Innovate
Six Tampa-St. Pete startups are part of a $1.9 billion economic engine in Florida
The Institute for Commercialization of Florida Technology has had a nearly $1.9 billion total economic impact in the state over the past nine years.
Since 2011, the innovation-based Florida startups funded by the nonprofit Institute have created 12,077 jobs, increased household income by $722 million, raised gross domestic product by $981 million and contributed $220 million in federal, state and local fiscal revenue, according to a new study by The Washington Economics Group Inc.
In the past year alone, the economic impact of the Institute’s operations and growth of funded companies was $485 million, a 19 percent increase over the prior year, the study said.
Half a dozen technology companies based in St. Petersburg or Tampa are part of the portfolio of the institute. See the gallery below for more on the local companies.
Through the Florida Technology Seed Capital Fund, the Institute provides seed and early-stage funding to Florida companies that create clean jobs in knowledge-based industries that are driving the new economy. The funding allows those startups to develop and launch products in key industries including life sciences, information technology, homeland security and defense, logistics and distribution, and manufacturing.
“Often a small amount of money can have a great impact during the earliest stages of development,” Matt Rice, a partner at Ballast Point Ventures, said in a news release.
Jane Teague
Florida Funders, a Tampa-based hybrid venture capital fund and crowdfunding platform that invests in tech startups, earlier this year won a bid to manage the portfolio of the Institute. Nine months later, the impact is positive, said Jane Teague, executive director of the Institute.
“Capital attraction for startups is central to the Florida Institute’s legislative mandate and mission, and Florida Funders is managing a number of seed funds and angel investor networks throughout the state, which increases access to capital for emerging innovation businesses. Their team completed a thorough assessment of the Florida Institute portfolio, and developed customized funding and growth strategies to support company success,” Teague said. “Additionally, Florida Funders has amassed a robust pipeline of promising new companies seeking capital and has brought quality deal flow to the Florida Institute. This provides new investment opportunities and supports our mission to diversify Florida’s economy and ensure prosperity for generations to come.”
In calculating the overall economic impact, the Washington Economics Group, a boutique economics consulting based in Coral Gables, said it took into account both direct and indirect factors, such as each startups’ supply relationships with other Florida firms and how likely each startups’ employees are to spend money on goods and services in the area.
Here’s a breakdown of their calculations.
