$25 Million Alabama Futures Fund: ‘This state is open for business for startups.’
Alabama’s startup scene grabbed eyeballs last year when Target bought Birmingham-based Shipt for $550 million. The city’s entrepreneurial community wants to keep that momentum going. One new effort is the Alabama Futures Fund. The $25 million fund will provide venture capital to new companies either in Alabama or to those willing to relocate here. WBHM’s Andrew Yeager spoke with Matt Hottle of Redhawk Advisory.
Interview Highlights
What companies the fund will invest in:
“What we really look at is there’s kind of three big pillars. The first thing we look at is the market that they’re going into. Is it a big enough market? Is it a market that has some size to it and has some opportunities within it. They we look at the founders themselves. Are they able to execute? Will they be adaptable? Because inevitably something’s not going to go right … And then the third thing is, is this scaling quickly or could this scale quickly. Something that’s going to take 20 years to get going, that’s probably not going to fit our investment thesis as we like to call it.”
The makeup of the fund:
“We have a split. A portion of the fund is for initial investments. And then a portion of the fund is going to be reserved for follow-on investments. And the reason that we’re doing that is that of the couple dozen investments that we’ll end up making, a handful will make it and the rest won’t … So we have to have this follow-on funding so that those teams that are succeeding, that are winning, that are moving forward, that are scaling, that we’re able to keep them going.”
The longterm goals of the fund:
“First and foremost, really get the message out that this state is open for business for startups. And capitalize on some of the stuff that’s already been massively successful in the last year … I think the second thing is that we really want to create this total lifecycle for companies. We don’t just want them to come here, get some funding, grow, get an investment from somewhere else and move. We want them to come here. We want them to grow. We want them to succeed. And then we want them, whatever that looks like, to then start seeding more companies, because that’s how real startup communities become startup giants.”
Here are some of the NPR stories that had a big impact in 2024
From learning a new skill to prompting federal legislation, here are some of the ways people's lives were affected by the NPR Network's journalism this year.
50 wonderful things from 2024
Pop culture critic Linda Holmes has been making this annual list since 2010. Big, small, inspirational, silly — what these items have in common is that they are all wonderful and brought her joy.
The 2024 moments that will stick with us: Reflections from the Gulf States Newsroom
Our regional reporters reflect on delightful, discarded moments they had in the field as they covered stories across Alabama, Mississippi and Louisiana.
Israeli strike kills 5 Palestinian journalists in Gaza, officials say
An Israeli strike killed five Palestinian journalists outside a hospital in the Gaza Strip overnight, according to the Health Ministry. The Israeli military said it had targeted a group of militants.
Popeye, Tintin and more will enter the public domain in the new year
The copyrights of thousands of 20th-century films, books, compositions and sound recordings expire on Jan. 1, making them free for anyone to share and adapt. Here are some of the highlights.
Minn. Democratic party chair says his wins could help nationally after loss to Trump
Ken Martin helped turn around the Minnesota Democratic-Farmer-Labor Party's finances and secure a streak of statewide wins for the party over 18 years. Now, he wants to do the same thing for the Democratic National Committee.
