• A new biotechnology startup backed by two Israeli VCs, TLV Partners and Viola Ventures, launched out of stealth with $20 million in funding on Thursday. 
• Immunai says it uses single cell technologies and machine learning algorithms to map out immune cells, to provide data for researchers and pharmaceutical firms for use in developing drugs at a much faster rate than other technologies allow. 
• Both Immunai CEO Noam Solomon and CTO Luis Voloch got their PhDs in mathematics and computer science, not biology. But Solomon says the challenge of merging their expertise with medicine drew them to the industry. "We were thinking about what would be the most interesting problem to solve and it was cancer," Solomon said.
• The pair have also recruited a mix of immunologists, doctors, and engineers to help them tackle the problem and begin to publish peer-reviewed papers, an important sign of legitimacy in a highly-regulated industry. 
• Immunai is the latest to benefit from a wave of funding for biotech and healthcare startups that use machine learning to contribute insights that can speed up drug development. 
• Visit Business Insider's homepage for more stories.

Immunai, a new biotechnology startup with an ambitious goal to speed up the process of developing drugs, launched out of stealth mode with $20 million in funding on Thursday. 

The startup, which was founded at the end of 2018, says it examines the characteristics of specific immune cell types and applies machine learning algorithms to the data. The goal is to map out the entire immune system, compiling terabytes of data into a database.

The process begins in the startup's New York lab, where researchers collect immune cell samples. Single cell technologies allow them to profile immune cells at a granular level: "It's a bit like comparing a black and white picture to a picture full of color," Immunai CEO Noam Solomon said, comparing it to existing technologies on the market. 

The data is then collected and sorted on a database powered by machine learning software, which maps individual data points to hundreds of cell types, to create various immune profiles — all with the goal of helping researchers and pharmaceuticals speed up the process of data generation and analysis from months to weeks, according to Immunai's CTO Luis Voloch.

Voloch used the example of a researcher drawing samples from 10 selected patients and analyzing their immune cells — a process that he estimates would take six months. Meanwhile, Voloch says, Immunai can tackle projects using 150 samples, and get the analysis done within four to six weeks. 

"We are dealing with a scale and robustness and speed, which is really transformative in the industry," Voloch said.  

'The most interesting problem to solve'

Computational biology was an arena that Solomon says he stumbled upon, after working as a postdoctoral researcher in MIT's mathematics department. He met Voloch, who'd received his PhD in computer science from MIT, on one of his trips back home to Tel Aviv.

Voloch, who earlier worked as a machine learning engineer at Palantir, had already shifted from pure tech to problem-solving in biology at Israel's online genealogy site MyHeritage. The two got to talking about how they could collaborate. 

"I think gradually [Voloch] converted me to kind of go from pure tech and mathematics with the science to try computational biology," Solomon said. "And we were thinking about what would be the most interesting problem to solve and it was cancer." 

From there, the pair went on to think about immunotherapy, a hotly-pursued approach to cancer treatment that harnesses the body's own immune system to fight the disease.  What if they could find a way to transfer insights from treating one form of melanoma to the next? "That was kind of the starting point," Solomon said. 

The two Immunai leaders have recruited an international mix of immunologists, doctors, and engineers — spread across the startup's three offices in New York, Tel Aviv, and San Francisco — to help them tackle the problem and publish peer-reviewed papers.

"We have people that were trained with PhDs from MIT and Harvard and Stanford and Berkeley and the top institutions. And we have engineers from Palantir, Facebook, Google, Microsoft," Solomon said. Even Immunai's graphical designer holds a PhD in genetics from the University of Cambridge and MIT, he said. 

So far, Immunai's scientists have published a peer-reviewed paper on immune system cells called tumor-fighting T-cells. Such publications can help enhance a startup's reputation in the highly-regulated drug industry.  The company says it has additional papers under review at different publications. 

Immunai says that the data insights that it gathers aren't just limited to cancer therapies — they can be applied across a number of unrelated diseases that involve the body's immune system. For instance, Immunai says that it has joined the ranks of startups, pharmaceutical firms, and researchers racing to put a stop to the coronavirus pandemic. 

"Even as we speak, there are samples making their way to our lab in New York," Solomon said. "So we have a few projects around COVID-19." 

Advances in machine learning are driving the market

Biotech has remained a relatively bright spot in a turbulent startup ecosystem, even before the COVID-19 outbreak spurred a rush to fund startups that might combat the virus.

Machine learning has created a host of opportunities to improve the data-rich field of healthcare by delivering better predictions about the potential effectiveness of drugs in particular diseases and subsets of patients. To do this, machine learning algorithms are deployed to analyze data about the interactions of specific compounds with cells in the body — a technological advance under use by a growing number of new healthcare and biotech startups in Silicon Valley. 

Healthcare startups raised a total of $14.6 billion in venture funding during the first quarter of 2020, minting some new unicorns and bulking up the war chests of others. And cellular therapy startups, which work with human cells to combat diseases, closed some of the largest rounds of the quarter, according to CB Insights.

Immunai is part of that trend. The startup, which is nearly 18 months old, raised its $20 million in funding from two Israel-based venture capital firms, TLV Partners and Viola Ventures. 

Although startup founders today have to grapple with the logistics of remote fundraising, Solomon says that Immunai  had already gotten to know its investors, and closed its round just before the pandemic drove people to retreat to their homes. 

"We have met our investors, we have even played basketball with them," Solomon said. 

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• Serial entrepreneur Louis Borders is planning to re-enter the grocery deliveries market with a warehouse automation system that he believes will give his startup an edge over Amazon and Instacart. 
• Borders is famous for founding the iconic bookstore chain that carried his name, as well as Webvan, a highly-touted grocery delivery startup that collapsed in the dotcom bust. 
• But Borders, who never lost his faith in the potential of the grocery market, thinks the time to enter is ripe as "people are putting a mental dollar to their time" for food shopping in stores.
• That's especially the case as the coronavirus pandemic has forced new segments of the market to order food online, boosting the businesses of both Amazon and Instacart. 
• Still, the surge in demand for groceries is exposing some cracks in the e-commerce business, which has led Borders to believe that his company, HDS Global, has an opportunity to rapidly grow its customer base. 
• Visit Business Insider's homepage for more stories.

E-commerce may be booming in the coronavirus downturn, but Louis Borders, the serial entrepreneur behind bookstore chain Borders and grocery delivery service Webvan, still thinks that the industry is "broken." He claims the fees are too high, goods are often unavailable, service can be spotty, and the amount of waste it generates is immense.  

His new grocery-delivery service, simply named Home Delivery Services, is leaning on robots as a solution: using a new end-to-end automated system, Borders says few workers will be needed to stock food items or assemble orders. Robots will handle customer groceries in the warehouse, place them in tote bags, and hand them over to couriers who deliver them to the doors of households. Plans are to launch the service next year.

Borders says the automated fulfillment system, RoboFS, has been in the works for the last four years at HDS Global, a company  that he founded in 2014. He claims it could be an industry game-changer. The system can reduce human error and limit the number of people handling food — a particularly reassuring move amid a coronavirus pandemic, as Borders sees it. He also says that the system slashes warehouse operating costs by 50%, which will allow HDS to cut out any service fees for customers and still rake in a profit. 

HDS Global has raised $30 million from Toyota and IT distributor Ingram Micro.

As a growing number of companies turn to robotics to help speed distribution, investors have poured $1.3 billion into the sector over the last year, according to Pitchbook. The broader market is also booming: Warehouse and logistics automation topped $53 billion last year as warehouse operators tested autonomous forklifts, self-driving carts, and other tech to lower their costs. 

HDS is trying to position itself years ahead of its targeted competitors — even Amazon has said that it is almost a decade away from fully automating its warehouses. Meanwhile, Borders says his startup hopes to begin delivering products from its South San Francisco-based warehouse to customers by 2021, before expanding to other locations. The company has set a target of processing $200 million worth of groceries and other products a year.

Borders also plans to make RoboFS available to disrupt other industries. While HDS will be the first company to deploy RoboFS, other companies would have the opportunity to pay to use the system, provided that they aren't HDS competitors. 

A track record of disrupting industries

Borders, 71, has long looked to automation to transform industries. Back in 1971, Borders and his brother Tom came up with a state-of-the-art way to track books electronically from order to sale — a system that proved crucial to boosting his bookstore chain to become a globally recognized brand, Borders. 

Then in 1996, he tried his hand at disrupting the grocery market with Webvan, a startup that combined high-tech automated warehouses with a fleet of trucks to deliver groceries to customers' homes. 

Webvan quickly attracted investments from the telecom giant SoftBank, Goldman Sachs' venture investment arm, and two of Silicon Valley's most prestigious venture capital firms, Sequoia Capital and Benchmark. It reached a market value of $7.9 billion on the first day of its IPO. 

But high operational costs dragged the company down, and caused it to burn through more than $800 million. Webvan filed for bankruptcy just two years after its debut on the public market, cementing its name as one of  the most prominent casualties of the dotcom bust.

Borders never lost his faith in the grocery market, telling SF Gate in a 2003 interview that "the opportunity was there...It will come back around."

And 19 years after Webvan's collapse, Borders thinks the time is finally right to dominate the market, even as Amazon and Instacart race to acquire more customers. 

Taking on Amazon

Groceries may be a "laggard" to the world of online delivery, but demand started to accelerate even before the coronavirus outbreak, Borders told Business Insider in an interview. And as the virus has prompted the world to retreat into the safety of their homes, that interest has surged even further. 

"I think what's happened in the past three or four years is that people are putting a mental dollar to their time" shopping at stores, Borders said, adding "if I pay $40, I'll pay that because it saves me two hours."

The rate at which the coronavirus has accelerated the trend goes to show just how untapped the market may remain: more than a third of Americans have begun ordering groceries online for the first time over the last month, GeekWire reported. And people have spent more ordering groceries online in each successive week of the crisis.

Amazon and Instacart have benefited the most thanks to the demand surge, according to a recent piece in the New York Times. But the system is also cracking as the supply of workers willing to stay in the warehouse thins out— Amazon and Instacart workers have been demanding hazard pay as the risk of exposure to the virus grows. Meanwhile, shoppers around the country are reporting weeks-long waits on orders from Instacart and Amazon's Prime Now. 

These cracks have boosted Borders' belief that HDS can take on Amazon and Instacart. 

 "There's proof of the demand, but the high quality of fulfillment is not there," Borders said.  

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• Startup Embodied announced a robot companion designed for children, called Moxie.
• Moxie is designed to interact with kids and help with social, emotional, and cognitive development, while parents connect via an app.
• It's available for preorder now for $50.
• Embodied's investors include Amazon, Intel, Sony, and Toyota.
• Visit Business Insider's homepage for more stories.

California startup Embodied announced that it will release a new robot for children. Embodied calls the robot, Moxie, an "animate," because it's designed as a companion for children, capable of listening, interacting, and recognizing people. It's designed for children between five and 10 years old.

Embodied says it worked with child development experts to tailor Moxie specifically to the way children learn. A limited number of Moxie robots are available to preorder now for $50, with a full price of $1,500.

