Funding the Next Big Thing
Kentucky’s latest economic development investment involves no factory ribbon, giant shovel or ceremonial hard hat. This time, the state is putting nearly $750,000 behind six companies working on ideas that may eventually change surgery, healthcare, energy and manufacturing.
Small Companies, Ambitious Problems
The latest awards from Kentucky’s SBIR/STTR Matching Funds Program total $748,620 and will help six businesses leverage $5.9 million in federal grants. The money is nondilutive, meaning the companies can fund research and commercialization without surrendering ownership to investors.
Four recipients are based in Lexington. Bioptics Technology is developing FLoupe, a lower-cost fluorescence imaging device attached to the surgical eye loupes worn by neurosurgeons. The wearable system is designed to help identify brain tumors during surgery while giving physicians more freedom of movement than a stationary microscope.
Spirited is tackling two distinctly Kentucky-sized challenges at once: bourbon stillage and plastic waste. Its integrated biorefinery system would convert the distilling byproduct into PHA bioplastics and renewable natural gas. Tru Diagnostic is developing a DNA methylation-based health forecasting tool intended to support earlier detection and monitoring of chronic disease.
Meanwhile, WiLO Networks is working on sensor networks designed to operate with exceptionally low power consumption, potentially extending the useful life of connected devices while reducing their size and cost.
Building a Longer Runway
In Louisville, Wicked Technologies has developed a washable bed pad with sensors that detect moisture and wirelessly alert caregivers. California-based AstraQua is relocating to Kentucky to continue developing a system that detects early-stage degradation and predicts equipment failures in high-voltage, high-noise environments.
The individual projects differ considerably, but the business argument behind the funding is straightforward. Early-stage technology companies often face a difficult stretch between proving an idea and selling it. Kentucky’s SBIR/STTR Matching Funds Program helps lengthen that runway while encouraging companies to build their teams and intellectual property inside the commonwealth.
Since the program began, Kentucky has made 359 awards to 164 companies, helping attract $185.8 million in federal funding. Recipient businesses have created more than 789 jobs, and 94 percent of those positions pay annual salaries above $50,000.
Those numbers give the latest grants significance beyond six laboratory benches. Kentucky is competing for scientists, engineers, entrepreneurs and the companies they may build next. Sometimes economic growth starts with heavy machinery. Sometimes it begins with a wearable loupe, a smart bed pad or a very clever use for yesterday’s bourbon leftovers.
For more organizations contributing to communities across the commonwealth, visit the Guide to Kentucky Directory at https://www.guidetokentucky.com/community-organizations.
