Elevator Competition Takes Entrepreneurs to the Top
Source: Wake Forest University Babcock Graduate School of Management
NOTE: Journalists interested in riding an elevator to observe student pitches during the competition must make their request in advance.
Newswise — Entrepreneurs will take their business ideas from the ground floor to the top—literally—in two minutes flat.
Every second counts as MBA students from across the nation try to persuade venture capitalists to invest in their business plans during the sixth annual Wake Forest MBA Elevator Competition on Saturday, April 2, 2005, at the Wachovia Center in downtown Winston-Salem.
For the winner, the two-minute journey could become the ride of a lifetime. The winner will receive cash and professional services, including legal and marketing services, totally $50,000. More importantly, the winner gets the undivided attention of potential investors. Venture capitalists from three firms representing more than $500 million in early stage venture capital funds will serve as judges. The winning team will enter discussions with one or more venture capital firms, with the possibility of getting its business plan funded.
The Angell Center for Entrepreneurship at Wake Forest University's Babcock Graduate School of Management stages the event, which is the first of its kind in the country.
"This is a kind of Cinderella story for entrepreneurs," says Stan Mandel, director of the Angell Center and co-founder of the competition. "This competition simulates reality. It's not just about having a great idea. You have to be able to communicate that in a concise, effective way to influential individuals to earn more face time. You also must be able to make great formal presentations that let potential investors know the value of your opportunity. Finally, you have to wrap it all around a persuasive, entrepreneurial team with a compelling business plan."
Twenty-five teams with unique business plans will compete for the winning pitch during two elevator rides with the venture capitalists. Schools with teams entered in this year's competition include Babson College, Brigham Young University, Boston University, Drexel University, Duke University, Georgia State University, Northwestern University, University of the Pacific, Rochester University, University of Arkansas, University of California at Irvine, University of Chicago, University of Florida, University of Georgia, University of Michigan, University of Pennsylvania, Wake Forest University and Washington State University.
The Elevator Competition is sponsored by Wachovia. Other sponsors include Eno River Capital, Grant Thornton, !dealliance, Mullen, Small Business Technology Development Center and Womble Carlyle. The event is organized by Wake Forest MBA students.
With five years of history, the event's past winning business concepts are now taking root. Altadonics Corp., formerly D-Tec-Dent, a 2002 winner, is strategically implementing its business plan and gaining investor interest and financial backing. Altadonics is in the final stages of negotiating a distribution agreement with the largest distributor of dental and health-care products throughout North America and Europe. Another winner, SightSpeed, previously QVIX Technologies, closed its first round of professional venture capital investment. The company, which creates real-time desktop videoconferencing software, has developed a rapidly growing user base.
The entrepreneurship program at Wake Forest MBA was ranked in the nation's top 10 in the April 2005 issue of Entrepreneur magazine. Mandel was named the No. 3 director in the country in the survey of program directors, faculty and alumni.
The Babcock School is ranked among the world's best graduate business schools in surveys by Business Week, Financial Times, Forbes, U.S. News & World Report and The Wall Street Journal. Information is available at http://www.mba.wfu.edu.
