Federal Agencies Adopt Open Data Model to Spur Innovation, Entrepreneurship
This week, the White House Office of Science and Technology Policy (OSTP) released a wide-ranging roundup of new and ongoing efforts to leverage availability of large, accessible data sets to spur innovation. While many of these efforts were focused on supporting research on the potential of big data, several agency efforts are using the model of open data app competitions to fuel private-sector business creation.
U.S. Metro Entrepreneurship Has Not Yet Recovered from Recession, Finds Kauffman
In conjunction with its annual Global Entrepreneurship Week, the Kauffman Foundation has released a report tracking per capita startup rates in 40 select U.S. metropolitan areas since 2006. The analysis reveals that startup rates have improved in metro areas, but remain well below pre-recession levels. Data also indicates that larger metros, those with populations greater than one million, have both endured and recovered from the recession slightly better than their less populous counterparts.
New Branding Effort Reflects Entrepreneurial Focus in Connecticut
With bright colors, interesting graphics, and intuitive navigation, the new look of Connecticut Innovations (CI) captures attention. The launch of CI's new brand identity, complete with an updated message platform and logo, hopes to better reflect the organization's mission and promote their resources to attract entrepreneurs. The new website highlights services offered by the three entities under CI's umbrella, including the merger with the Connecticut Development Authority in 2012 and the Small Business Innovation Group in 2009.
Georgia, Virginia Lawmakers Expand Investments in Research, Cybersecurity
As the 2013 legislative session draws to a close for several states, lawmakers approved measures to create new opportunities for economic growth or expand investments in programs demonstrating positive outcomes. Lawmakers in Georgia increased funding for established university-based research initiatives and set up a state-run venture capital fund to invest in innovative companies. In Virginia, a new cybersecurity accelerator will help propel technology and companies in an emerging sector.
Hawaii Dedicates $6M to Pursue High-Growth Opportunities
Envisioned as a comprehensive state-level program to support an entrepreneurial ecosystem, the HI Growth Initiative was approved by lawmakers to diversify the state's economy and promote the development of high-growth, entrepreneurial businesses. Backed by Gov. Neil Abercrombie, the initiative has three main objectives focused on helping entrepreneurs commercialize intellectual property, access business mentors, network with global investors, and gain access to follow-on capital. Funds will be managed by the Hawaii Strategic Development Corporation.
Seattle, Atlanta Launch New Initiatives to Support Startups
New nonprofit initiatives have been re-defined in Seattle and Atlanta to support their cities' startup communities. Startup Seattle and Startup Atlanta will work to serve, support, and link the regional innovation systems and startup ventures in their respective cities. Both entities previously were developed by and for the local entrepreneurial communities to support new companies but are restructuring as independent organizations.
American Entrepreneurship on the Rise
The 2012 Global Entrepreneurship Monitor (GEM) U.S. Report by Babson College and Baruch College shows that the total early stage entrepreneurial activity in the country increased 13 percent, the highest rate since 1999 when GEM first began tracking entrepreneurship. Among the findings, GEM found that a diverse population of age, gender, and immigrant status exists in the entrepreneurship community.
MI Research University Alumni 50 Percent More Likely to Become Successful Entrepreneurs, Report Shows
Graduates of Michigan State University, the University of Michigan and Wayne State University have started or acquired businesses at double the national average rate among college graduates since 1996, according to a report released by the Michigan University Research Corridor (URC). About 19 percent of all graduates have started their own business, and these businesses were 1.5 times more likely than the national average to remain open over the past five years. URC attributes their success to the comprehensive entrepreneurial curriculum available at the corridor's institutions.
Useful Stats: New Firm Creation by State, 2011
New business creation in the U.S. increased in 2011 for the first time since the 2007-09 economic crisis, according to data released by the U.S. Census Bureau. Census data indicates that 8.2 percent of all businesses were less than one year old in 2011, the first increase since 2006 and the largest increase in a decade. A pair of briefs from the Census Bureau and the Kauffman Foundation link the decline and rebound of American startups to fluctuations in housing prices during the economic downturn.
U.S. Research Universities Launch New Initiatives for Tech-Based International Development in Africa
U.S. research universities have launched several new initiatives to impact international development across Africa by leveraging their institutional knowledge to support tech-based economic growth on the continent. The African Development Bank, a regional multilateral development bank, also announced that it will commit $45 million for the creation of a Pan African University consisting of five thematic institutes focused primarily on science, technology and innovation.
Startup Colorado Launches $200K Fund to Support Entrepreneurship Events
Startup Colorado recently announced the launch of a new $200,000 fund to support events that strengthen the entrepreneurial communities across Colorado. The organization will issue grants to Colorado organizations planning events, seminars and contests that bring together startup communities, particularly those in the Denver-Boulder region, Colorado Springs and Fort Collins, according to the Denver Business Journal.
Universities Turn Focus on Entrepreneurship to Boost Regional Economies
Recognizing startup businesses as a powerful force in building stronger local economies, a number of universities across the country have announced significant expansions in their entrepreneurship offerings over the last few weeks. Universities in Missouri and Virginia have announced new and expanded entrepreneurship programs for students, while a nationwide network of top business schools, including Babson College, Stanford University and the University of California, San Francisco, plans to launch an online entrepreneurship program that can be licensed to other schools. The U.S.
