The United States is facing a severe mental health crisis that disproportionately impacts people with disabilities. It’s estimated that 54 million people with disabilities are suffering from mental health disorders and, according to the Centers for Disease Control, adults with disabilities say they experience frequent mental distress nearly five times as often as those without disabilities. But mental health services are often not easily accessible, widely available or affordable.

Laura Randa witnessed first-hand how her college-age daughter, who has hearing loss, experienced increased stress and anxiety while struggling to read lips during the COVID-19 pandemic, when face coverings were mandatory and clear masks weren’t available in most classrooms. Fortunately, Randa was in a position to help.

Laura left her 30-year career in commercial leadership and C-suite positions at biotech and pharmaceutical companies, including Regeneron Pharmaceuticals and Novartis, determined to revolutionize mental health treatment for people with disabilities. Assembling a passionate team of experts in cognitive behavioral therapy, digital therapeutics and clinical psychology, Randa started Wilmington-based Toivoa and its first-in-class digital therapy platform, Rauha, a platform designed to close the treatment gap for people with disabilities living with mental illness. The 2-year-old Wilmington-based company won $27,000 in the 2023 Startup302 competition, coordinated by Delaware Prosperity Partnership (DPP).

Toivoa, a Finnish word that means “hope,” is initially targeting its efforts for people with hearing and mobility disabilities and includes dozens of accessibility functions such as color contrast, closed captions, keyboard mobility and multiple navigational options. By the end of the decade, Randa expects to hire upwards of 1,000 people and have 1,300,000 patient users on the platform.

Initiated by a healthcare professional and accessed by a unique patient code, the Rauha app provides fully-accessible, cognitive behavioral therapy – the gold standard of psychotherapy. Based on responses to a series of questions about their disabilities, patients receive adapted, personalized exercises and therapy from Dr. Samantha Gaiez, a New York City-based clinical psychologist with more than 15 years of clinical experience, and a team of psychologists specializing in people with disabilities. Every patient will be matched to a certified mental health coach who has shared living experiences with disabilities and mental illness. Together with a vibrant patient community forum, patients will receive personalized support and encouragement throughout their 12-week journey.

“We are on a mission to radically change evidence-based therapy for people with disabilities living with mental illness,” says Randa, who earned her master’s degree in public administration from the University of Delaware. “We look forward to bringing a high-growth digital therapeutic community to Delaware and collaborating with the county and state economic development teams to address critical health inequities in one of the most excluded and marginalized groups.”

Randa recently shared her thoughts on innovation with DPP.

I grew up in Delaware and have seen first-hand that Delaware is the home of innovative businesses, cutting-edge research and transformative ideas that are meeting and exceeding the challenges of the 21st century economy. Delaware has a large and robust ecosystem fueled by the spirit of collaboration across all stakeholders, especially government leaders, businesses and academic institutions. To successfully build an innovative digital therapeutic business in a globalized market, businesses need access to high-quality, high-tech and diverse talent. Delaware was a natural fit for Toivoa because the breadth and diversity of talent in the finance, tech, pharmaceutical and consumer industries offered in Delaware is unparalleled.

My father – my lifetime mentor, who was a long-time DuPont R&D researcher with 28 patents – taught me many things about being an innovator. He used to say you had to have five top skills to demonstrate as an innovator: associating, questioning, observing, networking and experimenting. These skills are fundamental when you are developing solutions to address a critical unmet need in a way that no one has ever done before. But this is just the start. As I have launched Toivoa, and throughout my career, I’ve learned that innovation is best realized by building passionate, purpose-driven, cross-functional teams and leveraging mentors who can help you “slow down, to speed up.”

A great entrepreneur must become an expert in their market by digging deep to understand the nuances of how innovation can have the greatest impact and make a meaningful difference. You must push yourself to continuously challenge the status quo and be open to ideas outside of your comfort zone and realm of expertise. I’ve learned that this is not just a key entrepreneurial skill, but also a very valuable life skill. Take the time to create company and product positioning and value propositions that are simple, clear and concise and that resonate across your key stakeholders. Test your concepts and products with your stakeholders at every step along your development path. Investing your time and efforts in these processes will help you build high-impact, focused communications and strategies, let you stand out in a crowded innovator market and accelerate your success.

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Christian Morris was working on a mixed-reality app that would allow users to view a musician or performer as if they were 3D in front of them and needed software that could cut the background out and leave just the subject. Despite a lukewarm response from people who reviewed it, he believed it had potential.

