INCITE Co-Investment Fund Boosts Capital
The INCITE Co-Investment Fund is a key component of Gov. Bill Haslam’s INCITE initiative to drive growth and create knowledge-based jobs in Tennessee by encouraging investment in the state’s developing small businesses. Administered by Launch Tennessee, the Fund matches a portion of investments in Tennessee-based companies.
The INCITE Co-Investment Fund was created in 2011, using $29.7 million of federal funding awarded under the State Small Business Credit Initiative. In its first two years of operation, the Fund augmented investments in 30 companies, leveraging $50 million in outside capital into $75 million. These INCITE portfolio companies range in size from one-person operations to businesses with up to 40 employees. All businesses meet criteria set by Launch Tennessee, as spelled out in the Program Guidelines.
$10 million in matching funds available in 2014
With about $10 million to distribute in 2014, Launch Tennessee has adjusted the matching funds structure to assist as many fledgling companies in the state as possible:
- Tier I: Seed Stage Investment [25 percent match]
- Tier II: Early/Growth Stage Investments [20 percent match]
- Tier III: Expansion Stage Investment [15 percent match, capped at $3 million]
All investors and companies must meet criteria set by Launch Tennessee.
More information about the INCITE Co-Investment Fund: