BROWNSVILLE, Texas - Brownsville Community Improvement Corporation has been awarded a $1.2 million grant from the federal government to boost regional innovation and economic development.
The 'Build to Scale' grant is being described as a “game changer” by BCIC officials. It will allow for the expansion of BCIC’s much-lauded StartUp Texas Accelerator program and the development of an early-stage funding pathway.
The expansion will allow for a greater focus on high-potential sectors such as technology, manufacturing, aerospace, healthcare, and energy, BCIC leaders state.
The ‘Build to Scale’ program is administered by the U.S. Department of Commerce's Economic Development Administration.
The EDA received 220 proposals for its $53 million ‘Build to Scale’ program. It selected 60 organizations to receive funding “for programs that support technology, entrepreneurs, catalyze innovation, and fuel economic growth.”
Secretary of Commerce Gina Raimondo said the Build to Scale Venture Challenge aims to accelerate technology entrepreneurship by increasing inclusive access to entrepreneurial assistance and startup capital.
Raimondo said the funding will “help create entrepreneurial ecosystems across the country and put quality, 21st century job opportunities in people’s backyards.”
She added: “The ‘Build to Scale’ program will unlock innovation potential in regions all over the nation, improving our economic competitiveness now, and for decades to come.”
Alejandra Y. Castillo, assistant secretary of commerce for economic development, said: “EDA is proud to partner with this year’s ‘Build to Scale’ grantees as they fuel regional innovation hubs and technology-based economic development strategies throughout the U.S. Investing in scalable startups and expanding access to entrepreneurial capital will yield good-paying jobs, economic resiliency, and equitable growth in communities throughout America.”
A press release from EDA explains that the FY23 ‘Build to Scale’ programs comprise two competitions: the Venture Challenge and the Capital Challenge. Each challenge has multiple funding tiers that are designed to support organizations at different levels based on their needs, capacity and vision.
BCIC was awarded its $1.2 million via the Venture Challenge. It had to provide some matching funds.
“The Venture Challenge supports programs that enable high-growth technology entrepreneurship and foster inclusive access to proven entrepreneurship support models. This competition has three tiers: Ignite (to plan and launch new tech-based economic development strategies); Build (to pilot or adapt new programs); and Scale (to scale a proven program),” the EDA press release states.
The Capital Challenge increases capital in communities where risk capital is in short supply.
“Operational support is provided for early-stage investment funds, networks, and training programs that focus on both traditional and hybrid equity-based financing. This competition has two tiers: Form (to educate, connect investors, and create new funds); and Deploy (to scale and operate equity-based investment funds). These grant funds cannot be used as investment capital.
UT-Rio Grande Valley received $744,422 under the Capital Challenge.
The awarding of the grant is being described as a “game changer” by BCIC officials.
“It is set to revolutionize the entrepreneurial and technological sectors in Brownsville and beyond, said Nelson I. Amaro, BCIC’s director of marketing and communications.
“Our project aims to address the historical gap in early-stage funding and support for scalable startups, promising a brighter economic horizon for Brownsville and the Rio Grande Valley.”
Cori Peña, BCIC’s president and CEO, said the EDA funds would fortify the technological and entrepreneurial capacity of the Brownsville region.
“Cultivating innovation and empowering entrepreneurs is the key to unlocking economic prosperity. With the generous support of the Economic Development Administration's Build to Scale program, we are confident to ignite a wave of transformative change through the services and programming coming out of the eBridge Center,” Peña said.
“This grant reinforces our commitment to our entrepreneurial community in driving forward the engines of economic growth, equipping innovators with the resources they need to thrive and lead us into a brighter, more prosperous future.”
The award highlights BCIC's role in driving the economic engine of the Brownsville region, positioning it as a leader in quality of life enhancement and equitable economic development in Texas, Peña added.
A BCIC press release said the grant will “significantly enhance BCIC's ability to offer comprehensive support to entrepreneurs, from essential training and technical assistance to facilitating access to a robust network of resources and potential investors.”
