Support for Virginia's Entrepreneurial Ecosystems
VIPC’s Entrepreneurial Ecosystems Division (EED) was established in July 2020 to support and promote technology-focused entrepreneurial ecosystems throughout the Commonwealth of Virginia. We work closely with startup accelerators and incubators, training providers, technology councils, chambers of commerce, investor groups, and other Virginia-based organizations that work with entrepreneurs through the early stages of business formation and growth. EED launched the Regional Innovation Fund (RIF) in March 2021, and more details on this program appear below. EED actively promotes VIPC’s portfolio of entrepreneurship support programs.
If you have any questions about EED or the RIF, please contact the Division at RIF@virginiapc.org.
What is the Regional Innovation Fund?
The Regional Innovation Fund (RIF) is a state-funded program that awards competitive grants for operating and programmatic support to Virginia-based entrepreneurial support organizations (ESOs) that serve science and technology-based enterprises and ecosystems. RIF awardees are eligible to apply for subsequent years of funding, provided that they continue to achieve projected outcomes and impacts. The RIF is administered by VIPC’s Entrepreneurial Ecosystems Division (EED). The RIF guidelines, procedures and criteria outlined here are effective as of September 6, 2022.
Solicitation Schedule Proposals for RIF grants are accepted by EED on a rolling basis throughout the year, and we will endeavor to complete the review of each proposal within 60 days of receipt. If grants are approved by VIPC, grantees can expect a signed grant agreement and initial disbursement of 50% of the awarded funds within the next 30 days.
Entities Eligible to Apply for RIF Grants
RIF grant eligibility is limited to entrepreneur support organizations (ESOs) that are:
- Headquartered, or maintain a significant operating presence, in Virginia,
- Have a track record of supporting Virginia-based startups,
- Meet at least one of the following two criteria:
Have successfully executed GO Virginia grants supporting science and technology-based entrepreneurship and ecosystem development in Virginia, OR Have actively collaborated with the VIPC Commercialization, Entrepreneurial Ecosystems, Investment, and Strategic Initiatives divisions.
Additionally, all awardees must demonstrate a 2:1 funding match, meaning that for every dollar of requested RIF funding, the applicant will have funding of at least $0.50 coming from non-state sources. Note that the 2:1 match requirement is only valid through June 30, 2024, and is a result of the VIPA board’s determination that the economic disruption caused by the COVID-19 pandemic and the subsequent local and statewide policy efforts to drive economic recovery and resilience represents a case for “fiscal distress or an exceptional economic opportunity in a region”.
Investments
Proposal Guidelines
RIF grant requests may be up to $200,000, with a standard period of performance of 12 months.
The application packet should include a Proposal Narrative along with the following attachments:
- Proposal Narrative (in MS Word)
- Completed Budget Template to cover the 12-month project performance period (In MS Excel)
- Completed Metrics Template for project performance period (In MS Excel)
- Letters of financial commitment from applicant and any other match partners required to document and demonstrate the required match (PDF)
- 1-3 additional letters of support from key stakeholders (regional leaders, program participants/alumni, partner organizations, etc.) (PDF)
- Financial Statements for most recent fiscal year in PDF form to include:
- Balance Sheet/Statement of financial position
- Income Statement/Statement of Activities
- Statement of Cash Flows
- Statement of Functional Expenses
- Annual Federal Tax Filing (ex. IRS 990) for most recent fiscal year in PDF
- Annual Audit or CPA Review (if available) for most recent fiscal year in PDF
The Proposal Narrative should be four (4) pages and include the following sections:
- Applicant information (entity name, entity type, EIN, entity address, website, and the authorized representative’s name, email and phone #)
- Proposal summary (200 words max)
- Description of applicant organization, including mission, programs offered, and brief bios for key personnel (300 words max)
- Description of program(s) that RIF funding will support (500 words max)
- Who do the program(s) serve?
- What are the principal attributes of the program(s)?
- If applicable, how has GO Virginia funding validated the program(s)
- Funding narrative (500 words max)
- Aligned with the completed budget template
- Explanation of planned expenditures and how those expenditures fit into the proposed scope of activities. Information should include: 1) Total requested funds from RIF with line-itemed amounts; 2) Sources and amounts of committed match funding from others
- Sustainability Plan (300 words max)
- Expected funding sources to support the organization and RIF-related activities beyond 12-month time horizon. This may include future RIF applications.
- Provide a rationale for the projected success metrics included in the metrics template (200 words max). Awardees will be required to report annually on supported companies’ performance for up to 5 years.
