Investments in Small Businesses: VETOED
The Republican-led Legislature passed two bills that included increased funding
for the popular Angel Investment Tax Credit by $4.5 million in order to spur job
creation for small and emerging companies-particularly software, medical device,
and biotechnology firms.
Gov. Dayton swiftly vetoed both of these pro-business bills, regardless of the fact
that all credits for 2012 were used up by the end of July due to its popularity
Since 2010, more than 180 Minnesota businesses have been certified to participate
in the program, and they have attracted more than $140 million in private investments
from over 300 investors and 15 angel funds. These businesses are all headquartered
in Minnesota, have fewer than 25 employees, and have been operating for no more
than 10 years.
As a DEED employee stated: “Some of these businesses could become Minnesota’s next
high-tech success story, providing lucrative opportunities for the state’s workforce
and economy.” Apparently Gov. Dayton doesn’t agree.