Innovation Acceleration Fund

The Iowa Innovation Acceleration Fund promotes the formation and growth of businesses that engage in the transfer of technology to competitive, profitable companies that create high-paying jobs. Funds are designed to accelerate the pace of market development, leverage private investment, and industrial expansion efforts that result in significant capital investment. 

The fund provides financing to eligible businesses through three program components that correspond to different stages of growth for investment-grade, high-growth enterprises.

• Launch and Propel awards are in the form of royalty arrangements or secured loans with a 1:1 (private: public) match
• Expansion awards are in the form of secured loans with a 1:1 (private: public) match.

The fund is split into these programs:

• Launch 
  
  
• Propel
  Awards up to $500,000 to accelerate market development for companies that have critical management in place, have a validated business model, and an established customer base generating substantive revenue.
• Innovation Expansion
  Awards up to $1,000,000 to encourage expansion of product lines in companies that have a complete management infrastructure, a demonstrated historical profitability, and an established customer base. Funding provides assistance for product refinement and market expansion activities for unique, innovative, and competitive products.

Funds can be used for:

• Advanced intellectual property development and evaluation, including in-depth analysis of market potential (bioscience).
• Further competitive analysis, advanced development of a scientific discovery (bioscience)
• Product focus group research (medical device).
• Enhancement of existing product for additional platform applicability to extend addressable market (software).
• Recruitment and hiring of key personnel and related activities.
• Achievement of product economies of scale.
• Expansion of marketing and sales-related activities.
• Equipment purchase.
• Construction costs.

Eligibility

• Iowa-based company with innovative technology solution(s).
• Fewer than 500 employees.
• Commitment to commercialize the product in the advanced manufacturing, bioscience, or information technology industries.
• Competitive and protectable product, mature technology, or process.
• Complete management team.
• Proven business model.
• Established customer base.
• Significant/substantive revenue.
• Demonstrated financial and operational stability.

How to Apply

• Applications are reviewed on an ongoing basis, with funding decisions bi-monthly.
• IEDA has engaged the services of VentureNet Iowa to manage the application review process.
• Contact VentureNet Iowa at innovation@iowaeda.com for the current application and to verify eligibility.
• Applicant completes panel review process and presentation to the IEDA Technology and Commercialization Committee (TCC) or State Small Business Credit Initiative Committee (SSBCI).

For more information, visit the Iowa Economic Development Authority's website.