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Can come trying to make something thats been around forever better or simpler. Tonight we bring you the stories of two entrepreneurs, one who was changing the way kids are coached and the other who are changing baking and thats where we begin. Adam leonte is one of a handful of u. S. Chefs using his own freshly milled flour, like flour he used to use in italy back in 2010. It then dawned on me why i liked the flavor of the pasta in italy more where i was working, because it was fresh wheat. He converted to fresh flour at a Philadelphia Restaurant before moving to brooklyn last year to become executive chef at the still under construction williamsburg hotel. The hotels baked goods will come from his Brooklyn Bread Lab which opened in december. He sells out of 7 loaves of bread, pizzas and pastries in about an hour and his flour sells for about 5 bucks a pound. Using flour, a little salt and homemade yeast starter he concocts crusty, crunchy, airy loaves of deliciousness. You can its baked. Its hollow. The hunt for flavor led leonte to the bread lab at Washington State university. He worked with scientists studying ways to use locally sourced green which come from grains wlik wheatberry and the outer layer is stripped away by modern milling and the middle layer, the endosperm is used to make most of the cheaper shelf staple white flour that were used t but thats missing key nutrients like the protein and Minerals Found in the inner layer or the germ. The oils from the germ are separated as well because they can spoil. Leones fresh locally sourced flour combines all the three. All the oil makes it clump up like snow. Reporter he convinced his new bosses to buy a 25,000 three and a half ton stone grinding mill. There are only about 150 like it in the united states. If this doesnt work out, we can move it right into the hotel no, big deal, so it wasnt a huge risk. Reporter since december leonte and his lone employee, best friend Jeff Kozlowski have also offered classes teaching home bakers, Restaurant Owners and chefs about the idiosyncracies of baking with fresh flour. I havent heard anything that anybody would argue that using freshly milled flour is less than great for you. Reporter keith cohen took over legendary new york bread maker orwashers in 2007. Hes about to open a second location on manhattans west side. Cohen buys local flour to make about 25 of his products, but he sees challenges for someone hoping to cook up a business based on baking and milling. You have to be able to get the baking down. Its very different than a Retail Operation because youre responsible for delivering the product and receivables so you become more of a manufacturer trucking company. For now Brooklyn Bread Lab is taking baby steps, though leone admits hes in talks to partner with whole foods which is opening a store near the hotel. Folding in the possibility of making some real dough. You can eat bread and be healthy and if its made with fresh flour and youre eating it every day you would feel a whole hell of a lot better. I mean, thats the goal of everything. Set football is a team sport, but shallik billups is working oneonone with coach watkins. Its the kind of attention watkins says he never got when he played in high school, and while he was in the u. S. Marine corps. Nothing like this was ever even thought of. Individual coaching is nothing new. Watkins has been doing it for about ten years, but now he says finding customers, collecting reviews and maintaining his business is much simpler thanks to a website coach up. The site vets and ranks 15,000 coaches and individual and team sports across the country. Jordan flee lg le came up with the site back in 2011. If you want to improve your s. A. T. Score you get a tuitor, but in sports no one to learn how to play that sport. We dont do that in academics or anything else. Why dont we do it in sports . His sport was basketball. He never heard of working on a team sport with an individual coach before he tried it during his high school years. I was a very at best mediocre high school player. Mediocre, that is, until a camp counsellor greg kristoff helped him develop into a high school and Small College star. He even played professionally in israel for two years but fleegle said the coaching he received didnt just change his game but changed his life. Led for direct improvement for me academically. You know, if i really apply myself i can figure out anything. Can i figure out how to become a better athlete, figure out how to be a better student and i can learn how to really write a paper and build a startup. He began doing coaching himself while he was in college. Later after a broken foot and then Business School ended his playing days he kept on coaching to help ease the transition into the next stage of his life. I created my own website, paid a website designer to do that. Every time i wanted to update something i had to pay someone to do it. Coachup provides a platform to deal with the business of coaching so coaches can focus on what they do best. We provide insurance and payment pros session and customer support. For our coaches we are their marketing department, Personnel Department and their personal assistant and their website host. Most of the services are outsourced from coachups Boston Office home to 30 fulltime employees. The model has attracted investment money from world cha Champion Investments like from Julian Edelman of the new England Patriots and steph curry of the Golden State