In Alabama and across the South, many growing businesses reach a familiar turning point. Revenue is steady, demand is there, and the foundation is strong—but growth begins to stall. It’s not for lack of effort or potential, but because the next level of capital, connections, and strategic guidance is often out of reach.

That gap is exactly what The Capital Collective was built to address. Founded in 2024 by Emily Halpern and Tamika Tyson, the Birmingham-based organization focuses on what they call the “Missing Middle”—businesses generating between $1 million and $10 million in annual revenue that have outgrown the startup phase but remain underserved by traditional capital networks. For many of these companies, the challenge isn’t viability; it’s access.

Where Growth Starts to Stall

Halpern’s perspective comes from decades spent inside the investment world, where she raised and deployed capital, built businesses, and worked closely with companies scaling beyond the $10 million mark. Along the way, she began to notice a pattern.

“In my 25 years of experience…I’ve deployed close to $300 million in growth capital to small and mid-sized businesses,” she says. “Along the way, I got attached to businesses I’d meet that were too small for us, but that I knew were great businesses who had lots of potential to scale.”

Those businesses, she explains, were often operating without the tools or access needed to take the next step. “I wished they were better prepared to tell their capital story—not their company story—to people like me,” Halpern says. “And I wished they got all of the expertise we provided to businesses that were bigger than they were.” Too often, they were relying on rough financials or turning to expensive capital too late, solving short-term needs instead of building toward long-term growth.

Rooted in Birmingham

While the need for that kind of support exists nationwide, The Capital Collective’s work began in Birmingham. “Ultimately, it was the people of Birmingham who convinced us to launch our Capital Intensive here,” Halpern says. The team saw strong business communities across the South, but also recognized a gap in support for companies at this stage—especially those outside of the tech and startup ecosystem.

“These are industries we all need,” she says. “Construction companies, manufacturers, civil engineering firms, waste management, logistics. The bigger they get, the more jobs they create—and those jobs come from our local communities.” In other words, these are not niche businesses—they are the backbone of regional economies.

The Businesses in Between

The numbers reflect just how difficult it is to scale. Only 5% of businesses in the United States ever reach $1 million in annual revenue, and just 1% make it to $10 million. The companies in between often find themselves navigating a critical phase of growth without the infrastructure or relationships that could help them move forward.

“Businesses in the ‘missing middle’ have grown beyond the startup phase…but might be struggling with obtaining capital to grow to the next level,” Halpern says. “There are plenty of resources for startups and tech, but for profitable businesses between the $1–$10 million revenue mark, there is a ‘capital cliff.’”

What Happens When Access Changes

To help bridge that gap, The Capital Collective developed its 12-week Capital Intensive, a program designed to provide not just education, but direct access and actionable outcomes. The structure is intentionally hands-on, with a limited number of businesses in each cohort and a focus on working directly with experienced investors, operators, and strategists who understand what it takes to scale.

Participants spend twelve weeks refining their financial strategy, building an investor-ready narrative, and preparing to engage with capital providers. The program culminates in a “Capital Matchmaking” event, where business owners connect face-to-face with potential investors. Along the way, they develop a polished investor presentation in partnership with an investment bank and receive introductions to multiple sources of capital aligned with their stage and industry.

The Ripple Effect of Growth

The results from early cohorts point to measurable impact. “We did not just educate them on the types of capital out there,” Halpern says. “We actually helped them create and execute a growth plan that yielded average revenue growth of over 20%, created 71 new local jobs, and helped eight of them obtain the right capital for growth within five months.” The difference, she adds, is in bringing access directly to the businesses. “We brought the decision makers to them.”

With applications for the next Birmingham cohort closing soon, the organization is focused on reaching business owners who may be ready for that next step but unsure how to get there. The “Beyond the Middle” Capital Intensive is open to companies based in Greater Birmingham, surrounding metro areas, and Tuscaloosa that are generating between $1 million and $10 million in annual revenue and looking to scale.

For those on the fence, Halpern emphasizes the program’s tailored approach. “We customize the intensive to bring in experts in each participating business’ particular field,” she says, “and the right types of capital providers… so they can tell their capital story.”

Looking Ahead

As The Capital Collective continues to expand beyond the South, its core mission remains the same: to ensure that businesses with real momentum have access to the capital, networks, and expertise they need to grow. Because when those businesses succeed, the impact extends far beyond the company itself—creating jobs, strengthening communities, and contributing to long-term economic growth across the region.

Learn more and apply here:
https://thecapitalcollective.org/apply/birmingham.html