Innovate NY Fund

Innovate NY Fund Program

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Objective

Objective

The Innovate NY Fund is a $45.9 million venture capital fund that invests in seed stage businesses to support innovation, job creation and high-growth entrepreneurship throughout New York State.  The program is supported by $35.6 million from NY State and $10.3 million from Goldman Sachs.

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Overview

Overview

The Innovate NY Fund operates through a “fund-of-funds” structure in which third- party investment managers were competitively selected to manage the investment activity on a statewide basis. Individual investments from the Innovate NY Fund into individual companies may not exceed $500,000 (or $750,000 in the case of a biotechnology related company).

Results

Since its launch in December 2012, the Innovate NY Fund has made investments in 81 New York State companies. The Fund's capital was matched with over $240 million in private sector investment funding, yielding more than $277 million in investment capital for these startup and seed-stage companies. This led to the retention of 662 jobs and the creation of 1,430 additional new employment opportunities for New York State. The Innovate NY Fund is not currently investing in any new companies.

Participating Investment Entities:

Cayuga Ventures
Cayuga Venture Funds has helped to create and establish a thriving community of leading edge, high-tech start-up companies in Ithaca, N.Y., and the Southern Tier and Western New York regions by providing the necessary capital and other resources needed to grow and prosper.

Excell Partners 
Excell Partners is an investment entity that invests in seed and early-stage high-tech startups in New York State focused mainly in upstate New York. Excell provides capital, commitment, and connections to its portfolio companies, which include medical device, materials, energy, biotech, imaging and IT/software ventures.

ff Venture Capital  
ffVC, based in NYC identifies and invests in technology and technology-enabled companies at their inception — across geographies and emerging industries. With five partners and an acceleration team of 20+ investment and operations professionals, ffVC actively participates with founders to develop products, target markets and accelerate growth.

Golden Seeds 
Golden Seeds, the fourth-largest angel investment group in the country, invests Innovate NY capital in high-potential NYS companies that have diverse management teams with at least one woman in a leadership position.

Partnership Fund for New York City 
The Partnership Fund for New York City invests exclusively in New York City area–based new and emerging technology and innovation sectors. Its current focus includes financial technology, health IT, life sciences and digital manufacturing sectors. 

SCP Incubators / Z80 Labs 
SCP Incubator and Z80 Labs' primary objective is to serve as a catalyst for the creation of a new technology economy in the Buffalo region. SCP's focus is in on emerging technology fields, namely IT, digital media, and life sciences located in the Southern Tier, Finger Lakes, Central and Western NY regions of the state.

Stonehenge Growth Equity Partners 
Stonehenge Growth Equity Innovate NY Fund primarily focuses on software and IT services companies within New York State that operate at the intersection of healthcare and IT.
 

 

Additional Information

Due to the success of this initiative, funds have been fully deployed. 

For more information on the Innovate NY Fund, please email InnovateNY@esd.ny.gov.