For entrepreneurs, raising start-up funding is one of the most critical and challenging elements of launching a business. The seeming paradox is that capital sources often want further validation of the technology or business that is only possible with the money sought from just such sources. BioOhio supports companies looking to raise investment capital and other start-up funding by maintaining relationships with health care angel investors and angel funds, venture capital firms, private equity groups, and investment banks across the country.
There are now 80 sources of capital in Ohio for bioscience commercialization and company expansion, ranging from angel funds and venture capital to leveraged buyout firms. There were only 12 in 2001. Other common sources of funding for Ohio companies include IPOs, SBIR/STTR, Ohio Third Frontier Project, acquisitions, and NSF and NIH grants.
Overall, nearly $2.4 billion was invested in 2010 across Ohio to accelerate bioscience growth, making it the second highest year since tracking began in 2004. Consistent with broad national trends, venture investing and acquisitions in Ohio were down in 2009, but more than $1 billion were invested across the state in 2010 to accelerate bioscience growth.
BioOhio and each of its affiliates support companies looking to raise investment capital and other start-up funding by maintaining relationships with health care venture capital firms, private equity groups, seed funding source, and investment banks across the country. BioEnterprise in particular has a vast network and produces the Midwest Healthcare Venture Survey and quarterly Midwest venture reports. We also help companies identify grant opportunities to support product and clinical development.
There are 80 different venture and angel funds in Ohio investing in bioscience deals and more than 170 investment groups have found great bioscience opportunities since 2004.
Ohio Technology Investment Tax Credit
The State of Ohio encourages individuals to invest in Ohio-based technology companies. If you are an Ohio resident, you can receive a 25%-30% tax credit (up to $62,500) for investing in a qualifying company. Both the companies and their investor's must meet several requirements specified by Ohio law in order to gain access to the Technology Investment Tax Credit program. Contact John F. Lewis, Jr., at BioOhio. jlewis@bioohio.com, or for complete details,
click here.