Proposal Evaluation
VIPC will be looking for RIF proposals that:
Include innovative entrepreneurship support programs that utilize national or statewide best practices and programs, and are primarily directed at potentially high-growth science and technology-based companies and the ecosystems that support those companies Support collaboration to leverage existing assets, resources and programs (i.e. minimize duplication) Demonstrate past success and future plans to work with historically underrepresented founders (e.g. minorities, women, veterans, rural) Seek to develop Virginia-based science and technology startups in growth industries and sectors (including those in the current Commonwealth Research and Technology Strategic Roadmap) Identify sources and commitments for required 2-to-1 funding match (cash and in-kind) Present a compelling long-term strategic plan and sustainable funding strategy (e.g. funding from RIF, federal grants, local and regional entities, corporate contributions, usage/membership fees, etc.) Commit to measure and monitor success based on applicable outcome metrics Include a clear and reasonable budget for the proposed 12-month period of performance, to include sources and uses of funds Have a maximum of three (3) letters of support from key stakeholders Have letters of financial commitment from other funding sources (to validate the required 2:1 funding match)
Following a diligence process for each application to determine eligibility, compliance, and merit, the VIPC review team will make grant recommendations to VIPC’s CEO. The CEO is authorized to approve the applications and provide related funding. Approved
grant amounts may be less than requested in the grant proposal. Grant decisions made by VIPC are final. No more than one grant per entity will be allowable each year. At any time, new RIF grant awards may be discontinued or deferred due to lack of funding for the RIF program.
Reporting Requirements
Reporting requirements RIF grant recipients will be required to submit interim 6-month reports (due to VIPC before the last day of the 7th month), and final reports (due to VIPC before the last day of the 13th month). These reports will include the following:
Program and organizational update narrative year-to-date financial report (budget vs. metrics update
VIPC’S RIF team will schedule meetings with each RIF grantee at least to discuss (A) the interim/final reports, and (B) other matters relating to the grantees and their entrepreneurial support programs.
Success metric RIF GRANT recipients will be required to collect the mutually agreed upon success metrics for a period of five years, and will share those metrics with VIPC annually. Metrics will be reported using a provided metrics template.
-Frequently Asked Questions-
How much funding can we?
Apply from the RIF?
We will consider proposals for grants of up to $200,000.
What is the period of performance?
12 months. RIF funding can be continued for additional 12-month periods with the submission and approval of subsequent proposals.
How do we submit our RIF proposal?
If you are interested in applying for RIF, please reach out to the Division at RIF@VirginiaIPC.org to begin the conversation and receive copies of the proposal templates. Full application files will include:
1. Proposal Narrative (in MS Word)
2. Completed Budget Template to cover the 12-month project performance period (In MS Excel)
3. Completed Metrics Template for project performance period (In MS Excel)
4. Letters of financial commitment from applicant and any other match partners required to document and demonstrate the required match (PDF)
5. 1-3 additional letters of support from key stakeholders (regional leaders, program participants/alumni, partner organizations, etc.) (PDF)
6. Financial Statements for most recent fiscal year in PDF form to include:
Balance Sheet/Statement of financial position
Income Statement/Statement of Activities
Statement of Cash Flows
Statement of Functional Expenses
7. Annual Federal Tax Filing (ex. IRS 990) for most recent fiscal year in PDF
8. Annual Audit or CPA Review (if available) for most recent fiscal year in PDF
You will receive an acknowledgement of receipt within three business days.
What are allowable uses of RIF
Grant funds?
RIF grant funds can be used for a broad array of expenditures and should be structured according the following categories in the submitted budget template:
Labor (salaries and fringe) Travel Contractors (including service providers for accounting, legal, marketing, non-W2 instructors, subject matter experts/mentors, etc.)
Materials and Supplies (office supplies, computers, etc.)
Other Direct Costs (rent, utilities, software, marketing, membership fees, events, other administrative and programmatic expenses not included elsewhere)
After we submit our application for
RIF support what can we expect?
We will acknowledge receipt of your proposal within three (3) business days. Following that, VIPC will conduct a careful review of your proposal, and will most likely reach out to schedule one or more face-to-face meetings to discuss your organization, programs and plans in more details. During our review, we may also ask to speak to a selection of your clients (i.e. startup founders you’ve worked with) and other funding providers. We will endeavor to provide a go/no-go decision within 60 days of receipt of your proposal. If your proposal is accepted, we will work with you to finalize a grant agreement and funding within the following 30 days.
We are 18 months in our go virginia
Grant. when should we apply for a RIF
Grant?
Now would be a good time to start planning to apply. We will not allow GO Virginia and RIF funds to support the same programs at the same time, but we will look to make RIF funds available as soon as your GO Virginia period of performance (PoP) and funding come to an end. First time applicants to RIF should expect 60 days between proposal submission and decision, and another 30 days from approval to funding.
Can our organization have an active
Go virginia grant alongside an avtive
RIF grant?
