Thursday, December 17, 2015

Hot Off the Yule Log: Latest Seed Capital reVIEW Report Just Published

There are plenty of traditions this time of year—lighting candles and eating potato latkes, hanging lights and wrapping gifts, readying confetti and champagne to welcome in the new year, and of course the arrival of the new edition of our Seed Capital reVIEW report, this time analyzing seed and angel capital raised by early-stage companies in Minnesota during the first half of 2015.

Since it has been on the “bestseller” list of reports regarding seed and angel capital raised in Minnesota for two years now (of course, it’s a short list, since there aren’t any other reports like it), I’m sure you know that Seed Capital reVIEW is our compilation of data regarding what types of companies are raising early-stage capital in Minnesota (typically between $100,000 and $2,000,000) and the terms relating to that fundraising activity during the period surveyed.

As usual, it is a scintillating read!  Click here for a link to the entire report (which you will undoubtedly want to review after the egg nog).  A few highlights from this report are:

  • The most active industry raising seed capital was medical/healthcare, representing 48% of the 52 separate financings reported.
  • About half of the companies indicated they were pre-revenue.
  • Only a little more than a majority of respondents reported utilizing the Minnesota Angel Tax Credit program in connection with their financing—especially surprising given that funding was available throughout the period surveyed.
  • Pre-emptive rights (the right to participate in future financings) were the most common feature of both equity and debt financings.
Sometime after we all finish singing “Auld Lang Syne” (can it be almost 2016 already?), we’ll be calling for survey responses relating to capital raised during the second half of 2016.  Thanks in advance for supporting Seed Capital reVIEW and the financing efforts of entrepreneurs across the region.

No comments :

Post a Comment