Memphis, Tennessee, is rapidly redefining its reputation—emerging not only as a city rich in culture and history but also as a strategic hub for innovation and entrepreneurial growth in the Southeast. Today, Memphis offers a compelling environment for ambitious founders: a unique combination of affordability, industry expertise, and a collaborative business community attracting both emerging startups and established investors.
For founders seeking to secure venture capital and scale their businesses, understanding the nuances of the Memphis ecosystem is essential. The city’s venture capital landscape is evolving quickly, with increased investor interest in healthcare, logistics, AgTech, and B2B technology sectors. At the same time, Memphis’s supportive infrastructure—ranging from accelerators and research institutions to government-backed incentives—provides founders with the resources and networks needed to thrive.
This guide is designed to help founders navigate the Memphis VC scene. We'll delve into the top venture capital firms actively investing in the region, current ecosystem trends, key networking opportunities, and point you toward invaluable local resources tailored to founders building and scaling startups in Memphis.
Top VCs in Memphis
Innova Memphis
About: Innova Memphis is a venture capital & private equity company and invests in early stage businesses related to biosciences, healthcare, technology, and AgTech.
ZeroTo510
About: We’re a Memphis-based medical technology program that supports early-stage founders looking to accelerate toward commercialization. ZeroTo510 is a unique, entrepreneurial accelerator program focusing on medical devices.
MB Venture Partners
About: MB Venture Partners is a Memphis-based venture capital firm that provides capital and strategic direction to life science companies. MBVP was founded by Gary Stevenson and Joseph R. “Pitt” Hyde III. The Firm invests in primarily in medical device start-ups at all stages of development. We are especially interested in funding product solutions for musculoskeletal disease. Johnson and Johnson, Medtronic, Smith + Nephew, Zimmer Biomet, and Wright Medical (now part of Stryker) have each acquired MBVP-funded start-ups. MBVP has been the largest sponsor and Conference Host of the Musculoskeletal New Ventures Conference for more than 20 years.
EPIcenter
About: Epicenter’s mission is to drive innovation and support high-growth entrepreneurship in Memphis. We believe that fostering these ideas and businesses is crucial for the city's thriving economy.
SSM Partners
About: SSM invests in rapidly-growing software and tech-enabled services companies across B2B and healthcare. The firm has been partnering with talented entrepreneurs and management teams for more than 20 years to help them scale by building a trusted relationship and offering a thorough understanding of the growth company lifecycle and a collaborative approach to building great businesses. SSM makes minority and majority equity investments of $8 to $30 million per opportunity.
Sparkgap
About: Our 115-day accelerator program provides logistics tech founders with crucial early-stage funding, as well as mentoring from some of the top figures in the industry. But more importantly, Sparkgap enables you to test and hone real ideas using real corporate assets — all in the real-life laboratory of America’s logistics capital.
Fundraising in Memphis: Insights, Trends, and Local Resources for Startup Founders
Current Fundraising Trends in Memphis
The Memphis startup ecosystem is seeing increased interest from local and regional investors, especially in healthcare, logistics, AgTech, and B2B SaaS sectors. Investors seek founders who demonstrate strong market understanding, scalable business models, and a commitment to the Memphis community. Early-stage funding is available through local VCs and angel networks, while growth-stage capital often comes from a mix of Memphis-based and national firms.
How to Approach Memphis VCs
Memphis VCs value authentic relationships and a clear understanding of how your startup fits into the local and regional economy. Warm introductions through local accelerators, founder networks, or university programs can be especially effective. Tailor your pitch to highlight not just your business model, but also your commitment to growing in Memphis and contributing to the local ecosystem. Attend local events and leverage platforms like Epicenter Memphis to connect with investors and mentors.
Key Networking Opportunities
Networking is essential in Memphis, where the startup community is close-knit and collaborative. Some of the most valuable opportunities include:
- Epicenter Events: Regular workshops, meetups, and demo days for entrepreneurs.
