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Companies Seeking Investment

Applications for certification will be accepted only for Kansas businesses in the seed and early stage rounds of financing.

2024 Kansas Qualified Business Applications are open until September 30, 2024

The purpose of the Kansas Angel Investors Tax Credit Act is to facilitate:

  • The availability of equity investment in businesses in the early stages of commercial development. 
  • Assist in the creation and expansion of Kansas businesses, which are job and wealth creating enterprises. 

Companies must meet the following criteria to be certified as a Qualified Kansas Business:

  • The business is a Kansas company with headquarters in Kansas
  • The business has a reasonable chance of success and potential to create measurable employment (60% of Employees or 80% of Operations must be in Kansas) within Kansas. 
  • In the most recent tax year of the business, annual gross revenue was less than $5,000,000. 
  • Businesses that are not bio-science businesses must have been in operation for less than 5 years; bio-science businesses must have been in operation for less than 10 years. 
  • The business has an innovative and proprietary technology, product, or service. 
  • The existing owners of the business have made a substantial financial and time commitment to the business. 
  • The securities to be issued and purchased are qualified securities. (Equity/SAFE) (Securities offered through crowdfunding and convertible notes are not eligible)
  • The company agrees to adequate reporting of business information to KDC. 
  • Signed Qualified Company Agreement with the KDC. 
  • The ability of investors in the business to receive tax credits for cash investments in qualified securities of the business is beneficial because funding otherwise available for the business is not available on commercially reasonable terms. 

Information that will be required when submitting the application:

  • Proof you are a Kansas company: Articles certified by the Secretary of State 
  • Proof you are headquartered in Kansas (an onsite visit may be conducted)
  • Complete business plan 
  • Executive summary 
  • Target market 
  • Statement on the innovative nature of your product, service or technology: Why are you different? 
  • Statement of potential Kansas economic impact: How many jobs and the type? How many locations? Where will you be located? The impact your presence will have on the community. 
  • Description of the securities offered (sample of the security agreement that will be offered in conjunction with the tax credits) 
  • Current financial statement 
  • Projected financial statement 
  • Your NAICS Code 
  • Proof of FEIN
  • Draft of security to be offered for tax credits
  • The amount of tax credits you are wanting and what their use will be 
  • List of all owners with % of ownership and monetary amount invested for ownership 
  • Current management staff with statement of background 
  • Current and projected employee numbers and their work location (paid employees KCNS-100) 
  • Current board of directors and/ or advisors with statement of background 

Kansas Angel Groups

Dedicated to the Innovation and Success of Kansas Entrepreneurship

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