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Unlocking Entrepreneurship TRANSFORMING COMMUNITIES


our mission

To unlock the full potential of entrepreneurship to transform entire communities.

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LETTER FROM RAY LEACH

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JUMPSTART OVERVIEW

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IMPACT BY THE NUMBERS

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TECH STARTUPS

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SPOTLIGHT

DOUG M C COLLOUGH

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SPOTLIGHT

GERALD HETRICK

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SMALL BUSINESS

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SPOTLIGHT

ANNE HARRILL

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SPOTLIGHT

CARLOS RAMOS

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CORPORATE PARTNERS

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SPOTLIGHT

DAVID SYLVAN

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SPOTLIGHT

MISSY LAVENDER

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RESEARCH INSTITUTIONS

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SPOTLIGHT

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PARTNERSHIPS / GET INVOLVED

NASA’S GLENN RESEARCH CENTER


Entrepreneurship Transforms Our Entire Community.

care systems, and foundations, helping them harness their entrepreneurial spirit and advance their impact. These players are key to driving real, equitable, and measurable economic transformation.

JumpStart believes in the power of entrepreneurship and aspires to achieve an economic transformation benefiting everyone in our community. Each day, we approach our work with the goal of advancing lifesaving and industry-changing innovation among technology startups as well as small, established businesses, which are vital to the economic success of our region. We also strive to foster equity in the economic opportunities available to Black, Hispanic, Latino, and womenled companies representing diverse backgrounds and experiences. While we’ve made significant progress over the last 17 years, we realize our goal of transformation transcends today’s horizon. We’ve seen how a single entrepreneur, tech startup, or

small business owner can make a huge difference and we believe we’ll achieve far more through collaboration. Our public, private, and philanthropic institutions need to work in unison for all to thrive. At JumpStart, we’ve evolved our mission–to unlock the power of entrepreneurship– and expanded the ways we serve by offering meaningful capital, services, and connections. In addition to supporting tech startups and small businesses, we develop strategic partnerships with large corporations, universities, health

A collaborative community enabling innovation, commercialization, formation, maturation, and growth creates more wealth and opportunities for everyone. Fueled by our mission, we are proud to work alongside our partners to lift the entire community. Together, we will create the economic transformation we aspire to achieve.

ray leach

Chief Executive Officer

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We help entrepreneurs grow, researchers commercialize and corporations innovate. These powerful, creative relationships, when supported by our capital, services and connections, spark positive change for equitable and transformative economic impact. We believe entrepreneurship is the heartbeat of thriving economies and communities. From business founders to corporate innovators, those who possess the entrepreneurial spirit solve challenges with fresh perspective. They take bold risks. They clear the path for entire industries. We’re here to help turn ideas into scalable enterprises to transform the region. 3


our interconnected elements of Support CAPITAL Venture capital investment, grant funding and friendly lending opportunities for high-potential tech startups and small businesses.

SERVICES Technical assistance, education and programs that help business owners work smart to grow and accelerate.

CONNECTIONS An extensive network of resources–from advisors to corporate clients and investors–who help entrepreneurs start and scale.

people at the center of change Our teams are uniquely positioned to support four client groups for mutually beneficial outcomes.

tech startups

small businesses

Founders who are in the early stages of launching viable technologies to solve market problems.

Owners who create jobs with communitybased products and services.

Corporate partners

research institutions

Leadership teams within corporations who identify and cultivate inventive opportunities to keep business competitive.

Scientists and thought leaders who invent and test new technologies.

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Transformation by the numbers Over the years, JumpStart has invested thousands of hours and millions of dollars in entrepreneurial initiatives. The entrepreneurs we’ve supported have created a ripple effect within their communities, building vibrant storefronts, creating new jobs, and contributing tax dollars.