- Start Co. Programs: Accelerator cohorts and alumni events that connect founders with investors and advisors.
- ZeroTo510 Demo Day: A showcase for medical device startups, attracting investors from across the region.
Local Accelerator and Incubator Programs
Memphis is home to several accelerators and incubators that provide funding, mentorship, and community:
- Start Co.: Focuses on B2B, logistics, women-led, and social impact startups.
- ZeroTo510: Specializes in medical device startups, offering seed funding and regulatory guidance.
- Epicenter: Offers a range of programs for founders at every stage, including capital access and business support.
University and Research Institution Resources
The University of Memphis and other local institutions are active in supporting startups through research partnerships, talent pipelines, and commercialization programs. Founders can access student interns, faculty expertise, and technology transfer offices to accelerate product development and innovation.
Government and Nonprofit Support
Memphis startups can tap into a variety of grants, tax incentives, and support programs from the city, state, and nonprofit organizations. The Tennessee Department of Economic and Community Development offers incentives for job creation and innovation, while local nonprofits like Epicenter provide grants and business development resources.
Memphis Startup Ecosystem in 2025: Key Trends, Opportunities, and Challenges for Founders
Emerging Industry Trends
Memphis continues to build on its legacy as a logistics powerhouse, with FedEx’s global headquarters anchoring a robust supply chain and transportation sector. In recent years, the city has also seen a surge in healthcare innovation, driven by the presence of world-class institutions like St. Jude Children’s Research Hospital and a growing number of healthtech startups. AgTech is another rising star, leveraging the region’s agricultural roots and new technologies to address food production and sustainability. Fintech and social impact ventures are also gaining traction, supported by local investors and accelerators focused on mission-driven founders.
Opportunities Unique to Memphis
Memphis offers several advantages that set it apart from other startup hubs. Its central location makes it a natural logistics and distribution center, providing startups with access to national and international markets. Strong partnerships between universities, research institutions, and industry create a fertile ground for innovation and commercialization.
Memphis offers a cost of living about 11% lower than the national average, with housing and office space costs significantly below those in major U.S. cities. This affordability extends to labor and operational expenses, giving startups a longer runway and making Memphis especially attractive for founders looking to maximize their capital efficiency. Tennessee’s lack of state income tax and local business tax incentives further enhance the city’s appeal for entrepreneurs.
Challenges Facing Memphis Startups
While Memphis offers many advantages, founders should be prepared for certain challenges. Access to late-stage capital can be more limited compared to larger markets, making it important to build relationships with both local and national investors early on. Talent retention is another hurdle, as some skilled professionals may be drawn to larger tech hubs. Scaling beyond the Memphis market requires strategic planning and often, partnerships outside the region. Founders must also navigate a business environment that, while supportive, is still developing the infrastructure and density of more established startup cities.
Ecosystem Growth Initiatives
To address these challenges and fuel continued growth, Memphis is investing in a range of ecosystem initiatives. Public and private organizations are expanding accelerator programs, increasing access to early-stage capital, and launching diversity and inclusion efforts to ensure all founders have a seat at the table. Infrastructure improvements, such as new coworking spaces and innovation districts, are making it easier for startups to collaborate and scale. Cross-regional partnerships with other Southeastern cities are also opening new doors for Memphis founders.
Connect With Investors in Memphis Using Visible
At Visible, we often times compare a fundraise to a B2B sales and marketing funnel. At the top of your funnel, you are finding new investors. In the middle, you are nurturing and pitching potential investors. At the bottom of the funnel, you are working through diligence and ideally closing new investors.
With the introduction of data rooms, you can now manage every aspect of your fundraising funnel with Visible.
- Find investors at the top of your funnel with our free investor database, Visible Connect and find a filtered list of Memphis' investors here.
- Track your conversations and move them through your funnel with our Fundraising CRM
- Share your pitch deck and monthly updates with potential investors
- Organize and share your most vital fundraising documents with data rooms
Manage your fundraise from start to finish with Visible. Give it a free try for 14 days here.
