Maryland Startup Funding: Your Gateway to Capital

1. Maryland Technology Development Corporation (TEDCO)
2. Maryland Industrial Partnerships (MIPS)
3. Maryland Department of Commerce
4. U.S. Small Business Administration

Access to capital can be a major roadblock for many founders and startups in the earliest stages of running their business, particularly so for diverse founders and manufacturing startups.  Fortunately, a number of programs and funds provide Maryland founders and startups with the seed capital to execute mission-critical tasks like protecting intellectual property assets and building a portfolio.  Here are a few resources to help early-stage startups secure capital:

1. Maryland Technology Development Corporation (TEDCO)

The Maryland Technology Development Corporation - TEDCO -  offers the following programs to support early-stage technology-based startups and small businesses:

• Pre-Seed Builder Fund.  The Pre-Seed Builder Fund invests in and provides executive support to Maryland-based technology companies run by entrepreneurs who demonstrate economic disadvantage.  Builder Fund typically invests in amounts up to $200,000 via convertible notes.  Learn more about the fund and eligibility here.
• Seed Funds. This investment fund is targeted to entrepreneurs building technology-based businesses. This fund accepts applications on a rolling basis. The Seed Fund recently invested $200,000 in TargetDocs, a Maryland-based technology startup that created a construction communication platform to streamline project file correspondence between general contractors and all of their subcontractors in one place.  Learn more about the fund and eligibility here.
• Venture Fund: The Maryland Venture Fund is an early-stage, evergreen venture capital fund dedicated to funding and growing the next generation of outstanding businesses in Maryland.  Venture Funds are available to businesses in all fields and initial checks can be up to $750,000.  Learn more about this fund and eligibility here.  

2. Maryland Industrial Partnerships (MIPS)

MIPS provides matching funds to help Maryland companies pay for the university research. Projects are initiated by the companies to meet their own research and development goals.  MIPS awards up to $90,000 to startup firms per project.  Learn more about this program and eligibility here.

3. Maryland Department of Commerce

The Maryland Small Business Development Financing Authority (MSBDFA) administers programs targeted to businesses owned by economically and socially disadvantaged entrepreneurs.  The following programs are administered by MSBDFA and funded by the Maryland Department of Commerce.

• MSBDFA COVID-19 Emergency Relief Loan Fund
• Contract Financing Program
• Equity Participation Program
• Long Term Guaranty Program
• Surety Bonding Program

Additionally, the Military Personnel and Veteran-Owned Small Business Loan Program offers no-interest loans to veteran-owned business and other businesses who hire veterans.  

Learn details about programs and eligibility here.

4. U.S. Small Business Administration

• Grants: Grant funding is available for businesses impacted by COVID-19, research and development, exporting, and other purposes.  Learn more about grants and eligibility here.

• Loans: The Small Business Administration helps pair small businesses with lending partners, effectively reducing risk, and making the process easier. It also offers advisory services on loans as well as benefits such as lower down payments, flexible overhead requirements, and sometimes no collateral. Learn more about SBA loans here.
• Microloan Program: This program provides loans up to $50,000 for small businesses to startup and grow.  The average loan amount is $13,000. You can find additional details and a list of participating lenders here.

At Tinch Law, reimagining intellectual property encompasses reimagining who leads successful startups and runs successful companies.  We primarily support clients by protecting their intellectual property assets, but that’s not all we do.  Schedule a consultation to learn how we can support you and your business.