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Healthsense gets funding boost, looks toward growth

Mendota Heights-based healthcare technology firm Healthsense recently got a major boost toward more growth, in the form of strategic funding that will help the company keep expanding its operations.
 
Healthsense provides a remote monitoring platform, called eNeighbor, targeted toward the senior care market. Caregivers can be alerted to situations like falls or sudden health changes, and can also use the technology to keep on top of regular health issues.
 
The system--developed under the direction of the National Institute of Aging and the Defense Advanced Research Projects Agency--relies on a series of wireless sensors placed throughout a residence, which can capture an occupant's activities. The system "learns" a person's routines, like what time he or she gets out of bed, and alerts caregivers if there's a significant change in behavior.
 
The company will be able to expand the product's reach, thanks to an infusion of $7 million, in a round of Series-D financing, led by new investors Merck Global Health Innovation Fund and Fallon Community Health Plan.
 
"The addition of these respected investors supports our belief that our technology and approach can both improve quality and reduce cost," notes Healthsense CEO Brian Bischoff. "Both companies represent strong strategic alliances for us at this important point in our growth."
 
The company has seen a nice amount of traction in the past few years, kicked off by a grant from the Department of Defense, which launched a research program to demonstrate how wellness monitoring and assistive technologies could help keep older adults in their own homes.
 
Bischoff is confident that the system's steady adoption will keep fueling company growth, especially with the financing round. He says, "As we go forward, our attention will increasingly focus on enhancing care models to advance the adoption of remote monitoring in health management."
 
Source: Brian Bischoff, Healthsense
Writer: Elizabeth Millard

W3i prepares for growth by opening Minneapolis office

Anyone searching for an indicator of Minnesota's strong tech growth should take a good look at St. Cloud-based W3i.
 
The company has not only tripled growth for its mobile monetization business within the past year, but it's also nearly doubled its employee numbers, and there's no stopping the momentum now.
 
To keep pace, the company will be opening an office in the Grain Exchange building in Minneapolis, and has recently added space to its headquarters as well. Another office just opened up in San Francisco, too, to attract developers and potential employees in that technology hub.
 
"We're excited about everything that's happening, and the surge in revenue we've seen," says Rob Weber, who co-founded W3i with his brothers, Ryan and Aaron, in 2000. "With the growth in mobile technologies and apps, we're in a hot category, with a platform that's creating a lot of value. It's hard not to be excited when you're in that position."
 
The company helps app developers and publishers make a profit from their apps, through a monetization and distribution system. Services include user acquisition, media buying, and marketing solutions.
 
Particularly well received is the W3i Games Platform, which provides a hosted virtual goods management system. The platform allows developers to add, modify, or delete inventory items and manage their currency online.
 
With all the momentum, W3i is likely to keep its current, robust pace, Weber believes. There are 20 open positions in every functional area of the company, and he anticipates that the business side of W3i will get built out as much as the development side. He says, "All areas are growing here, and we're just doing our best to keep up."
 
Source: Rob Weber, W3i
Writer: Elizabeth Millard

Technology firm Fision finds traction through marketing automation

For a decade, marketing and technology have been racing toward each other, and Minneapolis-based Fision expertly demonstrates the powerful effect that can occur when they finally fuse.
 
The firm, kicked off in 2008 by entrepreneur Mike Brown, provides clients with integrated marketing that boasts high levels of customization and simplicity.
 
For example, a health and beauty manufacturer with 7,000 distributors, retailers, and salons across 24 countries used Fision to create a centralized online marketing asset repository for sales materials. Each location could build digital and print marketing campaigns and deliver a consistent message, no matter where the salon or distributor was in the world.
 
Over the past four years, Fision has built a number of software-as-a-service products that give clients more clout in streamlining their marketing and communications efforts. Customers can choose customized e-mail marketing, social media marketing, digital asset management, business rule configuration, list management, and other services.
 
Recently, the company made a major move into the mobile space as well, by announcing an agreement with 3Cinteractive, a provider of cloud-based enterprise mobile solutions. That partnership should bring more sales and marketing automation across multiple channels, including messaging, smartphone apps, and mobile web.
 
Currently, Fision has 20 employees, but look for that number to increase as marketing automation keeps catching on, notes Fision spokesperson J.T. Williams. "This is a huge area for growth," he says. "The emergence of marketing automation is a major driver for change within enterprises; it really allows them to be much more effective about their marketing efforts."
 
