Arizona Innovation Challenge (AIC)
Arizona Commerce Authority (ACA)
Up to $100,000
AZ tech startup grant competition
Arizona's flagship grant competition for technology-based startups and growth-stage companies. Administered by the Arizona Commerce Authority, AIC awards up to $100,000 in non-dilutive grant funding per company in two competition tracks: startup (pre-revenue or early-revenue) and growth (post-revenue). Spring and fall competition cycles with approximately $3.5M awarded annually. One of the most accessible state technology grant competitions in the Southwest.
- Funding type
- Grant
- Level
- State
- Amount range
- $25,000 – $100,000
- Realistic amount
- Most AIC awards range $25,000–$75,000. Awards of the full $100,000 are reserved for the strongest Growth Track applicant…
- Deadline
- Two cycles per year: Spring (typically February–March application window, awards in May) and Fall (August–September application window, awards in November). Exact dates announced 6–8 weeks before each window opens.
- Status
- active
- States
- AZ
- Payment model
- milestone
Who qualifies
- Must be a for-profit company incorporated and registered to do business in Arizona
- Primary office or headquarters must be in Arizona
- Must have a technology-based product or service (not a service business without a proprietary technology component)
- Startup Track: pre-revenue or annual revenue under $1,000,000
- Growth Track: annual revenue of $1,000,000 or more
- Minimum 1 full-time Arizona employee (founder counts)
- Must not have previously won the AIC in the same track (prior winners may apply to the other track)
- Cannot be a subsidiary of a company with more than 500 employees
Hard requirements
- Must be incorporated
- Minimum 1 employees
What it covers
Eligible expenses
- Product development costs (engineering, software development, prototyping)
- Personnel (salaries and benefits for Arizona-based employees on the project)
- Equipment and materials directly supporting the funded project
- Market research and customer discovery
- Intellectual property protection (patent filing, trademark)
- Travel for business development (limited)
- Professional services (legal, accounting) directly related to grant activities
Ineligible expenses
- Sales commissions and marketing advertising
- Real estate acquisition or construction
- Refinancing or paying off existing debt
- Payments to non-Arizona employees or contractors for non-technical work
- Lobbying or political contributions
- Personal expenses of owners
How to apply
-
1
Register on ACA portal and select track
Create an account on azcommerce.com, confirm eligibility, and select the Startup or Growth track. Review the scoring rubric and example winning applications (published on the ACA website).
~4 hrs
-
2
Complete application including pitch deck and financials
Application requires: executive summary (500 words), technology description, market opportunity and competitive analysis, go-to-market plan, team bios, financial statements or projections, and a pitch deck (10–15 slides). Allow 2–3 weeks for preparation.
~4 hrs
-
3
Submit during open application window
Submit via the ACA online portal during the 4–6 week window. Applications are reviewed as submitted — no advantage to early submission.
~4 hrs
-
4
Panel review and finalist selection
ACA staff and an independent judge panel score applications. Top-scoring applicants (typically 40–60 per cycle) are invited to present at a finalist pitch event held in Phoenix.
~4 hrs
-
5
Finalist pitch and award selection
8–10 minute pitch to the judge panel. Awards announced at the conclusion of the event. Winners execute grant agreements within 2–3 weeks of notification.
~4 hrs
Attend ACA's free pre-application webinar each cycle — judges sometimes participate and the rubric gets explained in detail. Startup Track is less competitive (fewer applicants per dollar) than Growth Track despite lower max award.
Deadline & timing
ACA publishes cycle dates on azcommerce.com typically 6–8 weeks in advance. The program has run consistently since 2012 with minimal gaps. Subscribe to ACA's innovation newsletter for advance notice of each cycle.
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Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.