CincyTech scores $13 million grant for startups

Last week, Ohio Third Frontier announced $67.4 million in funding awards across the state, including grants to two key organizations in the StartupCincy community. Grant money will be used to help encourage innovation and regional entrepreneurs. As Cincinnati’s dynamic startup ecosystem continues to expand, Ohio Third Frontier funding provides an important resource for the organizations supporting the thriving entrepreneurial community.

CincyTech

Where the $13.5 million grant will go
 

• CincyTech: $4,875,000
• Cintrifuse:  $3,900,000
• Brandery:  $1,800,000
• Hamilton County Development Corp:  $1,800,000
• UC Accelerator:  $1,500,000

 

received about $13.5 million through 2019 from the Entrepreneurial Services Program to disburse to partner organizations Cintrifuse, the Brandery, HCDC and the U.C. accelerator while the University of Cincinnati’s Technology Accelerator for Commercialization received $500,000 from the Technology Validation and Startup Fund Program.
 
Ohio Third Frontier, which is administered by a commission and advisory board, allocates General Assembly funds to encourage the growth of startup and technology companies throughout the state. In addition to the two programs announced last week, the commission also operates a Commercial Acceleration Loan Fund and a Capitalization Program.
 
The Entrepreneurial Services Program focuses on four organizations that are supporting early-stage companies, attracting outside investment capital and encouraging regional collaboration around entrepreneurship: CincyTech (Southwest Ohio), JumpStart (Northeast Ohio), Rev1 Ventures (Central Ohio) and TechGROWTH Ohio (Southwest Ohio). The commission hired Urban Venture Group to conduct an evaluation of the four organizations supported by the ESP since the last award cycle.
 
CincyTech and its partners exceeded the requirements in all four areas of evaluation: regional focus and identity, ESP structure and management plan, client services and capital access and funding pipeline. The report noted several key strengths for the organization, particularly that the “’separate but interconnected network has achieved effective cooperation and coordination among partner organizations.”

The report also commended them for “high-quality services, especially mentor networks, customer access and capital access” and “deep ties with investors, regional corporations.” The only organizational weakness listed was a “low emphasis on reporting of metrics and costs.”

Previous funding from Ohio Third Frontier has also funded Imagining Grants, which support entrepreneurs and pre-seed companies as they develop sufficiently to attract outside funding.
 
The Technology Validation and Startup Fund Program supports colleges and universities as well as nonprofit research institutions in licensing their technological discoveries. The companies and agencies purchasing those licenses generate economic growth for the state as they develop commercial products.
 
UC submitted a proposal for Round 12 of the TVSF for its Technology Accelerator for Commercialization, which “provides seed funding, commercialization expertise and business connections to launch potentially high-impact entrepreneurial initiatives” to technologies developed at UC by full-time faculty and staff. The award will encourage multiple projects to transition from the lab into commercial ventures.