Dear Partners, Funders, and Colleagues
The Ann Arbor region continues to cement its place as a national leader in technology, innovation, and economic growth. In 2024, we witnessed significant progress—driven by collaboration between academia, industry, and economic development partners—that has positioned our community for even greater success in the years ahead. In times of change, SPARK’s role in advancing stability, opportunity, and long-term growth in our region is more important than ever.
Ann Arbor SPARK remains a key force in advancing our region’s tech ecosystem. This year’s enactment of the R&D tax credit and the launch of the Michigan Innovate Capital Fund provide critical tools and resources to support high-growth startups and established companies alike, elevating Michigan’s reputation as a competitive place for innovation. SPARK’s continued investments in early-stage companies, including through direct funding and strategic guidance, have further strengthened the pipeline of breakthrough technologies emerging from our region.
The University of Michigan continues to be a source of groundbreaking research and world-class talent, fueling the success of local startups and established firms. Through Innovation Partnerships, we are transforming research into real-world solutions. By leveraging strategic connections with industry, entrepreneurs, and investors, we are ensuring U-M innovations address society’s critical needs, spur technology-driven economic growth, and create lasting, positive societal impact. SPARK plays a critical role in ensuring that high-potential ideas not only originate here but grow and scale here as well.
Attracting and retaining top talent remains one of the most pressing opportunities for our region. Programs like SPARK’s Small Business Support Hub, the Child Care Coalition, and targeted startup initiatives are making it easier for entrepreneurs and professionals to build their careers in Michigan. These efforts, alongside a strong network of corporate and university partners, help ensure that the Ann Arbor region remains a destination of choice for innovators and industry leaders.
Looking ahead, we must continue to build on this momentum. The connections between academia, industry, and the broader community further position the Ann Arbor region as a national tech hub—one that attracts investment, fosters opportunity for all, and retains the talent and new ideas that fuel our future.
Thank you to our partners, investors, and community members who contribute to this shared success. Together, we are shaping a future where those who live and work here can participate in a vibrant, prosperous economy.
Kelly Sexton
CHAIR OF THE BOARD, ANN ARBOR SPARK
ASSOCIATE VICE PRESIDENT FOR RESEARCH – INNOVATION PARTNERSHIPS AND ECONOMIC IMPACT, UNIVERSITY OF MICHIGAN
Dear Valued Partners, Entrepreneurs, and Community Members
Being part of the greater Ann Arbor region’s growth and success is both a privilege and a responsibility. In 2024, Ann Arbor SPARK continued to play a key role in strengthening our economy, supporting entrepreneurs, and fostering a more resilient business community. This year brought significant advancements, reinforcing our region and state’s competitiveness as a place to launch and scale businesses.
A major milestone was the enactment of the R&D tax credit, providing critical support for companies investing in innovation and job creation. The Michigan Innovate Capital Fund, a one-time, $60 million infusion dedicated to startup growth, further signals the state’s commitment to fostering high-tech businesses. These policy wins in the Michigan legislature reflect years of advocacy by SPARK and collaboration with industry, government, and economic development partners.
At SPARK, a major focus continues to be helping startups and small businesses succeed. In 2024, we expanded our reach through the Small Business Support Hub, ensuring entrepreneurs in Washtenaw, Livingston, and Monroe counties have access to the mentorship, funding, and resources needed to thrive. Our work with early-stage tech companies continues to drive economic growth, providing guidance and capital to help transform ideas into viable businesses.
Collaboration remains central to our mission. Public and private sector partnerships, along with strong ties to academic institutions, are essential to sustaining an innovative economy that benefits all of our citizens. Our engagement with the Child Care Coalition reflects our commitment to addressing workforce challenges that impact talent retention and economic mobility. Similarly, our launch of the Green Business Challenge, in partnership with the City of Ann Arbor, highlights the growing intersection of sustainability and economic development.
The progress made this year is a testament to the strength of our region and the companies, entrepreneurs, and organizations that fuel its success. While there is more work ahead, we are encouraged by the momentum and remain committed to advancing the region’s economic future in a changing global and natural environment.
Thank you to our partners, investors, and the broader community for your continued collaboration and support. We look forward to working with you to create opportunity and prosperity in 2025.
Paul Krutko
PRESIDENT AND CHIEF EXECUTIVE OFFICER, ANN ARBOR SPARK
NUNCHI is transforming how membership organizations foster engagement and build stronger communities. This woman-founded startup, backed by SPARK Capital in its $1 million funding round in 2024, is redefining the way coworking spaces, professional associations, university groups, and startup accelerators connect with their members. Nunchi leverages AI-powered insights to automate tasks, personalize interactions, and create meaningful connections that drive retention and growth.
FREIGHTROLL is transforming the logistics industry with its AI-powered Yard Execution System, streamlining freight yard operations and cutting costs. This Ann Arbor-based startup secured an investment from SPARK Capital in 2024 to accelerate its mission of automating gate processes, reducing delays, and enhancing driver satisfaction. With a team of five, FreightRoll’s self-service platform improves efficiency, minimizes errors, and delivers significant savings—reinforcing SPARK Capital’s commitment to investing in game-changing supply chain innovations.
