Proof of Concept Grants Help Bridge Funding Gap to Spur Commercialization of Research and Create New N.C. Companies
Research Triangle Park, N.C.– NC IDEA is seeking grant applications from North Carolina entrepreneurs and early-stage companies focused on information technology, medical devices or material sciences.
NC IDEA is a private, non-profit organization dedicated to helping establish and develop early-stage companies through the commercialization of research innovation. NC IDEA plans to award $275,000 “proof of concept” grants to help bridge the gap between innovative ideas and venture capital funding. The grants are designed to prepare companies for equity funding, accelerating the creation of new North Carolina companies and jobs.
The initial “pre-proposal” applications must be submitted online by Sept. 14 through the NC IDEA website (www.ncidea.org). Approximately 12 to 15 companies submitting “pre-proposal” applications will be selected to participate in a subsequent full proposal submission and review period. This process will include submission of a more in-depth proposal and prioritized budget for use of grant proceeds, and potentially a presentation from the company to a NC IDEA Grants Program advisory committee. Grant recipients will be notified in December and will feature in a press release.
The grants, which are up to $50,000 per recipient, support business plan research and development, reduce risk of early failure, and advance projects to the point of self-sustainability when suitable for private equity investors. Preference is given to companies that have not previously received equity financing. An entrepreneur who has not formed a company may apply, but company incorporation is required prior to the awarding of grant funding.
Since its inception in early 2006, the NC IDEA Grant Program has seen over 200 applications and awarded approximately $600,000 to sixteen companies throughout North Carolina.
Bridging the Innovation Gap
Many new technologies are not successfully transferred out of universities and research institutions because of a funding gap between government and private equity support. Research funding typically does not include support for business development activities or development of product prototypes suitable for commercialization. Venture capital funds typically do not invest in companies until they have a product and are already generating revenues from customer sales. This gap is often referred to as the “Valley of Death” for fledgling companies.
“The mission of NC IDEA is to create jobs through commercialization of research innovation. The grant program is a catalyst for technological breakthroughs developed in North Carolina that have a significant potential to successfully transition into commercially viable, high-growth enterprises,” said David Rizzo, chief executive officer of NC IDEA.
In addition to the grant program, NC IDEA facilitates access to business and technology leaders who will mentor and guide entrepreneurs to help them overcome research, product development, sales and product adoption hurdles. NC IDEA collaborates with the Council for Entrepreneurial Development (CED), The North Carolina Technology Association (NCTA), the North Carolina Small Business and Technology Development Center (SBTDC) and Southeast TechInventures. As an example of this, NC IDEA also sponsors grant recipients to enroll in the CED’s FastTrac Tech training and mentoring program that addresses the needs of start-up entrepreneurs refining and writing their business plans and seeking to grow sustainable high-impact companies.

About NC IDEA
NC IDEA provides grants, loans and traditional venture capital to help young companies between seed funding and Series A financing. The non-profit company further supports these companies by leveraging strategic partnerships and alliances to help companies through research phases, business challenges and growth goals. NC IDEA is committed to supporting North Carolina’s economic development by ensuring young, innovative companies grow, create jobs and become contributing business leaders. For more information, visit www.ncidea.org.
Media Contact
Austyn Sockwell - NC IDEA
919-941-5600 x113 / asockwell@ncidea.org