ANCHORAGE— Four new potential partner funds have received an “intent to invest” recommendation from the 49th State Angel Fund (49SAF) after a public application process from January to May. The four funds selected are: Anchorage Opportunity Fund II, Blue Pipeline Fund, Alaska Seed Fund, and the Set Up Shop Fund.
The Anchorage Opportunity Fund II is a growth equity fund, and will focus on injecting capital into proven businesses to improve operational and financial outcomes. Blue Pipeline Fund will invest in Alaska maritime and mariculture companies, using a 12-week “startup accelerator” model to help them rapidly mature under mentorship from the Alaska Ocean Cluster Initiative and the Alaska Small Business Development Center. The University of Alaska’s Alaska Seed Fund supports entrepreneurs in prototyping, conducting studies, validating customers, and gaining market traction. Managed by the Anchorage Community Land Trust (ACLT), the Set Up Shop program provides previously unavailable microloans and training to diverse entrepreneurs.
The Municipality intends to invest between $1.75 and $2.5 million across all four funds by 2019. To successfully launch, all funds must raise an equal or greater amount of private capital and complete 49SAF’s due diligence, negotiation, and final approval processes. To date, 49SAF’s returns total $1.6 million, all sourced from the Anchorage Opportunity Fund (AOF), managed by Anchorage businessmen John Rubini, Mark Kroloff, and Jimmy Miner.
“The 49th State Fund aims to partner with entrepreneurs to generate a return, diversify our economy and create new businesses and jobs in Anchorage and across Alaska,” said Mayor Ethan Berkowitz.
For more information, contact Joe Morrison, 49th State Angel Fund Director, (907) 343-4898, MorrisonJN@muni.org.
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One of the only municipally-managed venture capital functions in the nation, the $12.7 million 49SAF was established in 2012 by the Municipality of Anchorage. It has created four locally-managed “Partner Funds” that invest 49SAF dollars into companies alongside private capital. To date, the 49SAF has deployed $4.9 million into 17 different small businesses. For every dollar the 49SAF invests, the private sector invests two on average.