The HELIX Catalyst Fund, which provides entrepreneurs with micro funding to support new businesses, is set to award its first round of grants in early 2022.
The Catalyst Fund is available to entrepreneurs who are a part of HELIX, Seneca’s on-campus innovation and entrepreneurship incubator. HELIXers can apply to receive microgrants of up to $5,000 to help them at any stage of their business, from validating their idea, to launching or scaling. As an example, the funding could be used to help entrepreneurs build a website to launch their product, purchase raw materials, advertise new products or conduct market testing.
The fund has raised $65,000 to date, with contributions from Mike Shaver, a former member of Seneca’s Board of Governors; Jane Forbes, a former Seneca program co-ordinator; Jess Joss, Angel Investor and member of the National Angel Capital Organization (NACO) Board; the Seneca Student Federation and several anonymous donors.
“A little bit of funding could help someone who has ideas to find out if those ideas are going to grow into something bigger,” said Mr. Shaver, a long-time supporter of Seneca. “To provide support very early – with no strings attached – I think it's going to fill a real gap when it comes to the kinds of projects we see growing up in HELIX.”
Mr. Shaver got his start as one of the founders of Mozilla and was later a former partner at Real Ventures, a Canadian venture fund. He has first-hand knowledge of the kind of support that early-stage entrepreneurs require.
While there are many places for startups to seek venture capital, Mr. Shaver notes that there isn’t a lot of support for entrepreneurs who are just beginning to work on their idea. Funding at this early stage is critical for many new entrepreneurs, who may not be able to take on debt to get started.
He praised Seneca for working to support entrepreneurs. “I think it's a real credit to Seneca's vision that they see the need for this in the community and they're willing to spend their energy and their brand on unproven businesses from unproven entrepreneurs,” said Mr. Shaver. “That's how unproven people become proven.”
Part of what makes the Catalyst Fund so unique is that the funding awarded to HELIXers is in the form of a grant, not a loan, said Chris Dudley, Seneca's Director, Entrepreneurship.
“A lot of entrepreneurs struggle and they put their own personal funds into it, they have to take on another job to support themselves while they're trying to grow the business,” Mr. Dudley said. “The HELIX Catalyst Fund is going to take that pressure off and open up opportunities.”
While the Catalyst Fund can provide up to $5,000 to each successful applicant, Mr. Dudley says that not everyone will require that amount. “Some may only apply for $1,000 because that's all they need at this point to get to the next level.”
The idea for a fund to help entrepreneurs with microgrants began in 2020, when HELIX launched an Emergency Relief Fund to support businesses that were struggling to stay afloat due to the pandemic. The fund helped a range of businesses pivot in the pandemic – from offering virtual mental wellness events to helping patients connect with doctors. It became the pilot project for the Catalyst Fund.
HELIX is known for giving entrepreneurs their start, many of whom are focused on important issues of the day. However, as Mr. Dudley notes, there are significant barriers to accessing financing for early-stage SMEs.
“These funds will allow HELIXers to grow their venture ideas and positively impact our communities,” he said. “Their new ventures are going to make a meaningful difference. They will change lives. That’s what HELIX is all about.”