About the DC Certified Capital Company (CAPCO) Program
Through the DC Certified Capital Company (CAPCO) program, insurance companies receive a DC tax credit against their premium taxes in exchange for making $50 million available in long-term equity (and debt) for new or expanding small businesses based in the District. Three initial funds will be managed by professional venture capitalists, and will stimulate the creation of high-wage jobs, as well as provide an incentive to retain, expand and attract business to DC.
The CAPCO model combines private-sector expertise in identifying, evaluating and financing businesses with the public sector's interest in a stronger local economy. The three fund managers will consider investments in a wide range of small and emerging businesses, including the following:
Who can qualify to receive funding from CAPCOs?
In addition to having a product or service with good potential, a sound business strategy, and capable management, companies interested in applying for CAPCO investment must meet the following requirements:
Company headquarters and principal operations must be located within the District of Columbia;
25 percent of the company's employees must be District residents;
75 percent of the company's employees must work in the District;
The business must qualify as a “small business concern” as defined by the US Small Business Administration's requirements for SBA loan applicants;
The business must certify that it has attempted and failed to obtain conventional financing; and
The business cannot be engaged in professional services provided by accountants, lawyers or physicians.
The first step in the process of applying for CAPCO funding is to send a detailed business plan to one of the CAPCO managers: