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"These colleges are ranked the top in the country, and it's surprising to me that they can't send out a simple email."
Customer service is one area where small businesses can beat big-box competitors
Founders: Dennis C. Bottorff, Toby S. Wilt, Greg Daily, James S. Turner, Julie D. Frist, Earl Bentz, Claire W. Tucker
Investment over the last four quarters: $25 million (from a private equity investor)
CapStar, a 47-employee bank founded in Nashville in July, raised an initial $25 million from private equity investor Corsair Capital and an additional $62.5 million in common stock. The bank, which claims to be the highest capitalized startup bank in Tennessee history, focuses on small and midsize businesses, commercial real estate, and personal banking. It estimates bringing in $1.2 million in revenues in 2008.
Key to startup success: "There are three primary decisions that were made that we believe will make CapStar successful: a well thought out business strategy; a large capital raise that enables us to focus on long-term growth; [and] selection of an experienced board of directors and management team."