Embodied has raised a total of $41 million from companies like Amazon, Intel, Sony, and Toyota, Fast Company reported.

Here's how the robots work. 

SEE ALSO: Softbank's famous robot Pepper is helping helping enforce social distancing and greeting COVID-19 patients around the world

Moxie can process and respond to normal conversation patterns, even holding eye contact and responding with appropriate facial expressions.

It's designed to be a companion to a child, while also helping them develop emotionally and cognitively.

Every week, Moxie has a different theme, like friendship or empathy, and gives missions to the child to practice.

Missions are all kinds of activities, like drawing, meditation, reading, or conversations with friends and parents.

Moxie can recognize people and places, and over time personalizes goals and content for the child.

It can also recognize objects, like books and drawings.

Embodied describes Moxie as a "mentor" for a child that helps them develop confidence and social skills.

Moxie is only 7 lbs, and 15 inches tall.

Along with the $1,500 cost of Moxie itself, parents also need to buy a $60 a month subscription to the Moxie ecosystem.

The subscription includes new mission, cloud storage data collected by Moxie, and an accompanying app for parents.

In the app, parents can manage settings, get parenting tips, and even put in upcoming milestones like a first day of school so Moxie can help prepare the child.

The app also has a dashboard that tracks development in different areas.

Sketches from designers at fuseproject, who also worked on Moxie, show the ideas that went into the final product.

Design was as important as functionality, because Moxie has to appear friendly and approachable to children.

The final model is short, with rounded features, for a cute friendly look kids won't be afraid of.

Moxie robots are now going into mass production.

Plastic parts are molded and checked for quality.

At the end, each robot is certified and ready to go.

The first robots are slated to ship in the fall.

• Louis Borders has seen the economy go through its ups and downs over the last half-century, but says that he's never seen a recession come close to the scale of the current downturn. 
• Borders, who made his fortune by founding Borders and Webvan, is now preparing to launch a new grocery delivery startup, HDS, as online food shopping remains one of the few bright spots in the economy.
• But other startups in industries hit harder by the coronavirus might not have it so easy, Borders acknowledged."Be ready to pivot, and pivot hard," Borders advised.  
• Visit Business Insider's homepage for more stories.

Louis Borders has watched the economy go through some dramatic cycles over the last half-century, boosting businesses to sky-high levels and then dragging them down. 

But he says that the dot.com bust, the 2008 recession, and every other recession that he's lived through never reached the scale of the current downturn. 

"In my lifetime, we haven't had anything like this," the 71-year-old entrepreneur told Business Insider. "It's a completely new world." 

Over the years, Borders has made a name for himself as an entrepreneur to watch. He founded the bookstore chain Borders, which was valued at $190 million when Borders sold it to Kmart in 1992 (the chain later made its debut on the public market and eventually filed for bankruptcy in 2011).

He then made his way to Silicon Valley, where his grocery delivery startup Webvan attracted funding from SoftBank, Sequoia, and Benchmark.

But Borders has also personally experienced the extent to which a downturn can bring a business crashing down: Webvan made its debut on the public market in 2001, and proceeded to run into a stream of troubles. Borders had already stepped down as CEO in 1999, but he watched his brainchild spiral downwards and eventually file for bankruptcy in 2001. 

Now, as he prepares to launch a new grocery delivery startup at a moment when online grocery orders are surging, Borders is hesitant to offer advice to other startups that may be squeezed by the current business disruptions, because luck can play such a big role in making or breaking their fates. 

"I don't even know what to say — we happen to be fortunate that it [the coronavirus] was great for our business but if you are a company that's based in retail stores, then you're really in trouble," Borders said. Plans for his new startup HDS have been in the works for years now. "It's just kind of luck... I'm humbled by it." 

Still, he has a few fail-safe lessons that he's picked up over the years. 

"The basics of good startups, to me, is to pay attention to your talent, respect your investors, and be really upfront with where you are and what you're doing," Borders said.  

And right now, as the coronavirus reshapes the economic landscape, Borders suggests that startups lean into the change.

"You have to be ready to pivot, and pivot hard," he said. "Don't fight the change that this is causing your business." 

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• Funding and mentorship are top concerns for female entrepreneurs.
• But if you're based in one of the 10 best states in America for female entrepreneurs— like Colorado, California, and Texas — you may have an advantage in starting your company.
• Business Insider gathered all the top organizations and resources in these states that help women entrepreneurs gain funding, seek mentorship, and get training.
• Click here for more BI Prime content.

Funding and mentorship are major concerns for female entrepreneurs. But if you're based in one of the top US states for women to access funding and network with fellow business owners, you may have an advantage when it comes to launching and growing your company.

Business Insider published a list of the 10 best states in America for female entrepreneurs. FitSmallBusiness assessed all 50 US states based on economic opportunity, number of companies started by women, access to funding, cost of living, and the state's initiatives in equality and women's health issues.

Colorado ranked the highest overall for its economic advantages and California ranked second, in part for the amount of startups and venture capital in Silicon Valley and the San Francisco Bay area. Washington, New York, and Texas followed them in the top five, respectively. 

Read more here to see the full ranking. 

We've gathered all the top organizations and resources that are helping women entrepreneurs gain funding, seek mentorship, get training, and grow their businesses in these 10 states.

SEE ALSO: The top 10 US states where women can grow their businesses and get funding

MUST READ: Successful founders match their funding to their revenue. Here are 12 options to consider, from early days to venture.

Vermont

Small-business resources:

The Vermont Small Business Development Center (VtSBDC) offers free advising and training to help business owners with startup planning, financing, growth strategies, sales, and marketing. A team of six advisors are assigned to each county of the state and are listed with their email addresses and LinkedIn profiles.

Vermont's Small Business Administration (SBA) hosts training sessions for business owners available on its site calendar. The organization also has an annual guide on how to grow your business in Vermont.

Vermont Businesses for Social Responsibility (VBSR) advocates for local businesses impacting sustainable economic development, environmental protection, workplace quality, and healthy communities. VBSR gives awards to exceptional members making a difference through their businesses. See the full list of awards here. 

Women-owned business resources: 

Vermont Women Entrepreneurs is a member of the Female Founder Collective and holds events and meetups to support women business owners.

Women Business Owners Network Vermont (WBON) holds conferences, meetings, and events to educate women in running sustainable businesses. WBON's public policy committee advocates for female entrepreneurs at state and national levels. 

The Center for Women & Enterprise (CWE) works with the SBA to provide training, financial education, consulting, mentorship, networking, and other resources for women business owners. 

The Burlington chapter of eWomen Network connects female entrepreneurs in Vermont, hosts events, and encourages cross-promotion of fellow members' products and services. The corporate network has over 500,000 members internationally and hosts an annual entrepreneur conference in July in Frisco, Texas.

Iowa

Small-business resources:

The Targeted Small Business (TSB) Program offered through the Iowa Economic Development Authority provides resources to businesses owned by women, minorities, and individuals with disabilities. TSB can help certified business owners gain access to loans, free counseling, and early access to state agency buying needs. 

Iowa's Small Business Administration (SBA) has training sessions for business owners available on its site calendar. The organization also has an annual guide on how to grow your business in Iowa. 

Women-owned business resources: 

In Iowa, the National Association for Women Business Owners (NAWBO) provides its members with events, annual awards, and educational resources covering the theme of female entrepreneurs. Corporate NAWBO has about 9,000 members and 80 chapters across the country. 

The Women's Business Center through the Iowa Center for Economic Success offers courses and classes on starting a business, one-on-one counseling, help with business writing, and basic loan education. 

Lead Like a Lady is a membership organization in Des Moines, Iowa that connects like-minded women in business and leadership. The group lists several local clubs, meetups, and organizations, such as FemCity, which hosts monthly coffees and luncheons for members.

Georgia

Small-business resources:

Georgia's Small Business Administration (SBA) training sessions for business owners available on its site calendar. The organization also has an annual guide on how to grow your business in Georgia. 

Women-owned business resources: 

The Greater Women's Business Council offers training, events, and certification help to women-owned businesses in Georgia.

The Women's Business Center through The Edge Georgia gives business training, financial education, consultation, and resources for women-owned businesses making less than $1 million in revenue. 

Digitalundivided (DID) offers programs and resources for women of color, with a specific focus on helping female entrepreneurs grow their businesses and gain access to capital. One such program is the BIG Incubator with cohorts in Atlanta, Georgia and Newark, New Jersey. 

The National Association for Women Business Owners (NAWBO) in Atlanta offers member events and educational resources for female entrepreneurs. Corporate NAWBO has about 9,000 members and 80 chapters across the country. 

Massachusetts

Small-business resources:

The Massachusetts Small Business Development Center Network (MSBDC) helps entrepreneurs with developing business plans, cash flow analysis, personnel and organizational issues, financing, marketing, international trade, and government contracts.

Massachusetts' Small Business Administration (SBA) hosts training sessions for business owners available on its site calendar. The organization also has an annual guide on how to grow your business in Massachusetts. 

Common Capital is a community loan fund and non-profit with the goal of creating jobs through financing and assisting small businesses in Springfield, Massachusetts, and surrounding areas. 

Women-owned business resources: 

Women Entrepreneurs Boston is an initiative through the City of Boston government to support female entrepreneurs through skill-building, technical help, and networking. 

The Commonwealth Institute (TCI) helps women in business and through leadership development programs, seminars, networking events, and online resources. 

Florida

Small-business resources:

Florida's Small Business Administration (SBA) has offices in Jacksonville (North district) and Miami (South district). Both host training sessions for business owners available on their site calendars. The organization also provides annual guides on how to grow your business in North Florida and South Florida. 

Women-owned business resources: 

The Florida Women's Business Center provides training, mentoring, and programs to women business owners.

In Miami, the National Association for Women Business Owners (NAWBO) offers member events and educational resources for female entrepreneurs. Corporate NAWBO has about 9,000 members and 80 chapters across the country. 

The Small Business Development Center at the University of South Florida offers women entrepreneurs assistance with certification, government contracts, growth, marketing, and import/export plans. 

Texas

Small-business resources:

Texas' Small Business Administration (SBA) has district offices for Dallas/Forth Worth and Houston. Both host training sessions for business owners, available on their site calendars.  The organization also provides an annual guide on how to grow your business in Texas. 

The Texas Small Business Association (TSBA) helps small businesses with certifications, government contracting, business loans, and international trade. 

Women-owned business resources: 

The Texas Women's Foundation invested $6.3 million in 2019 on research, advocacy, and programs to help advance women in leadership and financial equality.

Texas Women in Business is a non-profit organization that hosts networking meetups and offers professional development programs for women entrepreneurs. 

True Wealth Ventures is a venture-capital firm based in Austin, Texas, solely focused on investing in women-owned businesses with initiatives in sustainability and consumer health. 

The Women's Business Enterprise Alliance (WBEA) in South Texas is an affiliate of the Women's Business Enterprise National Council (WBENC). WBEA hosts panels for female entrepreneurs and offers several business development resources through the Women's Business Center in Houston. 

New York

Small-business resources:

New York's Small Business Administration (SBA) hosts training sessions for business owners, available on its site calendar. The organization also provides an annual guide on how to grow your business in New York City and upstate New York.  

