Posting Language
Title
Authorize negotiation and execution of an interlocal agreement with The University of Texas McCombs School of Business for Austin Economic Development to plan and execute a small business plan pitch competition for a term of two years in an amount not to exceed $250,000. Funding: $250,000 is available in the Fiscal year 2025-2026 Operating Budget of Austin Economic Development.
De
Lead Department
Austin Economic Development.
Fiscal Note
Funding in the amount of $250,000 is available in the Operating Budget of Austin Economic Development.
For More Information:
Michael Cummins, Director, Austin Economic Development, 512-974-2612; Xavier Zarate, Small Business Division Manager, Austin Economic Development, 512-978-2502.
Additional Backup Information:
The small business plan pitch competition is designed to draw small local businesses, either in ideation phase or early start-up phase, to present their business concepts and the problem the business intends to solve. Business owners compete for cash and non-cash prizes in front of a panel of expert judges, who ask questions, provide feedback, and select a competition winner based on the strength of the idea and potential for success.
Business Pitch competitions are a valuable tool to develop and strengthen small local business ecosystems by:
• Fostering innovative solutions to real problems.
• Building a robust network of investors and community partners.
• Providing non-dilutive funding for local businesses to focus on growth.
• Discovery of emerging industries and local talent that would be otherwise unnoticed.
• Solidifying Austin, Texas as a start-up destination and innovation hub.
The University of Texas - TEXAS Entrepreneurship:
Austin Economic Development’s Small Business Division will partner with The University of Texas (UT) - TEXAS Entrepreneurship (TE) housed within the McCombs School of Business. “With more than 50 cutting-edge programs for undergraduate, graduate and professional students, UT is at the forefront of the intersection between higher education, innovation and entrepreneurship. As the front door to the University's robust entrepreneurial ecosystem,” TE is an ideal partner for this project.
TE, through the Brumley Institute for Graduate Entrepreneurship, offers extensive pitch competition experience through the Texas Venture Labs (TVL) Accelerator program. TVL Accelerator is a zero-cost, zero-equity program that collaborates with Texas startups who want to work with graduate student consultants for up to 200 hours of high-impact business consulting over a 14-week semester.
Program successes include:
• $2.17B investor funds raised
• 42% of companies funded
• 380 participants since 2010
This agreement allows Austin Economic Development to partner with Texas Entrepreneurship to develop a City of Austin Small Business Pitch Competition, similar to the TVL Accelerator model with a partner that has demonstrated over 16 years of success. The competition would enhance entrepreneurship and focus on small non-tech businesses, with a goal to spark and grow an ecosystem as robust as Austin’s tech sector. Examples of participating sectors may include Hospitality, Creative Industries, Health and Wellness, or the Green Economy. The Small Business Pitch Competition will include the following key deliverables:
• Phase 1: Program Design & Launch
Finalize competition rules, rubrics, and prize structures. Launch the application portal, open the submission window, and begin securing event sponsors and judges.
• Phase 2: Marketing & Recruitment
Execute targeted, promotional campaigns with weekly info sessions to establish a baseline of target, qualified submissions. Recruitment of event investors/underwriters for competition prize packages to further leverage the City’s investment.
• Phase 3: Applications Close & Round 1 Judging
Close the application portal. First-round judges review all written business plans to score and select the top 10 finalists.
• Phase 4: Finalist Prep & Mentorship
Announce the top 10 finalists. Pair finalists with mentors for mandatory pitch coaching and deck refinement workshops. Finalize all event logistics (venue, AV, catering).
• Phase 5: The Pitch Competition (Main Event)
Execute the live pitch event for finalists present to a live panel of judges. Announce winners and host a networking reception. Winners will receive a monetary prize to assist with starting or accelerating their business.
• Phase 6: Post-Event Wrap-up & Reporting
Disburse prize funds, distribute post-event surveys, publish the impact report/press release, and hold a debrief meeting with stakeholders.
The pitch competition’s first year will focus on event delivery to understand the volume of applications and participation, diversity of applicants, earned media exposure, event audience size, and overall event satisfaction rating. Long-term success for year two and beyond will include measures such as amount of capital deployed to event winners, number of businesses started or expanded following the competition, and developing long-term financial sustainability through partnerships, increasing contributions raised from investors/underwriters, and founder retention. The pitch competition will also measure and track event winner’s successes and economic activity 12 months post-event.
This partnership combines the strengths of the nation’s top ranking undergraduate and graduate entrepreneurship programs, with the City of Austin, the top U.S. city to start a business according to Princeton Review (2025).