Enter his wife, who runs a successful Etsy shop but needed an inexpensive way to create product videos. With a few tweaks, the app helped propel her to the top 5 percent of sellers in six months. Morris saw small business owners – particularly ecommerce sellers – who don’t have large ad budgets for Facebook or Google but depend on their own social media posts to sell products as an untapped market for his artificial intelligence-based technology.

Rush Roto’s “simple and spectacular” AI technology doesn’t just add a background. It places the picture of an object into another image that can be turned into multiple campaigns in just a few seconds. That’s important for small businesses that rely on seasonal online selling and want to turn a single product photo into images for Halloween, the Christmas season, spring — or any other time or theme.

Morris put about $10,000 of his own money into getting the startup to the point where he could apply to business growth programs. He found early support in 2022 through Amazon Web Services (AWS), which selected Rush Roto as one of 25 startups for its inaugural AWS Black Impact Accelerator. The company won $125,000 in cash and $100,000 in Cloud Credits along with in-person training at Amazon headquarters.

Morris says the AWS program and Rush Roto’s recent selection into the prestigious Techstars Accelerator Powered by J.P. Morgan program – which included Rush Roto receiving a $120,000 equity stake – has opened a new world of possibilities in terms of venture capital funding, growth and connections. In addition, Rush Roto was a winner in Delaware Prosperity Partnership’s 2023 Startup302 competition, where it placed in the Delaware Tech-Enabled category.

“Success in programs like AWS, Techstars and Startup302 provide legitimacy and help us get our funding applications looked at, which can otherwise be very challenging,” Morris said.

Morris recently shared his views on innovation in Delaware and the path forward for innovators.

I know other Delaware founders have said it countless times, but our central location is key. Getting started with zero network connections in the tech world was challenging. However, I was able to expand my network at an exponential rate with just new tires, gas and determination. I joined startup communities in not only Delaware, but D.C., New York City and Philadelphia. I was usually the only Delaware resident in the room. That made me even more memorable.

I just did another pitch competition where I came in second in New York just a few months ago. And another one where I was going down to D.C., so there’s a plus at being able to hit multiple cities without having to hop on a plane. I also save money by not needing to rent cars and purchase hotel rooms in those states. In other words, being here also extended my company’s runway.

Last and most important is the real effort to support innovators here. After being a finalist in the Start-up302 competition, we received a letter from Delaware Governor John Carney. I don’t know if any founder I’ve met can say their state cares about what they’re doing at that high of a level.

Number one, by a large margin, is grit. Startup life is difficult. It will almost always take longer and be more challenging than you expect. “Unfair” is the default setting. You must learn to make peace with it, and then make your own luck.

Number two, focus. Focusing on the “why,” not the “what.”

Three, vision. You need vision to shift your “how” and “when” if needed. The reason you took action should be your north star. It’s easy to get caught up in your solution and forget.

When you get started, one of the most important things is to pick an idea worth pursuing by you. Not just one that is worth pursuing. You should have a true passion for the idea, not just potential profits. Those profits don’t leave the “potential” stage with most startups. You need to have a love for the why. Rush Roto’s why is serving underfunded entrepreneurs. I founded Rush Roto with the goal of using AI to make photography affordable to all businesses, to give time and resources back to the struggling solopreneur. Seeing Rush Roto do that gives me the energy to push through those tough days.

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Liam Fitzgerald believes many businesses have a lack of cross-departmental clarity, an inability for executives to make strategic decisions and a lack of overall workplace morale. This belief led to the creation – with co-founder Robbie Parisius – of Connect2Co, which describes itself as “the future of productive work.”

“As a founder, my objective is to improve communication and collaboration, implement sustainable practices into companies of all sizes and drastically improve scalability in startups for fellow founders to reach their goals more effectively,” says Fitzgerald, whose company vision is to “transform the digital workspace into something that is engaging and meaningful, data-driven and efficient.”

Connect2Co won a 2023 $100,000 Encouraging Development, Growth & Expansion (EDGE) Grant from the Delaware Division of Small Business to support the growth of a business-to-business platform that enables businesses of all sizes to manage, optimize and collaborate with other companies. The tool essentially enables customers to operate a digital workspace from one central location, eliminating the need for toggling between various applications such as Gmail, Google Drive, Microsoft OneDrive and Salesforce.