CIRCANOVA is pioneering the next frontier in biotechnology by harnessing the power of artificial intelligence to develop RNA-based therapeutics targeting previously “undruggable” diseases. This innovative company employs its proprietary AI NovaEngine™ to predict and design circular RNA structures, offering groundbreaking solutions for conditions like triple-negative breast cancer. In 2024, CircNova secured a $2 million seed funding round with participation from SPARK Capital, bolstering its mission to transform drug discovery and address significant unmet clinical needs.
GENOMENON is a market leader in curating the human genome, leveraging AI-driven technology to accelerate genomic research and precision medicine. The company provides cutting-edge solutions for variant interpretation and genomic data analysis, supporting advancements in diagnostics and drug development. In 2024, Michigan Angel Fund V participated in Genomenon’s $5.5 million funding round, reinforcing its commitment to fostering innovative companies in Michigan.
M3D, a 2024 spin-out from Ann Arbor-based H3D, is transforming cancer care with advanced imaging for real-time radiation detection. The company secured $1.5 million in funding—including investment from Michigan Angel Fund V—to accelerate development of its RAVIN CAM and LymphoCam technologies. With support from SPARK, including design, data analytics, and FDA consulting, M3D has expanded its local team, secured initial commercial orders, and is preparing for first-in-human trials. FDA clearance is targeted for year-end, with projected revenue exceeding $700,000. M3D’s rapid progress underscores the power of early-stage investment through the Michigan Angel Fund and the ecosystem supporting innovation in Southeast Michigan.
CUBEWORKS, a University of Michigan spinout, is advancing the future of ultra-small, energy-efficient sensing technology. With a team of seven employees, the company is developing next-generation microsensors designed for applications in healthcare, industrial monitoring, and smart infrastructure. In 2024, Michigan Angel Fund V participated in Cubeworks’ $10 million funding round, supporting its mission to revolutionize data collection with cutting-edge miniaturized devices.
HEAT2POWER is pioneering innovative solutions to convert waste heat into usable power, enhancing energy efficiency and sustainability across industries. Since beginning its engagement with SPARK in July 2024, the company has leveraged a range of resources, including access to SPARK’s incubator, early marketing support, Entrepreneur-in-Residence guidance, and business accelerator funding. These resources have been instrumental in Heat2Power’s early growth, supporting its founding, licensing efforts, and venture capital negotiations. The company was showcased as a featured startup at the University of Michigan’s Celebrate Invention 2024 and has since secured the first round of a multi-million dollar investment. With its recent expansion at MI-HQ, Heat2Power is well-positioned to scale its impact, furthering SPARK’s mission of fostering groundbreaking innovation in Southeast Michigan.
APT SOLAR SOLUTIONS is at the forefront of sustainable energy innovation, specializing in patented three-dimensional (3D) solar lighting technology that captures sunlight from all angles, significantly enhancing energy efficiency. In 2024, APT Solar partnered with Michigan’s Keweenaw Dark Sky Park to install their advanced solar-powered crimson lights along the park’s trails, providing eco-friendly illumination that preserves the natural night environment. Throughout their development, APT Solar has benefited from Ann Arbor SPARK’s comprehensive support, including resources from the LDFA to accelerate their growth and sustainability initiatives. This collaboration exemplifies SPARK’s commitment to fostering innovative solutions that contribute to environmental sustainability and community enrichment.
SUTRA.AI is an AI platform helping mid-market businesses drive transformation through tailored, production-ready AI solutions. With tools like Data.AI and Opportunity.AI, Sutra.AI enables companies to harness unstructured data, identify high-impact use cases, and achieve measurable results—often within 90 days. In 2024, they added over 10 full-time employees, including four key leadership roles based in Michigan, to support rapid growth. Ann Arbor SPARK has supported Sutra.AI with a grant, entrepreneur-in-residence (EIR) guidance, marketing consultant referrals, interns, and office space—playing a key role in helping the company grow and embed itself in the local tech community.
Small Business Support Hub
In 2024, Ann Arbor SPARK launched a new small business support program, powered by a $3.4 million, three-year grant from the MEDC and a strong network of community partners, including the Howell Area Chamber of Commerce, Monroe County Business Alliance, Jewish Family Services, Michigan SBDC Greater Washtenaw Region, and the Washtenaw Community College Entrepreneurship Center. In its first year, the program provided consulting, education, and support services to 237 small businesses across Washtenaw, Monroe, and Livingston counties. More than 60% of participating businesses were women- and minority-owned, collectively employing over 300 full-time workers. The program helped secure $185,000 in follow-on funding and grants, supported 18 new business launches, and provided critical resources in areas like marketing, capital access, and business growth—strengthening the region’s entrepreneurial ecosystem.
Accelerating Startup Growth
The SPARK East team supported the growth of 38 startups with coaching, educational resources, and more than $195K in grants. Representing industries from pharmaceuticals & medical device manufacturing to education, finance, and AI technologies, these Ypsilanti-based businesses added 19.5 new jobs in 2024.
