Seventeen organizations were selected to receive a combined $1 million through the 2026 Sacramento Innovation Grant Program to support programs for local entrepreneurs.
The grant program, whose funding was approved by the Sacramento City Council this week, is administered by the City’s Office of Innovation and Economic Development through the Innovation and Growth Fund.
Originally established in 2016 as RAILS, the Sacramento Innovation Grant Program is designed to support entrepreneurs at different stages of development. Funded projects have included incubator and accelerator programs, training initiatives and other services that help businesses start and grow.
“Supporting local entrepreneurs means investing in the long-term economic health of Sacramento and creating more opportunities for businesses to grow here,” said Denise Malvetti, Deputy Director of the Office of Innovation and Economic Development.
The 2026 program includes three funding categories: entrepreneur access and education for early and established entrepreneurs; incubator and accelerator support for idea-stage and growing businesses; and innovation and investment readiness focused on commercialization, as well as customer and funding acquisition.
Grant awards range from $15,000 to $100,000, with each category designed to help participants build skills, refine business ideas, and connect to funding opportunities.
“Sacramento’s innovation grant will help us expand Momentum’s ASCEND program to support a diverse audience of advanced transportation and mobility sector startups and founders,” said Matthew Hart, CEO of Momentum, a 2026 Innovation Grant recipient. “Sacramento ASCENDS will provide the tools to effectively leverage non-dilutive funding to advance demonstration pilots, bring growth capital to the region, and establish critical commercial partnerships.”
The City received 105 applications requesting more than $7 million in funding. Applications were evaluated by City staff and subject matter experts based on program design, expected outcomes, organizational capacity and impact on underserved entrepreneurs.
Projects are expected to begin in the second quarter of 2026 and be complete within one year.
The grant program aligns with the City’s ScaleUp inclusive economic development strategy, which focuses on expanding economic mobility and opportunity and increasing access to entrepreneurship resources for underserved communities.
More information is available on the City’s website.
