Kern Venture Group

Kern Venture Group is a venture capital firm based in Bakersfield, California, that invests in early-stage to Series B startups across various industries. The firm focuses on companies that positively impact the Central Valley community and leverage local resources, while also developing global connections. It led a $760,000 Seed round for Mill It in May 2021 and co-invested in AUTIO's $2.0 million Seed round in March 2023, demonstrating its commitment to driving economic growth and innovation. Kern Venture Group targets startups with Central Valley ties, with an emphasis on sectors such as aerospace and defense, energy, agriculture, and advanced manufacturing. The firm was founded in 2018 by David Higdon and John-Paul Lake. Its business model centers on venture capital fund raising money to invest in startups, specific funding sources not detailed.

High-Level Overview

Kern Venture Group (KVG) is a venture capital firm founded in 2018 and based in Bakersfield, California, with a mission to drive economic growth in the Central Valley by supporting innovative startups. The firm focuses on early-stage to Series B investments across a broad range of sectors, including aerospace and defense, energy, natural resources, agriculture, transportation, logistics, advanced manufacturing, healthcare, and technology. KVG provides not only capital but also a robust network and hands-on experience to help startups scale, with a particular emphasis on companies that can positively impact the regional economy. By bridging gaps in access to capital and expertise, KVG plays a vital role in nurturing entrepreneurial ecosystems and creating jobs in rural and underserved communities.

Origin Story

Kern Venture Group was established in 2018 to address the lack of venture capital in California’s Central Valley, a region rich in resources but historically underrepresented in the startup funding landscape. The firm was founded with the vision of leveraging Kern County’s strategic position and industrial strengths to foster innovation and economic development. Over the years, KVG has evolved from a local-focused fund to a more globally connected investor, while maintaining its commitment to supporting companies with ties to the region. Its growth has been marked by a steady increase in investment activity, expanding its portfolio to over 50 companies and solidifying its reputation as a key player in the regional venture ecosystem.

Core Differentiators

• Regional Focus with Global Reach: KVG uniquely combines deep local knowledge of the Central Valley with a global network, enabling it to source and support high-potential startups that might otherwise be overlooked.
• Sector Agnosticism: The firm invests across a wide array of industries, allowing it to capitalize on diverse opportunities and trends.
• Hands-On Support: Beyond capital, KVG offers portfolio companies access to a diverse network, mentorship, and operational expertise, helping them navigate growth challenges.
• Track Record: With over 50 investments and a growing number of successful exits, KVG has demonstrated its ability to identify and back promising startups.
• Economic Impact: The firm’s investments are intentionally aligned with regional development goals, contributing to job creation and talent retention in rural areas.

Role in the Broader Tech Landscape

Kern Venture Group is riding the wave of decentralization in venture capital, as investors increasingly look beyond traditional tech hubs to tap into emerging innovation centers. The timing is critical, as the Central Valley’s strengths in agriculture, energy, and manufacturing intersect with global trends in sustainability, digital transformation, and supply chain resilience. KVG’s focus on bridging gaps in access to capital and expertise positions it as a catalyst for regional economic diversification and resilience. By supporting startups in key sectors, the firm is helping to shape a more inclusive and geographically distributed tech ecosystem, influencing how innovation and investment flow in the United States.

Quick Take & Future Outlook

Kern Venture Group is poised to continue expanding its influence as the Central Valley emerges as a hub for innovation. The firm’s ability to connect local talent with global opportunities will be increasingly valuable as the demand for sustainable, resilient, and regionally anchored solutions grows. Looking ahead, KVG is likely to deepen its sector expertise, particularly in climate tech, advanced manufacturing, and healthcare, while further strengthening its network and operational support for portfolio companies. As the venture capital landscape evolves, KVG’s model of combining regional focus with global reach offers a compelling blueprint for how investment firms can drive both financial returns and meaningful social impact.