The New York Small Business Development Center (NYSSBDC) through the State University of New York offers business training and consulting to startups. 

Empire State Development's Small Business Division supports businesses with less than 100 employees through educational programs, online guides, and help with state contracts. 

Women-owned business resources: 

The New York City Economic Development Corporation (NYCEDC) hosts events and free workshops through Women.nyc. 

The New York City Department of Small Business Services (NYCSBS) offers free online courses, legal assistance, and startup funding through WeFund. 

Washington

Small-business resources:

Washington's Small Business Administration (SBA) hosts training sessions for business owners available on its site calendar. The organization also has an annual guide on how to grow your business in Washington. 

Ventures is a non-profit based in Seattle that provides entrepreneurs with business training, access to capital, coaching, incubation, and workshops. It also has Ventures Marketplace in Pike Place Market where retail businesses can test their products and are coached by retail experts. 

The Only in Seattle initiative offers grant funding and consulting to local businesses. 

Startup Washington is a division of the Washington State Department of Commerce that offers online business resources and training courses for business owners to learn how to grow, scale, and increase revenue. 

Women-owned business resources: 

The Women's Funding Alliance offers programs for women and girls to grow in leadership and financial stability. It works with employers to close the gender-wage gap through its 100% Talent initiative. 

The Washington Center for Women in Business (WCWB) offers low-cost services like training, one-on-one business coaching, workshops, and free weekly webinars for female entrepreneurs. It also hosts the Inspire: Women's Business Conference in May. 

California

Small-business resources:

California's Small Business Administration (SBA) has district offices in San Francisco, San Diego, Los Angeles, Fresno, Sacramento, and several in Orange County. The SBA hosts training sessions for business owners and has several annual guides on how to grow your business in California. 

Women-owned business resources: 

In Los Angeles, the National Association for Women Business Owners (NAWBO) offers member events and educational resources for female entrepreneurs. Corporate NAWBO has about 9,000 members and 80 chapters across the country.

Also in Los Angeles, the Minority Business Development Agency (MBDA) Business Center offers business resources and consulting through the University of Southern California (USC).

Small Business Majority offers several resources for entrepreneurs across the US. The California office hosts events and started a Women's Entrepreneurship Program to help women in Los Angeles start and grow their businesses. 

Northern California's SBA Women's Business Center provides free services for women entrepreneurs in business development, training, counseling, and helps them gain access to funding. 

Colorado

Small-business resources:

Colorado's Small Business Administration (SBA) hosts training sessions for business owners available on its site calendar. The organization also has an annual guide on how to grow your business in Colorado. 

The Colorado Small Business Development Center Network (SBDC) offers events, workshops, free consulting, and low-cost training for business owners. It also has a free resource guide of resources for running a business in Colorado. 

Women-owned business resources: 

Initiatives like The Women's Foundation of Colorado and The Women's Collaborative for Colorado advocate for equality, benefits, and creating more economic opportunities for women. 

The state's Minority Business Office offers free consulting, helps small businesses land certifications and government contracts, and hosts the Governor's Minority Business Awards.

Women of Denver is a membership organization that offers entrepreneurs events, workshops, local business promotion, marketing advice, and quarterly summits.

• As many old ways of doing business appear unlikely to return, Mark Cuban says the business leaders of tomorrow should ask themselves what they want the world to look like after the crisis ends.
• Cuban is certainly aware of the struggles facing business owners around the country, but he is optimistic about the potential to start world-changing businesses during this time.
• In an interview with LinkedIn's Daniel Roth for Roth's This is Working podcast, Cuban shared how entrepreneurs can start the businesses that will build the economy and society of the future.
• Visit BI Prime for more stories.

Few entrepreneurs are so plugged in to the struggles facing small business owners across the US as Mark Cuban, but the billionaire investor remains stubbornly optimistic.

In an interview with LinkedIn's Daniel Roth for Roth's This is Working podcast, Cuban shared what he sees are major opportunities for the country on the other side of this brutally challenging period.

"Five years from now we're gonna look back and point to five, ten, 20 companies that were created during the pandemic of 2020 that just turned out turned out to be world-changers," he said.

Here are three tips Cuban recommended for starting the businesses that will build the economy and society of the future.

"We get to do America 2.0," he said. "We get to go through a unique reset that would never ever present itself, had we not gone through this."

Dream big, but make a plan

As many old ways of doing things appear unlikely to return, Cuban says the business leaders of tomorrow should ask themselves what they want the world to look like after the crisis ends.

"If you have a vision that you think you can implement that is of enough value and is compelling enough that people will become part of that movement, go for it. Do it," he said.

Big dreams don't count for much without a detailed plan, and now is an important time to put that work in, especially if you find yourself with more time on your hands as a result of the pandemic.

"Now's the time to be planning, now's the time to also have a execution plan so that you can start," he said.

Rely on sweat equity over financing

Raising money for your business is not easy even in normal times, but Cuban says you shouldn't let that stop you.

A major part of your planning effort should be focused on conceptualizing a product or service that you can execute with the social and financial resources you already have available.

Don't make it about, "Well I need to go raise money — if only I had X millions of dollars," he said. "Make it so that you can do it. Sweat equity is the best equity."

Cuban also recommended reaching out to your social networks to see who else is looking for an opportunity and might be interested in joining you on your entrepreneurial journey. A lot of people have extra time these days.

Invite them to "create our future," he said. "That's what we really need more than anything."

Share ownership with your team

For cash-strapped founders, Cuban offered a page from his 30-year-old playbook from his startup days with Microsolutions and broadcast.com: offer ownership equity shares to your employees.

"Give them stock in a meaningful way," he said. "You're going to need them to grow your company. We all are going to need them to grow this country in a world back to where it was economically."

As Cuban sees it, the only way the nation will recover is if everyone is brought along, and everyone has an incentive to put in effort beyond what most employers can pay with wages alone.

"You will get more from your employees, and they will be more committed if you share equity immediately in a meaningful way, so that everybody rises up," he said. "No entrepreneur can do this alone. You need every single employee committed to helping you get through this, so recognize that. Reward them for it."

Listen to the full episode on LinkedIn

SEE ALSO: Billionaire Mark Cuban told us his plan to save America's entrepreneurs — and the biggest disasters the government must fix

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• Edtech unicorn Guild Education just announced that it scored its first acquisition — a move that few companies have so far made in the downturn, even though falling valuations make for a buyer's market.
• It bought Entangled Group, an edtech studio that builds products, offers consulting services, and has invested in a host of edtech startups including Guild Education itself. Guild declined to reveal the cost of the acquisition. 
• Guild Education's core business focused on helping Fortune 500 companies offer education perks to their employees, but as the coronavirus forced companies to cut costs and lay off workers, the startup says it is working with the Entangled team to help furloughed and laid-off workers. 
• "Many companies were laying off (at significant numbers) their frontline workforces or putting them on furlough, and they needed new ways to support those workers," Carlson said. "But they also needed career services and outplacement tools, which was exactly where the Entangled team was innovating and building products." 
• The acquisition may also be key to driving Guild's future innovations as edtech goes mainstream — the sector has already attracted more than $2 billion in venture funding during the first quarter of 2020, per Pitchbook. 
• Visit Business Insider's homepage for more stories.

The pace of mergers and acquisitions in Silicon Valley is expected to slow during the coronavirus-spurred downturn, but for some cash-rich companies, a savvy purchase is a valuable chance to regain their footing in an upended economy. 

Edtech unicorn Guild Education is testing the waters with its first acquisition. It just bought the Entangled Group, a San Francisco-based edtech venture studio that builds products and offers consulting services. It has also invested in a host of edtech startups, including a 2018 investment in Guild Education itself. 

That makes for a surprising flip-flop in the investor-founder relationship. But Guild Education CEO Rachel Carlson is hoping that Entangled will help her startup offer a wider range of education, career services, and employment support tools in a radically different labor market. 

Colorado-based Guild grew into a $1 billion business by selling Fortune 500 companies a way to offer education benefits to its employees — a valuable edge in a competitive job-recruiting market. Now, many of those companies have been forced to furlough or lay off their workers, and unemployment is surging. 

"Many companies were laying off (at significant numbers) their frontline workforces or putting them on furlough, and they need new ways to support those workers that include Guild's core solution," Carlson said. "But they also need career services and outplacement tools, which was exactly where the Entangled team was innovating and building products."

The new deal gives Guild Education a foothold in both New York and San Francisco, where Entangled has offices. Entangled's products and consulting services will be absorbed by Guild, but the studio will no longer be investing in other startups, Entangled's CEO Paul Freedman said. Freedman will also be joining Guild Education, as President of the Learning Marketplace. 

Guild Education declined to reveal the amount it paid for Entangled, but the studio was last valued at $104.2 million according to Pitchbook. 

Ready for an edtech revolution

Guild Education's new purchase may also help it get ahead in a market that is ready for a revolution in edtech. 

As students have been sent home, colleges and schools are turning to online learning outfits like Coursera and helping them surge in popularity. And as edtech goes mainstream, the category has attracted more than $2 billion in venture funding during the first quarter of 2020, per Pitchbook. 

Entangled has helped set off a wave of edtech startups that have attracted partners such as Facebook and the World Economic Forum. Its skills may push Guild Education to the forefront of a new wave of edtech innovation. 

Guild Education and Entangled have already begun working together. They built Next Chapter, an initiative to help companies support laid-off and furloughed workers by finding them new roles in sectors that are still hiring. It also provides access to training and reskilling programs, to help those workers qualify for new positions. 

That combination of short-term career services and long-term training programs is essential to help transitioning workers succeed, according to Entangled's Freedman. 

"Unless you meet workers where they are and help demonstrate that there are short-term jobs, there is emergency support, and there are things that can get people back on their feet, they're not in a mental mindset to start talking about opportunities for upskilling and education to get ahead," Freedman explained.

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• Marty Zwilling is the CEO and founder of Startup Professionals, a business that offers services and products dedicated to startups and small business owners. 
• Zwilling says there are 10 character traits that investors should look out for when evaluating entrepreneurs they hope to work with.
• Besides their business model or ideas, it's important to consider the person's character, including their emotional intelligence and integrity.
• Visit Business Insider's homepage for more stories.

As I was watching the investor show Shark Tank on TV the other night, I was struck by how quickly and how extensively the Sharks focused on the background and character of the entrepreneurs, compared with the time spent evaluating their products.

I realized it was consistent with my own view as a former angel investor, that investors invest in you, more than your solution.

For example, if you as an entrepreneur come across as shifty and arrogant, most of the people you need to deal with in business, including investors, suppliers, and customers, will run the other way.

The attributes you need to demonstrate in every meeting, and live on a daily basis, are ones illustrating your strength of character. These can be honed over time, and can't be easily faked.

Based on my own years of experience in big business, startups, and the investor community, here are the key habits and traits that each of us needs to continually improve to be perceived by peers and others as leaders and innovators in business here and around the world:

SEE ALSO: 3 ways for entrepreneurs to grow their network while social distancing

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1. Be aggressive in aspirations but prudent in execution

I want to see entrepreneurs who have a focus on the future, but the strength and perseverance to build realistic and well-laid plans, for follow-through daily. This means you set goals, milestones, and metrics, and are able to provide financial projections to support funding requirements.

