Innovation Fund - Funding Option B

Innovation Fund - Funding Option B ("B" Award)

Geographic Scope: Northeast Ohio (21 counties); applicants must be located in and remain in Ohio

Focus Areas:

• New/innovative technology in high-growth industries as defined by Ohio Third Frontier Program
• Incubating phase companies
• Business model validation and testing

Award Purpose:
Designed to "prove the business concept" through:

• Development and refinement of business plan
• Market testing
• Acquisition of market prospects/new customer acquisition
• Hiring of key personnel
• Other tasks supporting business model validation
• Testing business model around technology

Eligibility Requirements:

• Business must be located in and remain in Ohio
• Developing new technology in high-growth industries
• Business/technology must be in proof-of-concept/startup phase
• Early-stage: typically pre-revenue with fewer than 5 principals
• First investment after entrepreneur's personal assets expended but before outside firm investment
• Must have passed family and friends capital-raising stage
• Must attend mandatory Innovation Fund 101 Information Session
• Typically companies that have completed "A" Award milestones, though not required

Mandatory Requirements:

• Provide 1:1 dollar match for award (must match funds dollar-for-dollar, doubling impact)
• Provide PAID student internship as educational opportunity
• Agree to mentoring through GLIDE and/or regional partner
• Agree to Convertible Debt instrument
• Portfolio companies expected to use award within 12 months
• Must provide paid internship: students enrolled at institution of higher education, approximately 160 hours/semester, ~10 hours/week, minimum wage $14/hour
• Companies must develop scope of work for intern to engage in and understand startup inner-workings

What They Fund:

• Innovative and cutting-edge technologies
• New applications for existing technologies
• Companies with unique value propositions

What They Don't Fund:

• Non-technology companies
• Companies outside Ohio
• Companies that haven't completed family/friends funding stage
• Companies that have already received outside investment

Organization Background:

• Innovation Fund established 2007
• Administered by Great Lakes Innovation and Development Enterprise (GLIDE)
• Nonprofit organization
• Part of Lorain County Community College ecosystem
• 289+ companies funded
• $19.275 million total funded
• 1,250+ jobs created
• 445+ students engaged

Application Process

Step 1: Attend Mandatory Information Session

Required before applying

Free Innovation Fund 101 session conducted by Innovation Fund team

Sessions typically last up to one hour

Cover background, goals, impact, awards, timeline, and process

Currently conducted via online meetings

Sign up required (no upcoming sessions scheduled as of 2026-04-03)

Step 2: Online Application
The application consists of two sections:

#### Business Requirements Section
Applicants must answer questions including:

Information about the business concept

Technology focus

Business vision (sales, profit, employees, location)

Commercialization phase

Timeline

Essential activities

Target market

Proposed educational opportunity (PAID internship for B Award)

People (who is involved and backing the company)

Plans for use of the award

#### Financial Requirements Section

Complete Excel-based spreadsheet

Create required financial projections

Develop assumptions and financial models

Create balance sheets and income/cash flow statements

Innovation Fund provides support for developing financial projections

Experts available to coach applicants on presenting/defending models

Step 3: Prepare Materials

Pitch presentation (typically PowerPoint or PDF format)

Innovation Fund provides detailed outline of pitch requirements

Regional Entrepreneurs-in-Residence (EIRs) available to help craft presentation materials

Financial workbook completion assistance available

Step 4: Screening Committee Review

Applications reviewed during quarterly cycles

Innovation Fund Screening Committee reviews all applications

Committee comprises members from higher education, regional economic development partners, private industry, and Entrepreneurs-in-Residence

Step 5: Due Diligence Committee Decision

Applications that pass screening presented to Innovation Fund Due Diligence Committee (DDC)

DDC comprises approximately 15 members with private sector experience in technology and business startups

DDC makes final funding decision

Application Submission:

Online application portal

Save progress regularly

If having trouble submitting finalized application, save progress and email julie@glideit.org for assistance

Key Application Notes:

Applicants may submit ONE application per investment cycle

Applicants must apply for the award most appropriate to their stage of development

Many entrepreneurs apply multiple times before securing funding

Feedback provided even if not selected for funding

Rejected applicants partnered with regional EIR to refine business idea and re-apply

Internship Planning Support:

Innovation Fund will work with portfolio companies to develop and document internships meeting all program requirements

Assistance ensuring compliance with applicable labor laws

Required Resources:

Downloadable financial information templates (available after account registration)

Regional Entrepreneurs-in-Residence for guidance

Support for developing financial projections

Mentorship and coaching available