Warriors and each has benefitted from working with individual coaches. For most players though the next level isnt a world championship. Shallic billups is hoping to make his High School Team and with little help from coach watkins he may have a better chance to bring hit a game wherever he decides to go. Push, push. Everything we apply on football field can apply to everyday life. The biggest thing for me is hard work. You know, have you to work hard in order to make yourself better. Thats what im talking about. Fleeg le is no longer involved in coachups daytoday operations but he is still on the board and is currently writing a book about coaching and leadership. Still ahead, the stories of three entrepreneurs and how they made their millions. Its the american dream. You go out on your own and with blood, sweat and tears build a successful business. Tonight, three entrepreneurs tell us how they made their millions from a sushi chef to a man who turned up the heat on hot sauce, but we begin tonight with the story of one entrepreneur who turned a sponge into a multimillion dollar enterprise. Tyler mathisen has all three of their stories. Keeping up with aaron krause isnt easy. A lot of inventors are serial inventors and the that description fits you. Absolutely. Ive been inventing products and ideas since i was 10 years old. His most successful brainchild, the perpetually happy, scrappy scrub daddy sponge. This is not an overnight success by any means. The original business was a carwashing and car detailing business. I like to tell everyone i learned everything about business in the detailing business. It was a business he started right after college back in 1993. Not exactly the career path his parents, both of them doctors, had envisioned. I started this process of inventing all these new improvements and new types of buffing and polishing pads. And in 2008 about 14 years after specializing in automotive foam products 3m, having noticed the upstart competitor, offered him a deal he couldnt refuse. We were bought out by a 28 billion a year company. The terms of the acquisition werent disclosed, but one of the patented products 3m definitely didnt want was this tough as nails sponge krause initially designed to clean mechanic hands. We took the product, made about 100 of them. Put them in a box and labeled them junk, scrap, put it in the back of the factory and thats where it sat from 2008 until 2011. And what got it off the shelf . I got to credit my wife. I asked aaron to come out here and clean the lawn furniture. I was looking at it and said wh am i going to use that wont scratch the paint off of this. Got the old sponges in the back of the factory, finally have a use of them. Ill use them and throw them out. He grabbed one of the rock hard plastic scrubbers and plunge it had into a bucket of warm soapy water. And it went softened. Totally soft. I said, well, whats that in the thing is ruined. Now thats not going to scrub at all. I took it out and started scrubbing it, worked a little bit but as i was scrubbing the temperature outside was changing and it was getting harde and harder. It was at that moment he realized the foam actually changed texture. Soft in warm water and hard in cold which made it perfect for cleaning just about anything. I looked at it, and i said oh, my god, we missed the entire boat. And pivoting for a sponge that krause is still excited to show off. Oh, man, isnt that amazing. He started to give them out to our friends and family to test. Now its going to be great for scrubbing all your pots. And everybody came back with a great result. Get out of my way here. I want to do this. Not everyone was this enthusiastic at first, but a shot on qvc and a trip to the shark tank in 2012 quickly stirred up interest. The retailer started calling us and bed bath beyond, walmart, home depot. They all started calling us. Until then krause said he only sold about 100,000 worth of sponges. Now he estimates total retail sales have hit 100 million. What do mom and dad say now . At this point im the only one in my family that has patents, and i think that they are finally pretty proud. Dave might act crazy, but its just one of the wacky ways he promotes his insanely hot wow, can i tell this is going to be hot. Hot sauces. Thats hot. All r made this sauce and they are like thats insane. Thats thats crazy. You got to be nuts to make that or eat it if you dont swallow it, it never gets badded. From this blistering base hes built an awardwinning multimillion dollar food brand, daves gourmet. Thats warm. Im so glad it happened. I feel very lucky. His luck began in the early 1990s when he decided quite literally to follow his gut. California had a lot of talk and the east coast really didnt. With the help of 35,000 from family and friends, he opened a place called burrito madness in college park, maryland. Daves biggest complaint. Had a lot of drunks coming in. To teach them a lesson dave started spiking their food with homemade hot sauce. Its great you can hurt somebody without injuring them. Whoa so it hurts and then 20 minutes later they are happy as a clam and laughing about the experience. He found success in extracts made from the inside of the pepper. Just amazing because you can make the sauce taste all sorts of ways and with super heat and it was just sort of like a different paradigm for making hot sauce. Next he spent about 5,000 on bottling, airfare and a straightjacket and went blazing into the 1993 National Fiery food show with his first extractbased product, insanity