Wednesday, November 23, 2005
Michael Shore, MEDC
New Initiative to Support Economic Diversity, High-Tech Business and Jobs
Competitive-Edge Commercialization Program (up to $200 million):
Capital Investment Program (up to $114 million): Will provide a much-needed infusion of capital to make investments in qualified equity, mezzanine and venture capital funds that will create or retain jobs in Michigan companies.
Commercial Lending Program (up to $71 million): Will stimulate additional lending by financial institutions across the state by creating commercial loan enhancement programs in situations where a documented growth opportunity has been identified. Also re-establishes the Capital Access Program to help small businesses secure financing.
The 21st Century Jobs Fund is based on the success model of the Michigan Life Sciences Corridor and Technology Tri-Corridor initiatives. Like the Corridor programs, the 21st Century Jobs Fund will employ a competitive, independent peer-review request for proposal (RFP) process. Independent review effectively removes politics from the process of awarding funds, ensuring that only the highest-ranking proposals are chosen to receive funding.
|December 15, 2005 . . .||All necessary board appointments completed|
|21st Century Jobs Fund request for proposals (RFP) issued|
|February 1, 2006 . . .||Capital Access Program available to small businesses|
|June 30, 2006 . . .||First round of 21st Century Jobs Fund awardees announced|
A key element of the initiative is new funding to increase the amount of capital available to Michigan companies. The 21st Century Jobs Fund may invest funds in or alongside qualified equity funds, qualified mezzanine funds, and qualified venture capital funds that will create or retain jobs in Michigan companies.
The initiative also includes $10 million dedicated specifically for the Agriculture Development Fund.
The meeting included comments in support of the new initiative from Saginaw Futures Inc. President JoAnn Crary; Kalexsyn, Inc. President David Zimmermann; Oakland County Deputy Executive Dennis Toffolo and Van Andel Research Institute Director of External Affairs John Van Fossen.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information visit the MEDC Web site at www.michigan.org.
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