TLDR:
- Idea Fund of La Crosse closes on a new $31.5 million fund to invest in early-stage software startups in Minnesota, Wisconsin, and Iowa.
- The fund aims to fill a gap in the market for qualified founders seeking early-stage funding in the Upper Midwest.
A Wisconsin-based venture capital fund, the Idea Fund of La Crosse, has secured a new $31.5 million fund to invest in early-stage software startups in Minnesota, Wisconsin, and Iowa. The fund, founded in La Crosse in 2016, targets companies with annual revenue under $500,000, including pre-revenue candidates. With half of the fund’s bankrollers being institutional investors and the other half consisting of family offices and high-net-worth individuals, the fund aims to invest in 15 new portfolio companies, having already made investments in four companies. The fund is particularly interested in companies disrupting industries such as agriculture, manufacturing, and healthcare in the Upper Midwest region.
The Idea Fund’s managing partner, Jonathon Horne, highlighted the challenges faced by founders in securing early-stage funding, especially in the current market climate. The new fund comes at a time when global VC investments have seen a decline, with Horne emphasizing the importance of supporting promising entrepreneurs in the region. The fund’s recent raise marks one of the largest venture capital funds dedicated to investing in the Upper Midwest, according to Pitchbook data. The fund’s long-term goal is to scale offerings, help portfolio companies grow, and contribute to the region’s startup ecosystem.
