Family & Friends Innovation
Development Fund
EDC Loan Program
The Family and Friends Innovation Development Fund will fund a portion of the research or outside technical assistance that is needed by existing businesses and/or entrepreneurs seeking to bring a technological advancement to the marketplace.
The Family and Friends Innovation Development Fund is a pilot program of the Eau Claire Area EDC, please call the office at 715-834-0070 prior to completing the application to ensure availability of funds. If EDC resources are limited, the EDC staff can suggest other programs that may exist to support your product development efforts.
Eligibility
Any business with fewer than 50 employees that requires outside technical assistance to address market feasibility, demand for proposed product, prototype development, and research of product alternatives and industry sectors to prepare for the next stage of business financing. Funding of technical assistance for actual business plan development is not an eligible expense. The program has a continual application process.
The applicant business will commit to locating its initial operation/new technology in the region covered by this program and will create quality jobs.
Terms
The program will fund up to 50% of technical assistance needed to advance or protect product innovation toward commercialization. The program is designed as a low interest loan with deferred payments for a period determined by the ECA-EDC. The maximum term is 7 years. Loan can be forgiven, if technology isn't deemed to be commercially viable.
Repayment Terms
If the result of outside technical assistance research is deemed appropriate for commercialization, the ECA-EDC will meet with the applicant company to review specific results and recommend other technical resources, financial programs available and potential physical space/resources available within the region to advance the company technology commercialization process. Loan repayment terms will be confirmed. If the result of technical assistance is deemed not to be appropriate for commercialization, the ECA-EDC will determine if loan repayment should be required or forgiven.
Ownership/Equity Position
This program is designed as a loan program. No equity position will be taken. This loan program should eventually be part of a 501(c)(3) corporation. If the project becomes commercially viable, it would be requested that future equity investors and company ownership that receive financial benefits from technical assistance provided by the Innovation Development Fund consider a charitable donation to the fund.