Nebraska would support startups through state programs and investments

The Department of Economic Development would create an office to support innovation, entrepreneurs, and newer businesses. The office would serve businesses operating for five years or less and support entrepreneurs across underserved demographic groups and geographic areas. The office would need at least one full-time equivalent employee. Its work would include training and skills, technical help, access to resources and capital, and help dealing with state government. The office would file its first annual report by July 1, 2026, and another report by July 1 of each following year.

State agencies and workforce and economic development boards would be encouraged to direct five percent of specified contracts or funds to newer Nebraska businesses and startup support. The goals would cover businesses operating for less than five years, people starting businesses, and service providers for those businesses with a principal place of business in Nebraska. The state contract goal would apply to the total number of state contracts. Workforce funding goals would cover programs supporting people starting businesses or services for newer Nebraska businesses. Economic development funding would include money budgeted for department programs, including community development block grants. The five-percent goals would begin July 1, 2026; agencies and boards would also report related percentages and dollar amounts by July 1, 2026, and each year afterward.

State agencies and local governments would be encouraged to remove business license and registration fees for new Nebraska businesses, while the state investment officer would invest in qualifying venture funds. The fee language would cover new businesses, including home-based businesses, with their principal place of business in Nebraska. The investment requirement would cover venture funds that invest in Nebraska businesses operating for less than five years. The investment officer would be required to invest one percent of available state investment funds and would be encouraged to invest up to five percent. A qualifying venture fund would have to match its investment dollar for dollar in eligible businesses. These fee and investment provisions would begin July 1, 2026.