(Photo: City of Detroit)
Detroit, Michigan — July 28, 2025
The City of Detroit announced the launch of its first-ever municipal tech startup fund, a $700,000 grant program designed to fuel local innovation, create jobs, and retain entrepreneurial talent in Michigan’s largest city.
Mayor Mike Duggan, joined by City Council President Mary Sheffield and leaders from the Detroit Economic Growth Corporation (DEGC), unveiled the initiative at a packed event at the Newlab at Michigan Central, home to more than 140 startup companies.
“This program will make Detroit the easiest and most supportive city anywhere to start and grow innovative new companies,” Duggan said at the announcement. “We already have so much talent here — this fund gives our founders another reason to stay and build right here in Detroit.”
Program Structure & Funding
The new Detroit Startup Fund will distribute 26 grants over the next year:
-
20 seed-stage grants of $15,000 to help early startups get off the ground.
-
6 scale-stage grants of $50,000 for more advanced companies that already have traction and are prepared to grow.
To qualify, applicants must be Detroit-based startups founded within the past decade, registered as Detroit businesses, and working on scalable solutions that improve quality of life, civic services, or economic opportunity within the city.
The first round of applications opened on July 28, 2025, and will remain open through August 25, 2025. Awardees from this round are expected to be announced later in 2025, with a second round of grants slated for early 2026.
Regional Tech Ecosystem Impact
City officials and economic development leaders say the startup fund is part of a broader strategy to strengthen Detroit’s position as a hub for technology and innovation in the Great Lakes region. By investing directly in local founders, the city aims to spur new job creation, attract investment, and anchor talent in sectors ranging from AI and clean energy to advanced manufacturing and health tech.
Kevin Johnson, President and CEO of the DEGC, called the fund a “tremendous opportunity” that lowers barriers for entrepreneurs and drives long-term economic mobility for Detroiters.
Looking Ahead
With Detroit’s innovation ecosystem gaining momentum — from municipal startups to tech competitions and fellowship programs — stakeholders are optimistic that homegrown companies can scale here rather than migrating to coastal tech hubs. The Detroit Startup Fund represents a significant public sector investment in that vision, with follow-on opportunities planned in 2026 and beyond.