Source: J.T. Williams, Fision
Writer: Elizabeth Millard

Argos Risk empowers SMBs for better financial decisions

Small companies spend a large chunk of time on customer acquisition and supplier management, but it can be tricky to determine if those external contacts will be a boon to business or a drag on the accounting department.
 
Minneapolis-based Argos Risk intends to turn the process into a streamlined, simple strategy that can benefit any company. The firm provides a monthly subscription service that allows enterprises to monitor the ongoing financial health of customers, suppliers, and even competitors.
 
The tactic lets Argos clients manage risk, and also gives them a tool to determine which customers deserve more credit or more sales efforts directed their way. The software-as-service was designed for small and medium-sized businesses (SMBs) in particular, says co-founder Steven Foster, because companies of that size often lack the resources to do extensive risk management.
 
The Argos "stoplight system" gives users a quick indication of potential credit problems, and an alert system kicks in when a customer or supplier starts heading from yellow to red. Foster says, "We've had very good feedback about the system; people really appreciate how helpful it can be when making decisions about their customers or suppliers."
 
Recently, the company introduced another risk-management tool, but this time it's for the SMBs themselves. Argos Risk Defender monitors a company's credit and issues an alert if problems are cropping up. Company president Lori Frank compares it to LifeLock, the identity-theft prevention tool for individuals.
 
"This is an era when identity theft is the fastest growing crime, and businesses aren't immune--far from it," she says. "We're helping to address the problem, and to help companies that may have been compromised."
 
The company is finding strong traction for its products, and expects strong growth in the year ahead, including hiring in some key positions. "We take a field that's complicated and make it easy for our customers," says Frank. "When you do that, you can always find growth."
 
Sources: Steven Foster and Lori Frank, Argos Risk
Writer: Elizabeth Millard

Tech company MentorMate relocates and boosts hiring

Minneapolis-based technology firm MentorMate continues on its robust growth track, anticipating more hiring when it moves into new headquarters soon.
 
Started in 2001 by entrepreneur Bjorn Stasvik, the company was founded on a signature app, iQpakk, which allows users to create education and training courses on a mobile device. Later, it rolled out SpyderMate, a web-based SEO application for marketers.
 
Despite a challenging economic climate in the past few years, and slow early adoption of mobile tech, MentorMate found its footing and kept on growing. The company expanded internationally, opening offices in Bulgaria and Costa Rica, and Stasvik notes that MentorMate found even more traction when the iPhone debuted.
 
At the start of 2011, the company had 30 employees, but began this year with 115 employees. Stansvik aimed to increase that number to 200 by the end of 2012, and the move to larger offices should help meet that goal. The company will relocate within Uptown to 3036 Hennepin Ave., occupying space once held by advertising agency mono.
 
"Software is permeating society as a whole," says Stansvik. "We see demand only increasing, and we're in a great position to take advantage of that."
 
The company's success is only partially based on innovation, he adds. Also helpful is filling customer need, and excelling at web marketing. He says, "If you have happy clients, the rest can take care of itself. "
 
Source: Bjorn Stasvik, MentorMate
Writer: Elizabeth Millard

PreciouStatus wins Minnesota Cup

The best breakthrough business idea in Minnesota this year is a mobile application that allows care providers, family members, and loved ones to interact with one another throughout the day.
 
Called PreciouStatus, the app nabbed the top prize at the lively Minnesota Cup competition, beating out over 100 competitors in the high-tech division, and about 1,000 entrepreneurs total. PreciouStatus founder Julie Gilbert-Newrai started the company about a year and a half after her husband was hospitalized with a severe brain hemorrhage when the couple's child was just eight weeks old.
 
"I learned firsthand how difficult communication with loved ones can be during times of crisis," she says. "The more I looked at the system at large, it became obvious how broken it was." She mapped out a tool that could provide real-time updates for those in daycare, eldercare, rehabilitation facilities, schools, and other locations.
 
Using the technology, care providers input updates on activities, medication, mood, and other aspects of care. This allows family members to keep up with what's happening without frequent calls to a facility.
 
This year's Minnesota Cup competition was closely watched, in part because it offered the highest total prize amounts in the Cup's history. One finalist from each division received $25,000 in seed capital ($10,000 in the student division), and runners-up each received $5,000. PreciouStatus will was awarded an additional $40,000 as grand prize winner.
 
