Report: Houston Exponential Needs More VC For Ambitious Goals

Houston Exponential has set a goal for Houston, namely that of creating 10,000 new technology jobs and attracting $2 billion in venture capital investment to local startups by 2022. However, according to a report released by Rice University’s Baker Institute for Public Policy, reaching those goals will require “growth” venture capital for startups. This, as opposed to the “transactional” venture capital – private equity investments to help a company expand, or fund, large-scale corporate finance needs. The report points out that local growth venture capital stood at $72 million in 2016, down from $83 million in 2006.

The authors of the study believe that a more realistic goal for Houston would focus on a 15% year-over-year increase in growth venture capital, which would mean approximately $170 million in such capital by 2022.

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