College Startups: The 'New Master's Degree'

While Zoller, director of entrepreneurship at University of North Carolina Kenan-Flagler Business School, encourages entrepreneurial zeal among his students, he cautions against "Zuck distortion" Photograph by Donn Young
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As a student at University of Indiana’s Kelley School of Business, Derek Pacqué lost his coat at a bar, got angry, and came up with a business plan. He borrowed and saved $500 to purchase racks and hangers to start a coat check business at local hangouts.

CoatChex does not require patrons to keep tickets, which often get lost. Instead, someone at a kiosk photographs clients’ faces and coats with an iPad or smartphone and then uses their phone number and photos for secure pick-up. A paltry original investment eventually had Pacqué negotiating with—and turning down—a $200,000 offer from entrepreneur Mark Cuban on ABC’s Shark Tank for a 33 percent stake in the business. In the last two months, CoatChex earned $100,000.