Fitzgerald spoke to Delaware Prosperity Partnership about his views on innovation in Delaware and his advice to hungry innovators.

Why is Delaware a great state to be an innovator?

Delaware’s ecosystem of entrepreneurs and business professionals – and government entities driven by their ability to support small businesses and systems by providing access to vital resources and people – make Delaware a “Goldilocks zone” for innovation and innovators alike. Small businesses account for more than 98% of the businesses in Delaware, employing over 55% of the workforce. This supports the obvious presence of a breeding ground for entrepreneurs to provide value to each other in a multitude of ways.

In your view, what qualities should a successful innovator have?

• Successful innovators have core qualities that define their success:

• Understanding in the form of malleability. The presence of individual identity should not supersede an entrepreneur’s ability to listen to others in relation to feedback, criticism and support. Innovators must be sure in their mission and overarching objective but must simultaneously be willing to change course and pivot as their business or venture progresses. Communication and understanding are vital to improvement. Even if feedback is not used, shared perspectives give clarity to beautiful ideas and ventures.

• Innovators must be leaders. Successful entrepreneurs and thinkers have different personality types. Some can lead in a school of thought, industry or field. Some are great managers who can realize the dormant abilities of their team and empower them to excel personally and within their organization. Some lack these qualities, but lead in their relentless persistence, drive and hunger to solve problems and create/offer solutions. Ideally all three leadership qualities should be evident in the perfect leader, but the third quality (persistence) will inevitably allow them to penetrate the market and achieve the other two qualities.

• Innovators must have ideas or systems that are better than those that previously existed. This may be evident in the form of improvement to solutions, products and systems that already exist; innovative and cutting-edge solutions/products or services that do not exist; or the enablement of team members to realize their full potential and, in turn, bring their ideas to light. The ability to execute on these ideas is what differentiates thinkers from doers.

What advice would you give innovators just starting?

• Understand your why, then your what, then your how. Figure out your purpose for your venture, then what you will offer and then dissect how you will fulfill what you will offer.

• Plan with the objective to execute. You can write business plans, forecast your expenses and your revenue, create feasibility analysis and research statistics on your market, industry and customers, but nothing will come close to talking to your target customers. If I analyze what I did wrong and right, I can truly say that the best practice is to find an idea, talk to people you trust to establish preliminary validity of the idea, build part of the idea and start showing it to these people and getting users to test it.

• Rinse and repeat this process incrementally, and your idea will grow into a tangible thing. Your customer/communication base will also increase. Creating or building something people want enables you to figure out if an idea is worth pursuing. This should be done in a way that the person/group you are targeting is so compelled by the product that their want becomes a need. Turning wants into needs creates urgency and encourages retention. This, however, depends highly on the target market and customer segment you are selling to. Luxury goods are attractive due to their exclusivity and scarcity – taking advantage of the want factor. Commodity goods like toothpaste and soap are attractive due to their necessity. Services offered, solutions developed or products created, however, can initially be something the consumer wants that, after use, makes them realize they need it (such as iPhone, Gmail, CRM Systems).

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Hx Innovations got off to a quick start by proving that a compelling idea that addresses a real problem – in this case, letting coaches and trainers track and manage performance and improve return-to-play plans for optimal player health and safety – can gain widespread traction.

In the last few years, Hx Innovations, the Wilmington-based biotech company has been selected as Technical.ly Delaware’s 2021 Startup Business of the Year and as a member of the Pete du Pont Freedom Foundation’s Equitable Entrepreneurial Ecosystem (E3). It’s also received funding from the National Science Foundation, $50,000 in Delaware Technology Innovation Program bridge funding and $60,000 from the Startup302 pitch competition.

Chief executive officer Nicole Homer, who served in the U.S. Marine Corps in logistics and holds an MBA from Liberty University, co-founded Hx with her husband, Dr. Von Homer, who developed The Homer Technique, which pinpoints the exact muscles that are susceptible to injury. The couple’s roots run deep in Delaware. Both graduated from William Penn High School in New Castle, Nicole earned her undergraduate degree at the University of Delaware in Newark, and Von earned his doctorate and is an assistant professor at Delaware State University in Dover.

Hx’s neuromuscular technology lets coaches and trainers measure human movement analytics using artificial intelligence within a portable wireless camera, giving trainers and coaches the information they need to keep players safe and protect against sprains, strains, and joint injuries.