sauce. The heat was so much greater than what they had already experienced that people were like floored, and a couple of people were literally literally floored. The promoter of the show banned us which in the end became a good thing and we got a lot of publicity out of it. Dave with insanity sauce. Youre dave, hey. People sauce us out. Wed have stores sign 50 cases a week of saucies were mind blowing. It was enough to make dave sell the restaurant and move to california but not enough to quit his day job. I did the hot sauce as a hobby on the side, but it just got to be too big. In less than a year he hired a small staff and was selling sauces full time. Sales spiked the first four years reaching roughly 2 million in revenue in 1996. Then slowed to a simmer. So in 2001 he started pumping out premium pasta sauces under the daves gourmet label and by 2009 the company was increasing sales and winning awards. There are several reasons why we started to diverse if i a little bit over time. We just get bored. You know, we like to do new and innovative. Thats our dna. What do you think . If it came down a bit it the would be better. All the tinkering has annual sales fired up to about 7 million and dave says hes got even more heat up his straightjacketed sleeves. Big hot sauce companies, big between lunch and dinner, but i think what were doing is important still because were stretching the limit. Cheers. Charlotte, north carolina, miles from the sea, is not exactly the place you would expect to find a sushi empire. But thats exactly what you will find inside this 46,000 square footwear house. Its the home of hisho sushi, a Dynamic Food Service and Distribution Company that manages 884 locations in 39 states and the district of columbia. Dont forget your napkin, soy sauce. The big fish in the operation, philip mong, the founder and show. Can i test a sample. People think im a workaholic. I dont feel like its work. Whatever hes doing, hes got hisho on a role. I like it spicy. Bursting with 270 ploys and more than 360 franchisees across the country, most immigrants, like m mo ng him level. When i came here, hi nobody to help me out so i decided to help out the new immigrant. How is the training going . Before putting them behind the counter, he makes sure his managers and sushi chefstobe learn the subtleties of perfect preparation. Practice more, and you will get it. All right. Its the type of specialized training he never received as a young boy living in a country shattered by war. Well, i was born and raised and we were treated as secretary citizens. And he set his sights on more fertile ground. I decided to come here and look for the american dream. In 1989 his parents staked him to an Airline Ticket to los angeles. With only 13 in his pocket and a west ambition. He stayed with a friend and worked overnights at a gas station and then became a Real Estate Agent before landing a job with a sushi Distribution Company in the 1990s. He learned the business from the inside out, and after just one year mong and his wife moved east. They borrowed 100,000 from family and friends and took cash advances on credit cards to start their own sushi business headquartered in their home. We started an office here and the one computer and one tiny printer before we get in the office. They partnered with local Retail Locations to offer fresh food daily to grocers and cafes and then in 2002 their first big break. A partnership with minnesotabased Supermarket Chain lund food holdings. Together they placed sushi kiosks in 21 locations. Three years later hisho was able to move into its current headquarters with a freezer that holds up to 1 million worth of frozen product thats shipped across the country every single day. Its also the home of hisho university, the exclusive Training Ground for the companys managers, chefs and franchisees. Make sure you train your chef to use only one ouncech rice. After finishing the program, the Company Partners with the trained chefs and places them in locations across the country and splits the profit three ways. The chef, the franchisees, the retail landlord and hisho sushy. Which one is the most popular . They really love this one. The formula seems tock working, bigtime. Company revenues were close to 100 million in 2015. The most beautiful sushi ive ever seen. Hes clearly learned the basic lesson of american business. Listen to the customer. What can i do to make the customer happy . Hisho sushi key yofngs can be found in specialty supermarkets, hospitals, airports and universities. About 80 of the employees are immigrants, and the company says that they are all in the u. S. Coming up, why startups are popping up across the nation in the unlikeliest of places. Heres a look at what the to watch for for the rest of the week and its a big one for jobs, but first on wednesday we get a look at the minutes from the federal reserves la meeting. Investors always look for clues about the possible future for interest rates. Thursday weekly jobless claims, but thats just the appetizer for fridays main course, the june jobs report, and thats what to watch for this week. Startups are taking the nation by storm and hugs for these burge nins companies are popping up in the unlikeliest of places. Kate rogers takes us to two, one looking to become a new Silicon Valley for Southern California and the other helping to reinvent the rustbelt. Im charging with every step that i take right now. Yes. Reporter while divisions from tablets and cell phones improve constantly the same cant be said for