Society Brands led venture capital fundraising among Northeast Ohio companies in the first quarter of 2023 — a quarter marked by sharp drops in venture capital funding in all stages and sectors nationwide, according to Venture Monitor.
The region's top VC deals raised about $37 million in the first quarter, according to the quarterly report by Pitchbook and the National Venture Capital Association.
That was down 86% from $272 million in the first quarter of 2022, which included the first closing of Society Brands' A Round of $204 million.
Excluding Society Brands' year-ago fundraise, Northeast Ohio's top deals were down 46%.
Society Brands, the Canton, Ohio-based aggregator of e-commerce stores, raised $13 million in the first quarter, according to the Venture Monitor report.
But the Canton company raised most of that money in 2022 to complete its Round A fundraise, the company's co-founder and CEO, Michael Sirpilla, told the Cleveland Business Journal early this month.
"That brings our total capital raise to somewhere around $220 million," Sirpilla said.
Society Brands is using that capital to acquire e-commerce companies, build its technology staff, and for other operational initiatives, he said.
Biohm Health LLC
Biohm Health, the microbiome startup in Cleveland, was next on the region's VC list for the quarter, raising $7.5 million in equity.
Biohm Health uses a microbiome datasets that combine bacterial and fungal sequencing — among the largest in the world — to help food, beverage and dietary supplement companies formulate their health products.
Smart Soda Holdings Inc.
Smart Soda in Mayfield Heights, Ohio, raised $4.4 million in new capital during the recent quarter, Venture Monitor reported. That included a $3 million investment and strategic partnership agreement with Refreshing USA, which provides vending machine, micro market, and water and coffee dispenser services to workplaces nationwide.
The partnership is expected to give Smart Soda access to Refreshing USA's nationwide accounts and food service companies as well as its locations in 44 states.
Presta
Also of note, Presta, a digital lending startup in Cleveland, launched during the first quarter after raising $3.3 million in equity.
Presta has created a digital lending platform that helps community banks lend money to businesses more efficiently.
