RESEARCH TRIANGLE PARK – Entrepreneurial companies across North Carolina raised a record $3.4 billion in venture capital funding last year despit the pandemic, setting a record for the state’s startup economy. So says the annual Innovators Report from the Council for Entrepreneurial Development.
The number is higher than that compiled by another established venture source: According to the data from Crunchbase, North Carolina firms brought in $4.1 billion last year.
The funding is skewed, however, by a $1.5 billion fundraiser for Cary-based Epic Games. (The CED says Epic raised $1.8 billion.) And Charlotte-based AvidXchange raised a combined $572 million.
“Only 5 years ago $1 billion in equity investment across the state was considered a major accomplishment. However, today even if you normalize and remove the major billion-dollar fundraisers from Epic Games, the baseline level of investment across North Carolina is now approximately $1.5 billion, proving the dynamic and growing entrepreneurial atmosphere that currently exists.”
The new record is 25% higher than the previous total set in 2018 – again boosted by Epic – and 130% higher than 2019, according to the report.