The State Journal
Published: August 24, 2006

Taking a Crack At Venture Capital

A few businesses slowly emerging after passage of 2001 act.

By: Pam Kasey

Many see a vigorous entrepreneurial culture as West Virginia's ticket to prosperity.

To help it along, the state Legislature passed the Venture Capital Act in 2001 and later committed $24.5 million to attract investors to the state -- money that, little by little, is resulting in investments.

But an entrepreneurial culture is not just money, venture capitalists are quick to point out. It's education and mentoring. It's startup and professional services. And it's a mindset attuned to the possibility that this person's idea or that laboratory's research might have real commercial promise.

Initiatives are springing up in all those areas: for example, the entrepreneurship programs at the state's universities and the FastTrac^® entrepreneurial education programs offered by the West Virginia High Technology Consortium Foundation.

Support networks such as the Advantage Valley Entrepreneurial League System have formed. Technology transfer at Marshall and West Virginia universities has become increasingly professionalized.

"The state is capable but hadn't organized itself to think this way," said Rudy Henley, general partner at Charleston-based venture fund Mountaineer Capital. "A lot of the processes and conversations and infrastructure are being formed now."

The result? Some new businesses. And with a certain amount of impatience and disagreement about best next steps, most believe a lot more are likely to follow.