The North Dakota Development Fund (NDDF) closed on a $65,000 investment in Project Phoenix Technologies Inc. (Devii) on March 9, the first investment made by the NDDF through its Angel Match Program (AMP).
Under its brand Devii, Project Phoenix Technologies offers engineering teams around the world an instant application programming interface (API) engine that reduces project development time while also increasing the speed to production for software integrations, new projects, digital transformation, and other cloud-based performance optimizations.
“We are excited to have Project Phoenix Technologies as the first AMP investment,” Commerce Head of Investments and Innovation Shayden Akason said. “This investment will help expand upon the state’s thriving technology sector and establish an even more prominent reputation as being a leader in innovative and technological solutions.”
The NDDF launched the AMP to support early-stage primary sector North Dakota businesses by matching investor commitments up to $250,000 per business. Businesses may apply for funds if the total financing round is $2 million or less. Investors may be individuals, LLCs, businesses, trusts, or an investment fund. Investors must be in, and remain in, compliance with state and federal securities laws, and invest only in qualified businesses that are issuing securities in compliance with state and federal securities laws. To be eligible, a business must:
- Be registered with the North Dakota Secretary of State.
- Be certified as a primary sector business through the North Dakota Department of Commerce.
- Be headquartered in North Dakota and remain headquartered in North Dakota for as long as the State Small Business Credit Initiative capital is at risk.
- Have fewer than 250 employees at the time of investment.
- Not have a principal of the business that has been convicted of a sex offense against a minor (as such terms are defined in section 111 of the Sex Offender Registration and Notification Act (42 U.S.C. § 16911).
Funds for the AMP were provided through the U.S. Department of Treasury State Small Business Credit Initiative (SSBCI). An approximate total of $58.6 million of SSBCI funds were allocated to the State of North Dakota for two equity and venture programs, the AMP and Wonder Fund North Dakota. Both programs are direct investment programs that provide equity support directly to small businesses and startups by co-investing alongside private investors.
The North Dakota Development Fund was created in 1991 as an economic development tool. It provides flexible funding through debt and equity investments for new or expanding North Dakota primary sector businesses. The fund also manages the Child Care Loan Program created by the North Dakota Legislature in 2009.
More information about the NDDF and the AMP can be found at belegendary.link/North-Dakota-Development-Fund.