Genesis Sparks Capital Idea

A plan to furnish venture capital to Genesis Technology Incubator clients in Fayetteville — and other start-ups across Northwest Arkansas — is afoot. The amazing thing is it may be one of two newly organized efforts to start venture funds in Arkansas.

We hear that several local investors are banding together, and a major announcement regarding the forming of a multimillion dollar fund can be expected soon.

Angel investors are being organized by a local lawyer. Another group out of Palo Alto, Calif., may even bring some out-of-state money in to set up a second fund. Meetings with potential investors took place during the week of Aug. 27 in Northwest Arkansas and Little Rock.

If the efforts come to fruition, as they are expected to, the area would be far better positioned to recruit developing enterprises from all sectors. Until now, Diamond State Ventures in Little Rock has been Arkansas’ only active source of venture capital. Only two venture capital investments totaling $9.3 million were made in Arkansas last year.