An Iowa City-based frozen yogurt company has been selected as one of six startups joining the second annual Midwest Dairy Accelerator, a 10-week virtual program aimed at helping food and beverage brands scale products built around Midwest dairy.
Yotopia, founded by Veronica Tessler, is developing probiotic-rich frozen yogurt made from locally-sourced dairy. The company’s premium frozen desserts are designed to offer both indulgence and functional health benefits, according to Midwest Dairy, which announced the cohort June 23 in partnership with VentureFuel.
Yotopia joins five other companies selected from a competitive applicant pool across the Midwest: Disco Cow and MOOJ Foods of Chicago, Drippy Dip of Saginaw, Michigan, Pretty Cool Ice Cream of Chicago, and (P)RiND of Chicago. The startups span cottage cheese, cheese-based snacks, paneer, ice cream and frozen yogurt.
The selections come as the dairy industry sees strong growth in value-added, high-protein products. Citing data from Circana, Midwest Dairy said yogurt volume grew nearly 9% in 2025, while cottage cheese posted growth of nearly 15%, trends the accelerator’s cohort is aiming to capture.
“Consumers are increasingly looking for foods that deliver more: more protein, more functionality, cleaner ingredients, and authentic experiences,” said Corey Scott, CEO of Midwest Dairy, in a news release. “The strong growth we’re seeing in categories like yogurt and cottage cheese underscores the opportunity for founders who can create innovative products that meet those evolving needs while showcasing the versatility and nutritional value of real dairy.”
Beginning this week, the six companies will have access to workshops, one-on-one mentorship and direct collaboration with dairy industry leaders, including ingredient experts, processors, manufacturers, retailers, academics and food industry executives. The 10-week program will cover consumer insights, ingredients and innovation, manufacturing, distribution, retail strategy, marketing and business pitching.
Fred Schonenberg, founder and CEO of VentureFuel, said the cohort stood out for how its founders are addressing major shifts in the food industry.
“What’s especially exciting about this year’s cohort is how effectively these founders are using dairy to address some of the biggest trends shaping food today,” Mr. Schonenberg said in a statement.
The program will culminate in a live pitch event Sept. 16 at the Green Acres Event Center in Eden Prairie, Minnesota, where finalists will present to a panel of industry judges. The event carries a $20,000 grand prize and a $10,000 runner-up award.
Midwest Dairy represents 3,600 dairy farm families across a 10-state region that includes Iowa, and is funded by farmers in Minnesota, North Dakota, South Dakota, Nebraska, Iowa, Illinois, Missouri, Kansas, Arkansas and eastern Oklahoma.
More information on the accelerator and the September pitch event is available at midwestdairyaccelerator.com.
