Venture Development Company Plans to Open Office in China

VIC Technology Venture Development has big plans for the summer.

The Fayetteville firm, which builds companies around licensed technologies, is gearing up to open an office in China, the world’s second-largest economy. The firm has secured a partnership with one of the country’s leaders in business development and tens of millions of dollars in funding from the country’s vast pot of investment capital. 

The deal is not finalized, but Whispers heard VIC portfolio companies could start setting up shop in the new office within the next few months.

Led by founder and CEO Calvin Goforth, VIC’s portfolio companies include SFC Fluidics, developer of a smaller, more accurate insulin pump with applications in the drug-looping industry; TiFiber, which makes antimicrobial plastic; and BioDetection Instruments, developer of a system that rapidly detects pathogens and pesticide residue in food and water. They are all located in the Arkansas Research and Technology Park in Fayetteville.

The Chinese office will start with the expansion of one or two companies. Moving forward, the firm will help its portfolio companies simultaneously launch and grow in both the U.S. and Chinese markets. 

China, in an effort to leave behind its historical dependence on heavy industry, has avidly promoted entrepreneurship in recent years.

In fact, China’s government-backed venture funds raised about $231 billion in 2015, according to the Zero2IPO Group, a Beijing-based venture capital funding research firm.

Reports also show the country saw the start of 4.4 million new businesses that year, totaling 12,000 new enterprises per day.

The tech industry, in particular, is a top priority for the country, which has launched 1,600 high-tech startup incubators since 2014.

With VIC’s focus on strong technologies that come with high commercialization potential and voracious appetites for funding, it’s no wonder the firm and its portfolio companies see the Chinese market as a good fit.