Published November 28, 1998, in The
Free LanceStar, Fredericksburg, Virginia
BUSINESS ON THE WEB
do Digital Creations
By RUSTY DENNEN
The Free Lance-Star
IF PAUL EVERITT and his partners in Digital Creations
play their cards right, in a few years someone else will
own the company.
Theyre hoping the Internet consulting and
software firm will eventually be gobbled up by a bigger
fish in the industry, such as Yahoo!
A lofty goal, perhaps. But not all that far-fetched,
considering how Digital Creations has grown since its
inception in 1995.
Our main focus for the next six months is to
dramatically improve the viability of the
companynot to be wildly profitable, Everitt
said in a recent interview.
Digital Creations, in the Princess Anne Building in
Fredericksburg, expects to triple its staff to about 18
employees over the next few months. Its moving next
month into larger quarters in the William Street
Digital Creations specialty is consulting and
software solutions for business applications on the World
About 80 newspapers, including The Free
LanceStar, use the software it developed for
putting classified ads online. Until it was spun off last
year, Digital Creations was owned by InfiNet, the
Norfolk-based Internet provider.
We talk to a company about their core business
application and work with them to bring it onto the
Internet, Everitt said.
The Navy and Bell Atlantic Mobile are also clients.
The Navy is using Digital Creations software to
manage aircraft parts. The Defense Logistics Agency in
Richmond helps keep tabs on warehouse space with it.
Bell Atlantic is doing interesting stuff with
our software, using it to operate a call center,
Digital Creations may be best known for its Principia
Web application platform, which is being updated and
It was Principia that moved Digital Creations to the
next level of growth by attracting the attention of a
venture capital firm, Verticality Investment Group of New
VIC agreed earlier this month to kick in $750,000 in
financing. Hadar Pedhazur, the owner, said he became
familiar with Digital Creations through an Internet news
I was impressed with the technology, he
said. And they took the time to explain things and
to put them in motion. Pedhazur has invested in
three other Internet technology companies.
They have a software foundation and people will
recognize its very fresh, he said.
Its not another me-too product.
Pedhazur liked it so much, hes now part of the
company, serving as chairman of the board of directors.
He also persuaded Digital Creations to push the software
in an innovative way, making the product and its source
code available to anyone, free.
In the business its called open sourcing. Linux,
a computer operating system, for example, is widely
available to anyone on the Internet under the same setup.
To open source it removes 100 percent of the
risk of people trying it, Pedhazur explained.
Digital Creations would make up the difference on the
consulting side, offering custom solutions to those using
Everitt, 31, is chief executive officer. A graduate of
the University of Florida with a degree in materials
engineering, he was a Navy officer, and he set up the
Navys first public Web server. Everitt handles
planning, sales and marketing, and investor relations.
Rob Page, 31, is chief operating officer. Page
graduated from the University of Florida with a degree in
aerospace engineering and was an officer in the Marine
Corps, specializing in data communications and the
Internet. Page handles the day-to-day operations,
consulting and product development, and manages
Jim Fulton, 42, the chief technical officer, headed
software support and development for the Water Resources
Division of the U.S. Geological Survey. He has a degree
in civil engineering from Case Institute of Technology, a
masters degree in system engineering from Case
Western Reserve University and a masters in
software systems engineering from George Mason
Everitt and Page were roommates at the University of
Florida, where they began working with computers in their
My first idea that I might have some sort of
career in computers came in college, said Everitt,
who created a computer course for his classmates.
After graduation in 1990, Everitt went into the
Navys flight school. While he was in Pensacola,
Fla., there was a setback and an opportunity.
He had an eye problem which ended his hopes of being a
Navy pilot, and he met the operator of the Navys
Everitt went on to work for him after he got out of
the Navy in 1993. During that time, he was keeping in
touch with Page.
He said with a laugh, We were always threatening
to go into business together.
Everitt and Page, both married, moved to the
Fredericksburg area and began doing computer consulting.
Through a mutual friend, they got connected with InfiNet,
which was looking to beef up its services to newspaper
We convinced InfiNet that we had some something
to offer them, Everitt said, and a joint venture
was created in 1995.
By 1996, Digital Creations had 12 employees and had
developed several versions of its classified software and
a similar product for auto clients.
By early 1997, InfiNet had decided to get out of the
software business and spun off the company.
It was tight, Everitt recalled. We had the
intellectual property, but no money coming in.
Digital Creations was on its own.
We had to scramble to make payroll, he
said, and the staff shrunk to about five people.
Since the spin-off, the new software product and the
companys government Internet work have opened new
lines of business, Everitt said.
And the company is hiring again.
One thing I want to do is plug
Fredericksburg as a place to live and work, said
Everitt, who lives a few blocks from his office and often
rides his bike to work.
I think its insane for all these software
professionals hopping in the car or the train to
purgatory to work for someone who doesnt care they
exist and get home at 7 or 8 at night, he said.
Revenues for this year will be about $500,000. The
company expects that to rise to about $1.5 million next
Digital Creations now has about half-a-dozen customers
and expects its new software to bring in additional
Said Everitt, I think the interest level is
going to be enormous.
(c) 1998 The Free LanceStar,