The Best Business Grants in Minnesota
May 28, 2026
Updated:
Securing capital is often the biggest hurdle for any founder. While loans and credit cards are common, they come with the weight of repayment and interest. Grants are the ideal alternative because they generally don't have to be paid back. However, there is a catch: grants are highly competitive and can be very difficult to find. We've built this guide to help you understand the grant landscape in Minnesota.
Minnesota offers a well-rounded business grant ecosystem with a particularly strong emphasis on workforce development and job creation. The Minnesota Department of Employment and Economic Development (DEED) anchors the state-level activity, running multiple programs that help businesses train workers, create jobs, and invest in new facilities, including a dedicated grant to help manufacturers train employees on new automation technology. Beyond workforce funding, Minnesota supports businesses in economically disadvantaged communities, farmers entering the legal cannabis industry, and capital improvement projects in Saint Paul neighborhoods. Award sizes range from $5,000 community grants up to $2 million for major job creation projects, with most state programs operating on rolling deadlines.
Most state-level activity runs through DEED, which administers the Job Creation Fund for major capital and hiring projects, the Job Training Incentive and Automation Training grants for workforce development, and the Promise Act Grant for businesses in communities affected by economic disadvantage or structural inequities. Beyond the state agency, the City of Saint Paul runs two substantial programs through its STAR initiative supporting neighborhood capital improvements and cultural projects, while Aitkin County offers grants supporting rural business development and tourism in greater Minnesota.
Minnesota businesses are also eligible for hundreds of national grant programs from federal agencies, corporations, and foundations. Those programs aren't covered on this page, but you can search our complete grant database to see every state and national grant your business qualifies for. You can also join our free weekly newsletter to get new Minnesota grants delivered to your inbox as soon as they open.
MINNESOTA GRANTS
MN CanGrow Farmer Loan Grants
Minnesota Office of Cannabis Management
CanGrow farmer training and farmer loan financing grants will help eligible organizations provide educational resources, guidance, and low-interest loans for farmers who want to be part of the legal cannabis industry. While grants will be awarded to eligible organizations, Minnesota farmers will ultimately benefit by expert mentorship, compliance training, business planning resources, and low-interest loans.
Grant awards for technical assistance in the second round of funding are expected to range from $10,000 to $100,000 per project. Grant awards for loan financing are expected to range from $200,000 to $500,000 per eligible organization (individual farmer loans will range from $2,500 to $50,000 or up to $150,000 for projects with matching funds). OCM intends to fund investments in eligible communities throughout the state. This is a competitive grant program.
$ GRANT AMOUNT
$100,000
MN Automation Training Grant
MN Department of Employment & Economic Development
Grants of up to $35,000 are available to small businesses in the manufacturing or skilled production industry for the express purpose of training incumbent workers as quickly and effectively as possible on new automation technology. The program is available to existing Minnesota Businesses located outside of the seven county metropolitan area OR located in the cities of Cannon Falls, Hanover, Rockford, Northfield, and New Prague that are investing in new automation technology at the project location. Training is for existing, full-time jobs paying at least 120% of federal poverty guidelines for a family or four. For 2025, this is $38,580 per year.
$ GRANT AMOUNT
$35,000
MN Job Creation Grant
MN Department of Employment & Economic Development
The Job Creation Fund provides financial incentives to new and expanding businesses that meet certain job creation and capital investment targets.
Companies deemed eligible to participate may receive up to $1 million for creating or retaining high-paying jobs and for constructing or renovating facilities or making other property improvements. In some cases, companies may receive awards of up to $2 million.
$ GRANT AMOUNT
$2,000,000
MN Job Training Incentive Grant
MN Department of Employment & Economic Development
Minnesota's main training grant option, the Partnership program, focuses on providing training for both new and existing employees of participating businesses throughout the state.
Minnesota participating businesses must partner with an accredited Minnesota educational institution. Grants of up to $400,000 are awarded to the educational institution to develop and deliver custom training specific to business needs. A cash or in-kind contribution from the participating business must match the grant funds on at least a one-to-one basis.
Funds may be used for training-related costs such as curriculum development, instruction, training materials and supplies, training equipment, and instructor travel. Requests for wage subsidies and tuition reimbursement are not eligible. However, wages paid to employees during training may be counted towards the required matching contribution.
$ GRANT AMOUNT
$50,000
MN Promise Act Grant
MN Department of Employment & Economic Development
This program, through a series of statewide partner organizations, will award grants to eligible businesses in communities that have been adversely affected by structural racial discrimination, civil unrest, lack of access to capital, loss of population or an aging population, or lack of regional economic diversification.
A total of $94.3 million will be awarded as grants in multiple rounds.
Grant funds can be used for working capital to support payroll expenses, rent or mortgage payments, utility bills, equipment, and other similar expenses that occur in the regular course of business.
$ GRANT AMOUNT
$50,000
Saint Paul Cultural Star Program
City of Saint Paul
The Cultural STAR Program provides grants and loans to Saint Paul cultural projects and organizations. Most projects are located in the Saint Paul Cultural District (bordered by I-94 to the north, the Lafayette Bridge to the east, the Mississippi River to the south, and Chestnut Road to the west). Cultural STAR grows Saint Paul's economy by strengthening the arts and cultural sector and supporting downtown as a vital cultural center.
$ GRANT AMOUNT
$50,000
Saint Paul Neighborhood STAR Grant
City of Saint Paul
The Neighborhood STAR Program provides grants for physical (capital) improvement projects in Saint Paul neighborhoods.
Projects must be neighborhood-based, designed in partnership with community stakeholders, and clearly address problems, needs and opportunities in Saint Paul. Proposals can be for either a project or program that results in capital improvements in Saint Paul. Innovative proposals are encouraged.
Eligible applicants include any public, private, nonprofit, or for-profit organization located in or doing business in Saint Paul.
$ GRANT AMOUNT
$200,000
Aitkin County Business Grants
Aitkin County
Aitkin County has two grant opportunities designed to support local businesses.
The first opportunity is the Aitkin County Business Development & Recreation Grant Program, which supports projects that enhance tourism, recreation and small business development. Grants range from $100 to $2,000, with a required 1:1 local match and are available to businesses and nonprofit organizations located in or serving Aitkin County. Eligible projects include tourism and recreation events, business attraction efforts and initiatives that promote sustained visitor growth.
The second opportunity, the Aitkin County Business Revitalization Grant Program, focuses on supporting for-profit businesses to improve the exterior appearance of their properties. Revitalization grants range from $1,000 to $5,000, also requiring a 1:1 match. Eligible improvements include exterior building upgrades, new or replacement signage and awnings and outdoor aesthetic enhancements. Applications are accepted on a rolling basis until funds are depleted, with projects evaluated on creativity, visual impact and community benefit.
$ GRANT AMOUNT
$5,000
Don't stop at state-level funding
Most business grants aren't geographic, they're tied to your industry, your stage, or your team. Our database tracks 500+ programs across every category, and our free newsletter delivers new grants to your inbox each week.