120614 MassVentures relaunch presentation

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JUNE 14, 2012 Secretary Greg Bialecki, Chairman of the Board for MTDC and Jerry Bird, President of MTDC are pleased to announce….

description

MassVentures relaunch and commitment to fueling the innovation economy in Massachusetts

Transcript of 120614 MassVentures relaunch presentation

Page 1: 120614 MassVentures relaunch presentation

 JUNE  14,  2012  

Secretary  Greg  Bialecki,  Chairman  of  the  Board  for  MTDC  and  Jerry  Bird,  President  of  MTDC  are  pleased  to  announce….  

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Fueling  the  Growth  of  InnovaEve,    Technology-­‐driven  Companies  in  MassachuseGs  

 

#massventures  

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Overwhelming  consensus  that  a  capital  gap  exists…  

Yes  

No  

No  Responses  

86%  

10%  3%  

Is  there  a  shortage  of  equity  capital  in  MassachuseGs  for  start-­‐up  technology  companies?    

The  Opportunity  

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32%  

36%  

25%  

6%  

1%  

$0-­‐$500K  

$500k-­‐$1  million  

$1  million  -­‐  $3  million  

$3  million  to  $5  million  

$5  million  to  $10  million  

…and  93%  believe  the  gap  is  between  $0-­‐$3M  

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Other  gaps  that  exist  for  early-­‐stage  companies  

