Tektivity® is a software hosting and communications company based in Cedar Rapids, Iowa. Doug Flugum and his partner began the firm midway through 1999. Having watched firms start and end rapidly, the company wanted to start out with a sound business plan.

Tektivity®’s owners worked with Kirkwood SBDC director Steve Sprague in developing the organizational, marketing and financial components of their business plan. Sample plans from the SBDC library were used, marketing research was completed by SBDC staff, and a strong business plan was developed with Steve’s help.

As an information technology business with no history and little collateral, the partners had problems finding bank financing. The SBDC responded by recruiting potential investors to fund the start-up. Funding was arranged and Tektivity® began as a two person firm.

The company and the Kirkwood SBDC have worked together many times since its inception. In 2006 Tektivity® acquired Palmer Communications of Marion, Iowa in order to offer complementary products and services. Sales for 2006 topped $1,000,000, which is a dramatic increase over the company’s first full year. Today the firm employs 21 people, up considerably from its original two.

Flugum says, “Steve and the staff at the Kirkwood SBDC helped us polish our business plan and make it real so we could actually follow it. It isn’t just for show– it is an actual plan that we are using to create our successful business.”