GRAND RAPIDS ? Michigan, long lacking adequate private equity financing for start ups, will soon get a big boost from not one, but two state programs that will help beef up the state’s small, but growing Venture Capital industry.

The long promised Venture Michigan Fund will begin seeking Requests for Proposals from Venture Capital firms on Oct. 27, starting a 60-day clock that will produce up to $90 million in investments in Venture Capital companies that will pump that money into early stage companies.

But a second fund with the same intent, will issue a request for RFPs on Sept. 21. The 21st Century Jobs Trust Fund will provide up to $120 million to Michigan companies throughout their business life cycles ? capital to hire more employees, build new factories and provide later stage and mezzanine loans. Initial funds could flow as soon as Nov. 20.

?We hope to have a few fund managers announced in the fourth quarter,? said Kelly Williams, Managing Director & co-Head, Credit Suisse Customized Fund Investment Group. Williams manages the Venture Michigan Fund. ?Some will get the money when they find companies to invest in. We will deliver it to them on a just-in-time basis.?

Credit Suisse also will manage the 21st Century Job Trust Fund.

Charlie Rothstein, Board Member, for both funds, said he?s also optimistic a trickle of funds will begin in the fourth quarter with the bulk distributed in 2007.

Williams said she expects the Venture Michigan Fund will make investments in eight to 12 Venture Capital firms, which can not have more than 25 percent of the capital in their various funds come from VMF. So that means the state hopes its $90 million investment in these firms will turn into a $360 million investment in Michigan technology and life sciences companies.

The Venture Michigan Fund is backed by $200 million in tax vouchers purchased by Deutsche Bank backed by Michigan withholding taxes. So this is new money. The 21st Century Job Trust Fund is funded through the securitization of a portion of the Tobacco Settlement.

?It?s a very needed piece of the puzzle,?? said Jim Epolito, CEO of Michigan Economic Development Corp. ?As far as economic plans for the state, I think we have one of the most comprehensive plan in the nation.?

Williams said the more than $200 million that soon will be available for investment is a very significant commitment by any state and a creative way to provide these dollars. Other similar investment funds managed by Credit Suisse include Ohio ($50 million), Indiana ($175 million), New York ($25 million) and Oregon ($100 million.)

Rothstein said the twin investment funds received bipartisan support in the Michigan Legislature and from the governor?s mansion.

?Everybody put their differences aside to get capital into the hands of emerging entrepreneurs in Michigan to reshape the economy in the new century,? he said. ?We?re really fortune we have two programs and an outstanding fund manager to give us their attention and guidance to cure this economic dilemma we?ve had, a private equity capital shortage in Michigan.?