3,250+

tech startups Engaged

348k+

advising hours provided to tech startups

625+

technologies sourced and screened for corporate partners by jumpstart

1,780+

small businesses engaged

14,700+

advising hours provided to small businesses

175+

research institution technologies assessed for commercial potential by jumpstart

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Data reflects economic impact of tech startups and small businesses supported by JumpStart and its many ecosystem partners. Unless otherwise noted, all data is cumulative from 2010 through June 2021.


economic outcomes

$9.1B+ in Economic Impact

Generated by tech Startups and Small Businesses supported by JumpStart and its partners from 2010 to 2020.

$5.3B+ $580m+ $2.3b+ $530M+ Revenue generated by tech startups

Revenue generated by Black and Latino-led companies

$182M+ $2b+ Revenue generated by small businesses

Revenue generated by women-led companies

tech startup wages

tech startup state and local taxes

$52m+ $32M+ small business wages

small business state and local taxes 6


tech startups Accelerating the Region’s Top Tech Startups Building a fully-fledged, financially-stable tech enterprise isn’t easy. Early-stage entrepreneurs often require funding to develop a viable product and gain momentum. Investment alone does not ensure successful outcomes. That’s why we help unlock the potential of earlystage tech startups with both venture capital and the services and connections they need to advance.

Our advisors have helped hundreds of tech founders build scalable businesses by guiding them through the venture capital path. Our process helps founders eliminate errors, reduce risk and increase viability. The Burton D. Morgan Mentoring Program matches tech founders with experienced mentors, who help guide critical decisionmaking in the fast-paced and competitive culture of entrepreneurship. In addition to 1:1 advising, we offer deepdive workshops and accelerator programs to help entrepreneurs avoid pitfalls. We also make connections through networking and

peer-to-peer learning opportunities.

1,050+ 9,750+ tech startups engaged by JumpStart and its partners in 2020

Jobs created & retained by tech startups in 2020

The Ohio Department of Development’s Ohio Third Frontier supports early-stage capital and technical services through matched grant funding programs.

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venture capital by the numbers current as of june 2021

$64M+

invested into 134 tech startups

diversity in portfolio leadership

venture Capital JumpStart invests in high-potential, early-stage tech companies, deploying a stage appropriate continuum of capital to companies as they navigate the critical Seed, Pre-seed and Series A phases of development. We invest in passionate founders, surrounding them with resources to accelerate their startups, making investments go further, faster. JumpStart provides companies with access to critical resources in areas like operations, marketing, finance and talent recruitment. These resources become an extension of the founder’s team. With more than 130 investments, we understand the unique challenges startups face and bring expertise to help entrepreneurs navigate growth. Our fund performance is among the top quartile of pre-seed and seed funds nationwide.

35%* 13.5% 21.6%* 10%

women-led companies women-founded companies Black or Latino-led companies** Black or Latino-founded companies***

$140M+

under management across four funds

$2B+

in exit value generated by portfolio companies

$1.4B+

in follow-on funding raised by portfolio companies

*Executive leadership teams include Black, Latino or female representation **17.9% Black-led companies / 3.7% Latino-led companies, ***8.3% Black-founded companies / 1.7% Latino-founded companies

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CATALYZE COMMUNITY TRANSFORMATION Color Coded Labs Connecting members of historically marginalized communities with tech courses to build in-demand skills

Support from jumpstart • Early-stage Capital Funding • 1:1 Tech Startup Coaching • Peer-to-peer and Business Support Connections

Doug c M Collough 9


JumpStart allowed us to successfully get through the due diligence necessary for funding a seed round. We would not have that seed round. We would still be scrambling.”

hear from doug in his own words jumpstar tinc.org/doug

Doug McCollough believes there are talented, creative people in our communities who have yet to reach their full potential. If only they had access to specialized education to level up their skills, they could step into better paying careers and transform their lives. Enter Color Coded Labs. With a background in tech leadership, Doug is well positioned to navigate the complexity of an ambitious business model. His intention?

