Entrepreneurship

Coverage of those starting up businesses and community resources to help them thrive.

Luxury Updated Homes upgrades small homes into larger luxuries

James Danley hates mediocrity. So much so that the local entrepreneur started a business focused on turning ho-hum homes in Oakland County into high-end living spaces. Luxury Updated Homes specializes in taking run-of-the-mill bungalows and ranches in Oakland County's tony municipalities and turning them into larger, luxury houses that fetch top dollar. Most of the houses are foreclosures in need of a lot of tender loving care. Danley's business acquires them, enlarges them and infuses high-end materials and finishes. "We will spend a lot more money on materials than a lot of other contractors will," Danley says. The 1-year-old firm now employs four people and 50 independent contractors. It has renovated 10 homes so far in Farmington Hills, Beverly Hills, Franklin and West Bloomfield. It got its start tackling houses in the $100,000 range. Its most recent renovations have hit the $500,000 price point and Danley is starting to focus on even more expensive housing stock in Birmingham. Luxury Updated Homes will often take a bungalow or ranch, tear off the roof and add a full second story to double the square footage. Danley is also looking to get into some new construction projects where older, smaller homes will be razed to make way for bigger, more up-to-date houses. Source: James Danley, president & owner of Luxury Updated Homes Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

Latest in Entrepreneurship
New principal one of two new hires at Beringea

Beringea, Michigan's largest venture capital firm, has hired two people over the last year, including making one big hire this summer. The Farmington Hills-based firm recently brought on Mark Donnelly as a principal who will identify and analyze potential investments. The University of Michigan graduate left a job at the Riverside Company, a middle market private equity firm, to come to Beringea. Donnelly has also worked as a member of the investment team of DW Healthcare Partners and began his career as a strategy consultant at Bain & Co. "He was born and raised in Michigan and was looking for an opportunity to come back," says Charlie Rothstein, founder & managing director of Beringea. Beringea specializes in making investments in late-stage start-ups and has a portfolio of about 60 companies. It has a satellite office in London and employs 26 people, including 10 at its Farmington Hills headquarters. The venture capital firm has experienced a sizable amount of activity in its Michigan portfolio. Earlier this summer, Beringea invested in the recapitalization of White Pigeon-based Fiber By-Products Corp, a processor, recycler, and manufacturer of wood products. Beringea also recently recorded an exit when RTI Biologics acquired Pioneer® Surgical Technology, a Beringea portfolio company. The Marquette-based company manufactures and distributes metal and synthetic products in the orthopedics, biologics, spine, trauma and cardiothoracic markets.   "It was a terrific business, employing many people in the Marquette area," Rothstein says. He adds that "we expect great things from the rest of the companies in our portfolio." Source: Charlie Rothstein, founder & managing director of Beringea Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

Help Wanted: NY Times sees tech workers moving to Detroit

West coasties are coming to Detroit, on the heels of a tech-hiring boomlet in the auto industry. Excerpt: "After graduating from the University of Michigan in 1998, Brian Mulloy followed the path of many of his classmates, fleeing his home state for a job in a bustling city. But after 10 years of working in technology start-ups in San Francisco, he has returned as founder of a company in Detroit’s budding technology sector.. Mr. Mulloy is part of a group of workers that Detroit is suddenly hungry for — software developers and information technology specialists who can create applications for the next generation of connected vehicles." More here.

Renaissance Venture Capital Fund thrives on Michigan investments

The Detroit-based Renaissance Venture Capital Fund is getting landmark returns through investing in Michigan companies. Excerpt:  "The  Renaissance Venture Capital Fund(RVCF) is a Michigan based venture capital fund.   The company has announced today that their initial investment of $16.7 million has led to a total of nearly $300 million in 20 new Michigan companies.   This means that they are seeing a ratio of $17 venture capital investment coming into Michigan for every dollar invested by the RVCF.   This led to the creation of hundreds of high-wage jobs that pay an average of $80,000 per year." More here.