Thanks to the grant, the eBridge Center for Business & Commercialization, which is where BCIC is based, “will expand its operational capacity to provide critical training, technical support, and a robust network of resources,” the press release states.
"Through this enriched ecosystem, entrepreneurs will gain the skills and resources to attract funding and investments, catalyzing significant economic advancement for Brownsville and the Rio Grande Valley region,” the press release adds.
Jill Dominguez chairs BCIC’s board of directors. She said: “This grant transcends mere financial aid; it is the spark that will ignite our capacity to elevate Brownsville's youth and early-stage entrepreneurs. It offers them a global platform while showcasing the rich potential of our diverse local community..”
Dominguez said the collaborative initiative aims to create a fertile ground for entrepreneurs to flourish, contributing to substantial economic advancement for the city of Brownsville. She said this aligns seamlessly with the 'Build to Scale' program's objectives of building diverse and inclusive entrepreneurial ecosystems and fostering equitable economic and job growth.
Linda Ufland Romo is director of entrepreneurship, innovation and commercialization at UTRGV. Ufland Romo, who is also based at the eBridge Center, said: “BCIC's dedication to enhancing the quality of life and elevating local startups aligns perfectly with our mission to bring together university and industry. The economic future of Brownsville is as bright as the minds we're nurturing together. What our eBridge community has accomplished is a driving force in the economic and educational landscape of the city.”
Veronica Gonzales is senior vice president of governmental and community relations at UTRGV. She said: “The University of Texas Rio Grande Valley congratulates the Brownsville Community Improvement Corporation (BCIC) and the eBridge partnership on receiving the EDA Build to Scale Venture Challenge grant. The university is proud of its partnership with BCIC to broaden the scope of entrepreneurial support services, and this grant will further those services by introducing an accelerator program tailored to assist enterprises in the technology, manufacturing, aerospace, healthcare, and energy sectors. The eBridge collaboration has been instrumental in assisting entrepreneurs, providing practical learning experiences for our students, creating research opportunities, and revitalizing our economically distressed area, thereby transforming the economic fabric of Brownsville and the RGV.”
Nathan Burkhart is BCIC’s director of business development. He said the new funding will escalate BCIC’s efforts to promote a dynamic environment for technology-driven enterprises.
By working hand in hand with UTRGV’s Entrepreneurship and Commercialization Center's curriculum, Burkhart said, BCIC will expand its StartUp Texas accelerator program to now tailor it for high-potential sectors such as technology, manufacturing, aerospace, healthcare, and energy.
He said the accelerator program’s expansion will also provide new opportunities for early-stage entrepreneurs and the activation of eBridge Center prototyping space.
“In 2020, we launched Startup Texas with the aim of supporting aspiring entrepreneurs in Brownsville by providing them with modest capital to grow and scale their businesses. Thanks to partnerships with the UTRGV ECC and, more recently, the Texas A&M Engineering Experiment Station through our eBridge Center, we've broadened the program's scope, inviting a more diverse range of businesses to participate,” Burkhart said.
“The recent grant from the EDA ensures that we can persist in our mission to empower entrepreneurs in Brownsville and the RGV startup ecosystem, fostering their growth and scalability.”
About Brownsville Community Improvement Corporation
The Brownsville Community Improvement Corporation (BCIC) is a “Type B” economic development organization with a mission to enhance quality of life through innovative and equitable economic development initiatives. For more information, visit www.brownsvilleedc.org.
About eBridge Center for Business and Commercialization
The eBridge Center for Business and Commercialization is the largest startup incubator and entrepreneurial resource center of its kind in the Rio Grande Valley. It provides incubation and acceleration services to entrepreneurs and businesses in collaboration with UTRGV Entrepreneurship & Commercialization Center, the City of Brownsville, the United States Economic Development Administration, and the Lower Rio Grande Valley Development Council. The center is home to the StartUp Texas Accelerator Program, a U.S. Patent Trade Resource Center, the Small Business Development Center, the Texas Manufacturing Assistance Center, the Procurement Technical Assistance Center, the Veterans Business Outreach Center, the Nonprofit Resource Center, prototyping space, training space, dedicated desks, and private offices.