2. Demonstrate social intelligence and concern

Today's world of business is highly driven by social issues and environmental concerns. Entrepreneurs with a strength in social intelligence are better able to use these to their advantage, in selecting the right solutions and the right market segments, and implementing effective marketing strategies.

3. Listen well, and seek out critical feedback from others

If you are an entrepreneur with this trait, I believe you will seek and positively respond to feedback from three critical groups: peers, customers, and experts. 

I find that self-focused entrepreneurs, on the other hand, are more likely to resort to denial when faced with negative feedback.

4. Always proclaim and deliver a positive attitude

The reality of my business experience is that people who are consistently more negative and pessimistic tend to make their views limit their results. If you demonstrate a positive attitude, I'm more easily convinced that you can make your business commitments, and your solution a success.

5. Be conversant with a variety of perspectives and concepts

This trait, sometimes called mental complexity, will convince others that you likely understand the relevant issues, are willing to challenge your own ideas, and will be quicker to adapt them to encompass new information, experiences, and meaning. Change is the only constant in business today.

6. Take ownership of personal strengths and weaknesses

Investors look for entrepreneurs with a high level of self-determination, who continually seek more competence in their chosen domain. We all have weaknesses, but we can all learn and improve our effectiveness.

Denial and overconfidence are not good traits to exhibit.

7. Don't be afraid to share personal life experiences

Everyone has a story. You can make it inspirational and supportive, or you can hide behind a veil of anonymity. Other people in business judge your character by how major events and influences have shaped your personal development, and will likely impact your response to new situations.

8. Recognize natural leaders and seek help from them

Great entrepreneurs have sought help from natural helpers since childhood, including parents, teachers, and business influencers. I believe this will make you feel more accepted, respected, and affirmed, and allow you to pass that feeling on to key players in your business career.

9. Share views and learn from a personal mentor

Entrepreneur leaders recognize and seek three types of mentoring — career mentoring for the longer term, peer mentoring for tactical guidance, and life mentoring for quality of life balancing.

Even successful entrepreneurs, including Bill Gates and Warren Buffett, learn from one another as mentors.

10. Visibly demonstrate the highest integrity

Integrity is generally defined as the act of behaving honorably, even when no one is watching. People with high integrity follow moral and ethical principles in all aspects of their business life, including decision making and working with others. Investors ask about you, not your product, to test your integrity.

Whether you are an entrepreneur, or any other business professional, the strength of your character, as perceived by others, is of major importance to your growth and success.

Don't let the desire to find shortcuts, or egotistical tendencies, keep you from continuously improving and developing your character. Your return for showing good character in business is well worth it.

• Sarah Kunst, the sole general partner at Cleo Capital, appeared on the podcast "20VC" to chat with its host, Harry Stebbings, and explain how venture capitalists will parse out funding deals. 
• Kunst said that because venture funds have a longer and less-regulated window to allocate capital, they aren't under tight constraints that would force other institutions to take quicker actions or shut down. 
• That said, Kunst also acknowledged that the anxiety caused by the coronavirus and shelter-in-place orders could still slow deal flow immensely.
• The bottom line is that startups looking to extend their runways shouldn't give up hope on scoring new funding from venture capitalists. 
• Visit Business Insider's homepage for more stories.

Several venture capitalists have declared on Twitter that their firms are still open for business, but their announcements have attracted some skepticism from entrepreneurs and other venture capitalists alike. 

But Sarah Kunst, the sole general partner at Cleo Capital, said even if deal flow seems to be drying up, some venture capitalists are just taking advantage of the freedom to bide their time. She said the multiyear time frames that venture capitalists have in mind when they raise their funds give them leeway to invest money in startups through a lingering coronavirus downturn.

Kunst has honed her understanding of Silicon Valley's startup ecosystem through her many mantles — she worked as a scout for the prominent venture-capital firm Sequoia Capital, she's the founder of the fitness app ProDay, and she now operates as a "super angel" at Cleo Capital.

The longtime techie appeared on the podcast "20VC," hosted by Harry Stebbings, to unpack how venture capitalists are still able to invest during the country's steepest downturn since the Great Depression. 

"Pandemics last a year," Kunst said, contrasting that time frame with the period that venture funds are intended to stay active. She said a 2018 fund had enough capital to invest through 2021 and a 2019 fund had enough capital to invest through 2022. "There's an end to this," she added. 

Of course, the amount each venture capitalist is willing to allocate toward new prospects is dependent on their portfolios, especially as strained venture-backed startups have reached out to their existing investors to raise more capital. Though startups now have the green light to borrow from the government's small-business program, many are hesitant to apply for those loans. Meanwhile, startup layoffs have continued to ratchet up to 56,713, according to Layoffs.fyi. 

A report issued by the National Venture Capital Association also said the US venture industry's hefty $120 billion in liquid funds still would not meet the total startup demand. 

On the podcast, Kunst acknowledged that venture capitalists whose portfolios are hit hard by the downturn would be under more pressure to funnel more money into their "winners," but she said they were still sitting on enough money to back some new startups. 

Venture capitalists "will likely be more cognizant of wanting to put more money into their own winners," Kunst said. "But certainly no 2020 fund has enough winners to say, 'We're only going to put money into those that we've already deployed to."

The mechanics of venture-capital operations are key to the argument, according to Kunst. Once venture capitalists raise money from their limited partners, they essentially have a "black box" of capital that allows them the freedom to invest where they see opportunity, with little input from those investors.  

Of course, venture-capital firms receive only a portion of the cash they raise in their accounts right away. They rely on issuing a "capital call" to investors when they are ready to back a company, or companies. The rare investor that chooses to renege on those cash commitments can face severe penalties.

Still, capital calls weren't always answered during the dot-com bust and the Great Recession, when venture-firm limited partners sometimes had trouble coming up with the dough. So industry watchers are keeping their eyes open for tell-tale signs that such defaults could erupt during this downturn. But Kunst still finds that possibility unlikely. 

"It's incredibly rare that investors refuse to allocate to their venture funds unless they've gone bankrupt," Kunst said. 

That said, the anxiety and business disruption caused by the coronavirus and shelter-in-place orders could still slow deal flow immensely. For one thing, venture capitalists are busier than usual as they adapt to working from home, triaging their portfolios, and sourcing new deals without having met the founders before. 

That's something that Kunst readily acknowledges. Everyone is a little bit "shell-shocked" by the virus, she told Stebbings on the podcast, agreeing that deal flow might slow. 

But what startups should know is that no venture capitalist has lost their cash trove over the downturn yet, Kunst added. 

The bottom line for startups? "VCs still have money; the question is getting them to unlock it for you," she said. 

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• Run The World, an online-events platform that seeks to replicate the experience of meeting in person at conferences and gatherings, announced it raised $10.8 million in a Series A round coled by Andreessen Horowitz and Founders Fund. 
• High-profile investors such as Hollywood's Will Smith and DoorDash's Tony Xu also participated in the round for Run The World, which has seen its popularity accelerate in the remote-work era. 
• Founders Fund's Keith Rabois, known for his early investments in Airbnb and DoorDash, told Business Insider he was separately introduced to the company by two seed investors.
• As a "founder-driven" investor, Rabois acknowledged that sizing up founders on Zoom was tough, so he leaned into his network to get references for the founders from seed investors and former Facebook colleagues before offering the startup a term sheet.
• Visit Business Insider's homepage for more stories.

For most startups, finding a venture-capital investor willing to shore up its capital reserves is a long shot at the moment. 

But there are still a few hot startups that have seen venture capitalists scrambling to join their funding rounds, despite the snags that come with meeting and vetting founders via Zoom.

Run The World, a digital-events platform that hosts conferences and other gatherings online, seems to be one of the lucky few. The startup announced that it raised $10.8 million in a Series A round coled by Andreessen Horowitz and Founders Fund, closing a new funding round less than a year after it raised its $4.3 million seed round. 

High-profile angel and celebrity investors also joined in the round, including Will Smith's Dreamers fund and Kevin Hart's Hartbeat Capital. Other investors include DoorDash's Tony Xu and WhatsApp founder Chris Daniels, who had both invested before. Run The World CEO Xiaoyin Qu said even more investors filled her inbox with pitches, eager to take equity in a remote-conference company whose services have drawn substantially more demand because of the coronavirus outbreak.  

For some longtime Silicon Valley investors, like Founders Fund's Keith Rabois, the startup seemed promising enough to entice them to commit funding to Run The World without a face-to-face meeting with the founders. It was a step that Rabois had never imagined himself taking. 

"This is the first investment that I've ever made in my life where I haven't met the founders in person," Rabois said. "So just even getting comfortable about it, for me, was a significant step." 

'Founder-driven' investing in a remote-work world

Foregoing the in-person meeting is especially challenging to investors like Rabois, who doesn't stick to an investment thesis to guide him in dealmaking. Instead, Rabois describes himself as a "founder-driven" investor who relies on an extensive network and his own judgment to bet on startup founders with ambition and potential. 

It's a strategy that has driven him to make bets on YouTube, LinkedIn, Airbnb, and DoorDash. But the ex-PayPal executive's intensely personal style is hindered by the coronavirus crisis, as founders and investors are being forced to establish relationships on Zoom.

"Truthfully, it's not ideal for me," Rabois said, comparing his strategy with that of an investor guided by business and market metrics. "I think the current environment handicaps founder-driven investors considerably and materially vis-à-vis other styles."

But as a player in Silicon Valley's investing scene since the early 2000s, Rabois has a powerful network that not only refers him to startups but may also back up the founders he's thinking of investing in. 

In Run The World's case, Rabois said, two seed investors had separately introduced him to the company.

"I figured there must be something fascinating and intriguing about the company, so I should probably take this seriously," Rabois said.

Besides jumping on several Zoom calls with Qu, Rabois also sought out recommendations from the founders' old colleagues at Facebook. Rabois said his chief of staff at Founders Fund, Matt Lanter, knew the founders from his old gig at Facebook, and had even previously worked with one of them. That connection bolstered Rabois' confidence in the company. 

And Run The World, which also wasn't used to meeting investors remotely, exercised the same due diligence. Qu told Business Insider that she'd made sure to call up common connections in their networks to find out whether the investors would be a good fit for the company.  

The investors' dash to fund Run The World is one of the many ripples created by the coronavirus, which has boosted companies like Zoom to the skies and brought others like Uber to their knees. 

Run The World launched out of stealth mode in February, just as the coronavirus outbreak was beginning to drive companies to change their travel plans and cancel conferences. At the time, Qu had just an inkling of how forcefully the coronavirus was about to accelerate her startup's growth.

But as the virus spread like wildfire across the nation, people began to realize that socializing (as we knew it) was going to change. And Run The World, founded on the simple premise that conferences organized online could increase access, suddenly found itself hosting everything from product-management networking events for women to conferences on psychedelic research.

That realization has boosted Run The World's user growth hundredfold, according to Qu. The startup, which enables customers to run the online equivalent of in-person lectures, conferences, or festivals, has gone from hosting 20 events to about 2,400 in just three months.