"The Minnesota Cup is one venue that tells entrepreneurs to keep going while so many tell you that your business isn't going to work," Gilbert-Newrai says.
 
Source: Julie Gilbert-Newrai, PreciouStatus
Writer: Elizabeth Millard

Online retailer HomeGrown Kid launches, looks toward growth

For parents who want to find toys made in the United States, the search can be challenging, believes Patrick Magnusson, co-founder of a new online retail venture, HomeGrown Kid.
 
"We have a young daughter, and we became aware of how difficult it could be to find toys and other products made here," he says. "Many were made in countries where the safety standards aren't as rigorous as those of the United States, and that was a concern for us."
 
He started the venture with his wife, Nousha, and her brother, with the trio bringing on family friend Bobbi Bohnsack to handle marketing. In addition to offering American-made goods, many of the products on the website are eco-friendly as well. For example, a dump truck from Green Toys, a manufacturer in California, is made from recycled plastic milk containers and is BPA-free. Even the packaging for shipping is constructed of recycled materials.
 
Beyond safety issues, Magnusson and his co-founders have a larger goal of increasing access to American-made products. He says, "We feel that consumers can positively influence the economy by buying products made here. It moves us toward a better future."
 
The site launched in June, and is finding initial traction through word of mouth, he notes. They plan to do a larger marketing push soon, and by next year, hope to have a steady base of sales and predictable growth. Magnusson says that the step after that will be to expand into other areas, like product development.
 
"At the end of the day, we're seeing that the 'Made in the USA' options aren't that numerous, but that's one of the main reasons we started this, to begin the process of doing something about that," he notes. 

Creative agency Pocket Hercules builds strength through organic growth

There are numerous advertising, public relations, digital, and design firms in the Twin Cities, but in combining all those skills, Pocket Hercules is confident that it'll continue to stand out.
 
The Minneapolis-based agency, founded in 2005, has been growing steadily this year since expanding their offices in the Warehouse District. In addition to representing high-profile brands like Pearl Izumi, Rapala, and Mortenson Construction, the firm is finding strength through brands they've launched on their own: Lakemaid Beer and Tiny Footprint Coffee.
 
Given the interest in fair-trade coffee, Tiny Footprint in particular is really taking off, and will be sold at the Minnesota State Fair this year, notes agency principal Jack Supple. The coffee is also in the American Swedish Institute and Wilde Roast Cafe, and expectations are high that the eco-conscious brand will become better known in the near future.
 
Lakemaid is also enjoying some longevity. Launched in 2008, the brand was created for fishermen and cabin owners, and is offered every year at the opening of fishing season. Supple says, "We're humbled by the success we've experienced so far [with Lakemaid]. We owe it all to our dedicated fans who look forward to the beer with great anticipation every year."
 
The firm is also seeing growth through PH Digital Labs, a new digital marketing agency that the company launched in February. Dedicated to focusing on a client's online presence, the offshoot of Pocket Hercules utilizes search engine marketing, social media marketing, digital content creation, and intelligent web design.
 
"What we're seeing is organic growth," says Supple. "We're growing our brands and bringing in new business, and as a result we're adding people and seeing a really good year."
 
Source: Jack Supple, Pocket Hercules
Writer: Elizabeth Millard

Minnesota Cup announces division finalists

Now it's down to 19.
 
The eighth annual Minnesota Cup continues to draw attention in announcing the division finalists, whittling the top contenders down to just three companies in each category. The contest features high tech, bioscience and health IT, clean tech and renewable energy, general, and student divisions. Four contenders are competing in the social entrepreneur category.
 
Finalists include OrthoCor Medical, which proposed ideas for noninvasive therapeutic devices to alleviate pain, and PreciouStatus, a mobile application that allows care providers to interact with patients' family members throughout the day.
 
Division finalists will deliver an eight-minute presentation to a panel of judges, and winners will be announced on August 29. The grand prize will be awarded on Sept. 6 at an event held at the University of Minnesota.
 
This year's competition has been closely watched, in part because it offers the highest total prizes in the Cup's history. One finalist from each division will receive $25,000 in seed capital ($10,000 in the student division), and runners-up each receive $5,000. The grand prize winner will get an additional $40,000.
 
Cup co-founder Scott Litman believes that the contest serves as a catalyst for innovation in the state. He notes that selecting the top ideas is always a challenge, since the Cup draws impressive applicants every year. Those who've won in the past or have been finalists went on to attract significant investment, he adds: "Our track record shows the level of intelligent and inspiring entrepreneurs in the state is truly remarkable."
 
