New report shows increasing access to startup capital in America’s southeast region
TAMPA, Fla., Sept. 16, 2021 — Embarc Collective, the startup hub which helps founders in Florida build bold, thriving, scalable companies and Build In SE, a community on a mission to support founders choosing to build their companies in the Southeast, at the moment introduced the findings from their third annual Southeast Capital Panorama Report.
The report, which was created to help startup founders more easily find local capital resources and funding opportunities across the Southeast (a region defined as Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, Tennessee, Virginia, & West Virginia) shows an increasing rate of new venture capital firm creation over the past three years.
In 2021, the report recognized 280 companies within the area which are actively investing in pre-seed to non-public fairness—demonstrating a progress of 40 new companies since 2020’s report and 80 added companies for the reason that inaugural report in 2019.
The report attributes the region’s increasing access to capital to a number of factors, including:
- Tech Migration to the Southeast: With remote work normalizing virtual meetings between investors and startup CEOs, dollars allocated to Southeast-based startups grew. This led to an influx of newly relocated firms and new funds raised to capture local deal flow. Some examples include Founders Fund, Harlem Capital, and General Catalyst, which all opened Southeast offices in the past year.
- Densities of Startups in New Industries: Quite a few startups targeted on fintech, digital well being, and enterprise SaaS are making a density of expertise that draws traders. For instance, for the reason that starting of 2021, life sciences corporations in North Carolina have skilled over $3B in funding and created practically 3,000 new jobs.
- Focusing Capital on Underrepresented Founders: 2021 brought a shift in the VC landscape, with an increase in the allocation of funding for underrepresented founders. This shift is most dramatically seen in Atlanta, where 41% of the 36 early-stage VC firms identify as having a diversity focus across investments, a diverse fund management team, or both.
- An Improve in Ladies Buyers: The state with the best variety of energetic ladies traders is Georgia with 25, adopted by Tennessee and Florida tied for second place with 19 institutional traders. Over half (53 of 90, or 58%) of girls traders within the Southeast maintain high management titles of Founding and/or Basic Associate, Managing Associate/Director, or Associate.
“Through the Southeast Capital Landscape report, we’re not only documenting this incredibly encouraging rise in startup funding availability in the Southeast, but I believe this project contributes to it as well,” said Allie Felix, VP Platform of Embarc Collective. “Through the years, we’ve heard many anecdotes from founders crafting their investor prospecting record and traders discovering deal movement from this useful resource, and I hope it continues to be a robust device for these teams.”
“Within our respective startup communities, one of the most common questions we hear is, ‘Who are the active investors in the Southeast I should connect with? ’” stated Monique Villa, co-founder of Construct In SE. “Our major objective is to not solely reply these questions for founders however to save lots of them valuable time in figuring out right-sized native capital to allow them to deal with firm constructing. The potential for progress within the Southeast is exponential, as we’re witnessing with MailChimp, Calendly, SmileDirectClub, and a rising record of different marquee corporations constructing and scaling right here, turning the heads of traders who will discover themselves drawn to the Southeast within the years to come back.”
About Embarc Collective
Embarc Collective is a nonprofit startup hub helping founders in the Tampa Bay region build bold, scalable, thriving companies. Embarc Collective offers hands-on support driven by the unique goals and needs of each member startup at its 32,000 square-foot office in downtown Tampa. Member corporations obtain custom-made, ongoing teaching and help from startup veterans to assist propel member corporations’ progress. Embarc Collective works with a rising roster of over 100 early-stage startups and is the fastest-growing startup hub in Florida.
About Construct In SE
Build In SE’s mission is to increase the number of startup success stories in the Southeast by leveraging a cross-regional, collaborative network. Construct In SE is constructing regional intelligence by its crew of native Ecosystem Curators, Alliance companions, and investor communities, all in help of founders as they launch and scale their startups. Construct In SE is a licensed Profit Company headquartered in Nashville, Tennessee.
