Cincinnati-based Lightship Capital, a rare venture-capital firm managed by black partners, is raising a $50m fund to invest in underrepresented founders in the Midwest.

“I’m a capitalist at heart,” said Candice Matthews Brackeen, general partner of Lightship, who runs the firm with her husband, Brian Brackeen. While the venture-capital industry is competing to get into hot deals in Silicon Valley, Brackeen said she believes better returns await in overlooked businesses. “There’s market failure. You can really take advantage of it,” she added.