Offer students the unique opportunity to gain in-demand coding skills with a $100 down payment. Tuition would be deferred until they landed a job. To invest in his students, he would need capital for his business.

connected with JumpStart and others for support. He learned from subject matter experts who shared valuable resources and presented him with pointed, and sometimes challenging, questions.

Admittedly, Doug and his founding partners had never raised capital for a business. They didn’t speak the language of investors. Faced with the pressure to prove that he had a sound growth strategy, he

Doug used the answers to strengthen his business plan and growth goals. With the right support and knowledge base, Doug secured the early capital Color Coded Labs needed to launch.

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GROW IN CLEVELAND Able Building a strong, sustainable software business in Cleveland

Support from jumpstart • Series A Investment • Peer-to-peer and Business Support Connections

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We really wanted to build something special here, so it was important to me to be part of a growth story in Cleveland.”

hear from gerald in his own words jumpstar tinc.org/gerald

Serial entrepreneur Gerald Hetrick knows workplaces across the nation face unnecessary stress throughout the hiring and onboarding process. But not with Able. His company’s onboarding automation software helps workplaces hire employees faster and retain them longer. While his vision and technology were solid, Gerald knew he needed a venture capital partner to help the business

take off. Specifically, he sought a partner from the Northeast Ohio region – one who would understand his commitment to building and keeping his company in Cleveland. He wanted to contribute to the local economy and create more jobs for hardworking people in the area. JumpStart connected Gerald to more than $12 million in capital over the last four years and introduced him to a community of subject matter experts

and tech entrepreneurs who offered guidance on business challenges. From fundraising questions to talent recruitment, there’s always someone to help. As Able continues to grow and reach new milestones, Gerald intends to stay rooted here in Cleveland. After all, there’s no place quite like home.

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small businesses Helping Small Businesses Take Big Steps Forward When small businesses succeed, big things happen. Thriving companies create vibrant communities, generate jobs and boost economic vitality. That’s why we offer capital, services and connections to accelerate the growth of local small businesses and our small business ecosystem. Our door is open to businesses of all types. We’re committed to the success of Black, Latino and women-owned businesses. We partner with other small business support organizations to make entrepreneurship accessible to everyone including historically-underestimated individuals. Based on business objectives, we guide entrepreneurs to the resources that deliver the greatest value to their businesses – and bottom lines.

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Services and connections for Every Stage We have a program to suit every entrepreneur’s needs. Our instructors and advisors challenge business owners to adopt a growth mindset, pushing them to take calculated risks and advance. Peer-to-peer learning is at the heart of our small business programs. When entrepreneurs from all walks of life are brought together in a safe, judgementfree environment, they share invaluable advice, experiences and lessons.


Pathways to Capital Our small business services come with the added benefit of access to funding, in the form of grants, loans and referrals. Our Impact program has deployed more than $400,000 in grant dollars to graduates.

small business impact program

We also guide qualified entrepreneurs to business-friendly lending programs without the obstacles imposed by traditional banking institutions.

In this intensive, 12-week program, each cohort receives industry-specific mentoring with a special emphasis on financial projections and capital pitches.

impact program by the numbers

The program culminates in a competition where participants pitch for a chance to receive up to $10,000 in grant funding. The City of Cleveland and other contributors have provided generous financial support to bring this program to life. Entrepreneurs not yet ready for the Impact Program can take advantage of mentoring, workshops and other programming to grow their burgeoning businesses. The relationships sparked with JumpStart transcend our walls and last a lifetime.

