Every year Chicago Inno releases our Inno Fire Awards, highlighting 50 companies making a big impact on Chicago's startup community. And every year there are too many accelerators, investors and other ecosystem supporters for just one list.
So alas, there was room for only 11 of what we dubbed "fire starters" in this year's lineup — that is, the entities supporting and fostering Chicago's innovation. For example, mHub not only provides a manufacturing incubator center for new startups to grow but has become one of the city's most active climate- and energy-tech investors.
For the rest of Chicago Inno's Fire Awards, including our "embers," "clean energy," "burning hot" and "ready to explode" categories, check out the full list.
The past year has proven to be another tough one for startup fundraising, but it's been just as difficult, if not even more so, for investors to raise money.
Even funds with name brands are not immune to fundraising struggles, PitchBook analysts wrote in their most recent report. Many have raised significantly smaller funds this year, including Valar Ventures, co-founded by Peter Thiel, which in the second quarter closed a $300 million fund — less than half the value of the firm's previous $665 million fund closed in 2022. First-time managers are facing even tougher obstacles.
Chicago Inno's fire starters include investors that have been able to fight through those obstacles to provide local startups the capital they need to grow and expand. Bluestein Ventures, for example, raised a new $45 million fund in early 2024, and 53 Stations launched a new $190 million fund last November.
Changing Chicago's tech scene for the better, however, starts at the local universities. Programs such as Northwestern's Garage, which funded more than $300,000 to student-led ventures through programs and pitch competitions, are helping to breed Chicago's next generation of innovators.
Here are Chicago Inno's 2024 Fire Awards "fire starters" winners:
Designated as an official U.S. Tech Hub for quantum technologies, The Bloch is one to watch amid Chicago's quest to become the Silicon Valley of quantum tech. The coalition, which includes Fortune 500 companies such as IBM and Microsoft, seeks to advance quantum technologies and develop tech solutions for things like logistics optimization, drug discovery, fraud detection and more. As Illinois looks to become a global competitor in the quantum sector, The Bloch hopes to be a major part in that push to develop the future of quantum.
Venture firm Bluestein Ventures, which focuses on high-growth consumer brands, proprietary food tech, next-gen commerce and value-add digital tech, raised a new $45 million fund to begin 2024. After operating as a family office since 2014, the firm said its third fund is the first in its 10-year history to take outside capital. The Chicago-based firm has made more than 40 investments since its launch, backing breakout companies such as Factor, Foxtrot and Meati.
Founded in 2016, water accelerator Current will lead Great Lakes ReNew, a six-state coalition that won a grant of up to $160 million from the U.S. National Science Foundation as part of its Regional Innovation Engines program. The initiative will support the development of water-based innovation in the region by finding new ways to recover and reuse water, energy, nutrients and critical materials from water. ReNew hopes to attract new American manufacturers to the area and will be working with dozens of startups to help them on their commercialization journey. Since its founding, Current has helped raise more than $45 million to support water innovation in the region.
Supported by The Pritzker Organization and headed by co-founder and managing partner Jason Pritzker, 53 Stations launched a $190 million fund in November with initial investments in companies such as Altana and Black Buffalo. Pritzker called the firm "industry-agnostic" in a conversation with Chicago Inno last fall, but said it would be opportunistic.
The Garage at Northwestern University
Northwestern's premier student accelerator had what manager Carly Kramer called a "banner year." The Garage launched three new programs, including Alumni VentureCat, Northwestern's inaugural alumni startup competition, which received more than 75 submissions in its first year. In 2023, The Garage dispersed more than $300,000 in total funding to student-founded ventures through programs and pitch competitions.
Rosalind Franklin University's biomedical incubator Helix 51, which celebrated its fifth-year anniversary in April, is now home to 12 early-stage startups, including its first international company. The incubator also added four new companies in May, two of which were spun out of local research institutions.
Chicago early-stage venture capital firm Hyde Park Venture Partners completed raising a $98 million fund, its first since 2019 and its fourth fund since the firm's inception in 2012. The fund was an early backer of Chicago startups such as ShipBob, FourKites, G2 and Dentologie.
University of Illinois' accelerator program for student-led startups just completed its 10th year, over which time iVenture companies have raised more than $110 million.
Since its inception, Matter has helped more than 1,000 health care startups accelerate innovation and move to commercialization. The incubator's startup community raised more than $340 million in funding last year, despite the considerable fundraising challenges faced by startups, and the organization facilitated 27 collaborations between large enterprises and startups through its programs in 2023. Matter launched flex memberships in October, offering a cost-effective option for entrepreneurs.
The largest independent hard-tech and manufacturing innovation center in the U.S., mHub rounded out 2023 by opening its new headquarters, out of which more than 275 active companies now work. The 2022 Blazer winner, which celebrated its five-year anniversary that year, has become one of the most active investors in climate and energy startups in Chicago with a total of 21 climate and tech investments since 2022.
Chicago venture capital firm 7wireVentures closed its latest $217 million fund in October, bringing its assets under management to more than $500 million. The newest fund will invest in consumer-first, tech-enabled health care solutions and support "high-potential companies" from the firm's existing portfolio heading for later stages of funding. The fund will also invest in Series B and C companies.
Meet these honorees and more at Chicago Inno's first in-person Fire Awards event since 2019, to be held Tuesday, Aug. 27, at TeamWorking by TechNexus. There we will also reveal the Blazer winners, the "fire starters" and other honorees that stood out in each category.
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