Smeal's Farrell Center Helps Turn Ideas into Businesses

What does an alternative to drywall have in common with a Web site that connects corporate recruiters to college athletes? They're both start-up business ideas launching with the assistance of Smeal's Farrell Center for Corporate Innovation and Entrepreneurship.

Under the direction of Anthony Warren, Farrell Clinical Professor of Entrepreneurship, the Farrell Center seeks to advance the study of entrepreneurship at Penn State through education, research, and outreach. Established in 1992 with an endowment from Smeal alumnus Michael J. Farrell '71, the center is taking the lead in several new initiatives to harness the entrepreneurial spirit of the Penn State community while providing the resources necessary for students, faculty, and the Pennsylvania public to turn their business ideas into viable start-ups.

One of the center's more recent initiatives is IdeaPitch, a competition designed to identify the best new business idea at Penn State. The contest, which will begin accepting participants this fall for its second run, provides a learning experience as the entrepreneurs compete. The IdeaPitch judges offer feedback throughout the competition so that contestants can fine tune their ideas and business plans, fostering the skills necessary to pitch their ideas to investors at the conclusion of the contest.

The first IdeaPitch, which concluded in April, was won by Matthew Gross, a Penn State materials science and engineering student, whose PolyWall wallboard idea is an alternative to the current gypsum-based drywall wall panel. Gross won some seed money to launch his company, MG Walls LLC, but more importantly, the competition provided him with expert feedback from venture capitalists and experienced entrepreneurs on his idea, business plan, and investor pitch.

His company will also be eligible to participate in the Garber Practicum and potentially receive funding from the $5 million Garber Venture Capital Fund, a venture fund managed by Smeal MBA students. The Garber Fund is part of the Nittany Lion Venture Capital Association (NLVC), an MBA student-run management group that works with small companies and other investment groups in early stage business planning, execution, and due-diligence assignments.

The fund's latest investment is Go2Athlete.com, a Web site that allows college athletic departments to control and monitor the career development and placement of their student-athletes. Founded by Smeal MBA alumni Kevin Callahan '07 and Chris Ganter '07, the company got its start in the Lion Launch Pad, a start-up business incubator for Penn State undergraduates-another initiative of the Farrell Center.

The center's most recent endeavor, and one of its largest, is the launch of InnovatePA, a collaboration with Penn State Outreach. This new enterprise, launched in July, seeks to connect all of Pennsylvania's regional economic development centers in one online network to help Pennsylvania entrepreneurs tackle the many questions associated with starting and running a business.

In the videos on the right, Farrell Center director Anthony Warren provides further details on InnovatePA, the Lion Launch Pad, and the Garber Fund's investment process. He also defines entrepreneurship as a mindset that the Farrell Center seeks to foster at Penn State.