Funding for Early Stage Startups

Get in the Groove

Groove Capital supports small teams with high potential, who have detailed plans for achieving larger, later stage milestones. We’re interested in bold ideas backed by action. Investments will target companies with a/an:

  • Market thesis
  • Minimal Viable Product
  • Sales pipeline
  • Proven track record to execute upon a plan
  • Ability & determination to persevere

The Groove Capital fund will be investing in many industries, but will favor the verticals that can be supported by Minnesota’s most robust resource networks: think ag tech, food, healthcare, education, energy, enterprise SaaS, financial services, medical device, retail, and sports & fitness.

As your venture partner, we will provide you with capital along with introductions to angel investors and advisors, increasing your likelihood of success.

Investment Criteria

Early Stage-1

Early Stage

Leading or joining Pre-Seed and Seed Stage funding rounds


Minimal Viable Product

Past Concept Stage, with a working prototype or proof of concept

Drive to Win-1

Drive to Win

Evidence of an ability to expand product or service offerings and secure market share, favoring those with an unfair advantage


Extreme Resiliency

A clear purpose and demonstrated perseverance to meet or exceed goals


Minnesota Based

Focused on companies headquartered or operating in Minnesota, but will make an exception for compelling startups located in neighboring ecosystems


Industry Agnostic

We invest in many industries, but favor those verticals that can be supported by Minnesota’s most robust resource networks


Looking for an Investment?

Groove Capital is actively investing. Please send us your information, and we will get back to you shortly.

Investment Process


We'll ask you to provide high level information to help us understand if you meet our basic investing criteria.

Step 1

Step 2

Team Review

We’ll review your materials, ask additional questions, and determine if we’d like to see a full pitch. This process usually takes a week, but can vary depending on when all materials are submitted.

The Pitch

This is your time to shine! It’s also a chance to meet your team and see you in action. Following the pitch, we'll turn around a decision shortly after your presentation.

Step 3

Step 4

Due Diligence

You’ll be asked to share detailed information about your company. Additionally, we may pull in other subject matter experts to help evaluate your company.

Investment Offer

We’ll work together to ensure that we find a deal structure that aligns incentives for both your company and Groove; this should be win-win for everyone.

Step 5

Step 6

Investment Accepted

We finalize the investment documents and begin onboarding you as a portfolio company.


For companies that choose (most do), Groove immediately shares the deal with our Limited Partners and Groove Investment Group, an angel network, allowing others to commit additional funding to your company.

Step 7

Step 8

Sign and Close the Deal

Additional co-investment funding is typically added to Groove’s investment using the same term sheet, leaving your cap table nice and tidy.

Not Yet Ready to Apply?

Groove hosts regular office hours to answer any questions you might have about us, the investment process, areas of interest, etc. This is NOT an opportunity to pitch, it's simply a space for helping you better understand what to expect.