Detroit Free Press
Michelle Martin, for the Michigan Economic Development Corporation
March 20, 2026
Across the state of Michigan, small businesses and high-growth startups are launching new technologies and bringing innovative products to market. They’re filling once-vacant storefronts, revitalizing communities, and creating new jobs.
These entrepreneurs and small business owners are driving Michigan’s economy, but few can do it alone. Many rely on a statewide network of partners and programs to help them start, grow, and scale their businesses.
The Michigan Economic Development Corporation (MEDC) serves as a vital facilitator, working with regional and local organizations to connect entrepreneurs and small business owners to the mentors, networks, and technical resources they need to overcome growth challenges and achieve growth.
Small firms — those with fewer than 50 employees — comprise about 96.2% of Michigan’s private businesses, according to state data. Roughly half of all Michigan workers are employed by small businesses.
Besides providing jobs, small businesses also support local supply chains, bring foot traffic to downtown districts, and help communities grow.
Meanwhile, startups are helping to bring new ideas and emerging industries to the state. They’re not only creating a better quality of life with their products, but they are also attracting other entrepreneurs to set up shop in Michigan.
Bringing together these companies with economic development groups, universities, investors, and other organizations is essential to supporting their success. The MEDC works with partners across the state to champion businesses at every stage of growth, from early-stage startups to expansions.
Entrepreneurs often need more than a great idea. They also need access to mentors, research institutions, and investment networks that help them build a sustainable business.
One way the MEDC does that is through SmartZones, which are innovation hubs that facilitate collaboration between technology-based companies, entrepreneurs, and researchers. Located throughout the state, SmartZones don’t just provide incubator space — they also promote collaborations with universities, government, and other community institutions to help commercialize ideas and patents.
Another initiative is the Small Business Support Hubs program, which is currently evolving from a federal pilot into a state-funded, regionalized model. This transition ensures that each region of Michigan has a dedicated local hub, complemented by statewide providers, designed to provide mentor matchmaking, pitch preparation, workshops, growth networking, and more.
To fuel entrepreneurship and ensure businesses of all sizes have the resources to thrive in-state, Gov. Whitmer created the Michigan Innovation Fund and R&D Tax Credit. The Innovation Fund specifically addresses the lack of early-stage capital facing startups, while the R&D Tax Credit lowers costs for innovators, allowing small companies to claim up to $250,000 and larger employers up to $2 million annually. By providing an additional credit for those who collaborate with Michigan’s research universities, these tools incentivize companies to invest in Michigan and attract high-paying jobs in future-facing industries.
Access to talent is also critically important for growing businesses. The MEDC works with workforce partners, colleges, and training programs to connect companies with workers who are ready for new careers. The MEDC’s Michigan Business Development Program, for example, provides performance-based grants and loans to businesses that commit to creating qualified new jobs. Support includes connecting companies with regional partners to assist in recruiting and skills training, equipping Michigan’s small businesses with the talent necessary to compete and scale.
Michigan has always been a state of innovators and builders, and the MEDC is working to continue that tradition by supporting entrepreneurs and connecting them with the networks they need to grow their businesses right here in the state.
To learn more about Michigan Economic Development Corporation’s initiatives that support small businesses and startups, visit michiganbusiness.org.
