The North Dakota Development Fund, Inc. (NDDF) has finalized two new investments through its Angel Match Program (AMP).
- Fenworks, Inc., a technology company located in Grand Forks, is set to utilize the funds to expand its services and hire employees, with a focus on delivering a competitive and collaborative drone racing program across a six-state region.
- TheraTec, Inc. is based in Horace and is a digital health care company redefining rehabilitation in orthopedics by combining a cloud-based data analytics platform with easy-to-use wearable technologies.
Head of Investments and Innovation at Commerce Shayden Akason, expressed his enthusiasm for supporting these promising businesses, stating that the Angel Match Program (AMP) provides matched funding of up to $250,000 per business, helping to meet their working capital needs and drive growth in primary sector businesses. The NDDF's dedication to investing in local businesses underscores a commitment to building a thriving and sustainable economy in North Dakota.
The NDDF launched the AMP to support early-stage primary sector North Dakota businesses by matching investor commitments up to $250,000 per business. Businesses may apply for funds if the total financing round is $2 million or less. Investors may be individuals, LLCs, businesses, trusts, or an investment fund. Investors must be in, and remain in, compliance with state and federal securities laws, and invest only in qualified businesses that are issuing securities in compliance with state and federal securities laws. To be eligible, a business must:
- Be registered with the North Dakota Secretary of State.
- Be certified as a primary sector business through the North Dakota Department of Commerce.
- Be headquartered in North Dakota and remain headquartered in North Dakota for as long as the State Small Business Credit Initiative capital is at risk.
- Have fewer than 250 employees at the time of investment.
- Not have a principal of the business that has been convicted of a sex offense against a minor (as such terms are defined in section 111 of the Sex Offender Registration and Notification Act (42 U.S.C. § 16911).
Funds for the AMP were provided through the U.S. Department of Treasury State Small Business Credit Initiative (SSBCI). An approximate total of $58.6M of SSBCI funds were allocated to the State of North Dakota for two equity and venture programs, the AMP and the Direct Investment Program. Both programs are direct investment programs that provide equity support to small businesses and startups by co-investing alongside private investors.
The North Dakota Development Fund, Inc. was created in 1991 as an economic development tool. It provides flexible funding through debt and equity investments for new or expanding North Dakota primary sector businesses. The fund also manages the Child Care Loan Program created by the North Dakota Legislature in 2009.
More information about the NDDF and the AMP can be found at belegendary.link/North-Dakota-Development-Fund.