Venture capital is the mother’s milk of new business formation. It can make the difference between a healthy start-up business and an unhealthy one, and sometimes the life or death of one. Though the success of new business formations is vital to the Maryland economy, sixty seven percent of technology-related Maryland businesses say they have a critical need for financing not avail able through commercial banks.
It follows that if Maryland hopes to stay competitive with other states in this area of economic development, it will have to develop programming that addresses this need. That need is underscored by recent findings:
The net results of Maryland’s lackluster performance in providing venture capital to its emerging growth companies is only too clear: while other states are developing the venture capital needed to support the growth of start-up technology companies, Maryland is falling further and further behind.
As a result, it is the state’s economy that is suffering; the state’s leadership has its work cut out for it.