The Innovate Indiana Fund was established to allow companies originating from Indiana University to achieve commercial success. The fund will help its portfolio companies reach this goal using both infusions of capital and the application of its expertise in company formation.
The $10 million capitalization of the fund is allocated to two specific stage-based strategies, pre-seed and seed investments. The fund will focus on enabling the following activities:
- The fund starts new companies as part of its pre-seed strategy. We engage in technology assessment and validation, market analysis, and business planning and may engage in recruiting an initial management team as part of or prior to an investment. Most all activities must be directed toward readying the nascent company for seed stage investment.
- Companies seeking seed-stage funding are most likely already engaged in some or all of the following activities: product definition, validation, and development; customer acquisition; market analysis; and building out a management team. Prior to funding, the Innovate Indiana Fund will typically work with the company to identify and agree upon relevant commercial development or R&D milestones, with the goal of obtaining further institutional funding.
Early capital is scarce and start-up companies frequently face funding gaps at the moment when capital is needed. In addition, new companies often are in need of support, experience, advice, and networks with deep entrepreneurial experience. For these reasons, IU has established the Innovate Indiana Fund.
The Innovate Indiana Fund enables IU to engage in a dual role in bridging the critical capital gap by offering vital new sources of funding for IU entrepreneurs and by leveraging its business networks and experience to ensure that new technology and life science companies are able to thrive in the state.