!"##$%&#'(&%&#)'(&%#*+,&-'+#')#'(&#-*,.'*/#0*,#'(*1#2314.10#*5)31'+6#7-())+&#*//#'(*'#*,,/89###:)/351; !"#$%&&%'($%#)*"()&+%(,-./0-.1(.)2%111All 3, but funding first time entrepreneurs may be the most34!5%.6-768%9*-+9%:9;8%9*-+9%68)("-<$."9=%"2%&>$%.)*%4("#6?@9(%!9ABCDECFDGHCI#&%"2%&'($%.)*%4("#9@9(%!90#-! #&%"2%&'($%.)*%4("#9@9(%!90#-!)911J%96D6K4+2"+167-.6B9(6("!%6%+(.%*.%+%4.9BFLME0IN O)+%(0/-9&-77'"+#.-,2+-,0#-!%P11J%96D6K4+2"+167-.64+2%.9%.Q%26"+249(."%9BBMAI0AN 57-&%@'9R4).%B5)+/0#-!9%.Q"#%111J%96D6K4+2"+167-.64+2%.9%.Q%26ST6.%1"-+9FEIF0AN &"()'!"(0%244+"Q11Initial funding for fields requiring substantial longer-term investment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funding for low tech companiesK4+2"+167-.64+2%.9%.Q%26ST6.%1"-+9IFNZ%(%.S"&)+-S)99)#$49%((96U77"#%6-76Y49"+%996`%Q%&-*!%+(GFLDGFHDBBGCZ%(%.0S"&)+-D?aT'9()(%0!)049 *%(%.0!"&)+-D9%)'9()(%0!)0491-Q(111O#).49-'5)+()!1.-4*0#-!)+1%&11]-$+6K0b-21!)+>47(96c-.2-+6[+9("(4(%MBFDFBHDIMMHO7$-21')-&0#-! 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T+-+@!-499%.Q#"%11#+"#-&)-4'*)+%&#&),0#-!%P*11118"#$).2S)9(.-!)((%-Z-&@+-Q)6<-!*-9"(%9X6[+#EHL6LLLDHAMI."#$).2'#)*%0#-! ."#$).2'#)*%0#-!%P*111/)("%'*.-O%#(BB0#-!)+1%&111(*)./'&-,%&&!)01-Q1-Q(1*$%&*9'!%1)&"+/0+%(9%.Q"#%111#$."9*')1.-9#"0#-!%P*111,"&&")!e)"/!)+')(."49$%)&($0-.1Q#111S%&"+2)T"&%9S?Y`<EHLDMFCDGFLC!&)"&%9'!952#04!)990%24 !&)"&%9'!952#04!)990%249%.Q"#%111!-!)&&%@'"+7&%#(*-"+(0#-!Q#111T+-+@!-49Q#13%2c-99Z."#%,)(%.$-49%<--*%.9MBFDECHDABMM%2,).201-99'490*,#0#-! %2,).201-99'490*,#0#-!9%.Q"#%111*)4&0(4'9&-)+0!"(0%24%P*1118"#$).2`)Q"9TQ%#(.)X6[+#MBF6GAF6MBGE82)Q"9')Q%#(.)0#-! ."#$).2O2)Q"9BHH'$-(!)"&0#-!%P*1192,@%.'!)99#)*"()&0#-!Q#111K.%2S-.."9Y.--/6W%+(4.%6Z).(+%.9FLBDIGEDAHHH6PIHI!-.."9'5.--/Q%+(4.%0#-! !-.."9'5.--/Q%+(4.%0#-!Q#1112,)1+%.'+%-1.)7("+#0#-!%P*11`)+b)&%@Y.)27-.263%(,-./9EHLDEMMDHGFE2$)&%@'5.)27-.2+%(,-./90#-! T+-+@!-49%P*111?49)+f"+2$)!DY)++"9(%.S)996="7%6?#"%+#%96<%+(%.FLB6CFC6FFBL9,"+2$)!D5)++"9(%.'!)99&"7%9#"%+#%90#-! 9,"+2$)!D5)++"9(%.'!)99&"7%9#"%+#%90#-!1-Q(11)+2.%,'5#Q74+20#-!Q#111T+-+@!-49%P*11T+-+@!-49Q#111a."#?(-%.!%.a+Q".-+!%+()&6U*%.)("+16?-&4("-+9X6[+#0EHLFACLAAH%9(-%.!%.'%-9%+Q".-+!%+()&0#-! %9(-%.!%.'%-9%+Q".-+!%+()&0#-!%P*11funding for companies in Southeastern MA; companies in water treatment sectorT+-+@!-49%P*111S)./`"?)&Q-?%!)*$-.%GFL6FGADCCMM6P6CII!2"9)&Q-'9%!)A49)0#-! T+-+@!-49Q#11T+-+@!-499%.Q"#%111`)Q"2b-.1)+W%.!