Qu, a former product manager at Facebook, is particularly excited about the success of her startup's "Cocktail Hour" feature, which lets conference attendees mingle outside the main event and helps them stay in touch after the conference. "Introverts love this ... they're able to make more meaningful connections online than offline," she said. 

Signs like this make Qu optimistic about the startup's chances even after shelter-in-place orders are lifted and the world goes back to normal. She plans to use the new funding to create even more ways to use the app and build improvements into its video and audio quality that deliver better access to users across the globe. 

"The money can help us really accelerate building the right type of use cases for those people and making sure it's easy for them," Qu said. "Obviously we also increased our investment in the video quality and the audio quality to be able to support worldwide use." 

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The coronavirus pandemic has given us a lot of downtime. Why not use it to better your business, or maybe launch one?

Morgan Overholt is a graphic-design freelancer and owner of Morgan Media LLC. She earns six figures each year by turning playtime into profits — from learning new skills to revamping her portfolio.

"Every skill we acquire is a new service we can offer to our clients. Which is why, every time we find ourselves with a spare moment, we try to focus on education and training," she explained.

Here's what she recommended you do to turn your free time into dollar signs, plus the actual tools she uses to boost her skill set.

Subscribe here to read our feature: I make $200,000 a year as a freelance designer by capitalizing on my downtime to learn new skills and build products that increase my profits. Here are the tools and strategies I use to do it.

SEE ALSO: 19 books that'll give you hope and inspiration in uncertain times, recommended by founders, CEOs, and business coaches

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• Stork Club, an insurtech startup for maternity healthcare, announced Thursday it raised $2.7 million in seed funding in a round co-led by Bowery Capital and Slow Ventures. 
• Stork Club CEO Jeni Mayorskaya began researching the healthcare insurance market in her mid-twenties, after she was diagnosed with two reproductive disorders, and forced to navigate the expensive world of fertility treatment. 
• A whopping $129 billion in maternity healthcare costs are hitting companies, who often pay for employee health costs directly from their balance sheets, according to Mayorskaya. So she founded Stork Club to provide coverage for all stages of the family-planning journey, while lowering costs for employers by up to $3 million. 
• Diabetes treatment company Livongo and other digital health companies have already paved the way for such solutions to lower employee healthcare costs, according to Bowery Capital's Loren Straub. But Stork Club's more comprehensive solution is unique in targeting maternal healthcare, she added. 
• The startup has already begun offering its services at People.ai, and is backed by a group of angel investors working at LinkedIn, Facebook, and OneMedical. 
• Visit Business Insider's homepage for more stories.

After Jeni Mayorskaya was diagnosed with two reproductive orders at age 27, her doctor told her to consider having children immediately — a recommendation that left Mayorskaya anxious, to say the least. 

"I was in my mid twenties, not even in a relationship, and completely not prepared for anything like this," Mayorskaya said. After finding out how expensive fertility treatments could get, she went down a rabbit hole of research to figure out whether there was a way to offer insurance coverage to lower those costs. 

That's when Mayorskaya discovered that there was an even bigger problem at hand: Childbirth complications and maternal deaths run rampant in the US, while the costs of maternity healthcare remain sky-high.

These maternity healthcare costs are also slamming American employers, who largely pay healthcare costs directly from their cash reserves rather than go through a third-party insurer, Mayorskaya said. According to The Kaiser Family Foundation's 2019 report on employer health benefits, 61% of covered workers, "including 17% of covered workers in small firms and 80% in large firms, are enrolled in plans that are either partially or completely self­-funded'' by the employer. Mayorskaya estimates that employee-sponsored healthcare spending for pregnancy and postpartum care, as well as newborn and childcare checks, adds up to $129 billion per year. 

So she founded Stork Club, a startup that provides insurance coverage for all stages of the family-planning journey, with the goal of shaving millions of dollars off healthcare costs for employers.

The startup took a major step on Thursday, and announced that it raised $2.7 million in seed funding in a round co-led by Bowery Capital and Slow Ventures. It landed People.ai as an early customer, and is backed by a group of angel investors working at LinkedIn, Facebook, and One Medical. 

Modern family

A major drive behind Mayorskaya's passion is the fact that maternity care problems are far more widespread than she initially realized. These problems also add to the cost burdens that families carry. For example, complications during childbirth can double delivery costs.

That's without considering the fertility-treatment leg of the family-planning journey. Mayorskaya says the maternity healthcare and insurance system was designed almost a century ago, for heterosexual couples who start their families in their twenties — and disregards women who may put off starting a family until later in their careers. LGBTQ couples looking to start a family also are excluded, Mayorskaya added. 

That's why access and cost-transparency are big features in Stork Club's offerings. Once an employer adds Stork Club to their health plan, Mayorskaya says, employees and their dependents can select wherever they are on their family-planning journey, and get the help they need. 

And they'll know the exact out-of-pocket costs associated with the care they'll be receiving, according to Stork Club. 

These treatments can in turn prevent any deeper health complications during the pregnancy, postpartum care, and newborn care — ultimately saving employers up to $3 million in healthcare costs, according to Stork Club. 

A wave of startups built to lower healthcare costs

A wave of digital health companies has already paved the way for such solutions to lower employee healthcare costs. 

Livongo, which made its debut as a public company last year, helps patients cope with chronic conditions such as diabetes. Hinge Health was founded in 2017 to offer treatment for chronic muscle pain so patients don't need to undergo surgery.  

Mayorskaya's startup, like these others, will succeed based on the extent to which it can prove that it lowers employer costs while improving outcomes for patients. Stork Club estimates that the total market for employer-sponsored healthcare spending is close to $1 trillion. 

But solutions to maternity healthcare are few, according to Bowery Capital's Loren Straub, who found out about Stork Club through a reference from an angel investor. And the market for lowering maternity healthcare spending is massive, given it is "by far and away, the most expensive line item," on a company's list of healthcare obligations, according to Straub. 

Although "point solutions" have come up in the female healthcare space, as startups offer IVF or egg freezing, Straub says that these come in the form of "perks" or fertility apps, not comprehensive solutions.

"[Stork Club is] the only company that I've found," Straub said, "providing this continuity of care to people, while also being very transparent about the cost reduction that it comes with for employers." 

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• President Donald Trump just signed an executive order that cracks down on social media companies, following Twitter's recent decision to add fact-check labels to two of his tweets.
• The order triggers a critical review of a federal law that currently allows online forums such as Twitter and Facebook to host third-party comments without being held liable for all that content, but also allows them to remove material they find objectionable. Trump directed the FCC, the FTC, and other government agencies to consider actions that could force social media companies to publish statements they might otherwise have removed. 
• If the administration succeeds in changing the interpretation of that online shield law, the Communications Decency Act (section 230), social media companies found to be excluding content based on alleged bias might lose their immunity from liability, exposing them to libel suits for defamatory posts by their users, for example.  
• Aside from the many legal concerns raised by the order, some critics warn that the repercussions of the order will also cripple startup competition to Facebook and Twitter. 
• "Mostly it will hit the little sites because they can't afford compliance and liability and insurance," Albert Wenger, the managing partner of Union Square Ventures, told Business Insider. 
• Visit Business Insider's homepage for more stories.

President Donald Trump signed an executive order Thursday that could open social media companies up to federal or state sanctions — a move that closely followed Twitter's decision to add fact-check labels to two of the president's tweets.

The order directs the FCC and FTC to consider changing the interpretation of a federal law that has for decades allowed social media companies and other online forums to host third-party posts without being held responsible for fact-checking that content or removing offensive statements. The proposed sea change in the application of the law, the Communications Decency Act (section 230), has already triggered some heated debate in Silicon Valley on the role that tech companies should play in moderating truth. 

It also revived concerns about tech's competitive landscape among venture capitalists and startup lobbying groups, who worry that the order will create undue financial burdens on startups, and make it harder for them to compete with social media behemoths such as Facebook and Twitter. 

"I think that this will have a reach far beyond the big sites," Albert Wenger, the managing partner of the New York-based venture capital firm Union Square Venture, told Business Insider. "Mostly, it will hit the little sites because they can't afford compliance and liability and insurance."

Menlo Ventures partner Venky Ganesan said he is skeptical that Trump's executive order will survive challenges long enough to accomplish his goals. Ganesan said he expects to see a longer conversation about it among lawmakers.

"I think Trump's reaction to what Twitter is doing is literally pissing in the wind. It's too late, it's out of the bag, and all he is going to do is get dirty," said Ganesan, whose investments include Rover, Redfin and Palo Alto Networks.

Ganesan agreed that changes to Section 230 would make it harder for young startups to thrive. But he ultimately supports holding the big tech companies accountable for the consequences brought about by their platforms. He said he believes they have outgrown the existing regulations.

"It's much more important for society to figure out how to manage and control the flow of information on social media than to help younger start ups," Ganesan said. "There is no point in having startups to compete if you don't have a society to compete in."

More regulation could hurt competition

When they were young startups, companies like Twitter and Facebook were able to rise to a position of global dominance thanks to the protections laid down in Section 230.

The provision says that internet companies won't be held responsible as the "publisher or speaker" of the content posted by others on their platforms. That means the companies won't be held financially or legally liable in instances of libel or harassment committed by their users. 

Section 230 also allows companies like Twitter to moderate the flow of messages they host, and holds that companies won't be held accountable for their voluntary actions to restrict access to content that they deem objectionable, whether or not that material would be considered constitutionally protected as free speech in other forums. 

But Trump's order, announced as a plan to prevent companies from excluding content for reasons he sees as impermissible bias, would restrict the freedom of social media companies to set their own standards.

As longtime observers of the startup ecosystem note, big tech companies can now survive without the shield provided by Section 230. They can afford to insure against bad user behavior, fight the legal battles that arise, and automate the filtration necessary to keep certain types of posts off of their platforms.

But new and emerging startups will not have that luxury, according to the startup advocacy group Engine. 

"Dismantling Section 230 would not only increase the legal risk of hosting any kind of political speech — likely leading to some platforms banning all such content from their sites — it would actually make platforms like Twitter and Facebook more powerful by imposing untenable legal costs that will fall disproportionately on smaller competitors," a statement from Engine said. 

A similar conversation came up in 2018 around FOSTA, a bill to crack down on online sex trafficking. Facebook COO Sheryl Sandberg came out in favor of the bill. Groups like Engine, which supported the original version of FOSTA, pushed back on the Sandberg-supported version because of concerns that it would erode liability protections for tech companies. 

"The big companies are essentially pulling up the ladder behind them," Wenger, who was an early investor in Etsy and Tumblr, said.

That said, Bradley Tusk of Tusk Ventures noted that while altering the law could shape startups' decisions, like not allowing comments on their websites, there are still investors who view the legislation as an opportunity for startups to compete on the marketplace. 

 "If you are working on a new idea in the social networking space, Facebook is the monopoly, so competing with them is hard. The weaker the platforms are, the easier it is for new entrants to the marketplace," Tusk explained.

