Inno Guides are designed to serve as an onboarding tool for anyone that's new to the city's ecosystem, as well as a refresher for those looking to learn more about Chicago’s startup and tech communities and the resources available to them.
As Chicago’s tech and startup industry has made efforts in recent years to become more inclusive of entrepreneurs of all identities and backgrounds, new accelerator programs, venture capital firms and networking opportunities have sprung up in the Windy City to help support underrepresented founders.
Out of the $150 billion in venture capital invested into U.S. startups in 2020, less than 1% when to Black startup founders, according to Crunchbase, while female founders received just 2.4% of venture capital.
To help address disparities, some Chicago techies have contributed to a growing network of resources for underrepresented entrepreneurs and their startups, from accelerator programs designed for Black, Latinx and female entrepreneurs, to venture capital firms that have launched with the singular mission to back traditionally overlooked founders.
This list only includes resources with a specific mission to help founders of color and women, but if we missed one, let us know at chicagoinfo@news.americaninno.com.
Accelerator/Incubator/Pitch Programs
1871’s BLK•Tech with Verizon: The 12-week accelerator gives participants access to mentoring from prominent Black business and tech leaders in Chicago, as well as business training through 1871’s PYROS education program. Launched in 2021, the program accepts up to 15 people in each cohort, who are building early-stage startups. The accelerator, however, doesn’t provide any funding to entrepreneurs.
1871’s WiSTEM: The 12-week accelerator is designed for women-owned startups in Chicago, and provides them with mentorship, introductions to investors, curated programming and workshops. WiSTEM culminates with a showcase event in which local tech and business leaders are invited to see the founders pitch their companies.
WMN•FINtech: Hosted by 1871 and BMO Harris Bank, the three-month program gives resources and mentoring to women building technology startups for the financial sector. WMN•FINtech runs in conjunction with 1871’s PYROS program, a 12-week series of workshops, seminars and one-to-one mentoring built for founders at all stages.
Latinx Incubator: As a joint program operated by 1871 and the Illinois Hispanic Chamber of Commerce, the Latinx Incubator is designed for entrepreneurs of Latin backgrounds. The program, founded in 2016, culminates in a demo day to give entrepreneurs an opportunity to pitch the startup ideas they’ve been working on in the 12-week program.
P33’s Tech Rise: Tech Rise is a diversity initiative that focuses on expanding access to capital and fostering more community for entrepreneurs of color created by P33, 1871 and Verizon. The initiative includes a $5 million fund supported by corporate and institutional philanthropy. The funds are dispersed in the form of grants to Black and Latinx founders that win weekly pitch competitions hosted by P33. Grants range from $10,000-$50,000, and local venture capitalists and other tech leaders judge the competitions.
South Side Pitch: Hosted by the Institute for Justice Clinic on Entrepreneurship, this pitch program is designed for small-business owners on Chicago's South Side. Judges at past competitions include Peggy A. Davis, the vice president of community impact at the Chicago Community Trust, and Vincent Williams, the president and CEO of the Chicago Minority Supplier Development Council.
Networking/Mentorship
Chicago Blend: Modeled after a similar program in New York called NYC Blend, Chicago Blend is focused on three specific initiatives: Collect diversity data across all Chicago venture firms, collect diversity data on Chicago's venture-backed startups, and build out a resource library where VCs and startups can go to find tools to help increase diversity, equity and inclusion on their teams. In 2019, the organization published “The BlendList," a roster of women and Black, Hispanic, Latinx and Asian board candidates in Chicago and around the country.
Pritzker Tech Talent Labs: Created with a $10 million donation from the Pritzker family to the University of Illinois’ Discovery Partners Institute, the Pritzker Tech Talent Labs is a series of programs aimed at helping thousands of women and people of color secure high-paying tech jobs. Initiatives include an instructional program for high schoolers that teaches them how to code and then connects them with internship, mentorship and financial resources. Other programs under the initiative aim to provide educational resources to the current workforce on concepts like machine learning, artificial intelligence and 5G.
The Chicago Urban League Center for Entrepreneurship & Innovation: Founded in 2007, the center helps Black Chicagoans launch, grow and sustain businesses. The organization provides entrepreneurs with tools to maximize revenues, reduce costs, increase profitability and drive job creation while encouraging innovation.
