08/31/2023

Ohio Launches Venture Capital Programs for Tech-based Companies

There is approximately $111 million for the initiative

Governor Mike DeWine, Lt. Governor Jon Husted and Ohio Department of Development Director Lydia Mihalik announced the availability of approximately $111 million to support Ohio tech-based companies.

Two new funds - the Ohio Early Stage Focus Fund and Ohio Venture Fund - will help increase the amount of early-stage capital invested in Ohio technology-based companies, accelerate the growth of high-potential companies and create a climate that supports the development, retention and attraction of technology companies in Ohio.

"These programs will address gaps in early-stage capital as companies mature and new startups emerge, as well as for underserved communities that face barriers to accessing capital," said DeWine. "By increasing access to funds, we are ensuring that technology companies have the support they need to thrive in the heart of innovation."

Ohio Early Stage Focus Fund will provide capital to professionally managed investment funds to support early-stage technology companies that are woman- or minority-owned or based in an area that has been underserved by venture capital. Organizations and private investment firms are eligible to apply for $1 million - $5 million of the more than $36 million available. More information can be found here.

Ohio Venture Fund will provide investment capital to professionally managed investment funds to support Ohio technology companies with early-stage capital through Series A. Organizations and private investment firms are eligible to apply for $5 million - $10 million of the $75 million available. More information can be found here. 

The new programs are part of the State Small Business Credit Initiative (SSBCI) Venture Capital Program. Last week, the Ohio Department of Development began accepting proposals for funds.

"In Ohio, we're supporting our homegrown talent and investing in the next generation of industry leaders," said Mihalik. "Through Ohio’s Venture Capital Programs, we're creating an opportunity and fostering an environment where startups can thrive and create lasting impact for Ohio's people, businesses and communities."

Both programs are competitive, and proposals will be scored based on responsiveness to requirements of the RFP. Letters of intent are due by 2 p.m., Sept. 21 and final proposals must be submitted by 2 p.m. on Oct. 19.  More information on the program can be found at development.ohio.gov/ssbci.