Speaking at a news conference yesterday, Senator Patrick Leahy announced the creation of the Vermont Technology Seed Capital Fund, a $1 million fund designed to help high-tech businesses across the state. Supported by a grant in the federal government's 2009 budget, the fund will make early $50,000 to $250,000 investments in technology firms with high-growth potential in return for later repayments. The fund will be managed the Vermont Center for Emerging Technologies (VCET), a Burlington-based non-profit that offers office space and business development resources.
Vermont is blessed to have a variety of non-profit loan funds, at least one private venture capital fund and myriad of private investors, said Leahy. But after fours years of VCET operations it has become clear that Vermont needs more early capital that can help businesses through growing pains and create jobs for Vermonters.
VCET is humbled and thankful to be a part of Vermont's growing and exciting new venture ecosystem, said VCET Executive Director David Bradbury. Senator Leahy is the undisputed heavyweight champion for economic development and technology jobs here in Vermont.
Bradbury said that the available $1 million could create between 50 and 70 new jobs. He added that Senator Leahy's grant is only the beginning for the capital seed fund. In time, Bradbury hopes to fully capitalize the fund using a combination of public and private funds.
In addition to revealing the capital seed fund, Leahy also welcomed the arrival of VCET's two newest clients 89 North, a scientific lighting engineering company, and Standards Technology Group, an online industry standards and specifications company. Leahy held his news conference at the offices of 89 North at the Chace Mill in Burlington.
Senator Leahy unveils $1 million seed capital fund
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