‘What are you building?’ | 865 Fest makes the case for entrepreneurship and innovation as economic development
Hundreds of entrepreneurs, investors, students, and business and community leaders packed Bridgewater Place in West Knoxville on Tuesday for the Innov865 Alliance‘s 865 Fest, and attendees were left with two main ideas.
The first: Entrepreneurship and innovation ARE economic development. The second was a challenge to everyone in the room: Skip the usual small talk about what you do and ask a better question. What are you building?
Co-emcees Chris McAdoo and our own Managing Editor, Katelyn Biefeldt, set this tone early in the day and the programming only amplified it.
‘We are part of something special’Knoxville Mayor Indya Kincannon picked up the theme in her welcome.
“We want to build Knoxville into being the most founder-friendly city in America,” she said. “Last week, I was at an international climate conference convening in New York City. They were amazed and impressed at what we are doing in the area, and I want you all to know that we are part of something special here today.”
Kincannon, who moved to Knoxville from Arizona 25 years ago when her husband took a job at the University of Tennessee, drew laughs describing herself as “the trailing spouse who ended up being mayor.” She urged attendees to take advantage of the region’s connected ecosystem and networking at the event, noting that people she met decades ago are still her partners on community projects today.
Newly elected Knox County Mayor Betsy Henderson, the day’s featured speaker, echoed the message that big things don’t have to necessarily be attracted from out of state, though that’s always welcome. They can also be built here, and the businesses here are already “creating the culture of what Knox County is and why people want to come here.”
To help navigate the growth that Knoxville is seeing and business-related government processes, Henderson announced the creation of a new business liaison position in the mayor’s office.
“Government’s role is really about getting out of the way, streamlining those processes, getting past those barriers, making sure that we’re cutting red tape and making it easier for businesses to not only come here but thrive here,” she said.
Quantum momentum
What better way to make the economic development case more directly than “Quantum Momentum,” presented by Three Roots Capital and moderated by its founder and CEO, Grady Vanderhoofven. With the launch of the Knoxville Quantum Accelerator, or K-Quantum, and growing activity around the Maplehurst Innovation District, panelists argued the region is positioned to become a national quantum leader.
“The convergence of capabilities in Knoxville and Chattanooga and Oak Ridge create a nationally competitive ecosystem,” said Deborah Crawford of the University of Tennessee, Knoxville (UTK).
Shaun Gleason of Oak Ridge National Laboratory (ORNL) said ORNL now has about 160 scientists working across quantum computing, networking, sensing and materials. He said a proposal ORNL is developing with UT and others would expand quantum networking capacity at the lab and connect it to Knoxville to create a regional quantum network.
Panelists also named the gaps: specialized facilities, workforce development and long-term funding. Ryan Harring of IonQ said the industry needs “translators” who can explain quantum’s growth value to executives for that long-term funding pipeline.
The City of Knoxville is assisting on that front. Rebekah Jane “RJ” Justice said the city’s role is to lay the groundwork through infrastructure, land-use planning and partnerships with KUB, and “really create the platform for the private capital to show up.”
Builders of every kind
But the day’s programming made clear that innovation isn’t limited to hard tech only.
In a session presented by PYA, former news anchors Abby Ham and Heather Waliga shared how they left broadcast journalism to launch We Know People Media, a personality-driven marketing firm they say they built during commercial breaks. Their transition is a reminder that innovation can sometimes look like still doing what you love, just shifting how you do it.
“At the heart of it, we loved connecting with people, and we loved to tell stories. We still get to do that,” Waliga said. The agency is eyeing expansion into additional metro areas.
Similarly, a Visit Knoxville panel moderated by Kim Bumpas featuring Joseph Lenn of J.C. Holdway, Laurence Faber of Potchke and Trevor Stockton of RT Lodge, discussed the realities of restaurant entrepreneurship as Knoxville’s dining scene earns national and Michelin-recommended attention.
It was a testimony to just how important a good food culture is to attracting economic growth through tourism, innovative talent and even retaining locals in the area who can’t part with their favorite food fix.
Getting funded
You can’t talk about builders and economic development without hitting on what makes the world go round: money.
In a “Real Talk” session, Maha Krishnamurthy of the UT Research Foundation‘s UT Ventures angel network and Marty Brown of PYA and Market Square Ventures (MSV) pulled back the curtain on what they look for, what kills deals and what happens after the checks clear.
The two represent different sides of early-stage funding. MSV is a venture capital fund in which limited partners invest through the fund’s general partners, who choose the companies. UT Ventures is an angel network of University of Tennessee alumni in which individual members pick the startups they want to back. To be considered, a company needs “UT System DNA” in its leadership or intellectual property tied to the university.
Both investors said founders must show grit, optimism perfectly balanced with realism and trustworthiness. Their advice for getting noticed: Don’t send unsolicited pitch decks. Build relationships, show up at events like 865 Fest and make sure investors know to look for you. For UT Ventures specifically, reach out to Robyn Geron.
They ended by explaining the math behind early-stage investing. Because backing startups carries much higher risk, investors expect a higher return, typically through an acquisition or IPO. But if you’re interested in getting into investing, it’s critical to think of it as “philanthropy with an upside.”
Where are they now?
The day closed with 865 Fest and Startup Day alumni, moderated by Tom Rogers of Innovation Crossroads and the Spark Innovation Center, who showed how far a pitch on this stage can go.
Some highlights? Anna Douglas discussed SkyNano‘s acquisition and the importance of community support during federal funding setbacks. John Sorochan detailed his journey from academic research to developing a global FIFA-standard turf testing technology. Hicham Ghossein‘s Endeavor Composites was awarded Axle Logistics‘ Traction Award, just a few days after moving into their new 22,000-square-foot advanced manufacturing facility.
Looking ahead, alumni predicted more collaboration, more student founders and deeper corporate involvement in Knoxville’s startup scene over the next five years.
If this year’s turnout was any indication, that future is already taking shape. Already counting down to next year’s 865 Fest!
Missed our coverage on the day’s pitch competitions?
➡️ Check out the winner for the 2026 865 Fest Emerging Entrepreneurs Competition here.
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