Not to get too long-winded about it, but the problem from government's perspective is lack of jobs, not startups. We're in one of those transitional periods right now where a lot of old jobs don't exist anymore and those unemployed people vote (and don't pay much in taxes, either). So it's necessary to look like you're doing something on jobs. Old industries aren't doing it so the presumption is hey, it's small money in gov't terms to try and foster startups, let's try it and see if it works.
PS on taxes, we've got the lowest tax rates in the post-war era right now, and record corporate profits, but new jobs still aren't appearing. Why? There's no business reason for them. Taxes are only one of many variables. Contrast with the 50s and 60s when taxes were much higher as was growth and employment. That's not to say that higher taxes cause economic growth, obviously. Other variables in play.
PS on taxes, we've got the lowest tax rates in the post-war era right now, and record corporate profits, but new jobs still aren't appearing. Why? There's no business reason for them. Taxes are only one of many variables. Contrast with the 50s and 60s when taxes were much higher as was growth and employment. That's not to say that higher taxes cause economic growth, obviously. Other variables in play.