The Shift: Northwest Arkansas startups have gotten more than $90M from VCs so far this year
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Investors have sown more than $91 million in 10 Northwest Arkansas startups since the beginning of the year.
- Private equity database company PitchBook shared the estimated numbers with Axios.
- The activity is roughly on pace with last year's record $200 million.
Why it matters: Capital investment gives startups and young companies resources to grow into more mature, profitable businesses faster.
The big picture: An increase in venture capital signals investor confidence in the area's entrepreneurial community — a measure of perceived economic health.
By the numbers: Little Rock companies saw four deals close for a combined $5.4 million in the first half of 2023.
- Of the six Arkansas deals that closed in the second quarter, four were considered later-stage investments and two early stage, suggesting some maturity is taking place.
- The single-largest deal noted during the second quarter was for $38.4 million to Cooks Venture, a direct-to-consumer meat producer in Decatur.
- The company also closed on a $35.4 million investment in August.
Cooks Venture did not respond to Axios' request for comment.
Zoom out: In the Tulsa metro area, six deals closed for a combined $21.6 million.
- This is notable because of the recent emphasis on the 412 Corridor connecting NWA and Tulsa as a "super region" for economic growth.
💠Worth's thought bubble: Sometimes Pitchbook's data are lagging a quarter — occasionally deals are counted twice and corrected later.
- I wouldn't rely on the data for heart surgery calculations, but they're directionally right.
📊 The Shift is a regular feature to catch up quick on what's happening in Arkansas' economy and entrepreneurial ecosystem.