A2: Business

By

CNN Money’s Small Business column features the Ann Arbor tech firm DNA Software as a cautionary tale for companies that rely too heavily on grants or loans. DNA Software got a three-year, $1.5 million federal grant in 2001: “The cash cushion allowed executives to focus almost entirely on product development, without giving much thought to sales or marketing. Until the grant money dried up, they failed to realize that they had grossly overestimated the potential market for DNA’s highly specialized services.” CEO Don Hicks restructured the firm, which is now profitable and growing, according to the report. [Source]