Startup News: NextCAT wins Ann Arbor SPARK's Boot Camp, collects $100K in seed capital

NextCAT is walking away with a lot of awards, seed capital and new employees these days.

The TechTown-based start-up won Ann Arbor SPARK's Entrepreneur Boot Camp last week. The biodiesel firm also has collected $100,000 in micro loans from local funds and has expanded its staff to six people with plans to hire more this year.

"We've been working on this pitch and business plan for awhile," says Chuck Salley, president and CEO of NextCAT, speaking about the two main parts that allowed the company to win the boot camp competition and attract the seed capital. "It's really coming together now."

NextCAT is utilizing technology developed at Wayne State University to push forward the development of biodiesel. This technology allows biodiesel producers to use less-expensive raw materials for production, simplifying the process.

It recently took in $50,000 grants from both the Michigan Micro Loan Fund and the First Step Fund. Being named Best in Boot Camp by Ann Arbor SPARK also provides the 1-year-old firm with $5,000 in business consulting through Ann Arbor SPARK as well as three months worth of access to the Ann Arbor-based business accelerator's resources, such as mentoring and introductions to other businesses and investors.

NextCAT now employs two people on a full-time basis and another four part-time. One of its full-timers is Derrin Leppek, a recent MBA graduate of Wayne State University who is working with NextCAT as part of a post-graduate internship. He participated in boot camp and delivered the company's elevator pitch that sealed the deal on the firm's win.

Salley hopes to use local talent like Leppek to expand the firm's staff to eight people (six full-time and two part-time) by the end of the year. It's also planning to build a demonstration facility in Michigan and begin selling its product by the end of this year

Source: Chuck Salley, president and CEO of NextCAT
Writer: Jon Zemke

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