The Michigan Strategic Fund (MSF)— a part of the Michigan Economic Development Corporation’s (MEDC) efforts to promote economic development and job creation— has made a series of changes and updates to foster startup innovation, support small businesses and spur the advanced manufacturing workforce.
The MSF Board’s approved actions and projects will enable Michigan to support critical economic activity for small businesses and local communities. The latest amendments and program updates align with the state’s “Make It in Michigan” economic development strategy.
Among the updates, the MSF made several changes to the Michigan Innovate Capital Fund (MICF), empowering the MEDC to provide financial support to high-tech startups across the state. The MICF program provides funding for nonprofit organizations to operate programs designed to invest in pre-seed and startup stage competitive edge technologies.
To facilitate economic development through the MICF, the corporation approved measures to:
- Transfer $5 million from the Jobs for Michigan Investment Fund to the MICF program.
- Amend the investment criteria to enable MICF investment fund managers to increase the exposure limit per company.
- Amend the grant agreement between the MSF and an early-stage capital investment company to sustain ongoing investments through loans and equity financing under the MICF program.
The MSF Board also approved a measure to accept federal funds from the U.S. Treasury. The corporation will distribute the funds to provide technical assistance to qualifying small businesses associated with the automotive industry. Very small businesses and businesses operated by socially and economically disadvantaged individuals (SEDI) will be the primary recipients.
The MEDC received $9.1 million from the Investing in America Small Business Opportunity Program to supplement the Michigan Auto Supplier Transition Program (MAST). The MAST Program will promote SEDI-owned suppliers in the automotive manufacturing industry, targeting those impacted by the transition to electric vehicles (EV).
(Photo courtesy of Pixabay.)