Want to know where the money's at? It's right here in the midwest. More specifically, the Great Lakes region. Venture capitalists are looking outside Silicon Valley and New York to diversify across new hubs.
At the top of their list is the Great Lakes region. VCs are flooding the area, pouring money into unicorn companies, like Detroit's StockX, Chicago's Tempus and Ohio's Root, along with other budding technology companies.
And they're not stopping there.
Between 2013 and 2018 the total VC investment into the region increased by more than 135%, bringing the total to a hefty $4 billion across 481 deals, according to a recent report.
Want to know more about who's holding the purse strings? Meet the 6 most active venture capital investors within the Great Lakes region.
First things first, what is the Great Lakes region?
Glad you asked. The Great Lakes region is the grouping of 6 states located in the midwest. They include Illinois, Indiana, Michigan, Minnesota, Ohio and Wisconsin.
Sweet, and who are the most active investors per state?
Illinois: Chicago Ventures
Indiana: High Alpha
Michigan: Detroit Venture Partners
Minnesota: Rally Ventures
Ohio: Rev1 Ventures
Wisconsin: HealthX Ventures
Tell me more about the activity around these investments...
In 2018, more than 8% of all deals done in the U.S. were from the midwest, according to Hyde Park Angels. To put that into perspective, it's right behind New York at 12% and California at 38%, making the region the 3rd most active hub.
Cash is leaving major coastal hubs and pouring into the heart of the country, making emerging startup communities like the Midwest an exciting and promising region for investors and entrepreneurs.
It's safe to say there's a lot of action coming out of the Great Lakes region, and it's only the beginning. Have interesting startup news you'd like to share? Let us know by shooting Lauren an email at email@example.com.