>> HELLO AND WELCOME TO INSIDE INDIANA BUSINESS. I'M GERRY DICK. INDIANAPOLIS-BASED ELEVATE
VENTURES SAYS 2019 WAS A RECORD YEAR FOR VENTURE CAPITAL DEALS AND INVESTMENT IN INDIANA. THE 2019 INDIANA VENTURE REPORT
SHOWS THAT FOR THE FIRST TIME IN 10 YEARS, INDIANA SAW MORE THAN 100 VENTURE DEALS AND MORE THAN A HALF-BILLION DOLLARS IN ANNUAL
INVESTMENT. WITH MORE ON THE RECORD NUMBERS, WHAT THEY MEAN AND WHAT'S NEXT...I'M PLEASED TO WELCOME
BACK TO THE SHOW CEO CHRIS LAMOTHE. CHRIS, AS ALWAYS, WELCOME. >> GREAT TO SEE YOU, GERRY.
>> IT WAS A RECORD YEAR, 4th STRAIGHT YEAR FOR RECORD NUMBERS, 2019 A GOOD YEAR. >> YES. 2019 WAS A FANTASTIC
YEAR. ELEVATE HAS BEEN BLESSED TO HAVE -- THIS IS THE FOURTH RECORD YEAR IN A ROW. BUT THE BIG STORY IS THE NUMBER OF
DEALS, AND THE AMOUNT OF DOLLARS GOING INTO THE DEALS IN INDIANA IS ON AN UPWARD TREND. >> TALK ABOUT ELEVATE VENTURES
FOR THOSE WHO DON'T KNOW AND YOUR PROFILE AT ELEVATE AND YOUR PARTICIPATION IN THE TECH ECOSYSTEM, THE ECONOMY HAS
SKYROCKETED IN RECENT YEARS. TALK ABOUT THE MODEL. >> INVESTS IN START-UP IN EARLY STAGE COMPANIES IN INDIANA. WE
HAVE DEVELOPED A NUMBER OF KEY PARTNERSHIPS, IN KEY REGIONS AND CITIES AROUND THE STATE TO BUILD THAT ECOSYSTEM AROUND INNOVATION
AND ENTREPRENEURSHIP. WE THEN INVEST IN THOSE COMPANIES. >> WHAT I THOUGHT WAS A BIG TAKE-AWAY, LAST YEAR, 2019, BUT
YOUR EXPECTATION THAT THIS YEAR COULD POTENTIALLY MAYBE BE 10% BETTER THAN LAST YEAR. >> YES, IT'S INTERESTING TO
DETERMINE WHETHER WE'RE ON AN UPWARD TREND. WE THINK WE ARE. ACTUALLY ELEVATE VENTURES SET SOME PRETTY AGGRESSIVE GOALS FOR
2020. AND WE'RE WORKING CLOSELY, WE'RE A CO-INVESTMENT FUND. SO WE HAVE A LOT OF PARTNERS AROUND THE STATE THAT CO-INVEST WITH US
IN THESE DEALS. >> HOW IMPORTANT IS THAT STATE-WIDE PARTICIPATION, ELEVATE HAS GONE TO REGIONS ALL
OVER THE STATE IN INDIANA, REALLY ENGAGED FROM AN INVESTMENT STANDPOINT AND PARTICIPATION STANDPOINT. HOW
IMPORTANT IS THAT IN GROWING THIS ECOSYSTEM? >> THE REALITY IS I THINK THAT FUNDAMENTAL PILLAR FOR MOST
SUCCESSFUL REGIONS AND COMMUNITIES AROUND OUR STATE IS GOING TO BE EMBRACING INNOVATION AND ENTREPRENEURSHIP. IT'S
CRITICAL. AND SO WE'RE VERY PASSIONATE ABOUT TAKING THAT MESSAGE OUT AROUND THE STATE, AND REALLY BUILDING THESE
ECOSYSTEMS AROUND THE STATE THAT CAN LIFT THESE COMMUNITIES, LIFT YOUNG PEOPLE TOWARD INNOVATION, ENTREPRENEURISM AND WEALTH
