“Government support can sometimes provide the necessary spark to get companies going,” Agrawal said. “But at some point they’ll need to be real self-sustaining companies.”
Tax Subsidies
Hudl, which has 360 employees and offices in Boston and 14 countries, has plans for a new $32 million, seven-story headquarters in Lincoln that’s receiving $6.6 million in tax subsidies. It’s part of the redevelopment of the Haymarket warehouse district, a former rail yard that now includes an entertainment district, a 15,200-seat arena and a small but growing number of condominiums. It’s also where many startups, inspired by Hudl’s success, are clustering.
“To be a big fish in California you need to be an Airbnb or an Uber,” said John Wirtz, 33, who founded the company with two University of Nebraska classmates. “Here an earlier stage company can be that and attract the resources from the city and really be top of mind for the city’s best talent.”
A few blocks from the Haymarket is Bulu Box, a health- supplement subscription service that founders Paul and Stephanie Jarrett moved from their 500-square-foot San Francisco apartment in early 2013.
“In 2015, you don’t have to be in a big city,” said Paul Jarrett, who grew up in Lincoln. “You have to have a central location and blazingly fast Internet speeds.”
Of the 30 students who graduate each year from the University of Nebraska’s Jeffrey S. Raikes School of Computer Science and Management, half now stay in Nebraska, director David Keck said. Hollman, the Hudl intern, said he’s waiting to hear back from Google before he decides whether he’ll be a roamer or a homer.
“Any software engineering salary, even starting level out of college, will be plenty to live OK just about anywhere,” Hollman said. “It’s just a matter if you want to live in a small apartment with the bare essentials, or live in a nice condo with a big TV and nice alcohol every week.”