-+(6K4+26T2Q"9-.9X6[+#0LHI6FFCDGHBI2)$.4(Q('@)$--0#-! T+-+@!-49%P*111%&"\)5%($'!)99(&#0-.1(.)2%11<$."9Z)&)(4##"Z)&)(4##"6aP%#4("Q%6?%).#$X6==<EHLFEELBIL#$."9'*)&)(4##"9%).#$0#-! T+-+@!-499%.Q"#%11early stage biotechT+-+@!-49%P*11T+-+@!-499%.Q"#%1ca88JY=U`ca>>Y=U`ca>>6^6Y=U`ca>>X6Z0<0EHLDFECDEECC1%..@'5)5&),0#-! T+-+@!-499%.Q"#%111Yes-Funding for inventors who waht to develop and sell their inventions]-+)($)+W-<-!*%P6?-7(,).%EHLDFEADAHLEOQ'#-!*%P9-7(,).%0#-! T+-+@!-49%P*1West of Route 1289(%*$%+,%&&9-g!IHCMIGBMML,%&&9'-*(-+&"+%0+%( T+-+@!-49%P*1V).%+h(1-77V).%+6=)4(%.6h(1-776<-+94&("+1ABC0IEC0FBHL/&4'4(1-770#-! T+-+@!-499%.Q"#%111T&Z.%9#-((<.%9#%+(6[++-Q)("-+96[+#0GFLDFMADLMHA)&*.%9#-(('#.%9#%+("++-Q)("-+90#-! T+-+@!-49%P*111=)[email protected]!%.a+%[email protected]%9(%.96==<MBFDCIEDGLEI&1.4!%.'%+%.1@$).Q%9(%.90#-! T+-+@!-49%P*1T+-+@!-499%.Q"#%111T+-+@!-49%P*111T+-+@!-499%.Q"#%118)&*$?$%."2)+W)&4%6S)+)1%!%+(6==<FLBDICFDBHBA9$%."2)+'Q)&4%D!1!(0#-! .9$%."2)+'!"+29*."+10#-!)+1%&111T+-+@!-49%P*111funding for proof of concept/techY%.+2])+99%+?#"%+#%6^6S)+)1%!%+(6<-+94&("+1GFLDEHBDEFHM5%.+2O)+99'1!)"&0#-! T+-+@!-499%.Q"#%11T+-+@!-49Q#11V)."+c.%1-.@K4.!)+6c.%1-.@6==<MBFDGBIDEBAH/)."+'712D&),0#-! T+-+@!-499%.Q"#%11194.)O0/)*4.'!&0#-!9%.Q"#%1118-5f$"(%h67-.6="7%X6[+#0FLBDAGIDFHCG.-5'47-.&"7%0#-! T+-+@!-49)9*11Are there other aspects to the gapQuestion 5K".9(63)!%=)9(63)!%<-!*)+@63)!%f-./6Z$-+%a!)"&6T22.%99 NoYes - Funding for underserved MA geographies (i.e. companies located in Western MA)Yes - Funding for first time entrepreneurs (i.e. entrepreneurs who have never started a company before)Yes - Funding for underserved industries (i.e. material sciences, robotics)OtherU*("-+)&066f%6,-4&26&"/%6(-67-&&-,64*6,"($69-!%6.%9*-+2%+(96(-61)"+6!-.%6"+7-.!)("-+066Z&%)9%6%+(%.6($%6"+7-.!)("-+6"+2"#)(%265%&-,0 8%9*-+2%+(?()(49Are there other aspects to the capital gap than funding amounts? (choose all that apply)/5"((%.!)+'*-&)."9Q%+(4.%90#-!Q#1[1-.Y)&/>)9/Z-"+(MBFACBEAAA"5'()9/*-"+(0#-! "5'()9/*-"+(0#-!%P1%&-+'&)4+#$D#)*"()&0#-!Q#1`)+"%&K)+()9")>.%%&"+%X6[+#0FLBDLFMDLBHI7)+()9")'(.%%&"+%D"+#0#-! 7)+()9")'(.%%&"+%D"+#0#-!)91O)#/9(%,).(Q%+(4.%6#)*"()&674+26-76+%,6%+1&)+2FLB6ACB6LAHH6PCILO9(%,).('Q#7+%0#-! 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O"!)@&,).2'1!)"&0#-!)+1%&1S"#$)%&V-&-2+%.c--9%6b"&&6a+%.1@6Z).(+%.96==<MCB0AIC0AIGH!/-&-2+%.'1--9%$"&&0+%( !/-&-2+%.'1--9%$"&&0+%()+1%&Yes- intermediate rounds(-!)90$)Q.2)'9-&"2)##%990#-!%P1=%%?