their battery life. Something that 25yearold Hana Alexander and her startup soul power are out to change. We make these for charging electronics while you walk. Reporter its raised half a million so far and is being test the by the u. S. Army and alexander isnt alone in her desire for change. Other startups vying to solve some of the worlds big problems are doing so not from steal or alley but pittsburgh, the city once a booming steel town and has turned around postindustrial collapse but never lost its spirit of innovation. Pittsburgh is already home to offices for google, apple and most recently uber, but in the past decade its startups have seen bolstered by tech company has taken hold. The iron city is also one of the most affordable places to live and work in america. Thats part of the reason why the coughlin foundation has ranked this a top ten metro for established main street Business Activity with more than 1,100 Small Businesses for every 100,000 residents in the area. Innovation works, a nonprofit with two nationally ranked accelerator programs, has invested 65 million since 1999 in 300 local companies. They have gone on to raise more than 1 billion. More broadly in the past two years Pittsburgh Tech Companies have raised nearly 500 million in vc funding. We track entrepreneurs that come to us for help, and that number is literally gone up over 400 or fivefold increase just in the last roughly eight years so a lot of momentum. One of those startups was launched by native Ian Rosenberger who started his company thread in 2010. They take recycled plastics from haiti and honduras and turn them into sustainable fab ridge of the company has raised 2. 8 million and has a deal with timberland. We could have started a business anywhere in the world, and we chose pittsburgh, and we care about who we are as a city. We care about like our uncles and dads and grandfathers lost their jobs in the mills in 70s and 80s but in the ashes of that you see this incredible ecosystem of businesses that are starting. That means something. Reporter while Silicon Valley may grab headlines for its billion dollar startup scene in Southern California san diego has she merged as a powerful alternative for technology ven sewers. Tease what made jeff winkler want to cultivate and keep local talent in the area. Winkler launched his business kodak did i in september 2015 after realizing there was only one other coding school in the area. He wants his students to get jobs, so he goes out and talks to the big employers like microsoft and qualcomm to see what they want from entrylevel coders. Then tailors his curriculum to fit. When we had conversations with employers and really heard how frustrated they were because they couldnt find talent in san diego because it was all leaving for the bay area thats when we really decided we had to be here. Reporter the school will cost 12,000 for 12 weeks and so far has a 100 job placement rate. Nearby at the cyber incubator startups like daniels citadel Drone Defense Systems are working on cybersecurity robotics and more. His company has a drone hacking and takedown technology. He says the place to be is san diego thanks to its military and defense background as well as the quality and affordability of local talent. It is one of the only places in the country where you have cheap affordable talent that is as good as you can find in Silicon Valley, right . My team has made of three phds and former defense contractors. Reporter entrepreneurs here are realizing theres no reason to go off to the bay area. In fact, san diego was ranked a top ten startup metro the past two years according to the Kaufman Foundation and Venture Capital money is flowing in. Last year 1. 28 billion was invested in san diego startups, according to the national Venture Capital association. The San Diego Regional Chamber of commerce says there are 27 incubators in the city with about 400 startups launching in the metro annually. Melanie gordon relied on a local incubator the vine while launching their startup in 2012. The industry tool builds on san diegos world class Craft Beer Industry helping bar and Restaurant Owners automatically update their inventory on social, web menus and displays. So what would you guys suggest . And their app helps beer lovers find local businesses serving their favorite drinks. Its local and quality, so a lot of the movement around farmtotable and quality ingredient, most americans live within walking distance of a craft brewer or distiller that are making great quality product, and i think that resonates a lot. Reporter and while san diegos craft brewing industry served as inspiration tap hunter proved the power of a good idea can grow beyond its home base. The company now operates across the u. S. And around the world in 20 countries. For nightly business report, in san diego im kate rogers. Cheers. And thank you for watching this special Holiday Edition of nightly business report. Happy 4th. Im sue herera. Thanks for joining us. Have a great evening, and we will see you rig man and on thursday, i took the lords name in vain when i got a splinter. I am sorry for this and all of my sins. speaking latin one more thing. By 11 00 in the morning tomorrow, Bishop Talbot will be shot dead. How do you know this . door opens oh, there you are, father. The bishops officers just telephoned. Bishop talbot wont be coming to deliver the Corpus Christi homily tomorrow after all. Would you believe it, hes off shooting birds. Shooting

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