The jobs bill — aka angel investor tax credit — was created earlier this year to stimulate startup growth in Minnesota by financially incentivising angels with a 25% income tax discount on qualifying early-stage business investments.
The measure appears to be ramping up before the close of the year when the clock resets and everyone is forced to re-qualify for 2011.
Passed into law on April 1, 2010, the bill allocates $60m in deductions over the next 5 years with $11m in available in 2010 & $12m/yr for 2011-2014. Both the investor(s) and the business must be certified through the Minnesota Department of Employment and Economic Development (DEED) prior to credit issuance — which brings us to the goodstuff.
According to DEED reports through 11/8, nineteen different cross-sector ventures have seized the opportunity to raise a collective $10m in funding under the legislation, awarding investors $2.5m in tax credits. Since the focus of our interests lies within the realm of High Tech/IT/SaaS/etc., here’s what we’ve picked up on: