South Loop Ventures is a Houston-based venture capital firm founded in 2022 by Zach Ellis. The firm is dedicated to investing in pre-seed and seed-stage startups led by underrepresented founders, particularly people of color. With a mission to address the inequitable distribution of venture capital, South Loop Ventures aims to unlock the potential of diverse entrepreneurs by providing them with the resources and support needed to build transformative companies.
South Loop Ventures operates as a generalist fund with a strategic emphasis on sectors that align with Houston's industrial strengths.
The firm focuses on energy and Mclimate technology, healthcare, space technology, sports technology, and fintech/B2B SaaS.
By concentrating on these areas, South Loop Ventures seeks to leverage Houston's unique position as a nexus for these industries to support startups that can drive innovation and economic growth.
In May 2025, South Loop Ventures announced the closing of its inaugural fund, securing $21 million in committed capital. Anchor investors include Rice Management Company and Chevron Technology Ventures, with additional participation from Texas Capital Bank and The Great Commission Foundation of the Episcopal Diocese of Texas.
The fund aims to invest in at least 30 companies, writing average checks of approximately $400,000. Since August 2023, South Loop Ventures has already made 13 investments, demonstrating its commitment to backing early-stage startups led by diverse founders.
Leadership
Zach Ellis serves as the Founder and General Partner of South Loop Ventures. A native of New Orleans, Ellis brings a diverse background to the firm, including seven years of service in the U.S. Navy, experience in healthcare consulting, and roles in corporate innovation at PepsiCo and investment management at Ohio State University.
His multifaceted career has equipped him with a unique perspective on the challenges faced by underrepresented founders and the opportunities to drive systemic change in venture capital.
Investment Strategy
South Loop Ventures employs a hands-on investment approach, partnering closely with founders to accelerate growth and innovation. The firm leverages its extensive network and industry expertise to support portfolio companies in navigating challenges and scaling their businesses effectively. By focusing on sectors where Houston has a competitive advantage, South Loop Ventures aims to foster a robust local tech ecosystem while generating strong returns for its investors.
Notable Investments
South Loop Ventures' portfolio includes companies such as Milkify, a Houston-based breast milk freeze-drying service, and Lokum App, a platform for recruiting certified registered nurse anesthetists.
These investments exemplify the firm's commitment to supporting innovative startups that address critical needs in healthcare and beyond.
