Can You Hear the Drum Beat?

Blogging for me is a challenge, especially when limited to the topic of early-stage investing in Northeast Ohio. It takes a long time to think of exciting topics to write about; I feel like everything's already been said. But, since repetition is the key to learning, I'm going to risk repeating those items that are top-of-mind with the team here at JumpStart Ventures. To recap:

• Northeast Ohio needs more investment capital (Tell your legislators, friends and family to support renewal of the Ohio Third Frontier and The Ohio Capital Fund.
• Early-stage deal flow continues to grow while our investment dollars remain stagnant. JumpStart's deal flow has grown 16% year-over-year since our inception in 2004 and, in the past year alone has increased 30%. All the while our investing budget has remained relatively stagnant at approximately $3 million per year. (See above bullet point re: supporting our primary source of funding, the Third Frontier.)
• Talent is really important. It's a well known fact that top talent is critical to the success of any startup. All great ideas will languish without a talented and capable leader at the helm. The folks in Columbus know this and have put together a multi-faceted State-wide talent recruitment plan. This talent plan will only be realized with money from the Ohio Third Frontier (see first bullet). We have recently added our own talent guru, Robert Hatta, here at JumpStart to focus on bringing great talent to our companies.
• Exits are key. It's a basic premise that investors want to see returns on their investments. Liquidity events generate returns. Companies that take OPM* need to continually work to position their company for an exit -- an outright sale, an IPO, a re-cap, whatever. Just some type of event that provides an investor with an opportunity to make money on their investment within a reasonable time frame (like, say 5-8 years).

These are our "soapbox" issues. Issues we think about daily. Issues that need to be at the forefront of any dialogue around entrepreneurship and economic development in Northeast Ohio. So, even though it may seem like blah-blah-blah, I've-heard-all-this-before, we need to keep beating the drum (and repeating and repeating and repeating) until we're heard. *Other People's Money Lynn-Ann Gries is the Chief Investment Officer of JumpStart Ventures. She previously worked in the investment banking departments at both McDonald Investments and Smith Barney (now part of Citigroup), and in the sales and trading area at Morgan Stanley. She received her MBA from New York University's Stern School of Business and her BA in Economics from Smith College. She currently serves on the board of the Fund for the Future of Shaker Heights, the Great Lakes Science Center and Summer on the Cuyahoga (SOTC).