Connecticut has announced a joint five-year program with Connecticut Innovations Inc. promoting high-growth startups.
Half of the funding–$125 million–was included in a jobs bill signed into law last fall. CI says it plans to match state funds with its existing cash and its investment returns.
“CI’s capabilities are essential to the success of the technology sector in Connecticut,” Gov. Dannel P. Malloy said in a statement announcing the initiative. “Adding to their tool kit and providing more funding will allow the organization to accelerate its success in creating jobs and growing Connecticut’s economy.”
Both partners want to encourage in-state startups with high growth potential and recruit outside firms to Connecticut. CI will offer loans to support the new technology companies. It will also offer $22 million each year for seed stage and Series A investments. CI also plans on spending $6.5 million per year for a newly designed loan program for working capital.
In addition, Hartford Business reports that CI plans on working with Connecticut’s Department of Economic and Community Development and other state agencies to design a relocation incentive package. It will also work to secure more federal Small Business Innovation Research (SBIR) funds.