Business Grants and Loans in Michigan: Funding for Your Michigan Business

Michigan—also known as the Great Lakes state for its gorgeous and abundant bodies of water—is a wonderful state in which to open and operate a business. With a bustling community of entrepreneurs, hundreds of new businesses launch here each year. Even better—Michigan business owners may qualify for one of these state-specific business loans or grants listed below. These funding options are only available to Michigan-based businesses, so check these out to discover if your business is eligible, and then get busy applying!  

Department or Agency: Department of Environment, Great Lakes, and Energy

Loan or Grant title: Small Business Pollution Prevention (P2) Loan Program

The P2 Loan Program provides loans of up to $400,000 to small businesses in Michigan that are involved in manufacturing, farming, retail, and service. You’ll apply for the loan with a private lender, and the Department of Environment, Great Lakes, and Energy provides half of the financing. Recipients can use loan funds for projects that reduce waste, encourage recycling, or conserve energy or water at the business’s location. 

Department or Agency: Michigan Strategic Fund/Michigan Economic Development Corporation

Loan or Grant title: Michigan Business Development Program

The Michigan Business Development Program provides performance-based grants and loans of up to $10 million. Businesses with projects that create new jobs or make new investments in Michigan may qualify. 

Department or Agency: Detroit Economic Growth Corporation

Loan or Grant title: Detroit Industrial Revolving Loan Fund (DIRLF)

The DIRLF is a program that provides loans of up to $200,000 for businesses located in Detroit. Loan funds can be used to cover up to 40% of the costs of an eligible project, such as fixtures, furniture, equipment, or property acquisition. The remaining 60% can be covered by either the borrower, a private lender, or both.

Department or Agency: Michigan Women Forward

Loan or Grant title: MicroLoan

Michigan Women Forward is a foundation with a mission to expand economic opportunities for women and entrepreneurs of color. Its MicroLoan ranges from $2,500 to $50,000, and the funds can be used for eligible expenses such as inventory, qualified equipment purchases, working capital, and startup costs. To qualify, the company must be a privately held small business that’s registered in Michigan and meets the foundation’s other criteria. 

Department or Agency: ProsperUS Detroit

Loan or Grant title: Lending

ProsperUs is a microlender that provides loans of up to $50,000. To qualify, the company must be a small business that’s registered with the state of Michigan and located in Detroit, Hamtramck, or Highland Park. Preference is given to applicants from low-income communities who identify as Black, indigenous, and/or other people of color including immigrants. 

Department or Agency: Grow

Loan or Grant title: Business Loan

Grow is a Community Development Financial Institution that provides loans of up to $50,000. The funds can be used for expenses such as equipment and inventory purchases, costs associated with hiring workers, and tech upgrades. 

Department or Agency: Michigan Women Forward

Loan or Grant title: Endurance Loan Program

The Endurance Loan program combines loans with grant funding for businesses located in Washtenaw County, Michigan. Loans range from $2,500 to $20,000, and awardees will receive two technical assistance sessions along with a grant of up to 50% of the approved loan amount. Female business owners and entrepreneurs of color are encouraged to apply. For-profit businesses located in Washtenaw or Ypsilanti counties in any industry may qualify. 

Department or Agency: 

Loan or Grant title: Michigan Good Food Fund

The Good Food Fund provides loans of $2,500 to $6 million for farms and food entrepreneurs that grow, process, distribute, and sell food to low-income and underserved communities. The loan funds can be used for various expenses such as working capital, inventory, equipment purchases, property acquisition, and more. Eligible businesses will need to be in operation for at least two years and go through an underwriting process, among other requirements

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