Source: Scott Litman, Minnesota Cup
Writer: Elizabeth Millard

September events: Minnesota Cup, Work/Life Expo, Blogger Conference, Food + Justice

Minnesota Cup Final Awards Event
 
September 6
University of Minnesota, McNamara Center
5:00pm - 7:30pm
free
 
One of the liveliest entrepreneurial competitions, the Minnesota Cup has been a source of innovation and fresh ideas since its founding. (Read about this year's finalists here.) In its final awards event, attendees will get to hear elevator pitches from the division winners and hear the announcement of the grand prize winner. The event promises to be an ideal networking opportunity for the state's entrepreneurial community.
 
Work/Life & Flexibility Expo
 
September 13
Minneapolis Marriott Southwest
8:30am - 4:30pm
$50 - $150, depending on registration type
 
As the economy recovers, engaging highly skilled talent will be crucial for all organizations, and employee retention will be vital. This conference offers insight and strategies for building a work environment that attracts the best talent and positions a company for future growth.
 
Minnesota Blogger Conference
 
September 22
Allina Health
Midtown Exchange Building, Minneapolis
9:00am - 5:00pm
free
 
The first Minnesota Blogger Conference, in 2010, was such a success that organizers decided to keep it rolling. The highly popular conference--tickets are released at strategic times, as for a rock concert--will feature speakers who've taken blogging to new levels, including turning their blogs into business opportunities. Last year's sessions also included insights on legal issues, writing topics, and video blogging.
 
Food + Justice = Democracy
 
September 24 - 26
Radisson Plaza Hotel
35 S. 7th St., Minneapolis
Ranges from $85 - $195 depending on registration type
 
A distinctive national meeting, this event brings together food-justice activists with the aim of pushing political leaders to prioritize a fair, just, and healthy food system. Instead of traditional breakout sessions, the meeting features "People's Assembly sessions," connecting attendees with fellow participants in order to craft elements of a national food-justice platform.

Online education company Sophia lets teachers "flip" their classrooms

Fast-growing online education firm SOPHIA has been ramping up hiring and reach over the past 16 months, and with a new way to "flip" a classroom, it's likely to expand even more in the year ahead.
 
The Flipped Classroom Certificate was introduced in April, and since then, nearly 100 teachers have earned the designation, with another 500 in the process. The professional development certificate involves a relatively new teaching method that reverses or "flips" the traditional homework model.
 
In a flipped classroom, students view multimedia tutorials as homework, then use class time to complete assignments. This gives teachers the ability to provide one-on-one assistance, and to explore a concept more fully if it seems that students are struggling or particularly curious about an aspect of the subject.
 
Since students are online so much of the day, the model allows teachers to capture students' time more effectively.
 
Beyond the certificate, the company provides free teaching and learning tools in a variety of subjects, including math, science, English, humanities, fine arts, and languages. Founder Don Smithmier notes that bringing SOPHIA to the whole world was a goal from the start, and one that the company reached quickly. In just its first two days, SOPHIA saw people logging in for the tools from nearly 70 countries.
 
"We're working in a new category of education, which we call social education," says Smithmier. "It's at the leading edge of learning effectiveness, so there's no path to follow where someone else has led. That can be daunting, to be the first one to forge the path, but it can be exciting, too."
 
Source: Don Smithmier, SOPHIA
Writer: Elizabeth Millard

CaringBridge expands services by introducing user-generated video

Nonprofit site CaringBridge continues on its relentless growth track with the launch of user-generated video that lets site users share their stories with friends and family.
 
The project, facilitated by Minneapolis-based web design and development firm Nighthawk Marketing, features a pre-designed video template that asks users to create an orange or white heart (the colors of the heart in the CaringBridge logo) with an inspiring word or a loved one's name on it. Users can then upload a photo, and it is added to the video.
 
CaringBridge debuted in 1997, as a way for seriously ill people to create one central, online page that could keep friends and relatives updated about their health changes. Since then, the site has recorded nearly two billion visits, and founder Sona Mehring says the group is continually looking for ways to expand services and deepen the connections made through the site.
 
"There's still tremendous potential for how CaringBridge can be used," she says. "All of our development supports the idea that people are now used to sharing online, and that we just need to find ways to harness those networks."
 
