A Correction on the Cleveland Ventures Fund Post
I received a great e-mail today from Joe Roman of the Greater Cleveland Partnership today regarding some historical context on Primus, a local venture fund that I used as an example of a positive public/private partnership that experienced great success. First, I am thrilled that Joe is reading the blog and creating dialogue. Second, I believe we agree on the need for additional venture capital development in the region.
However, I erred in my description of Primus and Joe offered the proper historical context for the fund as detailed below:
“I read your comments on expanding the technology capacity here in the region and just wanted to correct one impression. Primus, was not a city created entity under Michael White. Primus was created by Cleveland Tomorrow, as one of its first initiatives in 1984. While Mayor Voinovich was mayor, the city really had nothing to do with the idea - but he was supportive. Cleveland Tomorrow’s early research in the early 80’s confirmed the weakness in the rustbelt in terms of access to venture funding. So, we started our own. The first $10 million was invested by corporations in Cleveland and it was eventually matched 2:1 by state pension funds for a total first capitalization of $30 million.As you know, it has gone through several rounds of funding and is now well over half a billion in size.
One of Primus’ first investments was in American Steel and Wire, that reopened along the river in Cuyahoga Valley. Tom Tyrell, the first CEO of American S&W is still an active entrepreneur in the area. Bottom line, which is still the same, is that properly researched initiatives, led by experienced venture folks can succeed here and your idea there in building off Primus, Tim Biro’s work, etc. is consistent.”
Great stuff. I appreciate Joe taking the time to get us the right facts.
“I read your comments on expanding the technology capacity here in the region and just wanted to correct one impression. Primus, was not a city created entity under Michael White. Primus was created by Cleveland Tomorrow, as one of its first initiatives in 1984. While Mayor Voinovich was mayor, the city really had nothing to do with the idea - but he was supportive. Cleveland Tomorrow’s early research in the early 80’s confirmed the weakness in the rustbelt in terms of access to venture funding. So, we started our own. The first $10 million was invested by corporations in Cleveland and it was eventually matched 2:1 by state pension funds for a total first capitalization of $30 million.As you know, it has gone through several rounds of funding and is now well over half a billion in size.
One of Primus’ first investments was in American Steel and Wire, that reopened along the river in Cuyahoga Valley. Tom Tyrell, the first CEO of American S&W is still an active entrepreneur in the area. Bottom line, which is still the same, is that properly researched initiatives, led by experienced venture folks can succeed here and your idea there in building off Primus, Tim Biro’s work, etc. is consistent.”
Great stuff. I appreciate Joe taking the time to get us the right facts.
Posted by
at
19:57:14
Heh.
Tom Tyrrell is still contributing to this region as managing partner at venture capital fund Glengary and as trustee to Baldwin-Wallace College, which champions entrepreneurialism across curriculum and campus. I’m honored to call both institutions my client and Tom my friend.