Rev1 Ventures has the funding for its services to Central Ohio entrepreneurs through mid-2025 with its latest state grant from Ohio Third Frontier.
The technology-focused economic development program awarded $11.7 million to cover the next 2 1/2 years, and Rev1 raised an equal amount in cash and in-kind services from 60 local businesses, government bodies and organizations.
Together that makes for a nearly $10 million annual budget, flat from its current grant running through the end of 2022.
The Third Frontier Commission this week approved $83 million in operating grants overall to six regional providers of entrepreneurial services, for operations from next January through June 2025. Rev1 serves 15 Central Ohio counties.
Columbus-based Rev1 "far exceeds" performance measures in six categories and exceeds them in two more, according to an evaluation summary by outside consultants to Third Frontier, a program of the Ohio Department of Development.
Consultants cited Rev1's strong referral network for new startup clients, including partnerships with Ohio State University and Nationwide Children's Hospital; the "heavily vetted suite of programming" at its Investor Start-Up Studio; the high percentage of clients with women or minority founders; and regional brand recognition.
"Our client companies solve big problems, create family-wage jobs, and attract significant investment capital to Ohio," Rev1 said in a statement. 'This grant from Ohio Third Frontier supports our continued initiatives to shorten the time to market and the path to profitability for hundreds of high-growth companies."
Rev1 has $120 million in VC funds under management, and last year surpassed $4 billion in economic impact since its 2013 reorganization – including revenue, investment rounds and acquisition values for its clients.
All totaled, Rev1 clients employ about 950 workers, with an average salary of $106,000. Clients include startups that received investment from Rev1-managed funds, went through one of its training programs or rent space in its Kinnear Road headquarters, which has office, manufacturing and lab space.
The operational grants go toward staff and other expenses for the groups to evaluate startups, guide them through structured business training, obtain discounts on accounting and other professional services, and make introductions to potential mentors and customers.
Rev1 was the only regional organization with a flat budget. Also receiving funding:
- JumpStart Inc.: $10.7 million, divided into $33.8 million for services to startups in Cleveland and northeast Ohio – a 53% increase; and $5 million for services in Toledo and northwest Ohio, up 7.5%.
- CincyTech: $13.2 million for Cincinnati and southwest Ohio, a 17% increase.
- Entrepreneurs Center: $14.9 million for Dayton and Miami Valley, a 66% increase.
- TechGrowth Ohio, based at Ohio University in Athens: $3.7 million for serving southeast Ohio startups, a decrease of 12.5%.
Former Gov. Bob Taft created Third Frontier in 2002 to foster innovation and the technology industry – seen as the next economic revolution to follow agriculture and heavy industry. The first $1.1 billion came from the state budget, and voters in 2005 and 2010 approved bond issues adding a total $1.2 billion.
