What is Companies to Watch?

Companies to Watch (CTW) is a unique awards program developed by the Edward Lowe Foundation to honor second-stage companies that demonstrate high performance in the marketplace, exhibit innovative products or processes, or otherwise make those companies "worth watching."

Recognizing that many second-stage companies fly under the radar screen of typical awards programs, Companies to Watch is specifically designed to seek out businesses from a wide range of industries representing all areas of the state, not just in the major metropolitan areas. In addition to being evaluated on past growth and projected success, applicants are also judged according to their special strengths. These special strengths revolve around a company's innovative products and business practices, special use of technology, work within their community and more.

Companies to Watch is ideally implemented by an organization with statewide reach, either through its own network or a network of partnerships. Serving as the host organization, this group signs a license with the Edward Lowe Foundation and is provided with the tools necessary to launch and implement Companies to Watch.

Why Companies to Watch?

Two basic traits ensure Companies to Watch is different from many existing awards programs. Because the program focuses on an entire state and not specific industries, it provides an opportunity to paint a realistic picture of a true regional economy. Since applicants are evaluated on more than growth, it widens the playing field for companies not often recognized for the critical differences they make in their industry or state.

Companies to Watch also plays a strong role in driving energy and building statewide community by involving multiple players (nominators, applicants, sponsors, service providers, state and local government, the press and organizational partners) throughout the process. For Arizona, Colorado, Indiana, Michigan, North Carolina and Wisconsin, Companies to Watch has become much more than an event — it has become a movement — a catalyst that drives energy, community pride, industry recognition and more.

Application Requirements

To be considered, companies may be nominated by an outside source or they may simply submit an application on their own. All applications must be completed online. No paper applications will be accepted.

Applicants must meet certain minimum qualifications as a second-stage company (for specific eligibility requirements, please see each program's Web site). In general, a company must:

• Be privately held (not publicly traded and not a subsidiary or division of another company).
• Be a commercial enterprise, not a nonprofit.
• Be past the startup stage.
• Be facing issues of growth, not survival.
• Employ 6 to 99 full-time equivalent employees, including the owner.
• Have between $750,000 and $50 million in annual revenue or working capital in place from investors or grants.
• Be headquartered within the host state.
• Demonstrate the intent and capacity to grow based on evidence such as:
• Employee or sales growth.
• Exceptional entrepreneurial leadership.
• Sustainable competitive advantage.
• Other notable factors that showcase the company's success and special strengths.

Nominations

Anyone may nominate a company, but nominations typically come from service providers (accountants, bankers, attorneys, public relations professionals and others); economic development offices; trade, business and community associations; the media; and universities.

Nominators submit an online form, and nominees are automatically sent an e-mail with instructions to complete an application form. Only online nominations will be considered.

There are many reasons to nominate a company, including encouragement and support of client successes, introduction to a prospective client, business development or a desire to showcase specific industries or companies.

Judging Process

Award recipients are selected by a panel of independent judges comprised of representatives of the host organization and others, as deemed appropriate by the host and the Edward Lowe Foundation.

The award is based on the following criteria: growth in number of employees, impact of the business in the job market, increase in revenue and/or unit volume, current and past financial results reports, innovation of product or service, response to adversity, involvement in community-oriented projects and other criteria deemed appropriate by the judges.

Getting Started

If your organization is interested in Companies to Watch, contact Joy Kitamori for more information.