Last night at a reception to kick off New York’s Internet Week held at Gracie Mansion, the official residence of the mayor of New York City, Mayor Michael Bloomberg announced NYC Seed, a seed-stage technology fund for NYC-based companies that seek to “express their original ideas through software and web-oriented technologies.” Bloomberg, who is made his fortune as the founder of the Bloomberg financial news and data company, has said in the past that he intends to turn New York into a hub for tech innovation. “My company never would have been remotely as successful if we had tried to put it in any other city,” he told reporters gathered at his mansion according to CNET.
The NYC Seed fund is a joint venture between ITAC, New York City Investment Fund, The New York State Foundation for Science, Technology and Innovation, New York City Economic Development Corporation, and PolyTechnic University. In addition to investing up to $200,000 per startup, the fund aims to give entrepreneurs support via a network of “notable entrepreneurs, technologists and venture capitalists,” and plans to help the companies it funds seek series A round funding when they reach that stage.
NYC Seed says that it encourages first time founders to apply for seed funding, but also looks for teams with “technically savvy” members who “possess a proven record of completing complex technology projects.” The fund aims to invest in small, local teams that have a prototype of their software or web app product ready to demonstrate. Startups that aren’t located in New York City will be required to move.
The fund currently has $2 million under management.