CREATION. >> A LOT OF BIG NAME COMPANIES, KENZIE ACADEMY, SPRING BUG, RAISING MONEY LAST YEAR, A LOT
OF BIG DEALS. BUT STILL, WITH ALL THE IMPROVEMENT, INDIANA STILL HAS A FAIR DISTANCE TO GO TO REALLY GET COMPETITIVE
NATIONALLY. >> YES, I THINK INDIANA HAS AN OPPORTUNITY OVER THE NEXT DECADE. IT MIGHT TAKE LONGER
THAN THAT TO ACTUALLY BECOME A REAL PLAYER IN THE MIDWEST. BUT WE'VE GOT A LONG WAY TO G. WHEN YOU LOOK AT THE FACT THAT
INDIANA LAST YEAR, A RECORD YEAR, REPRESENTED A LESS THAN .5, LESS THAN A HALF A PERCENT OF VENTURE CAPITAL INVESTMENT IN
OUR COUNTRY. WE HAVE A LONG WAY TO GO. WE HAVE MOMENTUM. >> WE REPORT ON IT EVERY WEEK. SOME OF THE MENTION, THE
KAUFMANS, STATE COMPETITIVENESS RANKING, NEW ENTREPRENEURS FELL TO ALMOST THE BOTTOM OF THE COUNTRY.
>> IT'S INTERESTING, BECAUSE, WHILE WE'RE MOVING UP IN A NUMBER OF DEALS, AND A NUMBER OF INVESTMENTS, WE'RE
STILL -- INDIANA'S STILL AT THE BOTTOM, WE'RE IN THE LOWER 10% OF COUNTRIES AROUND -- STATES AROUND THE COUNTRY. IN
ENTREPRENEURISM, INNOVATION, WE HAVE A LONG WAY TO GO. >> SOMETHING THAT DIDN'T HAPPEN OVERNIGHT, NOT GOING TO BE
SOLVED OVERNIGHT. AGAIN, A LOT OF POSITIVE ACTIVITY IN THAT AREA. GOING FORWARD, YOU MENTIONED EARLIER, YOU FEEL 2020
IS GOING TO BE A GOOD YEAR, A BETTER YEAR. WHAT ARE SOME OF THE KEY INITIATIVES THAT YOU ARE GOING TO LOOK TO ACCOMPLISH IN
2020 AND 2021 AND BEYOND. >> ONE OF THE KEYS WE HAVE TO KEEP IN MIND, NO ONE COMPANY IS CAPABLE OF TURNING THINGS AROUND
IN INDIANA, INCLUDING ELEVATE. WE HAVE A KEY ROLE TO PLAY. WHEN YOU TAKE A LOOK AT THE PARTNERS THAT WE DEPEND ON IN ORDER FOR
US TO BE SUCCESS, IT IS INCREDIBLE. IT STARTS WITH THE GOVERNOR. SO WE HAVE A GOVERNOR, IN ERIC HOLCOMB WHO IS
PASSIONATELY BEHIND INNOVATION AND ENTREPRENEURSHIP. THAT'S SIGNIFICANT. WE HAVE A GENERAL ASSEMBLY THAT IS PUTTING MONEY
INTO THE 21 FUND THAT IS BEING USED TO INVEST IN START-UP AND EARLY STAGE COMPANIES, AND WE HAVE PARTNERSHIPS THROUGHOUT THE
STATE THAT ARE ACTUALLY GETTING BEHIND THIS, INVESTING IN THIS, AND GROWING VENTURE CAPITAL, BEING VERY PROLIFIC.
>> AND LOOKING MORE AT THE MIDWEST, INDIANAPOLIS IN PARTICULAR, SAYING THERE'S INNOVATION...
>> EXACTLY RIGHT. WE'RE GETTING A LOT MORE LOOKS AND ATTENTION FROM VENTURE CAPITAL, PRIVATE EQUITY, AND EVEN FAMILY OFFICES
THAT ARE LOOKING TO INDIANA FOR INVESTMENT NOW. >> AS ALWAYS, GREAT PERSPECTIVE