Austin accelerator fund raises more capital

Mar 3, 2014
Austin Business Journal

The DreamIt Fund II LP has raised $9.3 million of planned $50 million financing

The Austin-based fund that’s affiliated with business accelerator DreamIt Ventures collected the capital from 28 investors, according to a Friday filing with the U.S. Securities and Exchange Commission

Philadelphia-based DreamIt, which has launched 127 companies since it was established in 2008, is one of several incubators and accelerators operating in Austin. Most operate with a business model similar to California-based Y Combinator, which mentors startups and invests limited amounts of seed capital in exchange for small equity stakes

DreamIt operated its first Austin program last year from the Capital Factory downtown. In September 2013, it opened the application process for its second program in Austin operated by Managing Partner Kerry Rupp with DreamIt co-founder Steve Welch, who relocated to Austin

The three-month program started in January with 10 companies in the incubator program, which provides a $25,000 stipend and access to other services

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