As part of the Edison Innovation Fund, the EDA has implemented guidelines to ensure that its venture capital investments consistently support the success of emerging technology companies in New Jersey. These guidelines set forth a strategy for reviewing and assessing qualifications for EDA venture capital fund investments through the Edison Innovation Fund.
Equity fund investments focus on early-stage investment funds and include funds that invest in companies with less than $3 million in annual revenues, a traditional minimum threshold for equity investments.
Investments are expected to earn a reasonable rate of return, which will be measured in financial terms and by job growth. Funds in which the EDA invest in demonstrate an ability to leverage the EDA’s investment with other investment dollars at a minimum ratio of 3:1.
Current EDA venture fund investments include: