No one knows the ultimate fallout of the tremors on Wall Street this week. But on the eve of the mid-September crisis, venture capitalists from around the nation gathered in Detroit for the National Association of Seed and Venture Funds annual convention.
Why Detroit? Because “Detroit is reinventing itself as a technological hub for the 21st century and is a fine example of how targeted investment can spur growth.”
Center for Michigan President Phil Power writes this week how Michigan is making healthy strides in venture capital:
The news is pretty good overall. The amount of venture capital being managed by Michigan companies is now around $900 million, up more than 70 percent since 2001, according to the Michigan Venture Capital Report. There were seven VC firms in Michigan in 2001; today there are 17, with investments in life sciences, information technology and alternative energy.
“It’s really exciting around here. Michigan is coming to life,” said Tom Kinnear, professor of entrepreneurial studies at the University of Michigan business school. “There are lots of deals here worth funding: medical devices, electric and information technology, materials, software. Compared to the coasts, we’re not particularly big, but things are a lot better than they used to be.”
