With the release of two key reports in the last week that show strong growth for Minnesota’s startups, the rest of the nation is coming to realize what we here in Medical Alley have long known: Minnesota is one of the best places in the country to start a business.
The first report, published by Ohio’s BioEnterprise, focused specifically on health technology. For the seventh year in a row, BioEnterprise’s Midwest Healthcare Growth Capital report shows Medical Alley as a top place for startups. Since the report started in 2011, Medical Alley has been first or second in total funds raised every year. In 2017, BioEnterprise counted $561 million raised by Minnesota companies, besting Ohio, Wisconsin and seven other states.
Digital health netted the most investment in the region, a trend we’ve seen locally as well. Medical devices brought in over a half-billion dollars of investment in 2017 and, continuing a legacy of strength, not one of the 11 states in the survey outraised Minnesota in the sector.
The second report looked at startup formation broadly, and Minnesota once again showed well, ranking as the third best place in the country to plant a startup. Business.org ranked cities based on factors like education, available workforce, and whether there was already startup activity happening there. Minnesota’s educated workforce has long been one of the state’s calling cards, but this survey revealed a new strength: No metropolitan area in the top 10 saw greater startup growth than the Twin Cities did!
Our investment reports have shown momentum building for our health technology community for quite a while, and it’s gratifying to have regional and national publications noting the incredible work being done to make Minnesota a business powerhouse. Health technology leads the way, but now it seems like other industries are starting to follow along.
BioEnterprise is a Cleveland-based business, recruitment, and acceleration effort to support the growth of bioscience companies in Ohio; they produce the annual report to highlight the growing investment opportunities in Midwestern companies. Medical Alley Association partners with BioEnterprise to aggregate data across the 11-state region.