TechWorks Clients and BAF Applying to the Business Accelerator Fund

1. TechWorks Clients and BAFApplying to the Business Accelerator Fund SUMMER 2012

2. The Business Accelerator Fund Overview Program Objectives. Definitions. Eligibility. Preferences. Engagements.

3. Session Agenda • Program Objectives • Participants and Definitions • BAF Funding Guidelines • Company Preferences • Submission and Screening Process • Application Process • Invoicing

4. Program Objective • Make accelerator services available statewide regardless of location • Make accelerator services available to high priority companies and regions • Share accelerator best practices statewide • Build lasting collaborations • Create jobs and catalyze multiplier effect

5. Participants and Definitions • MI-SBTDC • Participating Accelerators • Accelerator Clients • Providers • Accelerators Engagements

6. Accelerator ClientsEligibility • Company may not have raised more than $1 million in private sector investments • Company may not have more than $2.5 million in annual revenue (not including R&D grants/contracts from federal agencies) • The Company must be a Michigan company or have its principal place of business in Michigan prior to entering and Accelerator Engagement or receiving accelerator services

7. Accelerator ClientPreferences • Product based companies with a highly scalable and protectablemodel • Companies that collaborate with other Michigan companies and universities • Companies that leverage company founders’ and/or outside parties’ cash or in-kind resources to the proposed engagement

8. Accelerator Engagements • Are for a defined time periods • Have a defined purpose • Have established deliverables • Are milestones focused • Maximum of $50,000 per company

9. Accelerator Engagements • Business consultants >> business deliverables • University researchers >> technology deliverable • Manufacturing or engineering >> commercialization deliverables • Legal firms >> legal assistance

10. Accelerator Responsibilities • Marketing • Manage Inquires • Identify strong Accelerator Clients • Prepare Company Submissions • Screening • Reporting • Manage contracts with Providers

11. Screening • 1 representative from each Participating Accelerator on screening committee • Conference Call 2x/month • 3 PA reps complete review sheet w/in 2 weeks • Vote up/down (not scored) – majority decides • 1 resubmission allowed Note: 2nd failure makes submitting company ineligible for 3 months

12. Applications LESS than $15,000 • Cover letter from participating Accelerator • Overview of Accelerator Engagement • Milestones • Leverage/match • Potential for multiplier effect • Company Executive Summary (not to exceed 5 pages) • A fee of 5% or $300 (lesser amount) will be paid by Client to TechWorks

13. Applications MORE than $15,000 • Cover letter from participating Accelerator • Overview of Accelerator Engagement • Milestones • Leverage/match • Potential for multiplier effect • Company Executive Summary (not to exceed 5 pages) • Full scope of work (not more than 5 pages) • Description/bio of proposed Provider (not to exceed 1 page) • Fee of 10% of funded amount will be paid to TechWorks by the Client (non-negotiable)

14. Payments • TechWorks will invoice MI-SBTDC within 5 business days prior to the 15th of month • Submitted with each invoice will be: • Accelerator Engagement contract • Itemized costs • Client letter of acceptance

15. Session Wrap-up • We covered: • Program Objectives • Participants & Definitions • BAF Funding Guidelines • Company Preferences • Submission and Screening Process • Application Process • Invoicing • Questions?