Accurate Surveying grows from zero to staff of 5

Chad Wehbe spent more than a decade working for someone else as a professional land surveyor. That didn't last too long. Until 2008 in fact. That's when he started his own company Accurate Surveying. "I liked the challenge and I decided to take the risk," Wehbe says. "There is more opportunity. I don't like to be in a box." The Livonia-based business now employs five people after hiring a new employee to handle marketing recently. The company is growing at a fast clip, notching 20 percent revenue growth over the last year. Wehbe expects to hit another 15 percent revenue growth over the next 12 months. "We started from nothing," Wehbe says. "Every year we have grown. The more you give the more you get." The 20-year veteran of land surveying expects his business to grow for the foreseeable future. Largely because of its performance and as it rides along with the expanding economy. "I can feel the market coming back now," Wehbe says. Source: Chad Wehbe, president of Accurate Surveying Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

Livonia retiree launches his own biz, Simple Ram Abs

Thirty years ago, Gary Roumayah didn't invent a better mouse trap but a better way to do sit-ups. The Livonia resident created a bench with couple of strategically placed straps that helped the then-young man focus on working out his abs. He thought about patenting the invention but decided against it once he explored the cost of doing so. Fast forward to 2009 and the now retired truck driver decided to go for the patent. It took a few years but he recently landed it and made a short run of the machine, which he is branding as Simple Ram Abs. "The whole idea behind it is to do it more efficiently and effectively," Roumayah says, explaining how the straps help keep the user's legs and arms in place so the user's energy can be focused on their abs. "This makes sure your legs and arms don't get tired." Roumayah sent letters to dozens of exercise equipment manufacturers once he had the patent. A handful got back to him to tell him they weren't interested. One wrote back and said it looked interesting but they needed to see sales before pursuing the matter further. "They wanted to see if it could sell and be successful," Roumayah says. So Roumayah made a run of 60 Simple Ram Abs he is selling for $199.99 over the Internet. He plans to launch an advertising campaign in August. He hopes to move all of his product before the end of the year. Source: Gary Roumayah, president & owner of Simple Ram Abs Writer: Jon Zemke Read more about Metro Detroit's growing entrepreneurial ecosystem at SEMichiganStartup.com.

The (less than) skinny on Detroit Chocolat

File under "Things That Make You Say Yum." A teacher starts his day, every day, as an up n coming chocolatier.  Excerpt: "Chocolate runs in his blood: He’s a fourth-generation chocolatier (the great-grandson of Ervin and Julia Morley of Morley Candy Makers) and he spent a decade working for Morley. Even though he’s a full-time elementary school teacher, Petz was unable to resist the pull of chocolate and in 2010 started Detroit Chocolat in Sterling Heights (to the delight of his mother and his wife whom he calls a “chocolate addict.”)" Read the rest here.

New Shine On Yoga does downward dog in downtown Ferndale

After years of teaching yoga in studios around metro Detroit and seeing what inspired and motivated people, Linda Marchione has brought her experiences together in her own studio, Shine On Yoga in downtown Ferndale. What she wants most out of Shine On is to offer comfort and community - on top of physical strength and peace of mind. "I've designed it to be inviting so that everyone who comes in knows they're welcome to stay. I want it to feel like my home, like my living room," she says. "It's not designed to make people feel like you come in, take your class and leave, with nowhere to sit or spend time, talking to people, getting to know people," she says. "We're not a factory. We're not a huge money making machine. We're a small local business and and I want everyone to know who walks through the door that we'd like them to stay and have tea." Shine On opened June 3 at 22751 Woodward Avenue, the southwest corner with 9 Mile, in the heart of downtown Ferndale. A grand opening celebration and ribbon cutting is set for 4:30 p.m. July 19, and there will be live music, refreshments and demonstrations. Marchione's Shine On Studio has also been selected by yoga and running wear maker, Lululemon, to be it's local studio of the month in July and September. Shine On will lead free Sunday morning yoga sessions each Sunday of the month an hour before the stores open. Shine On will lead yoga at the Somerset in July and in downtown Birmingham in September. Shine On will also regularly coordinate volunteer days at Gleaner's Community Food Bank, where Marchione is a volunteer coordinator. "Our teachers do an awful lot of community work. We focus on practicing kindness not just toward ourselves but others" she says, "The body is meant to serve. Yogis teach you to get strong yourself and then give it away." Writer: Kim North Shine Source: Linda Marchione, owner, Shine On Yoga