Hx Innovation CEO talks about Innovation in Delaware

Nicole, who was named 2022 Young Woman Professional of the Year by the New Castle County Chamber of Commerce, recently shared her thoughts on innovation:

Why is Delaware a great state for innovation?

You need the support of the community to grow and develop, right? Delaware was perfect for us to scale and have the collaborations and the partnerships needed to do that. Within a hundred-mile radius of Wilmington, there are more than 1 million athletes, so our target audience is right here. There are many athletic teams, colleges and professional sporting teams within a two-hour radius that could benefit from our technology.

Delaware is just small enough to make a really big impact and has great networks here that we’ve taken advantage of. Being embedded in the community, having connections with the community already and having so much reach and access to our target customer is why we decided to be here as opposed to other places we could have chosen.

What qualities should a successful innovator have?

You need to see beyond the weeds and get out of the lab. A lot of scientists really want to perfect the science. They want to perfect the product, but you can’t cross that plane of commercialization until you put it out there in the world. We found we were using too much jargon to explain “neuroergonomics” and used our first $15,000 grant to focus on getting the marketing messaging together.

You need more than one type of marketing messaging. You need a long pitch where you can have a whole conversation about what you do and dive into those details, but then have a short and snippy, boom. Our short one is “We test your movement” while our longer one is “We use computer vision technology to collect movement and our propriety software to measure neuromotor activity to help coaches and trainers evaluate player performance and injury risk.” That’s a mouthful, but there are some people who want all that.

You have to be able to go granular or broad. You also need to be able to see where you are and who you are and then find the resources that set you apart as a business innovator as well.

What advice would you give new innovators?

Take the time to brainstorm a business plan that includes sales strategy, pricing strategy and market analytics. You can have your business plan, but then you must test that hypothesis. We didn’t take into account how long that process would take. I would encourage new innovators to take the time to really do a lot of market research and then allocate time during the pre-launch stage to test your assumptions. Also, I’d advise innovators to be extremely patient and allow yourself the grace that you’ll need to grow into whatever role you’re going to ultimately become.

Around the company, I’m known as the guardian. I’m the “no” person. I say, “Let’s look at the liability and the risk and make a plan. Let’s assess the whole thing. And my co-founder is more of a “let’s just put it out and see what happens” person. I think you need both types of people to be successful.

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Dr. Eric Kmiec believes innovators don’t decide whether an idea is worth pursuing. The data decides.

“I’ve seen many people promote their data where they wanted it to work so badly, it consumes them, drives them into sloppy science and they end up stumbling scientifically,” says the executive director and chief scientific officer of the ChristianaCare Gene Therapy Institute and CEO of CorriXR Therapeutics, the biotech spinout whose initial focus is oncology.

“Their enthusiasm cloaks the truth; they design experiments solely to make their innovation look better, rather than doing the tougher controls to evaluate their hypothesis and try to disprove it. That’s the essence of science. I was once told by the president of the National Academy of Sciences: ‘The truth always comes out in science. Better to be early to that game than to be late.’”

Dr. Kmiec is known throughout the scientific community for his pioneering work in the fields of molecular medicine and gene editing, which is a group of technologies that enable scientists to change an organism’s DNA. He has researched and developed CRISPR-based genetic therapies for sickle cell disease and non-small cell lung cancer. He holds faculty appointments at the University of Delaware and the Wistar Institute in Philadelphia and has been a National Institute of Health and National Science Foundation-supported principal investigator for 34 years.

He recently shared his views on innovation in Delaware and the path forward for innovators.

One of the great advantages of a state the size of Delaware is, frankly, the size of Delaware. There are a lot of collateral and productive interactions occurring daily that provide access to government officials, CEOs and state and county committees that can help guide your thoughts surrounding innovation. There are certainly advantages baked into coming from an ecosystem where there are hundreds of startups, but in those situations, you almost must be a distinct yet mature program to receive the appropriate attention to develop your innovative ideas. By contrast, here in Delaware, you can get in to see people who can evaluate the probability of success and even give you some advice on the return on investment. The state has also dedicated itself to expanding the availability of lab space for not only startups but for mezzanine-level companies and encouraging new real estate projects throughout the state for those of us who seek to expand our operations.

Relentlessness and a long-term belief in your ideas. I experienced a great deal of pushback in the early years of gene editing where many people believed it was just a fantasy and would never happen. I was also told that in vivo (in living cells) delivery would never occur and the whole idea of introducing biotherapeutics into the body was a dead end. Now, they are the biggest fans of the Gene Editing Institute.

