TROY ? Stage 2 Innovations Fund, which made a big splash last month announcing it had $100 million to invest in Michigan second-stage companies, now says it’s willing to take a look at companies that don’t have patented technologies ? a requirement when the fund was launched.
The company is co-founded by former Chrysler CEO Tom LaSorda and reportedly Manoj Bhargava, CEO of Living Essentials, maker of the popular 5-Hour Energy drink.
Fund officials said that since its announcement three weeks ago, Stage 2 ?has received an impressive amount of applications from all over the country, and feedback from the entrepreneurial community drove the decision.
?There was an expressed disappointment from technologies with no patents attempting to apply,? said Stage 2 partner Brian Polowniak. ?Patent or no patent we are interested in market-ready technologies. Bottom line is what really defines a technology s potential is its ability to impact the world and the way we do business. And we intend to find innovations that do just that.?
Stage 2 Innovations is currently accepting applications, with or without patents, online. The fund remains focused on investing in second stage companies that have market-ready technologies and seek significant, steady growth.
According to the Edward Lowe Foundation, a nonprofit organization, there were over 1.6 million second stage companies in the U.S. in 2008.
Earlier fund officials said they?d work hand-in-glove with Oakland County?s Automation Alley to commercialize promising Michigan technologies.
?A company or entrepreneur who already has received seed funding,? said Simon Boag, Stage2?s Chief Executive Officer. ?Perhaps a second round, a Series A round. They?ve taken their innovations and got patent protection around it. They are at a point where within 18 months they can bring the product to market. We want to deal with commercialization. That?s where we view our role.?
The partnership with Automation Alley will become a farm team of sorts for Stage 2, he said. Automation Alley will take great ideas from great entrepreneurs, nurture, finance and mentor them, then pass them along to Stage 2 for multi-million-dollar investments.
?What is most important to us is the quality of the investment,? he said. ?If we found one really good idea that was a slam dunk, we?d do the whole shot in one company. We don?t expect we?ll have one for $100 million, so we?ll probably do investments of $2 million to $4 million. You could call it a Series B round, or Mezzanine Round.?
If you?re a company or entrepreneur that matches Stage 2?s investment criteria, you can submit your application online at Stage2Innovations.Com
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