Atlanta, GA — [December 16, 2025] — Square One Startup School, a nonprofit startup accelerator based in Atlanta, has been selected as a 2025 Growth Accelerator Fund Competition Award recipient by the U.S. Small Business Administration, receiving a $75,000 federal prize to launch its newest regional capital formation initiative: Spark The Southeast Project.

The Spark The Southeast Project is designed to expand access to early-stage startup capital across the Southeastern United States by creating new angel investors, incentivizing first-time investments, and keeping high-growth founders headquartered in the region. The initiative directly responds to a growing investment gap that has forced many Southeast startups to seek funding outside the region—or shut down altogether.

Solving a Growing Capital Crisis in the Southeast Startup Ecosystem

Despite the Southeast’s surging entrepreneurial activity, the region continues to face a persistent shortage of early-stage investors and declining in-region capital deployment. This capital gap disproportionately affects overlooked founders and undercapitalized communities, often forcing startups to relocate or fold before reaching sustainability.

Spark The Southeast tackles this problem at the root—by simultaneously training founders to become capital-ready and developing brand-new angel investors within the region.

“We don’t just need more startups in the Southeast—we need more investors who are equipped, incentivized, and confident enough to back them,” said Executive Director, Justin McLeod. “Spark The Southeast is about rebuilding the region’s early-stage capital engine from the inside out.”

How Spark The Southeast Works

Spark The Southeast operates through a two-sided capital formation model:

1. Founder Capital Readiness

Square One will train at least 10 pre-seed stage startups through its proven 10-week virtual pre-accelerator, preparing founders for:

  • Angel investment readiness
  • Financial projections
  • Pitch development
  • Fundraising strategy
  • Investor communications

Eligible startups must:

  • Be based in one of the eligible Southeast states
  • Have raised under $250,000 in total capital
2. Angel Investor Training + Cash Rebates

Through ecosystem partnerships, at least 10 first-time angel investors will be trained to deploy capital into Southeast startups. To accelerate early participation, Square One is piloting direct cash rebates as an incentive for investments into qualifying companies:

  • 10% cash rebate (up to $2,500) for investments in qualifying Southeast startups that have graduated from Square One’s pre-accelerator
  • 5% rebate for investments in qualifying Southeast startups

This approach simulates the impact of Angel Investment Tax Credit programs, which currently exist in only a few Southeast states—​​this project serves as a feasibility test to determine whether expanding such incentives regionwide could stimulate stronger early-stage investment.

Eligible Southeast States

The Spark The Southeast pilot focuses on startups based in:

  • Alabama
  • Florida
  • Georgia
  • Kentucky
  • Louisiana
  • Mississippi
  • North Carolina
  • Tennessee
  • West Virginia

Note: Arkansas, South Carolina, and Virginia already operate investor tax credit programs.

A Long-Term Vision for a Connected Southeast Innovation Economy

Spark The Southeast represents Stage One of a multi-year strategy to build a cross-state investor network that allows capital to flow more freely across the region. In Stage Two, Square One will also conduct a formal feasibility study to assess where statewide Angel Investment Tax Credit programs could be established or expanded.

If successful, the initiative will:

  • Increase regional investor participation
  • Keep startups headquartered in the Southeast
  • Unlock new early-stage capital pipelines
  • Strengthen local job creation and economic mobility
  • Reduce founder dependence on out-of-state capital markets

Media, Partnerships, and Angel Training Collaborations

Square One Startup School is actively seeking ecosystem partners across the Southeast—including organizations that provide angel investment training, investor education, or capital formation programs—to collaborate on Spark The Southeast and expand the reach of this initiative.

Interested in partnering or already providing angel investment training in the Southeast? Email founder@squareoneschool.com to explore collaboration opportunities with the Spark The Southeast Project.

About Square One Startup School

Square One Startup School is a 501(c)(3) entrepreneurial support organization equipping underrepresented founders with the education, coaching, and capital readiness needed to build scalable technology companies in undercapitalized regions across the United States. Since 2020, Square One Startup School has supported 65+ early-stage technology startups, helping founders access over $8 million in capital while delivering virtual education, 1-on-1 coaching, and community-driven acceleration for underrepresented entrepreneurs nationwide.

With the backing of the SBA Growth Accelerator Fund Challenge, Square One is now scaling its impact deeper into the Southeast—where it was founded.

Learn more at www.squareoneschool.com