Young, high-growth companies will help lead Northeast Ohio to a more vibrant economic future. And two Ohio legislators have proposed new legislation designed to give those companies a financial boost.
The legislation, proposed by Jay Goyal, D-Mansfield, and Sandra Williams, D-Cleveland, would result in the state issuing $100 million bonds for the state-run Ohio Venture Capital Authority (OVCA). The state fund, in-turn, would invest the $100 million in a select group of venture firms that invest in companies with a high growth potential.
The state used a similar financing method when it raised the $150 million that the Ohio Capital Fund has been investing since its creation in 2005. The fund has lured several out-of-state investment firms to open offices in the state. In 2008, about 18 venture funds from outside Northeast Ohio made their first investment in a company in the region. Many of those funds were supported by the OVCA.
Venture capital is an essential ingredient for the growth of many promising companies. The Ohio Venture Capital Authority helps make more of that money available to our region's entrepreneurs.
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