CROUX and VivoSphere LLC, two Alabama-based startup companies, earned a combined $75,000 in funding in the recent Alabama Launchpad Cycle 2 Finale for 2023. A program of the Economic Development Partnership of Alabama (EDPA), Alabama Launchpad partnered with Innovate Alabama to host the field of 11 finalists in the competition, held at The Park at Auburn University.

The funding awarded to the two companies is non-dilutive, meaning that it doesn’t affect founders’ equity or ownership status in their companies. Securing non-dilutive funding often is critical in the success of startups.

CROUX won $50,000 in the early seed stage competition. Founded by Jennifer Ryan and four other co-founders, the company serves the restaurant, hospitality and tourism industries by connecting them with high-quality talent seeking flexible work opportunities. Ryan and her partners are veterans of those sectors, and their business model is built around ensuring that those filling staff positions have flexible work hours, benefits and prompt payment. Birmingham-based CROUX is a former winner of the competition’s other category, the concept stage.

“It’s personal for us to get this right,” said Ryan, noting that in the year since winning Launchpad’s concept prize, CROUX has filled nearly 6,000 shifts and helped hourly workers collectively earn about $750,000.

“Tourism and hospitality drive a big chunk of our economy, and we bring the war stories and the understanding to help rebuild the hospitality industry,” Ryan said. “Alabama Launchpad has allowed us to do that.”

Pictured after VivoSphere won $25,000 in the concept stage competition are (l to r): competition judge John Walker; VivoSphere co-founders Dr. Elizabeth Lipke and Dr. Yuan Tian; and competition judges Dr. Vivik Lal and Avanti Paul. (Bruce Nix/Alabama Launchpad)

The 2023 concept stage prize of $25,000 was claimed by VivoSphere LLC. Co-founded by Dr. Yuan Tian and Dr. Elizabeth Lipke, the company aids development of new drugs by creating more human-like tissue for more human-like drug responses, helping to reduce “false positives” that can move an experimental drug through early stages of development, only to fail during the clinical stage.

VivoSphere developed from research conducted at Auburn University by Tian, a postdoctoral researcher, with Lipke as his advisor.

“It’s certainly an encouragement for us to go forward,” Tian said after winning the Launchpad competition. “Especially in the state we call home.”

Prior to the Cycle 2 finale, all 11 finalist companies received two months of intensive mentorship in preparation for the competition’s judging panels. The mentorships included both one-on-one and group training with established startup founders and business experts.

The early seed stage companies were evaluated by a panel of three judges: Ellen Holladay, independent board director and former CIO for Motion Industries; Richard Nelli, executive-in-residence at Atlanta-based technology incubator ATDC; and Isaac M. Cooper, CEO and managing partner at IMC Financial Consulting.

Judges for the concept stage competition were Dr. C. Vivik Lal, executive chairman and CSO at Alveolus Bio; John Walker, co-founder of The Osprey; and Avanti Paul, former COO of Southern Research.

Including CROUX and VivoSphere, Alabama Launchpad has funded 115 Alabama startups since 2006. In the past 16 years, it has awarded over $6 million in non-dilutive funding to startups that now employ more than 1,300 people and have an estimated combined valuation of more than $1 billion.

Alabama Launchpad is conducted in partnership with Innovate Alabama, which implements programs and policies that support Alabama’s innovation ecosystem. Innovate Alabama seeks to encourage and empower entrepreneurs, business owners, and students to build businesses, careers and lives in the state.

Alabama Launchpad has been funded in part by grants from the Alabama Department of Commerce and the Alabama Department of Economic and Community Affairs (ADECA), as well as charitable foundations including the Alabama Power Foundation, Truist, Blue Cross and Blue Shield of Alabama’s Caring Foundation, and Wells Fargo.

Applications are being accepted now for Alabama Launchpad Cycle 3 2023 at Apply – Alabama Launchpad.