The Pew study examines G-20 investment during a period of remarkable growth. Since 2005, global clean energy investment has grown by 250 percent. Even during the 2009 economic downturn, investment declined by only 6.6 percent, while investment in other sectors plummeted. Last year, global clean energy investment was estimated at $162 billion, approximately $110 billion of which came from G-20 countries. The study cites estimates that clean energy investment will increase 25 percent to a record $200 billion this year.

U.S. investment, however, has not kept pace with the rapid growth in other countries. For the first time in five years, the U.S. has fallen to number two in overall investment. In 2009, U.S. clean energy investment totaled $18.6 billion, 40 percent less than in 2008. Numbers improved in the latter half of 2009, as initial funding from the American Recovery and Reinvestment Act became available, but remained far below Chinese investment for the year. The situation is even more stark in investment intensity, where the U.S. ranks in the lower half of the G-20.

There are a few encouraging notes in the report for the U.S.. The U.S. venture capital industry remains the strongest in the world and continues to support the development of new companies and technologies. The U.S. still leads in installed renewable energy capacity, although it ranks second in both of the categories Pew uses to evaluate capacity (China leads in the wind, small hydro, biomass and waste category; Germany leads in solar, geothermal and marine due to its leadership in the solar sector.) While credit markets remain tight, Recovery Act funding for clean energy should help improve U.S. investment levels in 2010.

The study notes that the U.S. has yet to pass several policies that other G-20 countries have employed to increase investment. While clean energy tax incentives and auto efficiency standards are in place, the U.S. lacks a carbon cap and carbon market system, a national renewable energy standard, feed-in tariffs or green bonds.

Read “Who’s Winning the Clean Energy Race?: Growth, Competition and Opportunity in the World’s Largest Economies” at:   Click here

Today, many of the popular contests still tend to be associated with major universities such as MIT, Harvard, and Rice, but there has also been a growing interest in these competitions by the private sector and economic development organizations. 

Why enter a Business Plan Contest?  After all, when done properly, writing a business plan can be very time consuming.  A panel of judges you have never met will pass judgment on not only your idea for a new product or service, but how well you define the opportunity and explain the market execution.  

The applicants who make it past the first round submission are then usually invited to make their pitch in person to the judges.  Presentation and public speaking skills are vital to this part of the competition and tend to be daunting issues for most business plan authors.

Folks who serve as judges in these competitions are usually bankers, other entrepreneurs, professors, or maybe angel investors.  This is where “know your audience” becomes important.  Pitching an investment opportunity is not the same as selling your product or service.

The judges will want to hear about how you will make money at this venture — not how the product works or an exhaustive list of its features and benefits.  Usually the person who developed the product – especially if it’s a tech product – is not the best choice to make the business plan pitch.

OK — so why do people enter Business Plan Contests?  They want to win!  Monetary prizes — some of which can be as high as $100,000 are a great way to infuse your business with some much needed cash.  But, getting the feedback on your proposal from a panel of experts is better.  The experience you gain and the contacts you make will be worth every bit of the prize money. 

Just for the record, sometimes not winning is still a win in the long run.  Before you sink your life savings into starting a business or incur a mountain of debt, a Business Plan Contest is the most non-threatening venue to find out if your idea has merit.

A start-up company needs an infusion of capital that serves as a bridge between the initial resources of the owner (including his/her friends and family) and follow-on funding opportunities (angel investment, venture capital, or debt financing).

Angel and venture capital groups tend to have little interest in really early-stage companies until at least the technology under development has been vetted.  Traditional bank financing is usually not available until a company can demonstrate positive cash flow or has an asset base.

Even small but established manufacturing companies that are trying to become more competitive by adopting new processes or re-tooling for new tech-based products, often have few funding options.  While some may be candidates for venture capital, most are closely-held family businesses that want to retain control of their enterprises and seek steady, controlled growth.  In tight money situations, growth capital for these firms is not always readily available from banks.

The economic conditions that existed in the early 80′s when the legislation that created the BFTP was drafted were challenging.  But, the economy was also the catalyst that led to the decision to invest in creating the Ben Franklin Technology Partners — an investment in the future of the Commonwealth.  

There’s no doubt that making the decision to fully fund a program that invests in new, tech-based start-ups– especially when the economy is in a downturn, takes guts.  But putting money into technological innovations and the folks who have the drive to start new businesses is the key to economic recovery and sustained long-term growth.

The state that helped to energize a nation is now in the midst of a “Clean Tech” movement — an initiative which will create a new generation of alternative/clean energy-related developments, industries, and high-tech job opportunities.  The Industrial Revolution and the role played by Pennsylvania is an important part of our history; the clean energy movement is a critical element in the Commonwealth’s future.   

Pennsylvania is home to an abundance of natural resources, world class research universities, and a robust entrepreneurial spirit.  These three ingredients are the recipe for “home grown” solutions that will develop into cutting edge commercial applications for clean, alternative energy.

The Governor’s Alternative Energy Program (AEDP) was created to incent collaboration among the private sector, entrepreneurs, academia, and government to reduce dependence on foreign fuels and expand clean/alternative energy technology. One of the key components of the Governor’s plan was the funding of translational research projects – projects intended to identify and test commercial applications of discoveries emerging from our state universities and labs in order to gauge commercial potential. 

Institutions such as Penn State University, Carnegie Mellon, Bucknell, and Temple are just a few examples of the robust system of higher education housed in this state now playing a major role in developing energy innovations.  Projects currently being conducted at these universities in areas such as transforming biomass to liquid fuel, the gasification of glycerin, storage of solar heat, conversion of high value crops into fuel, heat exchanger technology, wind farms, and fuel cell applications are important steps toward energy independence in Pennsylvania and the nation.

If equity funding is part of your company’s financing strategy, it’s more than worth the time and effort to learn how to make a good pitch.   Maybe you’ve already made several presentations, but no one showed any interest – you need to learn a different approach.  Remember, it’s not about selling your product; it’s all about selling you and your company!

Just ask Apeliotus Vision Science.  This Hershey-based company and past recipient of a Ben Franklin investment, won the Ben Franklin Venture Idol competition last Thursday, November 5, 2009.  Three early-stage entrepreneurs had the opportunity to make their pitch to a panel of investors as well as the audience and Apeliotus took top prize – a $5,000 cash investment.  The event, which was held at the Hilton Scranton and Convention Center, began with a “speed dating” session.  Twenty pre-selected companies delivered two-minute elevator pitches to individual and angel investors.  Kathy Blum, CEO of Applied Computational Technologies, also a  Ben Franklin portfolio company, took home the honors! 

Many of the Idol participants had the opportunity to work with Steve Bowman, aka the Pitch Doctor, in order to hone their skills prior to the event.  Mr. Bowman teaches entrepreneurs how to make a compelling presentation based on what investors are really looking for in a company.

If you plan to pitch your company and you know you need some help, check out Steve Bowman’s website, www.stevebowman.com or contact Jill Edwards with the Venture Investment Forum at jilledwards@psu.edu.   Take your best shot!

Ben Franklin Venture Investment Forum receives funding from Ben Franklin Technology Partners of Central and Northern PA.