Detroit’s first tech startup fund awards $300,000 to companies building solutions for city challenges

2025
  • Diverse cohort of tech startups includes healthcare, environmental solutions and advanced manufacturing

  • Awardees, the majority of whom are Detroit residents, represent Detroit’s growing reputation as a premier destination for entrepreneurs

  • Initiative is expected to generate more than $1 million in additional economic activity in Detroit

  • Second round of funding to open in early 2026

 

Detroit Mayor Mike Duggan today joined with Detroit Economic Growth Corporation (DEGC) officials and City Council President Mary Sheffield announced the first 13 recipients of the City’s $700,000 Startup Fund during a press conference at the Jefferson Hub in Midtown.

The inaugural round distributed $300,000 across 13 Detroit-based companies, with three scale-stage startups receiving $50,000 grants and 10 seed-stage companies earning $15,000 each. The diverse cohort covers industries from biotechnology and environmental monitoring to educational technology and advanced manufacturing, showcasing Detroit’s evolution beyond its automotive roots.

Competitive selection from over 600 applications

Since applications opened in July, the DEGC received more than 600 submissions from startups across the metro area. The awardees were selected based on their potential for civic impact, scalability and commitment to building their businesses in Detroit. Notably, 11 of the 13 recipients are Detroit residents, showing the city’s success at growing entrepreneurial talent right at home.

“This is what we hoped for when we created this fund. We have brilliant entrepreneurs in Detroit building companies that solve real problems,” said Mayor Duggan. “These founders are building jobs and proving Detroit is where the future gets built.”

The announcement comes as Detroit continues building momentum as a startup hub. Startup Genome’s 2022 Global Startup Ecosystem Report ranked Detroit the world’s number one emerging startup ecosystem, and the city has seen record levels of investment in recent years through initiatives like Newlab at Michigan Central and the University of Michigan Center for Innovation.

Scale grant awardees tackle major challenges

Among the standout recipients, CircNova received a $50,000 scale grant for its work developing circular RNA therapeutics to target previously “undruggable” diseases. JustAir Solutions earned the same level of funding for its air quality management platform that helps governments and organizations monitor environmental conditions in real-time. Infrastructure technology company Motmot also received $50,000 for its autonomous underwater robots that inspect municipal water pipelines without shutting down service.

“Detroiters have always had the creativity, grit, and vision to build something out of nothing. This Startup Fund is about giving our homegrown innovators the support they deserve to grow their ideas, create good jobs, and keep talent right here in our city,” said Sheffield. “I believe when we invest in Detroiters, we invest in stronger neighborhoods, more opportunities for our families, and a brighter future for the next generation.”

Seed recipients demonstrate innovation across sectors

The seed grant recipients demonstrate equally innovative approaches across diverse sectors. Lectric Boil is developing battery-powered induction cooking systems, while Fluoroscreen is working to revolutionize cancer detection through urine-based screening. Educational technology company Spelling Safari aims to improve literacy outcomes for students, and Boone Productions is scaling its PBS children’s show into classroom streaming experiences.

The program reflects Detroit’s strategic approach to economic development, focusing on tech startups that can complement the city’s industrial strengths while creating new pathways for innovation. The fund prioritizes companies demonstrating potential for civic applications or improvements to City services.

“Detroit has always been a city where people roll up their sleeves and build solutions,” said Justin Onwenu, the City’s Director of Entrepreneurship and Economic Opportunity. “This fund removes traditional barriers and gives our homegrown talent the resources they need to turn great ideas into growing companies that hire locally and serve our community.”

Economic impact expected to exceed $1 million

The economic impact extends beyond individual companies. DEGC estimates the full $700,000 fund will generate more than $1 million in additional economic activity through job creation, vendor relationships and follow-on investment attraction.

The selection process emphasized tech companies with strong growth potential and clear paths to additional funding. The three scale grant recipients have already secured at least $100,000 in external investment over the past 18 months, while all recipients demonstrated scalable business models and are committed to sharing progress data with the City.

“Detroit has always been about innovation, and these startups prove that legacy is alive and well,” said DEGC President and CEO Kevin Johnson. “These awardees provide innovation that builds on our industrial strengths and positions our city for long-term success.”

Second round opens in 2026

The announcement positions Detroit for continued momentum in the startup ecosystem. The Jefferson Hub, where today’s announcement took place, is one of several innovation centers across the city that provide co-working spaces, mentorship and networking opportunities for entrepreneurs.

Applications for the second round of the Detroit Startup Fund will open in early 2026, and an additional 13 grants will be available.

The funding comes from Detroit’s general fund budget and represents the City’s commitment to fostering innovation and entrepreneurship as key economic drivers alongside traditional industries.

Detroit Startup Fund Round 1 grant recipients:

  • CircNova, Inc. ($50,000): Biotech company developing circular RNA therapeutics using AI-driven platform to target previously undruggable diseases

  • JustAir Solutions, Inc. ($50,000): Environmental tech startup providing air quality management software for governments and community organizations

  • Motmot, Inc. ($50,000): Infrastructure technology company using autonomous underwater robots for pipeline inspection and asset management

  • Boone Productions, LLP (The Nap Time Show) ($15,000): Children’s media company building streaming platform for early childhood classrooms

  • DAT’s LAW GAMES, LLC ($15,000): A legal education app that uses a gamified approach to teach laws and rights, particularly for marginalized communities

  • Fluoroscreen, LLC ($15,000): Medical technology company developing novel fluorescence-based cancer screening using urine samples

  • Lectric Boil, LLC ($15,000): Clean energy startup creating battery and solar-powered portable induction cooking systems

  • Neumo ($15,000): Mobility technology company developing brainwave sensors for detecting driver fatigue and impairment

  • R.U.S.H Healthcare ($15,000): Mobile healthcare platform connecting patients with licensed providers for in-home urgent care services

  • Stock Pal, Inc. ($15,000): Financial technology platform helping users discover investments based on social media and spending behavior

  • Synapse Creations, Inc. (Spelling Safari) ($15,000): EdTech company providing adaptive spelling instruction for K-7 students

  • ThermoVerse, LLC ($15,000): Advanced thermal controls and smart city technology for energy efficiency solutions

  • WhatsEatLike, Inc. (Goodpluck) ($15,000): Local food delivery network coordinating orders from farms to reduce delivery costs for consumers

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Detroit Economic Growth Corporation (DEGC)

Detroit Economic Growth Corporation is a non-profit organization that serves as Detroit’s lead implementing agency for business retention, attraction and economic development. DEGC is led by a board comprised of business, civic and community leaders. Its staff provides services for key public authorities that facilitate incentives and other forms of financing for projects that bring new jobs and investment to the City. DEGC also manages important initiatives to support small businesses and grow neighborhood commercial corridors. DEGC is dedicated to inclusive development and access to economic opportunity.