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• Facebook and Twitter's new remote-work policies have prompted SF Bay Area workers to begin considering leaving their homes. 
• Some may choose to cross the border to Canada, home to some fast-growing tech-hubs thanks to easy immigration policies, and affordable costs of living. 
• A survey by Envoy Global, a firm that helps companies sponsor and manage work visas, showed that 66% of the employers it surveyed had either established an office in Canada or were in the process of doing so. 
• And Toronto's tech scene is so hot that a report issued by commercial real estate company CBRE, ranked Toronto's tech talent as the third in North America, just after the San Francisco Bay Area and Seattle. 
• Visit Business Insider's homepage for more stories.

Silicon Valley techies, newly liberated to work remotely and searching for greener pastures, may end up heading towards the great white north.

Canada has spent the past few years striving to produce tech hubs that can challenge Silicon Valley and Seattle. Now, as companies like Facebook, Twitter, Coinbase and Square have announced plans to let employees permanently work anywhere they want, employers and officials in Canada are hoping the country's moment has come.

Canada boosters point to a mix of attractive incentives and other benefits, including the fact that the cost of living — depending on where you choose to live — is largely more affordable than pricey San Francisco.  

And as US immigration policies have grown increasingly stringent, Canada is touting its comparatively welcoming foreign work policies. A program called the Global Talent Stream, lets Canadian employers speed up the visa process for skilled tech workers relatively easily.

"What is frequently lost is if US employers cannot hire a person to work in San Francisco, they do have other alternatives," said Richard Burke, the CEO Envoy Global, a firm that helps companies sponsor and manage work visas.

A recent survey by Envoy showed that 66% of the employers it surveyed had either established an office in Canada or were considering of doing so. 

Big tech firms like Facebook and Google, as well as smaller startups like Lever, have established satellite offices in Toronto to take advantage of more affordable tech talent. (Other startups like Postmates and Tile have offices in Vancouver). 

Job growth 

Canada is no stranger to tech giants — BlackBerry's global headquarters are in Waterloo. But a new generation of tech brands are now in the spotlight, helmed by popular e-commerce giant Shopify, which is headquartered in Ottawa. 

A growing collection of tech hubs across Canada have gained prominence in recent years. In 2017, Toronto created more tech jobs than the SF Bay Area, Seattle, and Washington DC — combined, according to a survey held by the CBRE Group. The same company ranked Toronto as #3 in a tech talent survey of North American cities, just behind San Francisco and Seattle.  

Companies like Terminal, a startup that helps tech firms establish remote offices are predicting that the coronavirus outbreak and shift to remote work will only accelerate job growth and startup creation. 

"The US is not making it very easy or attractive for high quality talent to come to the United States. I think that increasingly companies are realizing that they have to be have to be leading into remote work," Terminal CEO Clay Kellogg told Business Insider. "The COVID-19 outbreak actually is ... kind of an unfortunate catalyst for this whole shift." 

That's good news for Canada, as it aims to leap ahead of San Francisco and Seattle in terms of tech talent — and hopefully be the home of the next wave of billion-dollar startups. 

Toronto suffered a setback recently when, owing to the coronavirus outbreak,Alphabet subsidiary Sidewalk Labs cancelled plans to build a futuristic "smart city "along the water font, depriving the city of what would have amounted to a tech crown jewel.

But Toronto already has a strong foundation in the area of tech-focused urban planning, with North America's largest urban innovation center, MaRS, lodged between the University of Toronto and the University Health Center. The center says its home to 1,500 entrepreneurs and ventures, helping "an innovation economy," that will help drive the country's economic growth. 

Already, MaRS CEO Yung Wu says the campus has helped foster startups that help Canada "punch way above its weight," in terms of creating innovative startups. (Wu cited the Global Cleantech forum's 'top 100 cleantech innovators' as an example, noting proudly that the list counted 12 Canadian companies as cleantech leaders.)

And immigration is one big reason for that, as Wu readily admits. He's experienced immigration policies in both the US and Canada, as he got his start as an entrepreneur in the US before migrating north.

Canada, unlike the US, knows it needs to import tech talent in order to grow, Wu said, adding, "the innovation economy is entirely fueled by talent."

"We understand that talent is a supply thing, and we have to generate demand from outside," Wu said. "So we punch way above in terms of innovation. And from my perspective, if we can connect a powerhouse of innovation to global market commercialization, that's where we hit our sweet spot." 

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NOW WATCH: How waste is dealt with on the world's largest cruise ship

• When it comes to oral health, we should be investing our attention in the basics. With Quip, you don't have to spend much money to do so. 
• Quip is an online oral care startup that sells electric toothbrushes (from $25) and refill plans (from $5 every three months) to improve how you brush your teeth. You can find my review of Quip below.
• These brushes are American Dental Association-accepted. They feature a built-in two-minute timer and one gentle vibration brushing mode to give you a thorough but gentle clean. 
• They're also really light and slim and powered by a single AAA battery, making it easy to continue a good tooth-brushing habit on the go.  
• See also: The best electric toothbrushes you can buy

Though my day looks vastly different from that of my neighbor, my parents, and my fellow subway passengers, I'm willing to bet that we all started it the same way: by brushing our teeth. 

For such a basic, universally recognized habit, tooth brushing is also often not practiced properly. People brush too hard and damage their gums, brush for less than two minutes, forget to brush twice a day, and don't switch brushes or brush heads until they become an exhausted-looking poof of bristles.

There are even more common brushing mistakes, but I'm sure you're not here to get a laborious lecture on your oral health mistakes — you want to learn about what Quip is, and read a review that explains how it can improve the way you brush your teeth.

Launched in 2015, Quip is a direct-to-consumer oral care startup that has sold over 4 million of its American Dental Association (ADA)-accepted electric toothbrushes. In 2018, its brushes became available for purchase at Target, and it also acquired Afora, a startup that offers an alternative to traditional dental insurance. In 2019, it introduced kids electric toothbrushes to motivate children to establish healthy oral care habits, as well as floss that comes in a refillable canister. 

The company is continuing to grow, but it has always run on a simple principle: to become your one-store solution for oral health. 

The idea for a better electric toothbrush came about after a visit to the dentist's office.

Cofounder Simon Enever learned from his dentist that current brands were often highlighting distracting gimmicks rather than encouraging basic practices (like brushing for two minutes or switching brush heads). He advised Enever to find the cheapest vibrating brush with a two-minute timer, but Enever couldn't actually find any good ones that were also affordable. 

Enever teamed up with fellow industrial designer Bill May to create a sleek and simple toothbrush that checked off all the boxes:

• Two-minute timer that buzzes every thirty seconds to tell you when to switch areas 
• Soft bristles for gentle, non-irritating brushing
• Starts at just $25 

They also baked healthy habit-building features into the design of Quip: 

• An opt-in refill plan that automatically sends new batteries, brush heads, toothpaste, and floss 
• A brush holder that attaches to your wall or mirror — both so your brush can air dry properly and so you'll have an immediate reminder day and night to brush your teeth

I've been using Quip for two years now, and though I often have to test other toothbrushes in between, Quip's brush is the one I always end up returning to. 

Here's my review of what it's like to use a Quip toothbrush, and why I keep going back to it. 

Original review: I own the Copper Metal brush ($40), part of Quip's most popular collection of metal brushes. It also sells plastic options, which are more affordable, and limited-edition colors, which are more expensive, but I personally like the metal ones the best. They're shiny, pretty, and honestly do make me look forward to brushing my teeth. 

The Quip brush has just one mode, which you activate by pushing the button near the top of the handle. The brush head doesn't oscillate; instead, it just vibrates in place as you guide it over each quadrant of your mouth. It alerts you every 30 seconds to switch areas, then turns off automatically after two minutes. When I manually brush my teeth, my idea of two minutes tends to be shorter than it actually is, so I appreciate the incorporation of the timer. 

Perhaps because it doesn't oscillate, the vibration intensity isn't as strong as you might be used to. In fact, the brush mode is fairly gentle. I don't think it detracts from the effectiveness of the clean, though. Critics of the brush often say it doesn't feel as thorough as other models, but I've found it does clean plaque well and my dentist has never had any complaints during my checkups. 

The brush feels very light in my hand, and it's noticeably smaller and slimmer than other electric toothbrush models. This size and weight also make it easy to transport in the included travel case. At home, I slide it into the wall mount, which I attached to the side of my mirror. This storage solution prevents my brush from touching other things in my bathroom while still allowing it to dry and reminding me every time I look in the mirror, "Hey, have you brushed your teeth today yet?" 

Its battery life is great, and it uses a AAA battery to reduce the clutter of a charging dock and cords. I'm not sure whether I'm using some type of magical battery or the brush doesn't suck up that much energy, but I've been using my Quip brush on the same battery for an exceptionally long time. 

Though you can buy the toothbrush on its own (you'll have to add $5, plus $10 shipping to whichever option you choose), it's recommended that you join Quip's refill plan. The purpose of this subscription is to automate the often forgotten practice of replacing brush heads, something that's pretty important if you want your brush to clean effectively. By the time you've lost track of how long you've been using your current brush head, Quip will already have a fresh shipment en route to your house. 

Every three months, as recommended by the ADA, it sends you a new brush head and battery for $5. Your first shipment includes a free toothpaste, but subsequent toothpaste refills are optional and cost an additional $5 on top of the brush head and battery refills. With all subscription orders, you receive free shipping. If you choose to pre-pay for the entire year, you'll receive 20% off the total cost of the refill plan. 

February 2020 update: I'm impressed by the longevity and consistency of this toothbrush, which continues to work exactly as advertised.

In the age of Instagram brands, when aesthetic triumphs over function, I know a lot of people are wary to spend $40 on an electric toothbrush that may not work well or will fall apart after a few months. Quip is one of those brands that yes, does draw you in with pretty photos of its toothbrushes, but also actually delivers on its promise of creating better oral care habits with a well-designed product. 

The bottom line

All in all, Quip combines convenience and good design into an effective oral care solution. 

Its electric brushes prove that simple sometimes is better. When it comes to oral health, we should be investing our attention in the basics, and luckily with Quip, you don't have to invest too much money to do so. 

Compare Quip to 3 other toothbrush startups here

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• Bright.md, a virtual care startup, just closed its Series C funding round in the middle of the coronavirus pandemic.
• Lockdowns helped drive investor interest in its technology, which speeds up patient visits for doctors.
• It raised an oversubscribed round of $16.7 million, bringing total funding to about $30 million.
• The investor deck reveals the startup's skepticism of other telemedicine companies.
• Visit Business Insider's homepage for more stories.

Bright.md, a virtual healthcare startup, just closed its Series C funding under unusual circumstances. 

The round opened before the pandemic, but closed at the end of May. In the interim, business boomed for Bright.md. Year-over-year, online visits and new patients grew by 1,200% and 2,000% in April, respectively, according to Ray Costantini, the company's co-founder and CEO. 

Now, visits are already declining — a development Costantini called "a good thing"— but those numbers sat well with potential investors at the time, according to the cofounder.

"Urgency increased," Costantini told Business Insider. Some investors even wanted to up their contributions retroactively, he said.

When all was said and done, the Portland, Oregon-based company raised $16.7 million, $1.7 million more than it set out to raise. In all, the startup has taken in about $30 million to date. The company declined to disclose its valuation.