(%%&%>)(4!X6==<MBFDGHBDBBHB&%%09(%%&%'()(4!&&#0#-! &%%09(%%&%'()(4!&&#0#-!9%.11Access to "smart" seed capital that will help emerging cos. find first revenue!1-&25%.1'5"-Q%+(4.%9"+Q%9(-.90#-!Q#1funding to find key market information1-@)&$59'1!)"&0#-!%P11Transportation, University Spin-Outs`)+S#14".%?V[33J6*."#%96[+#FLBDEBHDGBLI2!#14".%'9/"++@*."#%90#-! 2!#14".%'9/"++@*."#%90#-!)9*12.)4/(@9'Q%+(4.%D)2Q"9-.90#-!9%.11Q"+"('540%244+"Q11`)Q%U.%##$"-c)(%8-#/%(X6[+#EHLDCGEDHIFG2)Q%-'-.%##$"-0+%( 2)Q%'1)(%.-#/%(0#-!%P11O5".2'!(2#0#-!Q#11/+-,&%9'$%)&($!%(."#90-.1)+1%&1(.@2%+'Q1-#-!0#-!%P1a."/Z%2%.9%+Y%)#-+6T+1%&9CCGDIIEDHHEM%*'5%)#-+)+1%&90#-! %*'5%)#-+)+1%&90#-!)+1%&11]%77.%@6S0?(-&%.S#<).(%.6^6a+1&"9$6DD)+26DD6=)4+#$*)2MBFDAAGDMEBBO!9(-&%.'9()+7-.2)&4!+"0-.1 O9(-&%.'!##).(%.0#-!9%.115&)+2%.'9%1(%..)0#-!%P1T+-+@!-494+"Qlack of business expertise of entrepreneursS%&Z.%+-Q"(\a+2-?*$%.%6?4.1"#)&X6[+#0MBFDFCLDMEGG!%&'!%&*.%+0#-! !%&'!%&*.%+0#-!%P8%+%%="+W%+(4.%6<)7%.%+%%0&"+'Q%+(4.%#)7%0+%( .%+%%0&"+'Q%+(4.%#)7%0+%((.)2%19$%.@&'9.9)99-#")(%90#-!)+1%&12"&%,"9'5)D2910+%()+1%&1`.%,b%99"-+DV4+\"D3)&@9"9GFLDEHEDFLHC2.%,'"D+)&@9"90#-! $%99"-+)'5#0%24%P12.-5%.(9-+'\%D1%+0#-!%P1OO%'!"(0%244+"Q1W)41$+Z%(.)1&")34)1%63"+%X6[+#0EHLDMBIDEEGEQ)41$+'+4)1%+"+%0#-! 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T+-+@!-49%P**..499-'540%24%P*1seed stage fundingc%-.1%T11-4.)91%-.1%')11-4.)90#-! 1)11-4.)9'!(2#0#-!9%.Q"#%11S).("+?(.%%(%.9(.%%(?()(!).("+'9(.%%(?()(0#-! !).("+'9(.%%(%.D&&#0#-!)+1%&difficulty of reaching early milestones5%+7'$).Q%9()"0#-!%P*115.")+#49)#/'@-4(45%0#-!(.)2%O!-.."&&'+4-.($-94.1"#)&0#-!)9*<).&Y%./%Z).(+%.96[++-Q)("-+6K4+2MBF6GEA6GCEL#5%./%'*).(+%.90#-! #5%./%'*).(+%.90-.1Q#1O-%0/+-,&%9'$%)&($!%(."#90-.1)+1%&1().)1.%#-V"29<UUV6Z.-24#("-+9MBFDABFDBCEC().)1.%#-'$-(!)"&0#-! 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T+-+@!-49%P*1Y"#?(%Q%+9?(%Q%+96<)*"()&6T2Q"9-.9MBFDMGIDHIGG5"#'9(%Q%+9#)*"()&)2Q"9-.90#-! 5"#'9(%Q%+9#)*"()&)2Q"9-.90#-!9%.Q"#%1T+-+@!-49)9*1&54.+9')9#%+(Q*0#-!Q#a."#?"&Q%.!)+a)9($)!6<)*"()&MBFMELIHHH%."#'%)9($)!#)*"()&0#-! %."#'9"&Q%.!)+0+%()+1%&18499f"&#-P.,"&#-P'(")#0+%( T+-+@!-49%P*1`.%,b)++)$`.%,6Z).(+%.9X6==<MBFDFFEDELBH2$)++)$'2.%,*).(+%.90#-! 2$)++)$'2.%,*).(+%.90#-!9%.Q"#%1T+-+@!-49%P*1T+-+@!-49%P*lack of funding for entertainment and mobile companiesT+-+@!-49%P*1T+-+@!-49%P*1T+-+@!-49%P*1]-2"c%.+-+?#$--&<3d>GFLAGAICEHO-2"'9#$--&#+P(0#-! T+-+@!-49)9*11T+-+@!