Report: $38M in Funding for Tech Start-ups in Q1
Funding for Minnesota-based tech start-ups is not as scare as many think, according to a report released Monday by TECHdotMN.
According to TECHdotMN-a local technology Web site-more than 20 tech companies in the state together received $38 million in the first quarter.
The funding was led by Minneapolis-based 8thBridge, Inc., and St. Paul-based Cima NanoTech, which collectively raised $25 million.
8thBridge-which creates social commerce channels by integrating social networking, advertising, and e-commerce-received $10 million, and Cima NanoTech-which specializes in the production of nanoparticle-related printed electronic materials-received $15 million.
The remaining 19 start-ups raised a combined $13 million, for an average round of $675,000, TECHdotMN reported.
Those start-ups, along with the dollar amount each received, are:
- 3d Sports Technology-$50,000
- 7 Ventures-$1.25 million
- Argos Risk-$96,000
- Cloud Sports Data-$1.2 million
- Conservis Corporation-$75,000
- For My Children-$25,000
- Packet Power-$250,000
- A-Vu Media-$200,000
- Boost Information Systems-$1.5 million
- mPay Gateway-$716,000
- RedBrick Health-$5 million
- Good Connective-$200,000
- Midart Communications-$270,000
- Rapid.IO-$1.1 million
“Things are not as bad as the legacy media makes them out to be,” TECHdotMN said in the report.
The angel investor tax credit spurred $3.3 million in investments that went to 10 companies in the first quarter.
The angel tax credit program was launched in 2010 and gives a 25 percent tax break to individuals and investment funds that provide as much as $4 million in seed money to businesses focused on high technology or new proprietary technology.
Click here to see the complete report from TECHdotMN.