100+

companies have participated in the Program to date

70% 81%

women-owned businesses Black or Latino-owned businesses

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CULTIVATE KEY BUSINESS SKILLS Océanne Developing the acumen required to scale her handcrafted jewelry business

Support from jumpstart • Small Business Grants • Impact Program Participant • Peer-to-peer and Business Support Connections

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I was at a point in my business where I really needed help. We were rapidly growing, and I felt like I needed more direction and a stronger plan.”

hear from anne in her own words jumpstar tinc.org/anne

Anne Harrill loves the joy people feel when wearing her handcrafted jewelry. Her entrepreneurial story shines with passion and purpose. The journey that brought Océanne to life started in Anne’s spare bedroom. After relocating from France to the United States, she was inspired by the distance between her old life and her new one. She began to build a collection of vintage-inspired jewelry for weekend craft shows and flea markets and

quickly rose in popularity in Cleveland and beyond. Her biggest obstacle? She needed to polish up her business skills to maintain continued growth. Fueled by hands-on training and mentorship, the JumpStart Impact Program helped Anne navigate complex decisions, such as how to build her team and sales channels, and focus on big picture goals. She regularly met with fellow business owners to swap advice and stories, and gained the confidence required to scale.

Along with participating in the Impact Program, Anne received $10,000 in grant funding from JumpStart to expand her business’s physical and virtual presence. She knocked down walls to take over a neighboring storefront space and developed an e-commerce platform to spark online sales. With the perfect blend of education and community support, Anne felt empowered to grow the Océanne brand into the glistening community jewel it is today.

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BREW CONNECTIONS AND COMMUNITY The Tea Lab Bringing a wide selection of loose-leaf teas to Cleveland

Support from jumpstart • Small Business Grants • Impact Program Participant • Small Business Workshops • Peer-to-peer and Business Support Connections

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The Impact Program helped me focus my desires to improve my business and define where I wanted it to go.”

hear from carlos in his own words jumpstar tinc.org/carlos

Carlos Ramos is motivated by satisfied customers and happy employees. When he took over The Tea Lab, he heavily invested in his staff’s training to ensure they could respond to his guests’ questions and needs. As the business grew, Carlos realized he needed to invest in himself, too. With a background in marketing and retail, Carlos possessed solid business experience. But entrepreneurship was a whole

new ballgame. His biggest challenge? Doing everything solo. Carlos felt alone, lacking the support he needed to take The Tea Lab to the next level. The pieces fell into place when he discovered JumpStart. To expand his skill set, Carlos took advantage of Impact Program courses. He built his knowledge of social media and digital marketing, helping him increase The Tea Lab’s organic online growth. He

also developed relationships with entrepreneurs who understood his pain points and provided useful insights. Best of all, Carlos doesn’t feel so alone anymore. JumpStart widened his circle and connections, allowing him to weave The Tea Lab into the fabric of the Cleveland community. Not only does he live and work here, but he loves actively contributing to his hometown’s continued success.

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Corporate partners the Innovation Fast Track As technology accelerates, so does the pace of change. Entrepreneurs are constantly seeking to disrupt markets by leveraging emerging technologies. As a result, large organizations are at risk of losing their competitive edge, especially if they don’t see market threats until after they’ve established traction. To help corporations keep up, we partner with their innovation leaders to identify, access and adopt viable technology solutions that address market pain points. We work as an extension of their teams, often sharing co-investment structures to provide the necessary capital to accelerate development and testing. Once the technology proves value inside the organization, we support expansion to new markets, ultimately generating additional revenue streams.

innovation opportunities typically originate in one of two ways:

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“OUTSIDE IN” INNOVATION

“INSIDE OUT” INNOVATION

Once a corporation has pinpointed a market problem, we source and vet solutions developed by emerging technology businesses from around the world. We structure pilot programs and codevelopment engagements that prove market fit and deliver venture investment opportunities.

We help our corporate partners identify and prioritize the ideas generated inside their organizations. For opportunities with high-performance potential, we build roadmaps to spin out and fund these new startups. We activate our advisory services and resource connections to accelerate venture formation in support of corporate goals.


A Structured Path for market Traction Our framework applies a venture capital perspective to corporate innovation to generate competitive insights and market advantage.

The process is straightforward: • Identify business challenges and opportunities

The Economic Ripple Effect While these ventures are designed to generate competitive and monetary value for our corporate partners, our region benefits as well. As corporate innovation expands, it leads to significant increases in job growth, technology spin out companies, capital attraction and industry engagement.