Bright.md's software automates part of doctors' appointments

Bright.md works differently than some other telehealth companies. Instead of connecting patients with doctors for video visits, its platform SmartExam uses computers and smartphones to automate parts of doctors' appointments, typically for urgent care and primary care.

The company's software interviews patients to understand their symptoms, and they're only given a video or in-person appointments when necessary, according to the company. 

Doctors then receive reports, including a transcript of the patient's interview, and sign off on the platform's recommendations or choose another course of treatment. Bright.md inputs the data into electronic health records and can take care of referrals, too.

In some ways, Bright.md's success is a reflection of lockdowns. After coronavirus forced doctors offices to close and people to stay in their homes, companies offering remote care took off. Bright.md itself offers a free tool that helps doctors and hospitals screen patients for coronavirus symptoms.

Telehealth claims in private insurance plans have soared, to 7.5% of claims in March 2020, up from 0.17% in March 2019, according to healthcare data firm FAIR Health. The meteoric rise has caught the eye of venture capital investors, where some top firms are eyeing virtual care's speedy customer acquisition with enthusiasm.

Read more: VCs from 11 top firms share how coronavirus is transforming their healthcare investing strategies.

'I think telehealth is boring'

But with that renewed interest comes renewed skepticism, too. In the latest round, investors frequently asked Costantini what separates Bright.md from the other telemedicine companies out there, he said.

"Telehealth looks crowded. Why should we care about you?" Costantini said, recounting a common question during pitches. 

For starters, Bright.md's chief executive said he doesn't like telemedicine companies very much. 

"We often get lumped in as a telehealth company because we sell into the telehealth space by design," Costantini said. "I think telehealth is boring and commoditized." 

Whereas some telehealth firms sell care directly to consumers and often require video appointments, Bright.md prides itself on cutting down on physicians' wasted time. They only need 2 minutes, according to Costantini, to consult with SmartExam, saving the rest for patients with "complex clinical needs," he said.

The model makes sense to investor Seven Peaks Ventures because other telemedicine businesses can end up taking away revenue from their customers, according to Corey Schmid, a general partner. In contrast, Bright.md works within health systems to expand their own doctors' capacity, she said.

"If a patient calls and says, 'Hey I have a sinus infection,' and [providers] have a contract with Teladoc or some other direct-to-consumer, you're essentially outsourcing that patient to a fleet of doctors that might be in New York or Michigan," she told Business Insider.

Coronavirus gives new life to old debates in telehealth

There's a renewed debate among telehealth investors over whether it's better for companies to integrate more thoroughly with health systems, provide wraparound services like deployment and physician training, or simply help doctors conduct video appointments with patients.

Dr. Krishna Yeshwant, a managing partner at Alphabet's GV venture fund, said he's coming around to the simpler model after seeing smaller providers use a startup called Doxy.me, which helps doctors see patients online, in huge numbers over the last couple of months. 

Prior to the pandemic, however, he doubted that approach "because to some degree, without those wraparound services, I've always felt like telemedicine is a little bit of a commodity," he told Business Insider. 

Read more: 2 investors at Alphabet's $4.5 billion venture fund share the 3 healthcare companies outside their portfolio that impress them the most.

James Olsen, the founder and managing partner of Concord Health Partners, said there are many early-stage companies that address aspects of a patient's healthcare encounters, like scheduling, whereas Bright.md's software can evolve to address a broader set of needs.

Concord helped lead Bright.md's Series C round with B Capital and Seven Peaks Ventures. The investment firm manages a $50 million fund started by the American Hospital Association. 

Here's the deck that convinced those investors to bet on Bright.md in the middle of a pandemic.

Bright.md's introductory slide makes the company's ambitions clear.

Bright.md wants to ease physician burnout and shortages by expanding how many patients they can see in a day, and by removing some of their administrative roles.

Doctor shortages are especially bad in primary care.

Digitalization hasn't boosted productivity in healthcare, according to Bright.md. That's partially because the technology is around billing and not what providers need most, Costantini told BI.

Meanwhile, telehealth visits can take just as long as normal ones.

Bright.md's product SmartExam automates patient visits and billing, limiting the time physicians spend on routine medical issues and freeing them up for more complicated cases, according to the company.

SmartExam works on smartphones and conducts interviews with patients.

At the end of the session, the product gives recommendations, referrals, and prescriptions if needed, all subject to the doctor's approval.

Doctors can see when their patients are being seen by the bot. They review its diagnosis, notes, and prescription recommendations.

The product boosts physician capacity and doesn't require much training, according to Bright.md.

Health systems can expand their geographic reach beyond patients who can physically come into the hospital or clinic.

While Bright.md's typical customer is a mid- to large-sized health system, its technology is compatible with smaller clinics and doctors' groups, too, according to the startup.

Bright.md shared patient and physician testimonials with the potential investors.

The startup also highlighted some news coverage.

Chilmark Research, which publishes reports on healthcare information technology, gave Bright.md a shout out.

Research and consulting firm Gartner says Bright.md is a 'cool vendor.'

Other platforms and services come up short, productivity-wise, Bright.md told investors.

Bright.md also showed off its leadership team.

Investors include SpringRock, Oregon Venture Fund, and Seven Peaks Ventures.

Bright.md concludes with this slide.

• Arlan Hamilton founded venture capital fund Backstage Capital in 2015. Since then, the company has invested over $5 million in 100 companies.
• Backstage Capital looks for startups lead by those who are underrepresented in tech — women, LGBTQ+, and people of color.
• Before entering Silicon Valley, Hamilton worked as a tour manager for artists like Jason Derulo and Toni Braxton.
• Visit Business Insider's homepage for more stories. 

Following is a transcript of the video.

Arlan Hamilton: If you were anything but a straight, white man you were honestly not even getting into the room.

I'm Arlan Hamilton, and I'm the founder and managing partner of Backstage Capital.

Backstage Capital has invested $5 million in 100 companies

Backstage Capital is a boutique venture fund that invests in underrepresented founders, and that means that we put $25,000 to $100,000 to work into companies that are startups, mostly tech enabled, across the country. We are different in that we invest in the underrepresented and the underestimated, whereas in most of venture capital, less than 10% of all venture capital funding goes to the very people that we invest in.

Being underrepresented myself has helped me relate to the founders that I'm investing in. It helps me understand part of their journey, you can't understand them all, but as a woman, as a person of color, as an LGBT person, it really helps relate to the founder and to know the different pain points, and the different resources that they may need that's slightly different than what someone else might need.

On the road to entrepreneurship

I grew up in Dallas, Texas with my mom and my brother, Alfred, my mother, Earline. I didn't go to college. I'm a very curious person and I tend to try to learn as much as I can from all sources. It just didn't fit for me, and so I went out and I sought mentorship and other resources in different ways. The life experience that I got and the way that I had to hack my way through things has given me an edge.

When I was a kid I wanted to work in live music as someone on a tour, and actually ended up doing that for quite a long time as an adult. But I never wanted to be a venture capitalist. When I was around 21, I found this really cool Norwegian pop-punk band online. And I wanted to see them play live, so I got in touch with them and asked them if I could book a tour for them so I could see them play. So I booked a tour for them around the country, became their tour manager. A lot happened in between. I ended up taking that information, that knowledge and experience, and working on arena-sized tours for people like Jason Derulo and Toni Braxton.

From the music industry to Silicon Valley

I had been working on these great tours, and I was having the time of my life. It's not a very stable career though, so I was looking at other types of jobs. I was still on the road. I was getting really great at my job I think. And I realized I had been an entrepreneur my whole life, and so the thought crossed my mind about starting my own company, starting my own tech company. And once I did more research about how that worked, I wanted to go all in. But there was not really anyone there for me to reach out to who could understand me as a person, and if they were there I just couldn't find them. That's when I learned that if you were anything but a straight, white man you were honestly not even getting into the room.

Getting the first "yes"

A few years ago I didn't know what a venture capitalist was, but once I learned more about it and understood that the type of capital that venture capitalists put into companies was used for innovation. I knew that the women and people of color and LGBT founders that I knew, and those that I had seen needed to be part of this, and they were being left out at the time. And so it made all the sense in the world to me that that capital needed to go to them, and over time I told people, I wrote about it, I knocked on doors, but no one was really listening to me. So I decided to start a fund on my own and bring to light a lot of these companies that had already been there, had already been gaining traction, but just needed a little bit more of a push when it came to capital.

When I was just starting I had no money, I had no personal money. I was also like really broke and half of the time that I was raising for the first three years, I didn't have a place to live. So I was like bouncing around from different family member's couches, or friend's couches. In some cases less than that. And so my average week would be focusing on that, making sure I was okay, and the other part would be reaching out to a countless number of investors in Silicon Valley that I, and elsewhere, that I would research and learn about, and then try to talk to them on an individual basis.

It took about three years of constantly asking and going around and talking to people, mostly full time, before I got my first "yes." So it took three years to get the first $25,000.

Looking ahead

In five to 10 years I hope that Backstage Capital is obsolete because we are no longer needed. And that people of color and women are not considered underrepresented in tech. I personally hope that I'm still working with founders at the earliest stages. That's where I get most of my energy from and where I'm most excited. And that hopefully I've had some impact.

EDITOR'S NOTE: This video was originally published in May 2019.

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• Credit Sesame laid off nearly 14% of its workforce on Wednesday, Business Insider has learned. 
• The Mountain View, California, fintech startup helps customers raise their credit scores, compare loan rates, and gives recommendations for refinancing home mortgages.
• The company was last valued at $251 million in 2018.
• CEO Adrian Nazari told TechCrunch it was on track to be valued at over $1 billion the next year.
• Visit Business Insider's homepage for more stories.

The credit- and loan-management startup Credit Sesame laid off nearly 14% of its workforce on Wednesday as some fintech startups begin to stumble amid the coronavirus pandemic. 

The Mountain View, California, company confirmed that it cut 22 out of 160 employees in a statement to Business Insider. It also said that restrictions from credit suppliers amid the pandemic had squeezed its credit business, which allows customers to monitor credit scores.

"Due to restrictions by our credit suppliers as a result of COVID-19 and the effect it has had on our credit business, we made the decision to say goodbye to 22 of our 160 employees," a statement from Credit Sesame said. "This was an incredibly difficult decision for us, but one that was necessary to continue to serve our customers long term." 

Credit Sesame is a long-standing startup in the personal-finance space, competing alongside incumbents like Credit Karma and NerdWallet. It launched in 2010 with the goal of improving the financial health of its customers by helping them compare loans and keep track of credit scores. The company also issues recommendations for refinancing home mortgages. In addition, it launched a digital banking service in March that's focused on allowing customers to improve credit scores. 

The company has so far raised $135.4 million and counts Menlo Ventures and Capital One Ventures among its investors. Before the coronavirus pandemic hit the US, the startup said it planned to go public this year, TechCrunch reported.

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NOW WATCH: Why Pikes Peak is the most dangerous racetrack in America

• Billie and Flamingo are two new women's shaving startups making sharp and affordable razors. 
• Billie is a subscription service, offering a $9 razor with $9 refills, while Flamingo is not, but also sells a $9 razor with $9 refills. 
• The similarities and differences don't stop there. We compared other aspects of these two companies so you can decide which is better for your shaving needs. 

