The Iowa Economic Development Authority awards funding to startups in the form of low-interest loans through its Innovation Continuum, which includes five funds that are designed to offer companies non-dilutive funding at every stage of business growth. The funds are: Proof of Commercial Relevance (POCR), Demonstration Fund and the Innovation Acceleration Fund, which offers Launch, Propel and Innovation Expansion awards.

These financing options are geared toward companies operating in the fields of advanced manufacturing, biosciences or information technology. Each fund in the continuum also requires the company to supply matching funds, which could come from family and friends funding, outside investors or federal funding programs like the Small Business Innovation Research program.

Starting this year, IEDA has provided additional funding through the U.S. Treasury’s State Small Business Credit Initiative (SSBCI). Iowa received $96 million from SSBCI, and $22 million was allocated to increasing the amount of funding available through each of IEDA’s innovation funds. For example, before the SSBCI funding, companies could receive a POCR loan of up to $25,000; now POCR loans of up to $50,000 are available.

After the application process, which includes an interview with a panel of experts in the industry the company operates in, companies present to the IEDA Technology Commercialization Committee (TCC). The TCC then makes recommendations to the IEDA board for final approval of awards.

The SSBCI Review Committee also reviews and scores applications and makes recommendations to the executive director of IEDA for final approval of awards that are funded through the SSBCI allocation. Both committees meet every two months.

Five startups received a total of $1,575,000 in loans through IEDA programs in the third quarter of 2024.

Iowa Innovation Continuum

No startups were approved for loans from this program during the third quarter.

State Small Business and Credit Initiative

Genvax Technologies - Ames: $250,000 Innovation Acceleration Launch Fund loan. The animal vaccine company has developed proprietary next-generation RNA and nanoparticle vaccines. Its first product will be a vaccine for swine influenza, with technology that can be used to develop herd-specific vaccines. 

The Agenda. Period Inc. - Brighton: $175,000 Demonstration Fund loan. The Agenda. Period has created a comprehensive mobile application to better understand and navigate an individual’s menstrual cycle. The platform tracks cycles and symptoms and provides resources to support hormonal health and overall well-being. 

Stratafolio Inc. - Cedar Rapids: $100,000 Innovation Acceleration Launch Fund loan. Stratafolio provides a cloud-based software-as-a-service product for companies that own and manage commercial real estate.

Hudu Inc. - Urbandale: $50,000 Proof of Commercial Relevance loan. Hudu is a centralized online marketplace for odd job services aiming to create a better gig economy. The platform combines a competitive bid approach with artificial intelligence.

Coviance Inc. - West Des Moines: $1 million Innovation Acceleration Expansion Fund loan. 

Coviance developed lending automation technology software applications for community banks and credit unions, specifically in the home equity and mortgage lending space.