• Source and prioritize innovative solutions from internal resources or emerging global tech companies • Produce thought leadership insights on relevant trends • Implement vendor/customer engagements to bring immediate operational value • Create return-oriented investment opportunities tied to a committed pool of capital or a corporate venture fund

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PARTNERSHIP IN HEALTHCARE COLLABORATION FUND UH Ventures Exploring groundbreaking solutions to improve business performance and patient outcomes

combined Support • Early-stage Investing Capital • Fund Management • Investing Due Diligence

david sylvan 21

president, uh ventures


It’s the first mission I’ve had in my career where I can support a team that creates change and impacts individuals, populations and communities.”

hear from david in his own words jumpstar tinc.org/david

In his role as President of UH Ventures, David Sylvan is surrounded by some of the sharpest minds in the healthcare industry. There’s no shortage of ideas crossing his desk. Physicians, clinicians and administrators across the University Hospitals healthcare system approach his team with ready-made solutions to every day operational or patient care challenges. Together with JumpStart as a strategic partner, David and

the UH Ventures team can assess the commercial viability of compelling inventions, and draw from a shared Healthcare Collaboration Fund to power the idea through an early-stage pilot inside the institution. This Living Lab approach to innovation allows assumptions to be tested and technologies optimized before the opportunity is readied for launch to the broader market.

Organizations like UH Ventures are not only advantageous to the healthcare systems they serve; benefits also extend to the community. Smart, talented tech businesses are drawn to Northeast Ohio, where they find a welcoming team of visionaries ready to fund and support meaningful nextgeneration technologies.

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LEVERAGE LOCAL CONNECTIONS Renalis Health Developing an innovative health platform to improve experiences and outcomes for people with pelvic health conditions

Support from jumpstart • Healthcare Collaboration Fund Investment • 1:1 Tech Startup Coaching • UH Ventures Pilot Program Connection

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JumpStart continually feeds us opportunities to connect with mentors. And that’s extremely valuable to us.”

hear from missy in her own words jumpstar tinc.org/missy

As a seasoned digital health executive, Missy Lavender has experience launching companies that disrupt antiquated industries. The ultimate goal for her latest venture, Renalis, is to create platforms that improve outcomes for people with “below the belt” issues. With the demand for new solutions in this arena, Missy knew she needed capital investment and connections to scale her business the right way.

JumpStart helped facilitate productive conversations with leading pelvic health experts at the Cleveland Clinic and University Hospitals. The latter became her research partner and co-lead funder. With this support, Missy formed a team of pelvic floor, physical therapy and nurse practitioner specialists to develop the Renalis knowledge base that is primed for pilot.

She found both with JumpStart.

Additionally, Missy requires a strong talent pool as Renalis

gains traction. Luckily, Northeast Ohio is home to world-renowned research institutions and medical schools filled with bright minds eager to join a growing team of visionaries. With funding and strong network connections, Missy is on pace to revolutionize pelvic health solutions for patients and providers alike.

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Research institutions Commercialization for Academic and Institutional Research We help research institutions explore and prioritize the commercial potential in their innovations. Research is a critical source for discovering new technology platforms and capabilities. From aerospace programs to healthcare systems and universities, we help researchers pursue opportunities that bring value to the markets they serve. Not every discovery has commercial potential, however. It can solve a problem, but its impact may be limited without significant market need. To be truly viable, we identify opportunities that will scale along a clear path to market. We then support our research and academic partners with access to connections, capital and services to secure the entrepreneurial talent that will bring ideas to life in real-world applications.

930+ 25

patents held by JumpStart clients in 2020


shared resources strengthen outcomes JumpStart has partnered with the Cleveland Clinic to fund Entrepreneurs in Residence (EIRs), where experts are placed within research environments to help identify and drive the commercialization of high-potential healthcare technologies. Currently, EIRs are fully immersed at Case Western Reserve University, where they apply our validation process to early-stage bioscience and health tech concepts. This initiative not only brings a “boots on the ground” perspective to achieve shared commercialization goals; it also serves to attract and develop a diverse pool of regional talent.

