oklahoma became a model for the rest of the country on how to regulate amusement rides. Houston said when you have practical solutions and you can get bureaucracy out of the way, you can really unleash the creativity in Oklahoma to address some of the challenges that we have as a state.  

“As far as entrepreneurship is concerned, I am very passionate about entrepreneurship in Oklahoma,” said Houston. “People in Oklahoma are very resilient. They’re very innovative. They’re pioneering. They’re let’s figure it out, let’s roll up our sleeves and figure it out and let’s help one another to get there. Those skills are the same skills of an entrepreneur, of a successful entrepreneur. So how is it in the state of Oklahoma that we aren’t leading the country in startups?”  

Houston has been trying to solve that problem for the department of commerce. To have a thriving entrepreneur ecosystem, Huston said two things are needed simultaneously: founders and funders.  

“If you talk to the funders, they will say, there’s not enough deal flow,” said Houston. “But if you talk to the founders, they will say, there’s not enough capital. You’ve got to be addressing both sides of that equation simultaneously, and both of them have different issues. From a founder’s standpoint, it’s about creating an environment in the state of Oklahoma that encourages innovation, that supports mentorship. Oklahomans are always willing to help their neighbor and willing to help one another, but how do you make those connections? Especially if that’s not the world that you’re living in.”  

On the funder side of things, Houston said it’s a similar situation with issues like connecting funders with the founders that have an idea that’s ready for investment and educating funders in the entrepreneurship ecosystem.  

“We have a lot of investors in energy and in oil and gas, which is a very risky investment, but those investors understand that market,” Houston said. “They understand if you invest in a well, how many times the well isn’t going to hit and that’s okay, that’s part of the market. Houston compared technology startups. For every ten you invest in, maybe there are three that will take off and hit. And so, they have that risk tolerance, but how do you educate them and translate that skill set into something like technology startups?”  
Houston noted that Oklahoma already has an incredible network of resource providers across Oklahoma, with more to come. The state has several accelerators across the metros, both in Oklahoma City and in Tulsa. The pandemic has also pushed to make tools and resources more accessible by bringing them online.  

“Our universities are doing a great job of nurturing those ideas and helping our founders to start thinking about how to take those ideas to market,” said Houston. “We have a very robust SBDC network across the state of Oklahoma for businesses who are first starting and need help with business 101. So it’s a really exciting time to be in Oklahoma. I think that resource provider network is strong and getting stronger every day.”  

Melissa Houston will be speaking at the Oklahoma Venture Forum Power Lunch on Wednesday, September 8, 2021. The event will be open to guests both in-person and virtually via ZOOM. Houston said organizations like the Venture Forum create opportunities for like-minded people committed to growing this ecosystem to find ways to connect and network. Be sure to register for the event to learn what legislation and programs are in the works to help founders and funders and connect with other Oklahoma entrepreneurs.

A profile on Sean Kouplen written for the Oklahoma Venture Forum on the subject of Growing Business in Oklahoma.

---

For over two years, Sean Kouplen was the Secretary of Commerce and Workforce Development under Governor Kevin Stitt. Under this position, Kouplen was in charge of economic development for Oklahoma, which involved bringing new businesses and helping the existing businesses grow. During his tenure, he brought in 100 new companies.

“We had some really high profile recruitment efforts,” said Sean Kouplen. “You may have seen the Tesla effort. I led that effort and initially recruited them here.”

Although in the end, Tesla went to Austin, Texas, Kouplen learned Oklahoma could compete in the electric vehicle manufacturing world. He began to market to electric vehicle manufacturers and said there are “some big, big, big ones that are looking at this state now.”

While recruitment efforts were one aspect of Kouplen’s job, he learned Oklahoma’s major companies were founded and grew here, and so he began asking, “What programs can we use to help our businesses grow?” One of the projects Kouplen put together was a venture capital advisory council, which includes people like Rick Nagel with Acorn Group and Erica Lucas with Thunder LaunchPad, to name a few. They would put together monthly investment calls, where they would feature companies and have investors calling in.

One of the surprising facts Kouplen learned as Secretary of Commerce and Workforce Development was that Oklahoma could compete with anybody on a global scale in business.

“We are a very low-cost state. We have excellent educational institutions, excellent training,” said Kouplen. “We have excellent incentives for businesses that are either growing or wanting to move into the state. We’ve got a great location, great abundant natural resources, very flat organizational structure. I could get a company that was going to bring a hundred jobs to Oklahoma, in to visit with the governor in a matter of days. And you go to Texas, and they wouldn’t even talk to you if you don’t have a thousand jobs. And so I think that was a tremendous advantage.”

Kouplen believes one of the challenges the state faces in helping businesses is getting the word out about the available resources. He’s worked to centralize all those in one place at okcommerce.gov. The website features both incentive and non-cash programs to help entrepreneurs. Some of the tools for entrepreneurs in Oklahoma Kouplen mentioned include 36 Degrees North, Love’s Innovation Group, Oklahoma Manufacturing Alliance, and Thunder LaunchPad.

“I visited with a company in Broken Arrow, Oklahoma, in my banking role, and they are expanding, building a big building. And they mentioned having a manufacturing plant in California, where they were very frustrated,” said Kouplen. “I laid out some of the things that the state could do to help them relocate to Oklahoma, and they had no idea. And I think they’re going to move hundreds of jobs here based upon one conversation. So that’s what I’m saying, in my opinion, we have the ingredients. We just have to continue doing a better job of packaging those and getting the word out through avenues like this.”

Sean Kouplen will be the featured keynote speaker for Oklahoma Venture Forum Annual Award Event on Wednesday, May 12th, 2021. Kouplen said he is excited to come to speak to Oklahoma Venture Forum about what he’s learned and what he sees in Oklahoma’s future.