DEED Launches Two Programs to Support Legal Cannabis Businesses

St. Paul, MN – The Minnesota Department of Employment and Economic Development (DEED) today announced two new programs to support organizations that will assist businesses operating in the state’s adult-use cannabis industry. Up to $8 million of state funding is available for service providers to help business owners – specifically social equity business owners and entrepreneurs from disproportionately impacted communities.

DEED’s new initiatives – the $2 million CanNavigate program and the $6 million CanStartup program – will provide technical assistance and increase access to capital for business owners looking to start and grow cannabis businesses in Minnesota. The programs come as DEED, the Minnesota Office of Cannabis Management (OCM) and other state agencies look to support business owners seeking licenses to operate in Minnesota and to contribute to growing Minnesota’s economy.

“These grants invest in a promising sector of our state economy,” said DEED Commissioner Matt Varilek. “DEED, OCM, and Minnesota are committed to building a thriving and equitable cannabis market that maximizes opportunities for underserved communities and communities across the state."

CanNavigate (Cannabis Industry Navigation Grants) offers up to $2 million in competitively awarded grants to community-based entrepreneurial support organization (ESOs) and organizations with cannabis regulatory experts to help individuals navigate the regulatory structure of operating a business in the legal cannabis industry. There is an emphasis on serving individuals whose social equity status has been verified and people facing barriers to employment.

CanStartup (Cannabis Industry Startup Financing Grants) will award up to $6 million in grants to nonprofit lenders to fund loans to new cannabis microbusinesses and support job creation in communities where long-term residents are eligible to be social equity applicants.

“As the Office of Cannabis Management moves closer to issuing cannabis licenses, we remain focused on our commitment at DEED to social equity and economic opportunity,” said Commissioner Varilek. “The CanNavigate and CanStartup grants will further remove barriers to market access for individuals who qualify as social equity applicants and help them thrive in Minnesota’s newest industry.”

Additionally, DEED's CanTrain RFP will launch later in March. CanTrain will award grants to eligible organizations to develop and implement a workforce development program to provide support, navigation services and training to individuals leading to a relevant career in the legal cannabis industry. And OCM is currently accepting applications for CanRenew, a program that helps fund projects addressing a range of community needs, including economic development, public health, violence prevention, youth development and civil legal aid.

DEED will host a webinar on CanStartup on March 13 from 10 - 11am; applications are due on April 9. The agency will also host a webinar on CanNavigate for interested applicants on March 18 from 1 - 2pm; those applications are due on April 11. Learn more about both programs.

DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. Find out how DEED delivers for Minnesota by visiting the DEED website,  JoinUsMn.com, CareerForceMN.com or follow us on X.

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Upon request, this information can be made available in alternate formats for people with disabilities by contacting the DEED Communications Office at 651-259-7161.