Greater Des Moines Partnership Launches Iowa Equity Investment Fund
The Greater Des Moines Partnership has announced a new statewide funding program designed to help grow Iowa’s entrepreneurial ecosystem. NestMint is the latest tool in the Partnership’s economic development toolbox. NestMint joins the Central Iowa Business Innovation Zone (BIZ) and Plains Angels in helping young businesses grow and create jobs.
NestMint is an equity funding vehicle that will provide Iowa startups with additional capital to move their venture from idea to actuality. Commonly referred to as seed funding, the model is focused on providing initial financing for fledgling businesses throughout Iowa.
“NestMint acts as the friends and family typically needed when starting a venture,” said Mike Colwell, BIZ Executive Director who will oversee the new program. “For many startups, their friends and family are not capable of raising the capital needed to launch a business. That is where NestMint comes into play.”
The NestMint Founding Fund 2014 will consider investments in all viable business types and ideas. The goal of NestMint is to increase the number of viable new businesses in Iowa. Unlike other funds, NestMint will focus on idea level businesses that typically are too early to raise capital.
“We believe that the first NestMint fund, the Founding Fund, will be very popular and lead to additional NestMint funds here and across the state,” said co-creator Tej Dhawan, who is also a partner in StartUp City – Des Moines. “Ideally, there will be a whole family of funds helping entrepreneurs get to the next level.”
NestMint will be funded by accredited investors across Iowa. Its funds will be owned by the investors and each fund will be managed by a board of five statewide directors. The terms for the entrepreneurs are fixed. Due to the size of the average investment and the cost of negotiation, they are non-negotiable.
All investment documents are publicly available on the Nestmint.com website. Entrepreneurs seeking investment will need the written support of a local banker, lawyer, accountant, and economic development official. The first NestMint fund should begin making investments in September 2014.
NestMint is an initiative of the Greater Des Moines Partnership and is sponsored by LWBJ CPAs and Business Advisors, BrownWinick Law Firm, and the Iowa Innovation Corporation. Please contact Mike Colwell, mcolwell@DSMpartnership.com or (515) 286-4950 for more information. Media inquiries should be directed to Susan Ramsey at (515) 286-4954 or sramsey@DSMpartnership.com.
About the Greater Des Moines Partnership
The Greater Des Moines Partnership is the economic and community development organization that serves Greater Des Moines (DSM), Iowa. Together with 23 Affiliate Chambers of Commerce, more than 6,100 Regional Business Members and more than 320 Investors, The Partnership drives economic growth with one voice, one mission and as one region. Through innovation, strategic planning and global collaboration, The Partnership grows opportunity, helps create jobs and promotes DSM as the best place to build a business, a career and a future. Learn more at DSMpartnership.com.