-49)9*1`-+f."1$(S%#$)+-&-1@EHLDIICDBGIH2,."1$('!%#$)+-&-1@0#-! T+-+@!-49%P*1Z%(%.T&5%.(">%&&S@<".#&%0#-!MBFDILCDFEMI*%(%.'(%&&!@#".#&%0#-! T+-+@!-49%P*1>$-!)9V%).+%@(/%).+%@BHBH'@)$--0#-! T+-+@!-49-($%.1`-++)c)9*%.b-&-1"#EHLDIMCDMBAF`-++)0c)9*%.'$-&-1"#0#-! T+-+@!-49-($%.1T+-+@!-49%P*very young companiesT+-+@!-499%.Q"#%1=%9K."(\%!%"%.Y&4%6a)1&%6?@9(%!96>%#$+-&-1@EHLAFGGLBL&%9'QP%"+#0#-! T+-+@!-49%P*1a2S4.*$@S4.*$@6T99-#")(%9EHLDEMBDHLAL!4.*$@9%).#$')-&0#-! T+-+@!-499%.Q"#%Z.%!>"."&-/>%#$6S)$"+2.)6T!%."#)9EHLCHLBBBAZ.%!0>"."&-/'1!)"&0#-! T+-+@!-49%P*expectations<$."9(-*$V+-%99a+1)1%26S"+29MBFLGGMGAF#$."9(-*$0/+-%99'%+1)1%2!"+29"+#0#-! T+-+@!-49%P*1angels and VC funds follow a few fadsT+-+@!-499%.Q"#%T+-+@!-49%P*a28-99aP#%&%.)(%6W%+(4.%9MBFLMGGLLHB%.-99'%P#%&%.)(%Q%+(4.%90#-! T+-+@!-49%P*1T+2.%,V+-((f".%6?(.4#(4.%96<-!*)+@X6[+#0EHLDGLCDMFBG)!/+-((',".%9(.4#(4.%90#-! T+-+@!-49%P*1]%..-&2?$)*".-K%!DS%2"#)&6==<EHLDLFEDCGGC9$)*".-'K%!"?#)+h?T0#-! T+-+@!-49%P*11Funding for heavily regulated companies like life sciences ones.T).-+S)#`)+"%&Y%((%.ZS0#-!LLLDECIDLLLG)).-+'5%((%.*!0#-! T+-+@!-49)9*1T+-+@!-49-($%.12)+2)O"%6Zab)5%.6[+#X6T2Q"9-.6(-6-($%.6#-!*)+"%96)+26W<GFLLMLLEIA.42%+"/')-&0#-! T+-+@!-49%P*1I have tech for mining green to extract Gold NO FUNDING Lots of JOBSY-5Y).(-+Z-,%.?h8a6<-.*EHLGLBMFIM5-505).(-+'*-,%.D94.%0#-! 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T+-+@!-499%.Q"#%funding without mandates (Evergreen Solar)T+-+@!-499%.Q"#%1>-+@8)@!-+2Ec6Sa`[<T=BGFLGMEIBBB(-+@.)@!-+2'#-!#)9(0+%( T+-+@!-49%P*1T+-+@!-49-($%.T+-+@!-499%.Q"#%11T+-+@!-49%P*11<$."9("+)Y--($<-+94&()+(CHCDAHLDEAIC5--($9(%%&%'.#+0#-! T+-+@!-49)9*1Y"&&?()5@8%9-&4(%6S)."+%6a+%.1@X6[+#0GBFDMIMDMFGH,9()5@'.%9-&4(%!)."+%0#-! T+-+@!-49%P*# of Funding SourcesT+-+@!-49%P*1`)Q"2h.5)+49W%+(4.%>%/X6[+#0EHLDICLDHABB24.5)+49'Q%+(4.%(%/0#-! T+-+@!-49%P*1]-%&S)#T49&)+?>T8FLBDLMBDFLIFO-%&!'?>T8)+)&@("#)&9%.Q"#%90#-! T+-+@!-49%P*Venture debt, venture debt, venture debt!>"!-($@b)Q%&a+%.1@6<-!*.%99"-+6[+#0:MBF;6FBFDAGAE("!'%+%.1@#-!*.%99"-+0#-! T+-+@!-49)9*11Y"&&`-+-$4%S%26`%Q"#%6S)./%("+1EHLDEBFDMLAG5"&&02-+-$4%'#-!#)9(0+%( T+-+@!-49%P*1]-9$>-&/-77[.-+,--2MBFDCFLDCGMIO(-&/-77'*-9(0$).Q).20%24 O-9$'".-+,--2%R4"(@0#-!Q#1T+-+@!-49%P*1Z)4&V%&%$%.VU6[+9(.4!%+(9X6[+#0GFLLCLIAEF*)/%&%$%.'1!)"&0#-! T+-+@!-49%P*11c.%1V"+1S)996SaZEHL6LCBDFHIH1.%1-.@/'!)99!%*0-.1 T+-+@!-499%.Q"#%18-5%.(<$-,Z%**%.6b)!"&(-+MBFDIHADEBIB#$-,.'*%**%.&),0#-! T+-+@!-499%.Q"#%11T+-+@!-49%P*11

