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State Commits Support to 150+ Hoosier Startup, Scaleup Companies in 2016

March 2, 2017

Programs to fuel innovation, entrepreneurship across Indiana

INDIANAPOLIS (March 2, 2017) – In 2016, the Indiana Economic Development Corporation (IEDC) increased its support of startup and scaleup firms across the state, committing to invest in 74 high-potential companies. These investments, which are designed to leverage private investment, will yield up to $47.3 million in state, federal and private funds invested in Indiana. In addition, 87 Indiana firms utilized the Venture Capital Investment (VCI) tax credit to secure $79.1 million in investment commitments from the private sector in 2016.

“Indiana’s entrepreneurial community is supportive, innovative and growing rapidly,” said Jim Schellinger, Indiana Secretary of Commerce. “For more than a decade, Indiana has prioritized business growth and job creation by lowering taxes, reducing regulation and building a highly-skilled workforce. Now, to take Indiana to the next level, we must create an entrepreneurial environment that fosters innovative ideas, attracts investment capital, boosts the development of Hoosier startup and scaleup companies, and supports long-term job growth and talent attraction.”

To continue to attract more private investment to Indiana, Governor Eric J. Holcomb’s 2017 Next Level Legislative Agenda proposes continuing to grow Indiana as a magnet for job creation. As part of this agenda, Indiana plans to make available $1 billion over the next 10 years to make the state a global hub of innovation and entrepreneurship, which includes continued support of high-growth Hoosier firms.

Examples of these high-growth companies include:

  • Blue Pillar:  Blue Pillar is an Energy Internet of Things (IoT) provider. The company attracted a total public and private funding round of $10 million, which included a $1 million state-funded investment.
  • ClearObject: ClearObject, formally known as CloudOne, is an Internet of Things (IoT) provider. The company, which relocated from Illinois to Indiana in 2011, attracted a total public and private funding round of nearly $9 million, which included a $912,500 state-funded investment.
  • Springbuk: Springbuk is a health intelligence platform that integrates data – including medical claims, pharmacy and labs – for employers to predict future costs and engage at-risk employees. The company attracted a total public and private funding round of $3.75 million, which included a state-funded investment of $500,000.

“Innovation and entrepreneurship are at the heart of any great community,” said Rod Reason, chief executive officer of Springbuk, a 21 Fund portfolio company. “Many of the name-brand companies of today didn’t exist even 20 years ago. Now, these very organizations employ thousands of people, making up the culture of Indiana. Our community has an unprecedented opportunity to be the epicenter of innovation, and I’m proud to be part of this movement.”

The state’s 2016 investment commitments, which totaled $19 million, represent Indiana’s strongest year for investments and total company recipients since 2010. These investments were sourced through programs under the state-funded 21st Century Research & Technology Fund (21 Fund) and the federally-funded State Small Business Credit Initiative, a program under the oversight of the U.S. Department of Treasury. Managed by the state’s venture development partner, Elevate Ventures, these investments are designed to help Indiana-based companies grow and help attract additional private co-investment throughout the state.

According to a study by Ball State University, from 2010 to 2014 Elevate Ventures’ investment into 74 Indiana-based companies through state and federal dollars contributed to the creation of 332 new jobs, an $18.5 million increase of the state’s GDP and a $16 million increase of personal income. These investments from the 21 Fund generated a 23.8 percent average annual return on investment to the state of Indiana, according to the study.

In 2016, Indiana high-growth firms also utilized the Venture Capital Investment (VCI) tax credit, which is designed to help entrepreneurs and innovators attract private investment to advance their operations, to secure investment commitments of $79.1 million from the private sector. If investors fully fund these commitments, it will result in $10.3 million in tax credits provided to these investors. These tax credits are performance based, meaning until companies verify their investments into qualifying Indiana businesses, they are not eligible to claim incentives.

About IEDC
The Indiana Economic Development Corporation (IEDC) leads the state of Indiana’s economic development efforts, helping businesses launch, grow and locate in the state. Governed by a 12-member board chaired by Governor Eric J. Holcomb, the IEDC manages many initiatives, including performance-based tax credits, workforce training grants, innovation and entrepreneurship resources, public infrastructure assistance, and talent attraction and retention efforts. For more information about the IEDC, visit

About Elevate Ventures
Elevate Ventures is a private venture development organization that nurtures and develops emerging and existing high-potential businesses into high-performing, Indiana-based companies. Elevate Ventures accomplishes this by providing access to capital, rigorous business analysis and robust advisory services that connect companies with the right mix of resources businesses need to succeed long term. As a not-for-profit organization, Elevate Ventures is able to offer unbiased, in-depth perspective and recommendations. To learn more about Elevate Ventures, its team and its funds under management, visit

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Media Contact:
Abby Gras (IEDC) – 317.232.8845 or
Alex Bowers (Elevate Ventues) – 317.975.1901 or