Take your time and understand that excellent scientific ideas are often incremental advances that often do not translate into the world of application. In fact, if you are trained properly in science, you are taught to develop incremental advances, and once you or your colleagues cobble together a number of those incremental advances, you will have something that could be a significant step forward. But it takes time, and we are by design impatient, so one of the greatest flaws is that we want to push things forward because we “know” it’s right. That’s a deadly mistake. Be resolute in your belief, but also look to solve a fundamental but rather simple problem first.

I learned a hard lesson in the early days of gene editing. Good ideas need time to mature, and good things await those who are patient. As frustrating and painful and methodical as it might be, researchers must establish a foundational base for their idea. If that idea survives the constant multi-dimensional probing, then that idea will be the one worth pursuing. In addition, you need to understand that negative feedback is far more important than positive feedback.

I had to learn to be patient through the years and pioneered a lot of gene editing concepts early on. I’m still here to watch the field emerge and do great things. It’s a rewarding space for me now. Looking back, CRISPR was actually identified and studied intently in the mid-1980s, and some could argue today that those early scientists who understood the microbiology of milk fermentation actually helped in the discovery of CRISPR and they should have been part of the Nobel Prize in Chemistry awarded in 2020. It was their work that enabled Jennifer Doudna and Emmanuelle Charpentier to translate its use into human cells and the rest, as they say, is history.

I’ve also found that new innovators immediately want to start a company thinking that raising money is easy and that once they mature it for a while, they’ll become wealthy. Sadly, it doesn’t work like that.

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Eric Smith has known since he was 15 that he wanted to support entrepreneurs and business owners like his dad. Now 31, he’s doing just that through Wilmington-based Launch Point Labs – one of Delaware’s first startup studios that is also building an early-stage venture fund. Smith started Launch Point Labs in 2021 after stepping down as vice president at Carvertise, the Wilmington-based advertising company he helped build into a multi-million-dollar company.

Launch Point Labs provides small businesses and nonprofits access to a team of sales professionals, content creators, brand strategists, and project managers. The goal is to help entrepreneurs gain traction in their businesses while also providing financial help through a $5 million fund the company is building to invest directly in promising companies.

Launch Point Labs, which has been working to launch multiple Delaware companies in 2022, helps startups for free out of the gate. Once the startup is profitable, it can become a paying client with access to LPL resources through either a monthly fee or equity.

Here are Smith’s views on innovation in Delaware and his advice to hungry innovators.

Delaware is a fantastic place to start a business and is becoming a hotbed of entrepreneurship. The First State has a favorable business climate, a long history of assisting businesses and an excellent track record for supporting entrepreneurs.

The state provides a great environment for small businesses, which have provided the majority of jobs in the state (and are vital for economic growth). The state also has a strong background in science and technology, which has led to a vibrant economy and a strong environment for entrepreneurs.

The biggest thing I would tell any entrepreneur is to keep his or her eyes on the long-term goal. Every day, you must do something that will advance your business, but it’s important to understand that it’s a journey, not a destination. You must keep moving forward and take small steps that add up over time. Be patient. The process of building a company is long, difficult and often frustrating. It takes a lot of hard work, and the payoff is often years in the future. Focus on building a strong foundation and keep plugging away.

The most successful innovators are those who are passionate about their ideas, constantly learning new skills and seeking new ways to improve their businesses. They are also ones who are patient, keep moving forward and are flexible enough to change course when needed.

It takes a lot of drive and determination to keep pushing forward when the going gets tough. It also takes a strong work ethic and the ability to turn criticism into fuel to keep moving forward.

You must be creative, determined and strategic. The best innovators know that the journey is a long-term one, not a get-rich-quick scheme, so you must be comfortable being patient while you build your business.

As a leader, it’s critical to have a process for deciding which new ideas to pursue and which to set aside. In the heat of the moment, it can be hard to separate the good ideas that should be expanded from the bad ones that should be cut. This can lead to a lot of wasted time and energy, and result in the same old status quo instead of the innovation the company needs. Receiving feedback and customer validation is key to determining if an idea is worth pursuing. Before you start turning your idea into a product/service, make sure you ask potential users/customers if they’re willing to use (and pay for) your idea. If yes, then what they say will reinforce your beliefs and direct you on what to do next. If no, then you must be ready to back out and try something else.

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