Five Midwest startups announced funding in the third week of October, bringing in $35.5 million in disclosed capital between four of them.
Chicago's Switched Source led with more than $17 million to scale up manufacturing of its grid-balancing hardware for utilities. It was followed by up to $8 million for Detroit industrial intelligence company Aatmunn, a $7 million seed round for Minneapolis-based Gudea and a $3.5 million state grant for Kall Morris in Marquette, Michigan, while Sharp Biomedical, also in Minneapolis, closed a pre-seed round of undisclosed size.
Five deals is two more than in each of the last two weeks, and the most we've tracked since the six apiece in the weeks ending September 18th and September 25th. The dollars have recovered too, to more than five times last week's kinda sad and lonely $6.6 million, which was the smallest weekly total in this run of reports.
Regular readers will know Kall Morris from our founder story with CEO Troy Morris, who started the company with his brother Austin and Adam Kall, all three Northern Michigan University alumni, to build what he calls "tow trucks for space." Its $3.5 million comes from the Make it in Michigan Competitiveness Fund to finish development of the Laelaps spacecraft and is expected to create 60 jobs at the company's Marquette facility, according to Dealroom. The project also draws on $34 million from SpaceWERX, the U.S. Space Force's innovation arm, and the award was one of nine in a $23 million state package announced by Governor Gretchen Whitmer on October 14th.
Sharp Biomedical's pre-seed round was led by gener8tor 1889, a venture fund operated by gener8tor, with several physician angel investors taking part, though the company didn't disclose the amount. Founder and CEO Dan Newman says the funding will cover the development and testing needed to bring its first spine care toolset and implant system to market, positioning it for its next regulatory milestones.
Here are the Midwest investments from across the great states of Illinois, Indiana, Michigan, Minnesota, Ohio and Wisconsin that we've been able to track and verify this week, ending October 16th, 2026.
As always, every company and investor below can also be found in our startups and investors database.
While you're here: If you'd like to make sure you're notified about any funds raised from the six states we cover, then make sure you're subscribed to our newsletter
Switched Source
Business Type: Clean Energy
Amount Raised/stage: $17m round
What they do:
Provides automated power‑flow control devices that dynamically balance three‑phase distribution, increasing grid reliability and capacity while enabling rapid, cost‑effective deployment for utilities.
Aatmunn
Business Type: Artificial Intelligence
Amount Raised/stage: Up to $8m round
What they do:
Provides an industrial intelligence platform that unifies and normalizes device data, delivering AI‑driven insights for real‑time actions in worker safety, gas detection, asset tracking, and inspections.
Gudea
Location: Minneapolis, Minnesota
Business Type: Artificial Intelligence
Amount Raised/stage: $7m seed round
What they do:
Uses AI and graph neural networks to map information pathways across platforms, predicting narrative virality, impact, and lifespan, enabling proactive risk management and trend identification for businesses.
Kall Morris
Location: Marquette, Michigan
Business Type: Aerospace & Space
Amount Raised/stage: $3.5m Make it in Michigan Competitiveness Fund grant
What they do:
Develops a spacecraft that rendezvouses with, retrieves, and relocates satellites in orbit, extending satellite lifespans and reducing replacement costs, supported by a $3.5 million state grant.
Sharp Biomedical
Location: Minneapolis, Minnesota
Business Type: Healthtech
Amount Raised/stage: Undisclosed pre-seed round
What they do:
Develops safe, manual spinal toolsets and implants enabling outpatient clinics to treat early‑to‑mid‑stage chronic pain with simple procedures, reducing reliance on large‑scale surgery and costly infrastructure.
Want to know more?
Read the latest quarterly funding reports for each state here:
Illinois startup funding - Q2 2026
Indiana startup funding - Q2 2026
Ohio startup funding - Q2 2026
Michigan startup funding - Q2 2026
Minnesota startup funding - Q2 2026
Wisconsin startup funding - Q2 2026
While you're here: If you'd like to make sure you're notified about any funds raised from the six states we cover, then make sure you're subscribed to our newsletter