0%  10%  20%  30%  40%  50%  60%  70%  

Funding  for  1st  Eme  entrepreneurs  

Funding  for  underserved  industries  

Funding  for  underserved  MA  

regions  

 %  that  believe  a  gap  exists  in  particular  areas  

 

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MassVentures’  Recommitment  We  are  recommiGed  to  nurturing,  funding,  and  growing  innovaEve  companies  across  all  technologies  in  the  Commonwealth.      –  Re-­‐energized  board  –  ¾  of  the  board  is  new  within  the  year  

–  New  leadership  –  SEmulaEng  private  investment    –  Focus  on  responding  to  the  gap  which  is  holding  back  the  technology  entrepreneur  

 

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Leveraging  our  Past  Success    •  Invested  $82M  in  131  companies  •  Leveraged  10x  of  private  capital  resulEng  in                      $800M+  of  investment  in  MA  companies  

•  Produced  $115M  in  realized  and  unrealized  proceeds  at  14.8%  gross  IRR,  16  IPOs  

•  Created  over  7,000  jobs  @  a  cost  of  $2K  per  job  

 Our  future  success…  

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•  $5  million  tradiEonal  investment  capital  from  MassDevelopment’s  Emerging  Technology  Fund  

•  $3  million  from  recent  porjolio  exits  

•  $6  million  START  program  

 

Capital  

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•  Taking  the  lead  in  investments  

•  4-­‐7  new  investment  per  year  

•  Work  closely  with  the  angels  and  angel  groups  for  iniEal  financing  

•  Broaden  networks  with  VCs  for  later  stage  growth  

Commitment  

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•  The  MassVentures’  Seed  program  -­‐  early  stage  equity  or  converEble  debt  funding  of  up  to  $50K    

 

•  The  MassVentures’  First  Round  program  -­‐  iniEal  investments  of  $250K  -­‐  $500K  in  Series  A  equity  capital  and  follow-­‐on  funding  

 

•  START:    grants  for  SBIR  phase  II  recipients  

Programs  

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Thank  you!  

Follow  us  @massventures  

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Fueling  the  Growth  of  InnovaEve,    Technology-­‐driven  Companies  in  MassachuseGs  

 

#massventures