AZ, NJ, WI Increase Capital for Entrepreneurship, MN's Angel Tax Credit Closed for 2013
Over the last week, several states have announced/passed new programs focused on increasing the capital available to spur small business growth and innovation. Officials from New Jersey announced the state's new angel tax credit will take effect July 1. In Arizona and Wisconsin two bills await gubernatorial approval that would rework the Arizona R&D tax credit program and establish a $75 million venture capital fund in Wisconsin. Meanwhile, the Minnesota state legislature did not approve an additional $5 million for its popular Small Business Investment Tax Credit.
Indiana Governor Launches Office of Small Business and Entrepreneurship
Indiana Gov. Mike Pence has announced details of a realignment of the state's services for small business owners and entrepreneurs through the establishment of a new Office of Small Business and Entrepreneurship (OSBE). The office will incorporate the Indiana Small Business Development Center, the Procurement Technical Assistance Centers and several small business specialty programs. OSBE will offer business consulting, as well as bringing together universities, private sector businesses and government stakeholders.
Is National Public Support for Accelerators on the Rise?
The rapid proliferation of accelerators world-wide has raised questions about whether this model is viable and sustainable. Though many accelerators have been founded and funded by private investors, accelerators are now getting a public boost on both sides of the Atlantic. The European Commission and the U.S. Small Business Administration are both becoming involved in the accelerator phenomenon, perhaps representing an expanded role for national (and quasi-national) public support for accelerators.
Pennsylvania To Invest $100M in Tech Startups
According to the Philadelphia Business Journal, Pennsylvania Gov. Tom Corbett has signed off on the creation of a new program, InnovatePA, which will auction off $100 million in tax credits to generate state revenue that will be invested in the funding of tech and biotech startups.
Kauffman: Entrepreneurship rebounding, mega trends shaping future
Entrepreneurship is on the rebound following a “Great Recession hangover,” according to a new study by the Kauffman Foundation, but turbulent shifts will affect its shape in the coming years. During its eighth annual State of Entrepreneurship address in Washington D.C. this morning, Wendy Guillies, Kauffman president and CEO, outlined how, despite the resurgence, new firm formation remains in a long-term deficit and called for a “national wakeup call.”
DHS amends regulations for foreign entrepreneurs
The Department of Homeland Security has amended its regulations surrounding its discretionary parole authority in order to increase and enhance entrepreneurship, innovation, and job creation in the U.S.
EDA Awards Nearly $35M for Economic Prosperity in Several States, Coal-Impacted Communities
Over the last two months, the Economic Development Administration (EDA) has made nearly $35 million in investments intended to spur economic prosperity across the country including nearly $28 million for communities impacted by transformations in the energy industry. These efforts are intended to unlock the potential of regional assets including community members, local institutions of higher education, and regional industies by funding entrepreneurship, innovation, research and development (R&D) activities, and other capacity-building efforts.
Kauffman Grants $4.3M to Initiatives Supporting Women and Minority Entrepreneurs
As a way to support populations that are underrepresented in entrepreneurial activities, the Kauffman Foundation has announced $4.3 million in grants to 12 organizations that provide entrepreneurial support services to women and minorities. The awardees were selected from more than 376 applicants and range in both geography and industry-focus. They will receive awards ranging from $87,000 to $420,000 over the next two years.
Veteran Entrepreneurship: Where Things Stand
This week, America remembers the 75th anniversary of the attack on Pearl Harbor and its entrance into World War II. Veterans of World War II have had a considerable impact on the current economy: The Bureau of Labor Statistics finds that World War II veterans had the highest rates of self-employment of any period of service.
Millennials Take on Economy
Millennials internalized the effects of the most recent recession and revealed their beliefs about the economy and jobs future in a recent poll conducted by EY, a professional services company, and the Economic Innovation Group. Nearly one-third believe their community is still in a recession and 78 percent are worried about having good-paying job opportunities, according to the poll.
Recent Research: Broadband Availability and Rural Entrepreneurship
Because existing evidence points to the presence of broadband as having a positive connection to the economic health in rural areas, numerous states and the federal government have made increasing broadband in these places a top priority. In particular, many rural areas view broadband as an important tool in attracting entrepreneurs and other creative-class employees. Although this tactic is well intentioned, new research suggests that the association between expanded rural broadband availability and the proliferation of entrepreneurship and creative-class employees may not be as strong as one might think, and that the relationship may actually be negative.
Welcoming America Toolkit Describes Tactics to Support Immigrant Entrepreneurs
Although much has been written on the value of immigrant entrepreneurship, relatively little research to date focuses on strategies for supporting these individuals. Welcoming America, a national nonprofit and non-partisan organization focused on immigrant inclusion, has addressed this gap by releasing a how-to-guide for those interested in supporting immigrant entrepreneurship in their cities. Produced with Global Detroit, an initiative focused on southeast Michigan’s international community, Seeds of Growth describes practical ways for regions across the nation to leverage opportunities associated with including immigrant entrepreneurs in local economic development strategies and programs.
Recent Research: Social connections more important than geography in accessing investment capital
The strength of personal relationships and social connections are the most important factors for accessing capital markets according to a recent working paper from the National Bureau of Economic Research (NBER).
The strength of personal relationships and social connections are the most important factors for accessing capital markets according to a recent working paper from the National Bureau of Economic Research (NBER). Theresa Kuchler, Yan Li, Lin Peng, Johannes Stroebel, and Dexin Zhou — using a novel modeling system and index of “social connectedness” — conclude that physical, geographical proximity has long served as the primary proxy for measuring how the social connections among firms and investors across geographies affect access to capital markets and investment decisions. These findings may have far reaching impacts for businesses from any region—not just those closer to investment hubs—as well as for entrepreneurial support organizations and other stakeholders seeking to strengthen their local innovation communities.