ImBlackInTech: The Chicago-based organization is a global membership club that supports, celebrates and educates Black and Latinx founders and professionals. The program has members across more than 40 states and 16 countries. ImBlackInTech offers training programs on entrepreneurship, as well as networking events.
Queer Tech Club: The organization provides professional development and networking opportunities for LGBTQ+ technologists in Chicago. Queer Tech Club hosts regular events for members to pitch startup ideas, celebrate accomplishments and find job opportunities.
Capital
LongJump: Led by active startup founders like 4Degrees’ Ablorde Ashigbi and Paladin’s Kristen Sonday, the firm, which calls itself a “first-check” fund, focuses on investing in startups led by founders of all backgrounds. To democratize how founders get in front of investors at LongJump, the firm offers an application process, cutting down on network homogeneity that often leads to the same types of people landing funding over and over again. Among LongJump’s first round of applications, 91% of the companies who applied had at least one founder from an underrepresented group, which includes female, Black, Hispanic, Latinx, Asian-American, immigrant and LGBTQ+ founders. Checks range from $50,000 to $100,000.
Chingona Ventures: Founded by Samara Hernandez, a former venture capitalist at MATH Venture Partners, Chingona Ventures invests in early-stage startups that are traditionally neglected by other VCs. The firm invests in not only diverse founders, like racial minorities and women, but also unique business concepts and startups operating in consumer industries. Chingona’s average check size is about $100,000.
Cleveland Avenue State Treasurer Urban Success Initiative: In 2021, Cleveland Avenue, a food innovation-focused venture capital firm from former McDonald’s CEO Don Thompson, launched a $70 million fund to invest in Chicago companies owned by Black, Latinx and women entrepreneurs. The CAST US fund has already invested in companies such as AYO Foods, Every Body Eat, 86 Repairs, Lift Up Enterprises, DrugViu and Gray Matter Analytics.
Supply Change Capital: Founded by Shayna Harris and Noramay Cadena, Supply Change Capital is a VC fund focused on investing in early-stage food companies founded by underrepresented people, such as women and racial minorities. The firm aims to fund a range of pre-seed and seed-stage companies throughout the U.S. operating in the food space, whether they’re making innovative consumer packaged goods or manufacturing sustainable ingredients. Harris previously told Chicago Inno that the firm cuts checks up to $1 million. Investments include New York-based Omsom; Madison, Wisc.-based Stika Salmon Shares, and New York-based Pathspot.
Google for Startups Black Founders Fund: Google for Startup’s Black Founders Fund provides Black-led startups nationwide with up to $100,000 in grant funding. During its first year in 2020, six Chicago business owners received $450,000 of the $5 million fund, including 4Degrees, GoLogic, Cyber Pop-Up, LifeWeb 360, A.M. Money and Five to Nine.
Fifth Star Funds: Founded by a diverse team of local Chicago tech entrepreneurs, Fifth Star aims to be the "Friends and Family" fund for Black tech founders who traditionally struggle to raise angel and pre-seed funding. Anyone can contribute to the fund as a tax deductible donation, and 100% of all investment returns are re-invested into the fund to support more underrepresented entrepreneurs. Fifth Star seeks to remove bias throughout the application process, and Black founders can apply directly on the site. Investment check sizes range from $25,000-$50,000.
Ethos: Founded by Alida Miranda-Wolff, Ethos is a talent strategy firm specializing in diversity, equity and inclusion strategies at startup and tech companies. Ethos helps its clients structure employee interviews, hire a diverse team, and create retention and development plans for employees.
Re:Work: The non-profit sales training program helps minority candidates find jobs at Chicago tech companies by hosting 10-week training programs that train participants on entry-level software sales. The program is free to applicants; Re:Work makes money from donations and companies that pay to connect with Re:Work's talent pool.
The Mom Project: Founded by CEO Allison Robinson, The Mom Project has created an online platform that helps connect viable female candidates to employers with open positions while taking a special interest in helping moms who left the job market re-enter the workforce. Its platform has amassed hundreds of thousands of users and companies like Apple, Nike, Gap and BP. The Mom Project also offers Rise, a scholarship program specifically for moms of color, which provides access to upskill certifications and job placement.
