25 August 2010

2 Michiganders Form Venture Capital Firm in Ann Arbor

The Detroit Free Press

Two Michiganders who worked in Silicon Valley plan to announce today that they have formed a new technology-focused venture capital firm in Ann Arbor that has already made its first investment in a local company.

Jason Townsend, 32, and Michael Godwin, 40, are part of a new wave of young venture capitalists in the state. The two recent graduates of the University of Michigan's Ross School of Business were managing directors of the Wolverine Venture Fund, a $5.5-million student-run venture fund.

They enjoyed working on the fund so much that they decided to launch their own and have gained the support of local veteran venture capitalists such as Mary Campbell.

Their new Resonant Venture Partners is part of a group that last week invested $1 million in Ann Arbor-based Scio Security, a computer security firm. Resonant was able to make the investment after quickly signing on its first investors, a wealthy family in Texas.

Resonant hopes to attract a total of $10 million from investors but Townsend acknowledges that fund-raising in today's environment is "extremely challenging." The fund aims to invest in 15 start-ups, mostly in Michigan.

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