ALLENDALE — Grand Valley State University will receive $1.6 million as one of eight initial recipients of the first-ever Michigan Innovation Fund, Gov. Gretchen Whitmer recently announced. 

The fund, which was signed into law earlier this year, aims to aid the entrepreneurial ecosystem in Michigan, focusing on startup companies and funds.

“Michigan is a state of makers and doers, and we established the bipartisan Michigan Innovation Fund to unleash their entrepreneurial energy and keep growing our economy,” Whitmer said in a news release. 

She said recipients will “harness these new resources to continue pursuing their big ideas in Michigan, leading to more jobs, more companies, and more investments in our communities.”

Of the $60 million appropriation distributed across existing and emerging evergreen funds in Michigan, $1.6 million was awarded to the Grand Valley Research Corp., a subsidiary of GVSU. The amount distributed excludes $7.2 million that is set aside for entrepreneurial support programs.

Dawne Bell, executive director of economic development and public-private partnerships at GVSU, explained the goals behind the Grand Valley Research Corp. and what its plans are with the award money.

“[The Grand Valley Research Corp.] is a nonprofit that manages intellectual property for the university, and manages technology transfer and policies around licenses and commercialization,” Bell said. “The Michigan Economic Development Corp. issued a request for proposals, and Grand Valley State University and Grand Valley Research Corp. applied as one applicant. This was specifically to partner with the state on creating the emerging venture fund that will serve Grand Rapids.”

Bell goes into detail on what an evergreen fund is, and how it differs from traditional funds.

“The idea of an evergreen venture fund like the one housed at Grand valley is that it is perpetual — it does not have an end date, and the returns on investment, so funding startups and supporting companies as they grow, will go back into the fund, so it will continue to be available to support startups in the future.”

Bell explained that the funds will be used to align with the mission of the Michigan Innovation Fund.

“The overall purpose of the Michigan Innovation Fund, and the reason that the state government set aside this money, is because one of the biggest barriers for entrepreneurs is access to working capital to either launch or grow a starting business,” she said.

“The goal of this evergreen venture fund at Grand Valley State University aligns with Grand Valley's role as a key partner in making West Michigan a tech hub. Our forthcoming GVSU Blue Dot will serve as an anchor here in downtown Grand Rapids as we help the community grow the future workforce in technology and then also support businesses and their impact through innovation.”

The GVSU Blue Dot is an initiative with the goals of creating proficiency in digital skills while supporting the intersection of technology, digital literacy, and connections within the business community. With the aid of initiatives such as Blue Dot and the emerging evergreen fund, GVSU is positioning itself as a catalyst for economic growth and innovation in the region, creating pathways for entrepreneurs to access both funding and the skilled workforce they need to succeed.

— Contact Diego Storck at dstorck@ottawanewsnetwork.org.