Yes, provided that the GO Virginia grant is in support of activities that are not included in your RIF grant proposal. GO Virginia grants will generally be used to build new infrastructure and test and validate new entrepreneurial support programs, while RIF grants will generally be used to help sustain existing infrastructure and successful programs.
DOES VIPC ALLOW STATE GRANTS, SUCH AS
GO VIRGINIA, TO COUNT TOWARDS THE
REQUIRED 2:1 FUNDING MATCH?
Not if the other state grant also comes from Virginia state appropriations (general fund). For example, because RIF and GO Virginia funds both come from Virginia’s general fund, RIF funds and GO Virginia funds cannot be used as match toward the other program.
DOES VIPC ALLOW FEDERAL GRANTS OR
CONTRACTS (E.G. EDA BUILD TO SCALE
GRANTS, ETC.) TO COUNT TOWARDS THE
REQUIRED 2:1 FUNDING MATCH?
Yes, provided these funds are unspent at the beginning of the period of performance and have not been otherwise committed as match against another grant. However, please check with your federal program officer to determine whether any federal funds would be eligible to be used as matching resources. As with any matching funds, a letter of commitment would be required from the match source indicating that the funds are available and eligible for use as match.
CAN GRANTS FROM LOCAL GOVERNMENT
OR PUBLIC HIGHER EDUCATION
INSTITUTIONS COUNT TOWARDS THE
REQUIRED 2:1 FUNDING MATCH?
Yes, provided these funds are available but unspent at the beginning of the period of performance, have not been otherwise committed as match against another grant, and did not originate as state appropriations. Matching funds from third parties should be supported by a letter of commitment from that entity.
CAN RESOURCES FROM CORPORATIONS OR
FOUNDATIONS COUNT TOWARDS THE
REQUIRED 2:1 FUNDING MATCH?
Yes, provided these funds are available but unspent at the beginning of the period of performance and have not been otherwise committed as match against another grant. Matching funds from third parties should be supported by a letter of commitment from that entity.
IS THERE A CAP ON INDIRECT COSTS?
No. This issue will not be relevant to most applicants for RIF, as this question only applies to organizations with a published federal indirect rate.
OUR PROGRAMS SUPPORT VIRGINIA-BASED
STARTUPS, BUT ALSO STARTUPS BASED IN
OTHER STATES AND/OR ABROAD. ARE WE
ELIGIBLE FOR RIF GRANT SUPPORT?
Yes, provided that the majority of supported companies served by your programs are based in Virginia, and you encourage supported non-Virginia startups to consider relocating to Virginia.
YOU REFERENCE INDUSTRIES INCLUDED IN
THE COMMONWEALTH RESEARCH AND
TECHNOLOGY STRATEGIC ROADMAP. WHAT
ARE THOSE INDUSTRIES?
The Commonwealth Research and Technology Strategic Roadmap lists the following industries as being strategically important for Virginia:
Advanced manufacturing
Aerospace
Agriculture
Autonomous systems
Communications
Cybersecurity and cyber-physical systems
Energy
Environment
Information Technology (including data science and analytics)
Life and health sciences
Modeling and simulation
Nuclear physics
Transportation
IN THE METRICS SECTION, YOU REFER TO
“SUPPORTED COMPANIES” – WHAT DO YOU
MEAN BY THAT?
“Supported companies” are startups or other companies that have materially participated in your entrepreneurial support programs. For example, a startup that participates in a multi-week acceleration program would be a supported company. A startup whose founder or employee attended one of your networking events would not be a supported company.
IF WE ARE APPROVED FOR RIF SUPPORT,
HOW WILL WE RECEIVE OUR GRANT?
In general, RIF grantees will receive half of their grant when the grant agreement is executed by both the grantee and VIPC and the other half following the successful completion of the 6-month interim report.
We have received our RIF grant, and
Now want to make some
Programmatic changes that will
Impact our budget. Does VIPC needs to
Approve these changes?
No, however RIF grantees should inform VIPC as soon as possible of any operational changes that create a financial variance (budget-to-actual) of over 10% (e.g. $20,000 of a $200,000 award) within a 12-month period of performance. These variances should also be discussed in the interim and final written reports.
We have received our initial RIF grant.
when should we submit?
Application for year 2 funding?
If you wish to apply for RIF funding beyond the initial 12-month period of performance, begin consulting with the RIF team at VIPC in the 8th or 9th month of your current RIF grant. VIPC will require a new proposal each year from existing RIF grantees.
What can i do if i still have questions?
If you still have questions, please reach out to the Division at RIF@VirginiaIPC.org.
We will consider proposals for grants of up to $200,000.
12 months. RIF funding can be continued for additional 12-month periods with the submission and approval of subsequent proposals.
