Chicago's Impact Engine is undergoing a change that could drastically impact the Chicago entrepreneurial community. Today, they announced the raise of a new $10 million impact investment fund to better support and scale early-stage, tech-focused businesses in the area.
A “venture fund that invests in financial and human capital in early-stage, for-profit technology businesses that are improving education, health, economic empowerment, and resource efficiency”, Impact Engine will invest between $25,000 and $250,000 in approximately 25 early-stage technology companies. This is also the first impact fund of its kind in the Midwest.
Diversity is also a high concern for Impact Engine, with approximately one-third of its limited partners being women and the venture fund itself being led by two women – Jessica Droste Yagan, CEO, and Tasha Seitz, chief investment officer.
According to a statement, Droste Yagan says:
“This new fund gives us an opportunity to build upon the positive early track record of Impact Engine’s three years as an accelerator. We are thrilled to continue to grow the impact investing ecosystem—supporting impact investors while moving more financial and human capital to the most promising impact entrepreneurs.”
Entrepreneurs and new businesses are dependent on venture capitals, accelerators, and other outside support systems to run smoothly. Whether that is to help guide them as they raise capital, find new impact strategies, or simply give back to the community, having prominent venture funds like Impact Engine make these early-stage businesses the focus, it reevaluates the importance they have on the Chicago entrepreneurial community and the business industry at large.
Image via Mariano Mantel / Flickr.