Developing Funding Opportunities in Montana

"I’m impressed with what they do as a group, they are wonderful to work with," said Patel. "Most are successful business people and the expertise they bring to the table is as important as their financial backing."

Essentially, the state would target the insurance premium tax for the investment program. Johansson said insurance companies would pay their tax liability for future years up front and receive a credit in later years. The tax credit would not have an impact on the state’s budget until 2015.

“Today we’re announcing an administrative and legislative initiative we call InvestMaryland, aimed at creating a public-private partnership to fuel venture capital investment in our Innovation Economy, such as Maryland bioscience companies,” said Governor O’Malley. “We believe this initiative can spur the creation of thousands of jobs and secure $100 million in venture capital to unlock hundreds of millions and perhaps billions in economic activity.”

For example, an investor who sinks $100,000 into a tech startup would receive a $25,000 credit on his or her state taxes the following year. If the credit exceeds the investor’s tax liability for that year, it can be carried over to later years.

The credits only apply to “high-technology” ventures like medical devices, biotechnology and wind power. Banks, real estate, accounting, political lobbying, insurance, hospitality types are out of luck.

The project "is working with an international investment bank on options for attracting offshore VC funding".

“The speed of turnaround in the situation is truly impressive. It shows the overall pick-up in the confidence that fund managers seem to have in seed stage companies” said Raj Chaganti, professor in Entrepreneurship and Strategy at the Fox School of Business.

Access to start-up and expansion
capital, especially patient capital, is a critical element for rural economies.

Venture capital firms and angel investors around the country are trying a new investment model.

For all intents and purposes, the bill will utterly devastate angel investing in the US. And as we will see, that is not hyperbole. For a Congress and administration that purports to be all about jobs, this section of the bill makes less than no sense. It is a job and innovation killer of the first order.