If you are interested in applying for RIF, please reach out to the Division at RIF@VirginiaIPC.org to begin the conversation and receive copies of the proposal templates. Full application files will include:
1. Proposal Narrative (in MS Word)
2. Completed Budget Template to cover the 12-month project performance period (In MS Excel)
3. Completed Metrics Template for project performance period (In MS Excel)
4. Letters of financial commitment from applicant and any other match partners required to document and demonstrate the required match (PDF)
5. 1-3 additional letters of support from key stakeholders (regional leaders, program participants/alumni, partner organizations, etc.) (PDF)
6. Financial Statements for most recent fiscal year in PDF form to include:
Balance Sheet/Statement of financial position
Income Statement/Statement of Activities
Statement of Cash Flows
Statement of Functional Expenses
7. Annual Federal Tax Filing (ex. IRS 990) for most recent fiscal year in PDF
8. Annual Audit or CPA Review (if available) for most recent fiscal year in PDF
You will receive an acknowledgement of receipt within three business days.
RIF grant funds can be used for a broad array of expenditures and should be structured according the following categories in the submitted budget template:
Labor (salaries and fringe) Travel Contractors (including service providers for accounting, legal, marketing, non-W2 instructors, subject matter experts/mentors, etc.)
Materials and Supplies (office supplies, computers, etc.)
Other Direct Costs (rent, utilities, software, marketing, membership fees, events, other administrative and programmatic expenses not included elsewhere)
We will acknowledge receipt of your proposal within three (3) business days. Following that, VIPC will conduct a careful review of your proposal, and will most likely reach out to schedule one or more face-to-face meetings to discuss your organization, programs and plans in more details. During our review, we may also ask to speak to a selection of your clients (i.e. startup founders you’ve worked with) and other funding providers. We will endeavor to provide a go/no-go decision within 60 days of receipt of your proposal. If your proposal is accepted, we will work with you to finalize a grant agreement and funding within the following 30 days.
Now would be a good time to start planning to apply. We will not allow GO Virginia and RIF funds to support the same programs at the same time, but we will look to make RIF funds available as soon as your GO Virginia period of performance (PoP) and funding come to an end. First time applicants to RIF should expect 60 days between proposal submission and decision, and another 30 days from approval to funding.
Yes, provided that the GO Virginia grant is in support of activities that are not included in your RIF grant proposal. GO Virginia grants will generally be used to build new infrastructure and test and validate new entrepreneurial support programs, while RIF grants will generally be used to help sustain existing infrastructure and successful programs.
Not if the other state grant also comes from Virginia state appropriations (general fund). For example, because RIF and GO Virginia funds both come from Virginia’s general fund, RIF funds and GO Virginia funds cannot be used as match toward the other program.
Yes, provided these funds are unspent at the beginning of the period of performance and have not been otherwise committed as match against another grant. However, please check with your federal program officer to determine whether any federal funds would be eligible to be used as matching resources. As with any matching funds, a letter of commitment would be required from the match source indicating that the funds are available and eligible for use as match.
Yes, provided these funds are available but unspent at the beginning of the period of performance, have not been otherwise committed as match against another grant, and did not originate as state appropriations. Matching funds from third parties should be supported by a letter of commitment from that entity.
Yes, provided these funds are available but unspent at the beginning of the period of performance and have not been otherwise committed as match against another grant. Matching funds from third parties should be supported by a letter of commitment from that entity.
No. This issue will not be relevant to most applicants for RIF, as this question only applies to organizations with a published federal indirect rate.
Yes, provided that the majority of supported companies served by your programs are based in Virginia, and you encourage supported non-Virginia startups to consider relocating to Virginia.
The Commonwealth Research and Technology Strategic Roadmap lists the following industries as being strategically important for Virginia:
Advanced manufacturing
Aerospace
Agriculture
Autonomous systems
Communications
Cybersecurity and cyber-physical systems
Energy
Environment
Information Technology (including data science and analytics)
Life and health sciences
Modeling and simulation
Nuclear physics
Transportation
“Supported companies” are startups or other companies that have materially participated in your entrepreneurial support programs. For example, a startup that participates in a multi-week acceleration program would be a supported company. A startup whose founder or employee attended one of your networking events would not be a supported company.
In general, RIF grantees will receive half of their grant when the grant agreement is executed by both the grantee and VIPC and the other half following the successful completion of the 6-month interim report.
No, however RIF grantees should inform VIPC as soon as possible of any operational changes that create a financial variance (budget-to-actual) of over 10% (e.g. $20,000 of a $200,000 award) within a 12-month period of performance. These variances should also be discussed in the interim and final written reports.
If you wish to apply for RIF funding beyond the initial 12-month period of performance, begin consulting with the RIF team at VIPC in the 8th or 9th month of your current RIF grant. VIPC will require a new proposal each year from existing RIF grantees.
If you still have questions, please reach out to the Division at RIF@VirginiaIPC.org.