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BRING ENTREPRENEURSHIP DOWN TO EARTH NASA’s Glenn Research Center • JumpStart Strategic Partner • Participant in the Venture Validation Program

Office of Technology Incubation & Innovation 27


Glenn strives to develop cutting-edge technology, envision potential applications and find entrepreneurs and regional partners to help bring new products to market.

ADVANCING SPACE INNOVATIONS FOR TERRESTRIAL APPLICATIONS The Office of Technology Incubation and Innovation at NASA’s Glenn Research Center reviews ideas that are out of this world – literally. The office facilitates technology transfer and supports the adaptation of space exploration inventions into terrestrial applications for public benefit. Curiously, NASA is responsible for technologies that are used by millions of people every day. Innovations like GPS, ultrasound technology, memory foam and more were first created for space applications and are now part of modern consumer life. Glenn may be an incubator of space-related inventions, but external market applications are often out of reach.

NASA partners with JumpStart and other strategic advisors to gain third-party perspective on market potential for its portfolio of patents. Through the Venture Validation Program, JumpStart advisors conduct targeted assessments, then pair viable technologies with specialized entrepreneurs to bring the ideas to the public. NASA’s Glenn Research Center is one significant star in a constellation of research, arts and higher learning institutions that make Northeast Ohio well positioned for innovative thinking. When a multitude of thoughts and backgrounds come together, businesses, taxpayers, and communities can all benefit from tomorrow’s ideas, today.

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COLLABORATION DRIVES INNOVATION We value the commitment and support of corporate partners, government agencies, philanthropy and individual donors. Your investment in our mission unlocks the full potential of entrepreneurship to transform our treasured communities.

Our partnerships strategically align across four categories:

Capacity building

Partnerships fund our Future

Strengthening the region’s vibrant entrepreneurial ecosystem

Access Building equitable access to services, connections and capital

Innovation Bringing new ideas to scale within the marketplace and the ecosystem

Collaboration Embracing partnership to achieve equitable economic opportunity

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Our work is resourced through a diversified funding model which includes charitable giving, public investment and financial returns. JumpStart and ecosystem partners leverage funding from the Ohio Third Frontier by matching each dollar with self-sustained funding. This is why partner contributions and collaborations are critical to achieving our mission. While our collective accomplishments are many, there is still much more work to do. Economic impact is amplified through a unique blend of public resources and private investment. If you share our vision in the power of entrepreneurship to transform and enrich our region, we invite you to reach out and explore what your contribution can do.


thank you to our ecosystem builders We are grateful to the many funding partners who make our work possible throughout Northern Ohio.

These partners include: NORTHWEST OHIO

NORTHEAST OHIO

Farmers and Merchants Bank Fifth Third Bank Greater Toledo Community Foundation Huntington National Bank KeyBank LISC Toledo Lucas County Mercy Health System ProMedica Toledo-Lucas County Port Authority The University of Toledo

Burton D. Morgan Foundation City of Cleveland Cleveland Foundation Cuyahoga County Economic Development Administration Education Foundation of America KeyBank Medical Mutual PNC Bank Stark Community Foundation Verizon Wireless

A special thanks to the Ohio Department of Development for their continuous commitment to innovation in Ohio.

And many, many more.

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get involved Learn more about how your support can impact entrepreneurs, the ecosystem and the regional economy.

Call

jumpstar tinc.org JumpStart is a nationally recognized organization dedicated to investing, entrepreneurial support and economic development. Our mission is to unlock the full potential of entrepreneurship to transform entire communities.

Cleveland

216.363.3400

Toledo

567.218.1717

Visit Cleveland

6701 Carnegie Ave. Suite 100 Cleveland, Ohio 44103

Toledo

709 Madison Ave, Suite 101 Toledo, Ohio 43604