Stanford University and Stanford Hospital & Clinics have announced a three-year, $3.6 million grant to StartX, a student-initiated nonprofit, to launch an accelerator fund for university-affiliated entrepreneurs.
The grant will be used by StartX to scale and support the Stanford-StartX Fund program in Silicon Valley, which includes StartX Med, a division of the fund dedicated to medical and biotechnology entrepreneurs. Through the new fund, start-up teams in the valley will receive financial support to bring their innovations to market more quickly and efficiently. While the fund will not take a lead role in start-up financings, it will participate as a minority investor alongside other venture capital and angel investors.
Launched on campus by Stanford students in 2009, StartX has graduated a hundred and thirty-six companies to date and has had ten companies acquired, including seven in the past year. In addition to the commitment from Stanford, the organization, which continues to support more than three hundred and thirty entrepreneurs, has raised $1.65 million over the past two years.
"StartX has evolved from a Stanford student-run initiative into a robust, proven learning system for hundreds of start-up founders from throughout the university. We train and house these creative minds, and it is only fitting that we invest in their future success," said Stanford president John Hennessy. "Our grant program and investment in early-stage companies is in keeping with Stanford's mission of sharing knowledge and fostering innovation, and is another way we can play a role in accelerating the future development of Stanford students, alumni, and scholars."