#USA #Madison #Veteran Startups #TruStage Ventures #fintech funding

TruStage Ventures to Empower Veteran Entrepreneurs

TruStage™ Ventures, the venture capital division of the recognized insurance and financial services company TruStage, recently announced an exciting shift in its investment strategy. The firm will expand its Discovery Fund to now include startups founded by veterans. This move aims to tap into the untapped potential of veterans who possess a wealth of knowledge and experience yet traditionally face challenges in securing funding.

According to Elizabeth McCluskey, Managing Director of the Discovery Fund, "This expansion acknowledges veterans as innovators and leaders. We're focusing on those who are pioneering community-centered solutions within the financial services arena. By backing these brave individuals, we anticipate not only meeting their financial needs but also enabling them to design and expand fintech solutions that create lasting economic impacts."

The Discovery Fund, launched in 2021, has effectively tackled disparities in the financial sector by directing resources toward often-overlooked entrepreneurs. Despite veterans being notably more inclined to initiate businesses compared to non-veterans, many of these individuals encounter obstacles that inhibit their entrepreneurial endeavors, particularly in accessing funding needed for growth. Recent data from the US Small Business Administration indicates that veteran-owned businesses are dwindling, despite these entrepreneurs being 45% more likely to start their own ventures than their non-veteran counterparts.

TruStage Ventures has made significant strides since the fund's inception, having invested in 25 early-stage startups while achieving a remarkable 100% survival rate. Among these investments are three successful acquisitions, a testament to the effectiveness of the fund's model, which exceeds the average survival rate within the fintech industry. This notable success serves as an indication of the vast opportunities awaiting veterans prepared to transition their leadership skills into civilian entrepreneurship.

Veteran entrepreneur Dennis Cail, co-founder of the peer-to-peer lending platform Zirtue, shared his experience with the Discovery Fund. "As a veteran who has encountered financial barriers as an entrepreneur, I can attest to the fact that veterans often feel marginalized when seeking funding. TruStage not only provided capital; they forged relationships and strategic introductions that helped us think more expansively. Their faith in our vision was a key factor in our ability to scale as a business."

The connection between veterans and credit unions is another vital aspect of TruStage's strategy. With existing partnerships with over 93% of American credit unions and a strong collaboration with military-oriented credit unions through the Defense Credit Union Council, TruStage is well-positioned to support veterans effectively. Nearly one-third of military personnel and veterans currently rely on credit unions for their primary financial services, reinforcing the bond between the two communities.

In closing, Elizabeth McCluskey stated, "The alignment of values—service, integrity, and commitment to community—between veterans and credit unions is undeniable. We are optimistic that this synergy will continue to yield significant success stories in the future."

For veteran entrepreneurs eager to explore funding opportunities through the Discovery Fund, further information is readily available on the TruStage website.

About TruStage Ventures

Founded as a part of TruStage, a financially robust provider of insurance and financial services, TruStage Ventures is committed to making financial futures accessible for everyone. With two dedicated investment funds, the firm focuses on strategic partnerships and supports startups led by traditionally underrepresented teams. To date, it has invested in nearly 70 fintech startups, with a dedication to enhancing the financial landscape for all.