Detroit Kicks Off $700,000 Fund to Help Tech Startups Create Jobs

City officials launched a $700,000 fund last week to back local tech firms and add jobs. The program will split money between 26 new companies through 2026.

Twenty firms will get $15,000 in starter funds. Six more will receive $50,000 each after proving outside backing. Applications opened July 28, with an August 25 deadline.

"If this takes off, it is my hope that the city of Detroit funds it just as consistently as they funded Motor City Match," said Mayor Mike Duggan according to the Detroit Free Press.

The Detroit Economic Growth Corporation picks who gets funds. Rules state firms must call Detroit home, start within the last decade, and show plans to help the city or its people. Big grant seekers need to have already raised $100,000 in past outside funding and are actively raising $250,000 more in private capital.

"Detroit has a rich legacy of driving innovation and economic mobility. This fund will give founders the capital and visibility needed to grow and create high-quality jobs right here at home," said Justin Onwenu, Detroit's Director of Entrepreneurship, per Detroit.gov.

City Council backed the plan with general funds. Winners from round one come out in September 2025, and round two starts in February 2026.

The money helps with making products, paying workers, testing ideas, and finding customers. Officials think it could bring over $1 million in gains to local firms.

"We're making sure that access to funding, opportunities, and mentorship isn't just reserved for Silicon Valley or Wall Street. It belongs on Livernois, Seven Mile and Jefferson Avenue, too," said Council Member Mary Waters, according to Bridge Detroit.

A 2022 study named Detroit the world's top new startup spot. Tech growth shows in new sites at Michigan Central Station, TechTown, and the University of Michigan.

Arabia Simeon runs Politics on the Go, an app to get people into civic action. She wants to try for funds. "It would help incredibly. I would be able to bring on more engineers, so that's hiring directly in the city and from the state of Michigan," she said.

Want to try? Sign up at detroitmi.gov/startup by August 25. You'll need to tell the city how things go and prove you run your business in Detroit.