Repurposed parking meters raise money for more art in Ferndale

Parking meters, fixtures that are more nuisance than art, have been repurposed into artworks that will help pay for the installation of sculptures to grace the streets of downtown Ferndale, and the public is invited to vote on which sculptures to buy. The Ferndale Downtown Development Authority wants to purchase two pieces that are currently on display in the city's ARTWN exhibit, which ends soon. To raise the money for the purchase, a party and live auction of artists' re-imagined expired parking meters was held June 21 at the Rust Belt Market. The expired meter art is a way for the city to poke fun at itself over parking changes that have led to some complaints and ridicule. More than a dozen artists turned the old meters, which have been replaced by latest iteration of modern-day parking meters, into funny, whimsical, sarcastic, art. A final tally of the proceeds is still being taken, says DDA spokesman Chris Hughes, but somewhere between $3,500 and $18,000 is to purchase the sculptures that will leave Ferndale when the ARTWN exhibit ends. The public can vote on which sculptures to keep by placing dollars in ballot boxes made out of paint cans with a picture of the sculpture of the top. The cans are located at businesses that were sponsors of the ARTWN exhibit. They will also be out at the Get Reel outdoor movie party Thursday July 18. The top five vote-getters will go to a committee that will decide which pieces become permanent public art. The final picks will be made by December, Hughes says, as fundraising continues. Writer: Kim North Shine Source: Chris Hughes, spokesman, Ferndale Downtown Development Authority

Organic nail polish co. sprouts in metro Detroit

Cindis Naturals is a new nail polish company started by families from Grosse Pointe and Clarkston. The business plan is twofold: to develop a polish without harmful chemicals and to give nail professionals a product that their clients can only get from them. The polish, which has been in salons in metro Detroit salons for about two months and will soon be sold in six locations of Windsor Beauty Supply, grew out of a relationship between husband and wife John and Melodie Scherer of Grosse Pointe Farms and brother and sister Cindy and Rick Lieder from Clarkston. Cindy Lieder, a longtime manicurist who decided she wanted to create a safer artificial nail, one without chemicals linked to pulmonary, neurological and gynecological side effects, started her company CindiNails in 2005. In the meantime, the Scherers, veterans of the pharmaceutical and cosmetic industries, saw an opportunity to sell nail polish exclusively to nail professionals who had lost their go-to brands, OPI and Esse, after they became available to all consumers, not just professionals. In doing research and interviews the Scherers also heard that manicurists wanted a product that was more organic, less chemical, John Scherer says. The Scherers had been successful in nail polish in the 1990s but left the business when stores became too difficult to work with. It was a call from an industry consultant in California several months ago, telling them about a void in polishes sold only to nail pros that got the ball rolling on forming a new product. During the research and development process they learned about the Liebers' low-chemical system for artificial nails and the top coats and base coats that came with it. The Scherers decided to approach them about their new polish formula that could be made minus five dangerous chemicals, including formaldehyde and toluene, and with an organic not synthetic plasticizer (hardener). They asked if the Lieders wanted to combine products. They did and the foursome formed Colors Cindi Nails Naturals LLC. "We had our polish colors. The thing we didn't have was our top coat or base coat," says John Scherer. "We thought we would find someone doing it in California, and it turned out we found someone doing it right here in Clarkston, Michigan. We wanted it to buy it in gallon cans from them initially, but they wanted to buy colors and it was perfect. It was a marriage made in heaven." New salons and independent nail professionals are ordering Cindis Naturals every week, he says, salons in Grosse Pointe, West Bloomfield, St. Clair Shores. While the business side is looking promising what's been most rewarding, he adds, is how the product has helped nail professionals not only avoid smelly, potentially harmful fumes but also boost their bottom line. The polishes are sold in full size bottles for manicures and pedicures and come with a Skinny Mini that can be sold to clients for touch-ups, etc. and in a bottle size that won't dry up before it's used up. It gives consumers a way to keep their nails fresh and the nail pro a small source of income. "It's working like a charm," he says. "The pros are happy. Their clients are happy. A safer product is out there. It's working out just beautifully." Writer: Kim North Shine Source: John Scherer, co-founder Cindis Naturals

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