The National Association of Seed and Venture Funds and the non-profit Innovation America are proposing a new $1-$2 billion public/private partnership for seed investment. The proposal is their bid to get federal economic stimulus money flowing into new company formation.
Rich Bendis, founder of Innovation America, told Ebb & Flow the group had proposed a $1 billion program and said the Office of Management and Budget responded that $2 billion might be a more appropriate funding level. These federal funds would then be matched by state investment groups, angel investors and early stage VCs.