Social Impact Funds
Designed to engage and invest in economically underserved founders and communities
TEDCO embraces diversity, equity, and inclusion in Maryland’s startup communities. Our Social Impact Funds are purposefully designed to engage and invest in economically underserved founders and communities. We want to optimize the path to follow on funding; many companies show a path to sustainability without the need for venture capital.
TEDCO is pleased to be one of the direct participants in the deployment of Maryland’s State Small Business Credit Initiative (SSBCI). This money will support our Social Impact Funds, which are purposefully designed to engage and invest in economically underserved founders and communities. We want to optimize the path to follow-on funding; many companies show a path to sustainability without the need for venture capital.
Both the Pre-Seed Builder Fund and the Inclusion Fund have minimum ownership requirements by individuals who demonstrate economic disadvantage. However, Maryland has a strong entrepreneurial ecosystem and oftentimes there are other business resources, including at TEDCO, available for our startups to grow their business.
About
Pre-Seed Builder Fund
Who should apply?
We welcome pre-seed technology start-ups from all industries to apply. However, to be applicable, a company must meet all of the following qualifications:
- Principal place of business is in Maryland
- At least one full-time employee
- No less than 50% of founders demonstrate economic disadvantage
Investments
The Builder Fund typically invests in amounts up to $200,000 via convertible notes. Funded companies are also provided Builder Fund resources which may include both hands-on and educational executive support, peer-to-peer mentorship/collaboration, and networking opportunities.
Inclusion Fund
The Inclusion Fund focuses on investment opportunities that are often overlooked by traditional sources of investment and financing due to economic disadvantage. One of the biggest challenges is the gap between pre-seed and seed funding for these early-stage technology businesses and the Inclusion Fund seeks to invest in these companies. Ultimately, the companies create jobs in the State and become attractive candidates for follow-on financing or investing.
Who should apply?
We welcome early-stage technology start-ups from all industries to apply. However, to be applicable, a company must meet all of the following qualifications:
- At least one full-time employee
- The founder, officers, or managers of the Company agree to receive executive support
- At least 30% ownership of the Company owned by one or more individuals who have demonstrated social and economic disadvantage
- For at least one year after receiving TEDCO’s investment, will the Company be controlled and managed by one or more individuals who have demonstrated social and economic disadvantage
How to Apply
Opportunities are assessed on an ongoing basis. To ensure fairness, all Social Impact Funds applications must be received online through the application page on TEDCO’s website for further review. Please email investments@tedcomd.com after your submission so we can ensure your application went through correctly.
Please note: Applications that are received through other means, such as email or mail, shall not be considered or reviewed for funding.
APPLY NOW
Before applying, applicants are encouraged to familiarize themselves with the applicable TEDCO investment legislation regulations at:
Additional Builder Fund Team
Harry Alford
Builder Fund Entrepreneur-in-Residence
Harry Alford is co-founder of venture development firm Humble Ventures where he supports diverse entrepreneurs and drives innovation forward in partnership with startups, investors, and established enterprises. Harry’s previous experiences include managing an accelerator, due diligence with a venture capital firm, and exiting an e-commerce startup. Harry will be leading the Builder Fund’s work with its new and existing portfolio companies. He will be leveraging his experience as both an operator and investor to ensure Builder Fund companies reach their milestones and accrete value rapidly.
Additional Information
SOCIAL IMPACT FUNDS FACT SHEET
MARYLAND’S STATE SMALL BUSINESS CREDIT INITIATIVE (SSBCI) PROGRAM