Since 2015, Ann Arbor SPARK has led the Innovate Ypsi Program, providing critical funding to support economic growth in Eastern Washtenaw County. Designed to fill gaps where traditional incentives fall short, Innovate Ypsi has distributed over $650,000 in grants to 18 projects, helping to stimulate $48 million in investment and create 398 new jobs in the 48197 and 48198 zip codes. SPARK’s strategic oversight has ensured that 88% of funded businesses remain operational, with over 77% still based in Ypsilanti. From catalyzing major investments like LuxWall’s clean energy R&D center to supporting small businesses like Beara Bakes and Tortillas Tita, SPARK’s leadership in Innovate Ypsi continues to drive lasting impact and sustainable economic development in the region.
Continuing an ethos of innovation, Spark East Innovation Center is dedicated to supporting early-stage startups and helping growing businesses excel.
In July, NORTH STAR CLEAN ENERGY relocated its corporate headquarters to Ann Arbor, securing an office in Pittsfield Township. A leading innovator in the renewable energy and decarbonization sector, the new headquarters will serve as the central hub for NorthStar’s operations, research, and development. SPARK played a pivotal role in aiding NorthStar with its site selection process.
Ann Arbor SPARK supported LIEBHERR'S, Saline expansion by guiding the company to support tools, including through a partnership with the City of Saline to lower their taxes on the new project. SPARK coordinated with stakeholders to provide ongoing communication, ensured deadlines were met, and resolved issues to facilitate the project’s progress.
TORTILLAS TITA, a small, minority-owned food manufacturer, is expanding with a new facility in Ypsilanti Township to meet growing demand as a key supplier to local restaurants. Ann Arbor SPARK has played a vital role in supporting this growth, providing technical assistance, financing connections, and an Innovate Ypsi grant to help the company scale its operations.
Ann Arbor SPARK played a critical role in site selection and development for a collaboration between the University of Michigan and LOS ALAMOS NATIONAL LABORATORY in Ypsilanti Township. Beginning in early 2023, SPARK identified and evaluated potential locations, ensuring key infrastructure needs were met. SPARK facilitated site tours, coordinated environmental assessments, and connected stakeholders with essential partners. Additionally, they provided data to support the project’s proposal, highlighting the key factors that make our region uniquely positioned for this kind of investment.
a2Tech360 is a series of events celebrating Ann Arbor’s spirit of innovation through experiences, conversations, and connections that strengthen and expand the region’s vibrant technology ecosystem. The events are tailored to a variety of audiences, including entrepreneurs, researchers, investors, businesses, academic institutions, non-profits, job seekers, and the general public.
Tech Homecoming aims to connect talented professionals with Ann Arbor and its vibrant tech ecosystem, which has produced hundreds of startups and billions in enterprise value in the past five years.
Ann Arbor SPARK’s Marketing Team provides direct support to startups, thanks to the LDFA.These services (which would normally be cost-prohibitive to early-stage companies) include consulting on marketing strategy, product positioning and targeting, website development, social media strategy, public relations, collateral development, and more. In 2024, the dedicated entrepreneurial marketing team delivered 155 engagements for 54 of the startup companies working with SPARK.
Paul Krutko, Ben Ernst, Carly Toaz, Bill Mayer, Charlotte Dillard, Loren Townes, Jr., Erin Wiley, Didem Karaboga, Jenn Hayman, SaraH Cicotte, Jennifer Olmstead, Hayden Braun, Joshua Thompson, Kailee Moretto, Jose Figueroa, Kristine Nash-Wong, Lauren de Vries, Laura Berarducci, Phil Santer, Janis Seabolt, Marcia Gebarowski, Lindsay Thomas, Mike Flanagan, Latricia Trice, Brenda Allen, Sharla Horton, Lydia Mitchell, Thomas Crawford, Melissa Sheldon, Mamta Modi, Tami Salisbury
Ann Arbor Board of Realtors
Arboretum Ventures
Bodman PLC
Butzel Long
Consumers Energy
Domino’s Farms Corporation
Don & Anais Hicks
Honigman LLP
ITC Michigan
JPMorgan Chase
J.S. Vig
Menlo Innovations
NETSCOUT
Old National Bank
Oxford Companies
PNC Bank
Rehmann
Rudolph Libbe Group
Sartorius
SI Company
University of Michigan Credit Union
Chelsea State Bank
Comerica Bank
Cunningham-Limp
Fifth Third Bank
Mannik & Smith Group
Reinhart Realtors
Roxbury Group
Eastern Michigan University
University of Michigan
Washtenaw Community College
Ann Arbor Area Transportation Authority
Ann Arbor/Ypsilanti Local Development Finance Authority (LDFA)
Ann Arbor Charter Township
Ann Arbor DDA
City of Ann Arbor
City of Brighton
City of Chelsea
City of Dexter
City of Saline
City of Ypsilanti
EDC of Livingston County
Michigan SBDC
MEDC
Pittsfield Township
Scio DDA
Michigan Works! Southeast
Ypsilanti DDA
Ypsilanti Township
