- Elevate Capital invested $1.6 million in five Oregon startups through Business Oregon’s SSBCI Venture Direct co-investment program.
- Funded companies include Overwatch Imaging, CleanHaus, PortalSphere, StrateSea Technology, and Osheru across imaging, AI/software, maritime autonomy, and medtech.
- Each investment requires at least a 1:1 private-capital match and draws from Elevate’s broader $10–15 million state-backed allocation to catalyze more private funding statewide.
- The program aims to strengthen Oregon’s early-stage ecosystem and direct significant capital toward SEDI-owned businesses while building a pipeline for follow-on rounds.
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On January 12, 2026, Elevate Capital announced that it has invested a total of $1.6 million across five Oregon startups through Oregon’s SSBCI (“State Small Business Credit Initiative”) Venture Direct program—an equity-co-investment scheme overseen by Business Oregon. The program’s mandate is to invest in early-stage companies headquartered in Oregon or maintaining a principal presence in the state, with at least one-to-one matching private capital required per investment.
The five companies funded are Overwatch Imaging ($500,000), CleanHaus ($250,000), PortalSphere ($250,000), StrateSea Technology ($350,000), and Osheru ($250,000). They represent a range of sectors: aerial/mission-critical imaging, AI-enabled property operations, B2B eCommerce platforms, maritime autonomous surface systems, and a novel medical device/procedure for eyelid surgery.
This operation aligns with larger SSBCI goals. In 2025, Elevate was awarded between $10 million and $15 million by Business Oregon under the Venture Direct program, anticipating matched private funds, to invest in Oregon innovators over a multi-year horizon. Elevate’s role builds on its prior management of the Innovation Gap Funds I & II funded by the state. These earlier funds targeted traded sectors such as bioscience, cleantech, sustainability and advanced materials.
From a strategic investor viewpoint, this deployment reflects several themes: underwriting founder diversity and regional inclusion; focusing capital on traded, deep tech, and health/cleantech adjacent areas; leveraging state and federal incentives to crowd in private investment; and enabling pipeline development in relatively undercapitalized regions. But some caveats remain.
Risks and open questions include whether follow-on capital will be accessible at sufficient scale; performance metrics for the portfolio (revenue, exit potential, job creation) are not yet disclosed; how rigorously Elevate’s selection process ensures resilience of these startups; and what governance or oversight structures ensure alignment to state / SSBCI requirements (e.g., focus on socially/economically disadvantaged individuals). Additionally, the ultimate economic return to the state must balance risk of early-stage failures with broader ecosystem value.
Strategic implications are multi-fold: successful outcomes could reinforce Oregon’s reputation in emerging industries (marine autonomy, medtech, AI); help reduce capital deserts outside large hubs; and serve as an example for other states looking to deploy SSBCI and similar funds. For private investors and VCs, this signals opportunity to co-invest in early-stage deals with partial public cushioning. For founders, especially underrepresented ones, these funds provide access, but the support beyond capital (mentorship, market access) will be critical.
Supporting Notes
- Elevate deployed $1.6M into five Oregon startups through SSBCI Venture Direct program managed by Business Oregon.
- The five companies and their investment amounts are: Overwatch Imaging ($500K), CleanHaus ($250K), PortalSphere ($250K), StrateSea ($350K), and Osheru ($250K).
- The SSBCI Venture Direct Program requires recipients to be headquartered or principally operating in Oregon and mandates at least a 1:1 private match for each investment.
- Elevate was selected by Business Oregon for this role based on prior management of the Innovation Gap Funds I & II and its deep ties to Oregon’s entrepreneurial ecosystem.
- The oversight plan includes deploying up to $15M under Venture Direct, with Elevate required to maintain performance metrics and match private capital, and at least 40% of funds must flow to SEDI-owned (socially and economically disadvantaged individuals) businesses.
- Startups funded cover several traded-sector verticals: medtech (Osheru), marine tech (StrateSea), AI and B2B eCommerce (PortalSphere), property operations / short-term rentals (CleanHaus), and imaging systems for challenging environments (Overwatch Imaging).