City Beat: Steve Baxter to sell Brisbane startup hub River City Labs

QUEENSLAND’S chief entrepreneur and sometime television star Steve Baxter is looking to sell the Brisbane business he describes as one of the most fulfilling things he’s ever done.

TWO unsolicited offers to buy River City Labs prompted this week’s surprise announcement by Steve Baxter that he plans to sell his hugely successful startup incubator hub in Brisbane.

The millionaire Shark Tank star, who doubles as Queensland’s Chief Entrepreneur, revealed yesterday that the business is now on the market in an expressions of interest campaign closing on May 18.

The most likely suitors are expected to be southern operators who offer similar co-working spaces and accelerator programs but are keen to establish a foothold in Queensland.

Talking to City Beat from Los Angeles, Baxter shot down speculation that financial problems triggered the move since RCL is a not-for-profit entity.

Rather, he said starting the business in 2012 “has been one of the most fulfilling things I’ve done’’ but it had reached a “tipping point’’ that required someone else to take charge and drive it to that proverbial next level.

Steve Baxter has launched an “expression of interest” campaign to sell his River City Labs in Brisbane.

“Like any startup, RCL has taken a lot of my time over the past seven years,’’ Baxter, 47, said.

“Since we launched, I’ve had three beautiful kids, joined the cast of a national TV show and invested in over 20 startups. After seven years, I’ve realised I need to make a change.’’

CRAZY IDEA

After having “this crazy idea that I just couldn’t let go of,’’ Baxter opened RCL in a cramped office on Wickham Street in Fortitude Valley back when there was effectively no support for aspiring tech entrepreneurs.

But his hunch proved to be inspired and the lab grew to the point that it shifted to a much larger space in the historic TC Beirne Building in 2016.

The numbers are revealing, with more than 700 startup founders setting up office in the lab over the years and nearly 29,000 passing through the doors to attend events.

The big end of town also took notice, with the likes of Bank of Queensland, CUA, Suncorp and Telstra partnering on programs at various times.

“Beyond the headline figures, it’s the individual success stories of our startups that really show how far we’ve come,’’ Baxter said,

“For example, Cohort Go, which started with one founder on our first day of operation, today runs a global team of over 30 people from their Brisbane HQ.’’

Based in the Valley, Cohort Go assists international students with their finances and health insurance.

Baxter vowed that it would remain business as usual at RCL during the sale and he would stay actively engaged in the startup space, including keeping his job as Chief Entrepreneur.

But Lab CEO Peta Ellis was a bit more circumspect, saying her decision to stay or go depended on whoever bought the business and their plans for growth.

SCIACCA’S LEGACY

An annual memorial award to honour the legacy of Labor elder statesman Con Sciacca will be formally launched in Brisbane on Thursday night.

Premier Annastacia Palaszczuk is expected to say a few words at the Customs House event sponsored by the late pollie’s law firm, Sciaccas Lawyers.

Also on hand will be Con’s daughter Zina, Sciaccas special counsel Jason McAulay and Shine Lawyers top gun Grant Dearlove.

Shine acquired Sciacca’s company in a $10.5 million deal back in 2014 but it continues to trade as a separate entity.

Sciacca, 70, passed away last June after a long battle with cancer.

The gong, along with $3000, will be handed out each year to a union member or lawyer who has championed the cause of Australian workers.

The first winner will be announced in August and Sciaccas has welcomed nominations.