https://qz.com/1225855/silicon-valleys-venture-capitalists-will-not-be-backing-the-midwests-startups-anytime-soon/

Alex Kubicek needed $1 million. His company, Understory, designed sensors to prevent unnecessary repairs after severe hailstorms, something common in the US midwest. The technology stood to save insurance companies billions of dollars. Kubicek journeyed from Madison, Wisconsin, to Sand Hill Road, home of Silicon Valley’s investor class, to pitch his idea. None of the 30 venture capitalists (VC) were interested. “When we talked to people in the Bay Area, VCs would ask, ‘What does hail actually do?” he said in an interview. “If you’re not from the midwest, where severe storms are a big deal, it’s hard to imagine. There’s a narrow mindset in the Valley.”

Kubicek eventually caught the eye of a Boston hardware investor and packed his bags for the East Coast. Kubicek secured $2.1 million (with some help from Valley investors this time). The company has now raised $10 million while helping the insurance industry handle 8,000 claims and expanding fast.