Minnesota Department of Employment and Economic Development (DEED) released today the 2012 Minnesota Angel Tax Credit Annual Report for the state legislature as part of the $50m, 5 year early stage investment stimulus package approved in March of 2010.
The 25 page document contains an extensive amount of information on the program details from last year, with one aspect standing out:
A total of 47 software startups were certified 31 of those received investment credits totaling $14,340,156.
Software startups saw more investment activity than any other category; considering other high tech genres — IT, electronics, Internet/web, telecom and networking — those numbers increase to 77 / 57 / $36,936,719.
Looking back at some of the segmented data over the years, it became clear where the early stage investment action was. With the official statistics from the source, it appears as though Software is Minnesota’s fastest growing emerging industry, according to one isolated financial measure.
A total of $12.7 million in tax credits is available for 2013, with $7.1 million is remaining as of as of today, while last years annual $12m allotment dried up in July.
The report coincides with State Senator Terri Bonoff’s introduction of SF 730 that proposes an annual increase to $20m tax credits per year effective mid 2013.