B-School > News > Start-Up > 1. Start Your Engines

Start Your Engines...   Story of a Start-Up 1. Start Your Engines 2. Keep the Fires Burning 3. Full Speed Ahead Also See Upcoming Moot Corp® Competition About Moot Corp® Isochron.com Date: December 1997 Milestone: Won Texas MOOT CORP®, received office space in ATI and seed capital Major Investor: Aruni's Mom Isochron’s good fortune began when its co-founders, Aruni Gunasegaram and Erin Defosse, sat next to each other on the first day of class at the Texas MBA and started talking about their entrepreneurial aspirations. When later they discovered they had the same birthdate, they knew fate had stepped in and they decided to start a business together. The hard work began shortly thereafter. Gunasegaram and Defosse, began putting together a business plan involving the vending machine industry. A classmate, who decided not to join the group, mentioned how much time was wasted in the refilling of vending machines because drivers would have to check every machine, some being empty, but some not. After doing a lot of research on the industry, they devised the Vendcast, a device that sits in the vending machine and sends data about its inventory back to Isochron where the data is compiled and then a distributor can access that information before sending out his fleet to refill the machines. Isochron Data Corp. pitched their business plan at the 1997 Texas MOOT CORP® Competition and won. Since then, Isochron has been on the path to success. Taken from the 1998 Directors Report Isochron Data was a finalist at both San Diego State University and the University of Oregon and presented well at the MOOT CORP® Competition. The entrepreneurs, Aruni Gunasegaram and Erin Defosse, have moved into the Austin Technology Incubator and recently received their first round of seed capital. Isochron Data is developing wireless technologies that will allow companies to monitor and gather data from their equipment in the field on a real time basis. Their initial application will be in the vending industry. The 1998 MOOT CORP® Competition was again held in conjunction with The Capital Network’s Texas Venture Capital Conference at which 21 entrepreneurs sought funding for their ventures from over 400 venture capitalists and investors. This alliance with The Capital Network (TCN) offers many advantages: An opportunity for MBAs to observe the process which they are simulating in the MOOT CORP® Competition. An opportunity for the MOOT CORP® participants to interact with the venture capitalists attending the Conference. Access to a large pool of investors, many of whom are available to serve as MOOT CORP® judges. A University of Texas team gets to present at the Texas Venture Capital Conference and solicit funding. Isochron Data made an impressive presentation at the 1998 Conference and got much interest from investors. A reception at the Governor’s Mansion for the participants in both events hosted by Governor George W. Bush. For general media information contact director of communications: JB Bird (512-471-3314).