MSU Research Foundation to Launch New Venture Fund with $10.6M Award from Michigan Innovation Fund

EAST LANSING, Mich. (July 18, 2025) — The MSU Research Foundation has been awarded $10.6 million through the State of Michigan’s new $60 million Michigan Innovation Fund, announced by Governor Gretchen Whitmer earlier this week. The funding will support the launch of the Michigan Rise Evergreen Fund, a new investment vehicle designed to expand access to early-stage capital for high-potential startups across the state.

The Foundation was one of five organizations selected in the “Existing Evergreen Fund” category, which recognizes venture entities with a strong track record of deploying early-stage capital and recycling returns into future investments.

“We’ve seen firsthand how important early capital can be for founders and how reinvesting that capital builds a more resilient, more connected startup ecosystem,” said Jeff Wesley, Executive Director of Ventures at the MSU Research Foundation. “This new fund allows us to take that impact further, supporting more entrepreneurs and delivering long-term value across Michigan.”

The Michigan Rise Evergreen Fund will invest in pre-seed startups across a broad range of sectors and technologies. While industry agnostic, investments from the fund will focus on high-tech, high-growth opportunities. It builds on the Foundation’s existing pre-seed investment strategy and creates additional capacity to support more founders at the earliest stages of company formation.

What sets the fund apart is its evergreen model. Returns from successful investments will be reinvested into new ventures, creating a self-sustaining source of startup capital that grows over time. This structure enables the Foundation to continually support new ideas and emerging entrepreneurs without relying on external funding sources.

“This award affirms our role as a trusted partner in Michigan’s innovation economy,” said David Washburn, Chief Executive Officer of the MSU Research Foundation. “It reflects the strength of our venture team, our commitment to scalable entrepreneurship, and our alignment with the state’s vision for sustainable growth.”

Through its existing Red Cedar Ventures and Michigan Rise investment funds, the MSU Research Foundation has backed more than 240 startups statewide, helping founders bring technologies to market, attract follow-on investment, and create jobs in industries such as cleantech, life sciences, and mobility. The new Michigan Rise Evergreen Fund will build on this momentum, expanding the Foundation’s capacity to accelerate startup success across Michigan.

Over the next several years, the Michigan Rise Evergreen Fund is expected to support dozens of early-stage companies, helping them gain traction and scale. By expanding Michigan’s pool of pre-seed capital, the fund will accelerate commercialization and help drive long-term economic resilience statewide.

“We’re grateful to the State of Michigan, the MEDC, and legislative leaders for recognizing the importance of long-term capital in building a strong startup economy,” said Wesley. “This investment helps ensure that Michigan founders have the support they need—not just today, but for years to come.”

The Michigan Innovation Fund was created by the State of Michigan in 2024 with bipartisan support. It aims to close capital gaps, retain entrepreneurial talent, and grow the number of high-growth startups across the state. The MSU Research Foundation joins a select group of statewide recipients—including university-affiliated and regional innovation funds—who will collectively accelerate Michigan’s capacity for startup success.

For more information on the Michigan Rise Evergreen Fund or other MSU Research Foundation investment programs, visit msufoundation.org.