Shaving, if you choose to do it, is usually an inefficient and time-intensive process. It's also one of those personal-care habits that quietly sucks the money out of your wallet (for some, more quickly than others depending on how often you shave). 

Online startups like Harry's and Dollar Shave Club brought fresh changes to the shaving industry by making sharp, high-quality razors and sending them to your door for less. Not only men used their products. Women did, too, but there was always the sense the razor designs and skin-care products could be better tailored to women's needs. 

Two new startups, Billie and Flamingo, are finally making women's lives easier with their affordable shaving solutions. As the two biggest disruptors of the women's shaving scene, they're often compared — which is better, Billie or Flamingo? 

To help you decide which new women's shaving brand is for you, we put them side by side and looked more closely at what products they sell, how much you'll pay, and the shaving experiences themselves.

We've tried the razors and body-care products from both companies (you can read our Billie review here and our Flamingo review here), so we can offer our personal takes alongside the factual details. 

Learn about the similarities and differences between these two leading women's shaving startups below. 

Shop razors and shaving products at Billie here

Shop razors and shaving products at Flamingo here 

SEE ALSO: 8 retail startups that are the brainchilds of Wharton grads — from Harry's to Warby Parker

How Billie and Flamingo came into existence

Billie, founded in 2017, is taking a stand against the pink tax — which upcharges women's personal-care products — by creating a razor priced in line with affordable men's razors. It offers realistic portrayals of body hair in its ads and images, and it donates 1% of all revenue to women's causes around the world. 

Flamingowas introduced in 2018 by Harry's, the men's grooming brand that first launched its subscription-based razor products in 2013. Though more than a million women were using Harry's products for themselves, the Harry's team knew that they could be better optimized for how women shave their legs, armpits, and bikini lines. Flamingo is led by two Harry's veterans who have been with the company since its start, and it uses the same blades as Harry's razors. 

How the services and products work

Billieis a subscription service that sells shaving and body products. After getting its $9 Starter Kit, you'll receive four replacement cartridges for $9 on an ongoing basis. 

To get started, you'll choose your favorite handle color and how often you'd like to receive the replacement cartridges. If you shave every day, Billie will deliver once a month; a few times a week, every two months; and once a week, every three months. You can change this frequency at any point later. Then, add an optional shave cream ($8), lotion ($12), or travel bag ($10) to your order. 

Flamingo lets you buy all of its shaving, waxing, and body products a la carte. There is no subscription plan, so you can buy refills whenever you need them. Most new customers start with the $16 Shave Set.

Taking a closer look at their starter shave kits

Billie's Starter Kit costs $9 and includes a handle, two five-blade cartridges, and a magnetic holder. 

Flamingo's Shave Set costs $16 and includes a handle, two five-blade cartridges, 1 oz. foaming shave gel, 3 oz. body lotion, a shower hook, and a reusable pouch. 

What the razor looks like

The Billie razor handle comes in six colors, in various shades of pink and blue. It has a five-blade cartridge made with USA-sharpened and assembled steel. The blades are encased in a charcoal shave soap and the cartridge has rounded edges. 

The Flamingo razor handle comes in three colors, with metallic accents. Its five-blade cartridge features German-engineered blades (Harry's owns the German factory where the blades are made), a hydrating strip formulated with aloe vera, rounded edges, and a flexible hinge. 

I shaved with both Billie's and Flamingo's products to compare the experiences. Both gave me a smooth, close shave but in different ways.

I used the Billie razor with the Shave Cream ($8), a non-aerosol cream made with soothing and gentle ingredients like aloe, sage, shea butter, and grapefruit and free from synthetic fragrances, parabens, and sulfates. I'm a sucker for anything grapefruit-flavored or scented, so right away I loved the cream. It's not super thick, but since the blades already have soap built into them, you don't need to use a lot of cream. 

The Billie razor felt comfortable in my hand. Though the cartridge has a hinge, I thought the angle and design didn't allow it to go as far back as I would've liked. I was still able to tackle every inch of hair on my legs and armpits thanks to its sharp blades — I just had to be more careful and intentional. 

Meanwhile, the Flamingo razor pairs with a Foaming Shave Gel ($5), which comes in an aerosol can. Its key ingredients include aloe vera as well as conditioning emollients. Its gel is also paraben- and sulfate-free. This thick gel foamed up nicely and felt luxuriously smooth on my skin. 

I found the Flamingo razor handle, with its textured rubber grip, was easier to hold and less likely to slip from my fingers. The flexible hinge also helped me better get into tricky curves and corners. Like my experience with Billie, the sharp blades were ultimately the most impressive and important feature of the razor. 

The accessories and other body-care products are also factors worth considering.

Both Billie and Flamingo razors come with a wall accessory to hold it and keep it within reach in your shower. Billie's is a triangular magnetic holder that your razor sticks to, while Flamingo's is a circular suction grip that your razor clicks into. 

Whether because my shower wall was too wet when I stuck these holders to it, or these accessories simply weren't strong enough, either the holder or the razor often fell off. While the idea is great, I wouldn't rely too much on these holders. 

To supplement your body-care routine, I do recommend trying both companies' lotions and body washes. The Billie Sudsy Body Wash ($9), made with grapefruit, coconut, rosa canina, and aloe vera, cleanses and preps your skin before you shave, and the Dry-Bye Body Lotion ($12) is formulated with grape seed, chamomile, shea butter, and aloe vera for perfect post-shave moisturization.

Flamingo doesn't have a body wash, but its Body Lotion ($9) features the key ingredients of white willowbark extract and papaya fruit extract (for hydration) and a derivative of sugar cane (for moisturization). 

Overall, the pricing is similar — and affordable.

Billie:

• $9 razor + $9 refills (for four cartridges)
• $12 body lotion (8 oz.) 
• $8 shave cream (6.5 oz.)
• $9 body wash (12 oz.) 
• Shipping is free with every razor subscription or on orders over $15. 

Flamingo:

• $9 razor + $9 refills (for four cartridges)
• $9 body lotion (10 oz.) 
• $5 shave gel (6.7 oz.) 
• Shipping is free on orders over $10. 

Which company's razors should you shave with? Here's the bottom line.

The best women's shaving brand for you depends on your shaving habits and preferences. With both Billie and Flamingo, you're getting sharp blades that will get rid of your body hair efficiently, at an affordable price. 

If you shave at a consistent schedule, Billie will be better for you because of its convenient and automatic subscription service. It's easy to add on supplementary products to your order, and subscribing is also the only way to get replacement cartridges. 

If you're on less of a schedule and want to order refills as you go, you'll be better off with Flamingo. Its Shave Set offers a good introduction to its products, and it's affordable at less than $20. You should also shop Flamingo if you've used and liked Harry's razors in the past but want a design better suited to your body. 

• San Francisco-based fintech startup SynapseFI cut down its workforce this week and plans to grow its presence in Texas as a move to weather the coronavirus outbreak, according to an email sent by Synapse CEO Sankaet Pathak to the startup's customers. Pathak later made the email available to Business Insider. 
• The company, which provides businesses with a suite of back-office financial products, will be broadening its stack of offerings in an effort to grow its customer base beyond small startups, and also cater to larger enterprise companies, the email said. 
• One screenshot from an employee message reviewed by Business Insider placed the layoffs at 63 — more than half the startup's workforce. Synapse did not specifically confirm or deny that estimate. 
• The pandemic is the latest in a series of hurdles for Synapse, which is already dealing with a gender bias lawsuit brought against the company and an employee exodus, according to an April report by Forbes.  
• Visit Business Insider's homepage for more stories.

Fintech startup SynapseFI cut a significant number of employees from its workforce this week, Business Insider has learned. 

The San Francisco-based company made the staff cuts as it restructures its business and and shifts more of its operations to Texas, in a move to weather the coronavirus outbreak. 

After the layoffs, Synapse CEO Sankaet Pathak sent out an email to the startup's customers to inform them that "a number of employees" had been let go from the company, as a part of the broader changes that he was making to strengthen the company and expand its customer base as the coronavirus continues to wreak havoc on the economy. Pathak later made that email available to Business Insider.

Cutting the staff was "a difficult decision to make on a personal level, but on a business level I am confident that this was the right step to ensure that we are set up to emerge even more competitive than before," Pathak wrote in the email.

The layoffs could shrink Synapse's current workforce of roughly 120 significantly. One text message reviewed by Business Insider said that 63 employees —  more than half of the company — were affected. Another screenshot of a Slack message indicated that the layoffs were announced at an all-hands meeting.

Although Synapse confirmed the news of the layoffs, neither Pathak nor a company spokesperson confirmed or denied that layoff count of 63 in response to Business Insider's inquiries. 

Pathak's email also outlined plans to change the San Francisco-based startup's geographic footprint. Synapse will grow its nascent Texas presence  by recruiting employees for its customer-facing teams, Pathak said. Meanwhile, the company's product and design teams will remain in California. 

Layoffs slam Silicon Valley 

Over the past few months, the coronavirus pandemic has forced Silicon Valley's startup ecosystem to reckon with tightening sources of revenue and funding. Layoffs began at startups directly affected by shelter-in-place orders, and soon spread to the enterprise, data analytics, and fintech sectors. 

In recent weeks, fintech startups like Credit Sesame and Brex have made cuts to their workforces, attributing the reasons to the pandemic. In certain cases, the fintech startup layoffs were either preceded or accompanied by rounds of fresh funding. 

For Synapse, which secured $33 million in funding from investors in the summer of 2019, and was once hailed by Andreessen Horowitz as the "AWS of banking," the coronavirus-driven downturn has placed many of its customers on shaky footing. Any pains felt by fintech startups would ripple across and hit the company itself.

The layoffs are the first of a series of steps undertaken by Synapse to restructure its teams in an effort to grow its product stack to better serve large enterprises in addition to the small banks and fintech startups that now rely on the company's suite of back-office products. 

While Pathak's email said it had already begun dedicating resources to those efforts for the past two years, it noted that the economic downturn had prompted the company to speed up the process to diversify its customer base. 

Company-specific problems preceding the pandemic

But Synapse was also reportedly going through internal troubles in the months leading up to the coronavirus. 

Three former employees filed a gender bias lawsuit against both the company and Pathak back in December. In the complaint, they alleged that Pathak "undermined, intimidated, and toyed with the female employees." At the time, a Synapse spokesperson denied the allegations. Neither Synapse nor attorneys for the plaintiffs immediately responded to Business Insider's inquiries about the current status of that case.

In April, a lengthy piece by Forbes reporter Jeff Kauflin detailed an exodus of both employees and customers from the company. Synapse did not immediately respond to Business Insider's request for comment on the piece. 

Employee dissatisfaction continues to follow the company. Although Synapse attempted to sue the former employees who posted stinging reviews of their experiences on Glassdoor, according to Forbes' Kauflin, the still-pending case hasn't stopped others from following suit. Still more employees have posted negative reviews about the company on Glassdoor between January and March, despite a notice on Synapse's Glassdoor page now warning reviewers to be cautious about posting a review. 

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