1885 Capital is a Houghton, Michigan-based early-stage venture firm co-founded by Jim Baker and Vince Nystrom, operating in partnership with Michigan Technological University, an R1 research institution with $124M+ in annual R&D and spinouts including Handshake and Orbion Space Technology. The firm describes itself as the first rural-based, early-stage venture firm launched in the United States since 2018, and is built on the conviction that great companies can be built anywhere, and that the Great Lakes region is significantly undercapitalized relative to its industrial and research output.
1885 Capital backs technology companies supporting reindustrialization, advanced materials, enterprise software, and sustainability across the Great Lakes region, with particular strength in manufacturing technology, industrial software, mobility, and energy supply chains.
The firm is technology-agnostic within these sectors and targets founders who are geographically underserved by traditional venture capital playbooks.
Fund size is not publicly disclosed. The firm has made two initial investments: Bloom (intelligent matching for mobility, energy, and robotics supply chains) and Grw AI (AI sales operations automation).
The GP team has backed 80+ companies with $4.5B in enterprise value created and $2.3B+ in follow-on capital raised across prior investment activity.
The fund received seed capital supported by the State of Michigan.
Leadership
Jim Baker is Co-Founder and General Partner, based in Houghton, Michigan, with decades of experience at the intersection of venture capital, economic development, and university commercialization.
Vince Nystrom is Co-Founder and General Partner, formerly Entrepreneur-in-Residence at Innovate Marquette SmartZone, Michigan State University's Spartan Innovations, and Headwaters North, with prior experience building the Michigan Outdoor Innovation Fund using $3M in State of Michigan capital.
Investment Strategy
1885 Capital offers flexible capital structures, including equity, revenue share, venture debt, and redeemable equity, matched to the specific needs of each business rather than applying a single investment template.
The firm maintains a network of 300+ co-investors across 200+ venture funds for follow-on firepower, and leverages its Michigan Tech University partnership for deal sourcing from the institution's $124M+ annual R&D pipeline.
Notable Investments
jtenzillo@1885.capital
Jim Baker — Co-Founder & General Partner
Vince Nystrom — Co-Founder & General Partner
United States
