TEP Times 2015 | Page 20

INTERNATIONAL DAY Cities continue to serve as global economic growth drivers to $5 million, and 2) make individual investments of up to $100,000 under a fund of funds model that will target the commercialization of research coming out of the state’s universities and laboratories. A DIFFERENCE IN APPROACH ing so, the NYCEDC aims to create 15- across the state, leveraging $124.7 million 20 life science ventures and 2,000 private of private investment. sector jobs. While the Innovate NY Fund utilizes a New York State’s Empire State Develop­ fund of funds model—investing in venment Corporation (ESD) also utilizes tax- ture capital funds rather than making dipayer dollars for the Innovate NY Fund, rect equity investments—the State is also which launched in 2012. Specifically, set to engage in direct investment with the fund intends to invest $35 million of the recently announced New York State federal funds in partnership with eight Innovation Venture Capital Fund. The $50 regional early-stage venture funds. million fund will both 1) directly co-invest According to ESD’s website, the fund has in seed and early-stage rounds with indiinvested $23.5 million into 64 in.pdf companies ranging from $100,000 IDTE2015 NY Intl_8.75x6 1 7/31/2015 vidual 8:32:52 investments AM The key delineating factor between Singapore and New York’s approach to government investment in the startup community is the aggressiveness of Singapore’s attempts to attract startup funds from the private sector. The breadth and depth of the Singaporean government’s support of startup financing is truly impressive. In addition to extremely favorable taxation schemes, Singapore also offers a slew of invest- ment and grant programs for both startups and venture funds. It is important to note, however, that these programs exist, in part, because of historic gaps in Singapore’s private equity markets—gaps that, arguably, do not exist in New York City’s and New York State’s robust venture capital infrastructure. Nonetheless, if New York government does decide to launch new programs, it may want to look east for a few innovative approaches. Hong Kong Means Business 9/17 @ 3:00 pm Brooklyn Borough Hall C M Y CM MY CY CMY K I-9