Michigan Initiative Seeks to Invest $9M in State


Published:

LANSING — The Michigan Economic Development Corporation on Wednesday announced that the Michigan Strategic Fund is targeting to invest up to $9 million to help grow the venture capital industry in Michigan.

“Michigan is a national leader in research and development — ranking 5th among all states in number of patents awarded, in the top 15 in university innovation and second in industrial R&D spending — all critical drivers of good venture deals,” Gov. Rick Snyder said. “The venture industry needs to continue its growth here to better support entrepreneurs who are developing promising technologies and innovative early stage companies that will help to propel Michigan’s economy in the future.”

Beginning June 28, the Pure Michigan Venture Development Fund will seek applications from first and second generation venture capital funds in Michigan for the primary purpose of increasing their ability to raise additional funds and become viable entities, with the ultimate intent of increasing the number of venture investments in the state.

The PMVDF will invest in up to four new venture funds in the state with up to $2.25 million each. Awarded venture funds must raise additional capital from the private sector (at least 4.5 times the state’s investment) and invest in Michigan companies.

To qualify, applicant venture funds are required to have raised $1 million in private capital from at least three unrelated investors at the time of application, which must be evidenced by signed investor commitments. Funds that have raised more than $25 million are not eligible to apply. Funds with target sizes greater than $50 million will not qualify for this program.

Proposals are then submitted to the MEDC via email to VDF@Michigan.org. Once the MEDC has received the application, applicants will be contacted on how to pay the application fee. Proposals will not undergo peer review until the application fee has been received.

All applications must be received by July 31 in order to be considered for award.

There will be a $1,000 application fee due once a review confirms that the application meets the required minimum guidelines. There will be a peer review of the venture fund’s business plan as required under the 21st Century Jobs Fund legislation.The full review process will take up to 90 days. 

Questions can be submitted to VDF@Michigan.org. Responses to questions will be posted to the program web page: www.michiganadvantage.org/PureMichiganVentureDevelopmentFund.

Edit Module
Edit Module Edit Module
Edit ModuleShow Tags

Related Articles

Weber's in Ann Arbor Completes $2M Renovations

Weber’s in Ann Arbor has recently completed $2 million renovation of its 158 guest rooms and suites featuring new paint and furniture and numerous technology-related upgrades. The upgrades follow previous $4 million updates to its ballrooms, lobby, pool and exterior façade.

DNR Expects Good Trout Fishing Season in Great Lakes

The Michigan Department of Natural Resources is forecasting a good season for lake trout fishing in the Great Lakes of Superior, Michigan, and Huron after its 2015 assessment and research of and the trout populations and status toward being self-sustaining.

20th Annual Kidney Walk Planned at Detroit Zoo

For the 20th year, the National Kidney Foundation of Michigan is asking the community to join more than 8,000 walkers and supporters May 15 for the annual Kidney Walk at the Detroit Zoo to fight kidney disease.

Annual Detroit Zoo Fundraiser to Return in June with Penguin Theme

The Detroit Zoological Society’s annual Sunset at the Zoo fundraiser will return in June with a penguin theme to celebrate the Detroit Zoo’s new Polk Penguin Conservation Center.

Dearborn Sausage Co. Adds New Chicken Products

Dearborn Sausage Company has developed five new fully-cooked, low-calorie chicken sausages for grilling outside or preparing inside, or using in other recipes.
Edit ModuleShow Tags

Most Popular

  1. Birmingham Nears 100% Occupancy as More Retailers Plan Openings
    Downtown Birmingham — which boasts a 97 percent business occupancy rate — is preparing for...
  2. Royal Oak’s Vectorform Provides Virtual Reality Headsets to Train DTE Workers
    Line workers and technicians for Detroit-based DTE Energy will be trained on how to handle...
  3. Consumers Energy Tops Annual Goal Early, Invests $1B with Michigan Companies
    Consumers Energy today announced it has invested more than $1 billion in less than a year with...
  4. Multi-room Escape Game Opens in Westland
    A live-action game in which participants have 45 minutes to escape a series of rooms by solving...
  5. Long-Term Talent Supply May Threaten Demand for Most Jobs in Michigan
    Michigan’s top economic leaders today issued a series of findings that show the state is...
  6. National Kidney Foundation Expands Programs, Moves to Larger Office in Detroit
    Given the rising need for programs and services related to good kidney health, the National...