She noted that in addition to the introduction of the video, other service offerings are being refined, such as a calendar program that allows visitors to volunteer for making meals or coming along on a doctor visit.
 
"People who are using CaringBridge are going through a journey," says Mehring. "They appreciate that they can reach out to others through the site. It lets them know that they don't have to be on this journey alone."
 
Source: Sona Mehring, CaringBridge
Writer: Elizabeth Millard

Software firm KeyedIn Solutions boosts growth through global expansion

Started in late 2011, Minneapolis-based KeyedIn Solutions has been on the fast track ever since.
 
The company provides software-as-a-service (SaaS) and consulting for small to midsize businesses, specializing in areas like enterprise resource planning and project management. The past year has been a whirlwind of acquisition and hiring and CEO Lauri Klaus notes that they see more opportunity ahead.
 
"We're working to establish ourselves in the marketplace, and we're aggressive in reaching that goal," she says. "We've made more progress in a shorter amount of time than I would have anticipated, and that's exciting. We're looking toward long-term growth, definitely."
 
To keep up the momentum, KeyedIn is thinking globally. Recently, the company announced that it would be opening a new office in Monterrey, Mexico, and it is likely to expand in South Africa within the next year. Already, the firm has a presence in nine U.S. cities as well as the United Kingdom and Australia.
 
The Mexico office will be led by Christian Orellana, a software industry veteran with experience in channel and project management, Klaus notes. He'll be responsible for all channel sales in the region as well as strategic partnerships, and Klaus believes that growth in the country will be rapid as a result.
 
"Technically, I think we're still considered a startup, but we don't feel like that," she says. "With this expansion and other global opportunities, we feel like we're really finding our place and creating new opportunities as we go."
 
Source: Lauri Klaus, KeyedIn Solutions
Writer: Elizabeth Millard

Creative agency Modern Climate looks toward more growth ahead

Some creative agencies can provide stunning strategies and vision, while others are stronger in delivering the technology that turns a promise into a workable project. At Modern Climate, they don't feel the need to choose.
 
"We can deliver top to bottom, including all the technology" says Geoff Bremner, the agency's president. "We're capable of very strong creative ideas, but also have the ability to deliver the code."
 
The agency got its start in 2009, with roots in a different interactive agency, Wolfmotell. The founders from that firm joined with Bremner to capitalize on their experience in product development and other services and broaden their approach. The result has been a full range of services for clients, and more national accounts, Bremner says.
 
The other result has been a nice amount of growth. The agency employs 45 people, and will see about 35 percent growth this year. Bremner predicts that Modern Climate will stay robust, likely sailing along at about 20 percent growth year to year in the near future.
 
The agency's ability to provide full services is one driver, but Modern Climate also stands out for its expertise in delivering powerful brand experiences for clients.
 
Recent projects have included the development of the Health4Me mobile app for UnitedHealthcare, the creation of a communications platform for Northern Brewer's recent store opening, and improvement of Geek Squad's consumer site.
 
"We see so many opportunities for fun consumer engagement," says Bremner. "When people enjoy a brand experience, they want to interact more with that brand. So, our focus is to create a great experience through the whole journey."

Mindsailing helps companies transform through creativity and communication

For Julie Mackenzie, growing up around actors and other theatrical people created a strong sense that life should be lived creatively, and with plenty of improvisation. When she stepped into the business world, she was surprised to discover that not everyone held that belief.
 
"I was shocked at what some people considered creativity," she recalls. "Right away, I could see the need for more transformation and innovation through a creative approach."
 
She hatched the idea for a firm focusing on those goals, but then got sidetracked by building a marketing company with her husband. After establishing that firm, she decided to take the leap and open Mindsailing to realize her vision.
 
The timing has been perfect, she notes: "We have this community of great collaborators right now. They're pursuing their interests, and trying to find a way to be valuable and relevant, while using the momentum of change to pull their businesses forward."
 
Mackenzie provides some wind for their sails, by bringing together a group that can deliver strategic planning and creative development, while helping clients to connect to a company's value proposition.
 
Mindsailing tends to work with clients in industries that are experiencing rapid change, such as healthcare, and uses social innovation to boost transformation.
 
"There are so many well-founded and well-researched strategic plans that simply fail," she says. "It's because those companies aren't responding to changing dynamics through creativity, or they're not finding ways to communicate in a new way."
 
Source: Julie Mackenzie, Mindsailing
Writer: Elizabeth Millard
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