Michigan Innovation Fund backs eight funds with $60 million to bolster local startups, aiming to elevate Michigan as a top innovation and entrepreneurial hub.

Michigan Innovation Fund: A $60 Million Initiative for Local Growth

Governor Gretchen Whitmer announced the first eight recipients of the newly established Michigan Innovation Fund (MIF), designed to stimulate entrepreneurial growth and innovation statewide. Supported by bipartisan legislation, the fund received a total appropriation of $60 million, earmarked specifically to foster Michigan-based startups and venture capital activities.

Whitmer emphasized the fund’s potential, stating, “Michigan is a state of makers and doers, and we established the bipartisan Michigan Innovation Fund to unleash their entrepreneurial energy and keep growing our economy.” The governor highlighted the recent recognition of Michigan as a top 10 state for business three consecutive years, underscoring ongoing efforts to solidify the state’s position as a leading entrepreneurial hub.

Funding Breakdown Supports Proven and Emerging Michigan Venture Funds

The allocated $60 million is distributed among two main categories: Existing Evergreen Venture Funds, which received $48 million, and Emerging Evergreen Funds, granted $4.8 million. The remaining $7.2 million is designated for entrepreneurial support programs and a pitch competition.

Recipients within the Existing Evergreen Funds include prominent Michigan institutions such as:

ID Ventures (Detroit): $10.6 million
Ann Arbor SPARK: $10.6 million
University of Michigan Accelerate Blue Fund: $10.6 million
MSU Research Foundation: $10.6 million
Western Michigan University Biosciences Research & Commercialization Center: $5.3 million

Emerging Evergreen Fund recipients:

InvestUP (Upper Peninsula): $1.6 million
20Fathoms (Traverse City): $1.6 million
Grand Valley Research Corp. (Grand Rapids): $1.6 million

Addressing Funding Gaps and Building a Sustainable Economy

The creation of the MIF comes in response to a recent report by Business Leaders for Michigan, indicating Michigan’s innovation economy ranks 32nd nationwide in growth funding, including particularly low rankings in seed and late-stage funding. The MIF aims to address these funding gaps, providing a robust financial foundation for startups.

“By channeling early-stage capital into funds that reinvest returns back into new founders, we strengthen local entrepreneurship, retain homegrown companies, and catalyze high-wage job creation across Michigan,” said Patti Glaza, EVP Ventures at Invest Detroit.

Regional Leaders Celebrate New Opportunities for Entrepreneurs

Local leaders across Michigan praised the initiative for significantly bolstering regional innovation. Craig Wesley, Executive Director of 20Fathoms in Traverse City, stated, “Access to capital is a particular challenge for entrepreneurs and startups here in the Traverse City region. The Michigan Innovation Fund is an important step in a larger process to get much-needed funding to this region and across the state.”

Marty Fittante, CEO of InvestUP, added, “The funding from the Michigan Innovation Fund is recognition that rural regions like the Upper Peninsula have the sophistication and capability to be meaningful partners in innovation and entrepreneurship.”

Building Momentum with Entrepreneurial Support Programs

Applications are still being accepted for the remaining $7.2 million. Interested Michigan entrepreneurs and support organizations have until noon on July 16, 2025, for the first round of consideration, with a second deadline on August 8, 2025. More details are available on the Michigan Innovation Fund website.

Quentin L. Messer, Jr., CEO of the Michigan Economic Development Corporation (MEDC), reinforced the broader goals of this initiative, noting, “Today’s announcement is a clear demonstration of our commitment to the ‘Make it in Michigan’ economic development strategy.”

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