BrightStar receives Qualified Venture Fund certification
Foundation also makes first 2015 portfolio investments
MILWAUKEE, Feb. 3, 2015 BrightStar Wisconsin Foundation Inc. today announced that its investment fund has received Qualified Venture Fund certification from the Wisconsin Economic Development Corp. The certification allows BrightStar to receive tax credits when it invests in approved Wisconsin-based companies.
This certification is extremely important to BrightStar, said BrightStar director and investment committee member Dan Shannon, senior vice president of FIS. With the foundation having such a lean expense profile due to numerous donations of both labor and services, nearly every dollar donated to it goes to direct investment in job-creating early-stage companies.
Now, we can further leverage those donations by receiving saleable tax credits just like for-profit investors do, Mr. Shannon said. These credits can be worth up to 25 percent of each investment we make. As a result, more than a dollar is invested for every dollar donated to the foundation. As future liquidity events occur, the cycle can repeat itself to sustain and expand the foundation.
BrightStar also announced that its investment committee has made add-on investments of approximately $30,000 each for its pro rata share in Swallow Solutions LLC and Whole Trees Architecture LLC, both part of its current portfolio. BrightStar made a new investment of $150,000 in Whitewater-based Pinpoint Software Inc. Pinpoints two products are Taskle, a mobile task management and auditing solution for businesses with multiple locations, and Date Check Pro, an expiration date management solution for the grocery industry.
About the BrightStar Wisconsin Foundation Inc.
BrightStar is a 501(c)(3) non-profit foundation created to facilitate job creation and increase Wisconsins economic activity by deploying donated funds into equity stakes in early-stage, rapid growth companies. This new approach will enable the formation of new investment capital in Wisconsin through charitable donations to the foundation. Contributions to BrightStar are tax deductible.
The Luminis Group Ltd for BrightStar Wisconsin Foundation Inc.