Fundings

Midwest Funding Roundup: November 15 – November 21

The Funding Roundup is a weekly note about companies that raised venture capital.  We use four sources – 1) those that are sent to us via press release (hello@mug.news), 2) Form D filings in the sixteen states that we cover, 3) Databases to which we subscribe (particularly Pitchbook, Crunchbase), 4) Other sources (such as SBIR grant database).  The goal of the funding roundup is to provide a quick synthesis of companies that are actively raising money.  This is not a value judgment placing VC backed companies over bootstrapped – only a recognition that VC backed companies often file paperwork that puts them on our radar.

Another strong week for later stage funding in the Middle.  This is good.  But, the relatively low level of seed and early stage funding for the last three months remains a significant concern for the region.  It is critical that early stage funding pick up in 2021 or there will be a large hole in the overall market for the next couple of years.  Since August 1st the region has had 15% fewer early stage, angel, and seed transactions with 25% fewer investment groups participating.  The median transaction during that time in 2019 was $8 million, in 2020 its $11 million.  Some might see this as a good sign.  But, instead, it is a signal that the early stage deals are simply not happening at the lower level.  Anecdotally, we keep track of this data, the Middle should be producing significantly more $2 million and lower deals than $2 million and higher deals – but for two months that expectation has been reversed.  This suggests a lack of angel and seed activity.  This would be similar to a college football team having no starters who were freshman and sophomores and a poor recruiting class.  These are early warning signs of backsteps in the overall market.  It bears watching.

Over $10 million

$2-10 million

$500k-2 million

  • Mask – Champaign, Illinois – $2 million
  • Havoc Shield – Chicago, Illinois – $1.45 million
  • Elysium Therapeutics – Akron, Ohio – $.92 million
  • Satya Health Sciences – Ann Arbor, Michigan – $.53 million

Under $500k

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