When asked why he's moving his business from Texas to Oklahoma, Laundris Corp. CEO Don Ward stressed several times that he still loves Austin.
He moved here a decade ago, and has watched the Austin economy flourish as much as any other in the U.S. This city was where he launched his business in 2017, one that's garnered him recognition as one of Google’s Top 30 Black Founders in America to Watch in 2021.
But on Jan. 25, Ward made public a move that's materialized over the last year: He'll be moving Laundris — a B2B commercial laundry software platform that helps businesses manage inventory, track items in real time and see where everything is at — from its Manor headquarters to Tulsa as the company enters its next growth stage. There, they'll look to quadruple their five-person staff and invest $3 million in a new headquarters at 36 Degrees North, Tulsa’s basecamp for entrepreneurs, innovators and startups.
"I feel like in Austin especially with the growth in the startup world over the last several years, a lot of companies have continued to come up here (to Tulsa). You could either be a big fish in a small pond or a small fish in a big pond," Ward told the Austin Business Journal on Jan. 25. "I think it was just a great opportunity to go to a new tech ecosystem that is on the rise and actually contribute and make an impact."
It'll mark the next chapter in growth for Laundris. But it's far from the first company to move to Tulsa in recent months, joining ClearSign Technologies from Seattle, USA BMX and Air Transport Components, which moved from Arizona, according to the Tulsa Chamber of Commerce.
For Ward, he said there were a number of reasons for the move.
The biggest one was relationships. The Tulsa Chamber of Commerce's senior vice president of economic development is Arthur Jackson, who previously served in a similar role at the Greater Austin Chamber of Commerce. Ward said Jackson kept bothering him about how the tech ecosystem reminded him of Austin a decade ago. Ward visited a few times, including for the PGA Championship, toured the city and was sold.
"Laundris is clearly an innovator and disruptor in the linen and technology industry," Jackson said in a statement. "Their presence in Tulsa will not only mean good things for their company, but they will also add to the critical mass of tech-based companies we are attracting to our region."
Other reasons for the move included Tulsa's location and the access to resources. He said Laundris has always chosen to build the business side first by focusing on their technology and relationships. He said the startup ecosystem in Austin has been lost somewhat by always chasing venture capital dollars.
"I think you had a lot of people raising a lot of capital," he said. "We were looking at stronger business fundamentals and starting the business."
Another reason was the business cultural significance of Tulsa. In the early 20th century, Tulsa was one of the wealthiest Black communities in the country, earning it the colloquial nickname of "Black Wall Street." Mobs of white residents attacked the area in 1921, destroying much of the area and killing what some have estimated were as many as 300 people in what's known as the Tulsa race massacre.
"I really think that's what piqued my interest, and I'm super thrilled about the opportunity to go up there — not only just for me, but to carry on the legacy of founders and entrepreneurs that came before me, and the ones that are coming after me," Ward said.
Still, leaving is hard. He said that he's going to continue spending time in Austin. But after surviving the pandemic and recession, the opportunity made sense.
With Austin's reputation as perhaps the hottest spot for tech companies outside of Silicon Valley, he said his decision to leave likely makes him an outlier.
But he also said he could be the start of the trend, as more cities are trying to get a piece of that industry, noting that it made him realize that "Austin isn't the end-all, be-all" of tech.
"When you start looking at cities like Tulsa that are really looking to aspire and become cities like Austin where they have thriving tech ecosystems, it really made sense for us to make the move," he said.
