Viewpoint S.C.’s entrepreneurial ecosystem shaking off pandemic pause VIEWS, PERSPECTIVES AND READERS’ LETTERS
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nnovation is alive and well in South Carolina and is having an increasing impact on our state’s economy. We at the S.C. Research Authority have a front-row seat to many of the exciting developments coming from our colleges, universities, technology startups and industry partners from across our state. We also have experienced the effects the panBOB QUINN demic has had on these institutions and sectors and how, during the lockdown, the dearth of activities and events led to a marked decline in innovation development and commercialization. However, in 2021, we are seeing things rapidly returning to normal. Thanks to factors such as events like the recent Dig South conference in Charleston and the NEXT Ventures pitch competition coming to Greenville in September, there has been a rapid increase in pipeline activities, early-stage companies looking for support and relocating to the state, and industry involvement in innovation assessment and adoption activities.
Growth in pipeline
Networking and interaction are critical activities for the entrepreneurial ecosystem. Entrepreneurs need a strong support network to help find the next big idea, support that idea’s development and fund its evolution into a viable product and/or service in the marketplace. Although we’ve become well-versed at virtual meetings during the last 18 months, it has become very clear that, for the innovation sector to thrive, constant interaction and networking are crucial for those moments of serendipity that allow innovation to be conceived, developed and delivered. As of March, we have seen a dramatic increase in the number of these interactions. From coffee meetings between entrepreneurs to larger state and regional conferences, new ideas are being developed, partnerships are being formed, and the innovation economy is becoming vibrant again. We are once again beginning to see the pre-pandemic volume of companies seeking support and funding, and we are discovering new ways to create economic value via increased interactions between and among industry, startups, and academia. It remains to be
Francis Marion University is participating in a $3.3 million, matching-grant initiative funded by the S.C. Research Authority to spark research projects facing S.C. business and industry. (Photo/FMU)
seen to what degree the recent increases in COVID-19 cases from the Delta variant will have a dampening effect on this trend.
Companies pitching
This increased activity in the innovation space has also led to a significant increase in early-stage startup company activity. Many of these companies went into a form of hibernation during the shutdown as they found it extremely challenging to acquire customers, hire people, obtain funding, and further develop their innovations. In the last few weeks, all these things became possible again, and as a result, SCRA has also had an increase in companies approaching us for our funding and business support programs. Much of this is pent-up demand from the previous months. However, we are also seeing new concepts and ideas, developed during the pandemic months, that resulted in the formation of startups. Many of these of these companies were created by first-time founders, new to the entrepreneurial process, and we are adapting our programs and more effectively teaming with our ecosystem part-
ners to better support these companies in their earliest stages.
Relocations expanding
Another positive trend is the growing desire of early-stage, technology-based companies to relocate to South Carolina. This year, SCRA has teamed with organizations such as the Upstate SC Alliance in multiple projects involving companies relocating from across the country. Our weather, thriving industry sectors, strong entrepreneurial ecosystem, lower cost of conducting business, and overall quality of life make our state a desirable relocation destination. We offer relocation grants to eligible companies to offset the cost of relocating and provide networking support to the companies seeking customers and partners.
Tech startups
We are also seeing an increase in the number of companies interested in partnering with startups to solve their own technological needs. Our team conducts tech scouting for large industry partners and those seeking assistance has increased. In many cases, we have demonstrated to our industry partners
that it is often more cost-effective and efficient to partner with a startup to solve a technological need than to hire an industry vendor or attempt to address it entirely inhouse. We offer demonstration grants to co-fund with the industry partners pilot projects to reduce the risk of adopting new technical solutions. In addition to these positive trends, we are part of an ever-growing innovation ecosystem. We’ve formed strong strategic partnerships with organizations that share our goal of fueling South Carolina’s innovation economy. I’m confident that this ecosystem can provide the resources a tech startup would need to grow and succeed in South Carolina. Bob Quinn is executive director for the S.C. Research Authority. Find more information about the organization online at www.scra.org.
We want to hear from you Write: Melinda Waldrop, Editor Columbia Regional Business Report, 1612 Marion St., Suite 301 Columbia, SC 29201 Email: mwaldrop@scbiznews.com