Delaware Strategic Fund

Delaware’s Strategic Fund is the state’s primary tool for keeping and growing major business projects, with $5 million allocated for FY2026.^[1] There is no fixed deadline. But calling it “rolling intake” understates what the process actually requires. PepsiCo secured up to $2,887,000 through this path.^[2] Corteva Agriscience received $1 million to retain 205 jobs in Wilmington, structured as $500,000 for employment and $500,000 for goods and services.^[3] To access any of it, you must prove your project would not happen in Delaware without state support.

Then survive a nine-point vetting process, a non-refundable application fee, and a public hearing before the Council on Development Finance. If you cannot make that case, this page will save you from starting a process you cannot finish.

Key Grant Information

Ongoing

01

Delaware Strategic Fund

Funded by Delaware Division of Small Business | Council on Development Finance

02

Grant Snapshot

Grant Award

$2,887,000

Application Deadline

Rolling

Eligible Region

United States, Delaware

03

Eligibility and Benefits

Eligibility Criteria

• Project located in Delaware creating or retaining significant full-time jobs
• Demonstrate state assistance is necessary ("but-for")
• In good standing with Delaware and all jurisdictions
• Clear public purpose such as increasing the tax base
• Provide 3 years of audited financials or tax returns
• Operating in manufacturing, distribution, HQ, or R&D sectors
• No major labor law violations in the past 2 years

04

Focus Areas

Delaware Strategic Fund Job Creation Incentives Delaware Business Grants

The eligibility tool below simulates the initial vetting your project will face when you talk to a Regional Business Manager. If you cannot satisfy the “but-for” requirement or provide three years of audited financials, the state is unlikely to move your application toward the public hearing stage.

Recent Approvals

Three recent awards show what the fund rewards and how it structures disbursement. Synnovation Therapeutics received $438,000 in January 2025 to add 44 biotech roles in the state.^[4] Corteva Agriscience got $1 million in October 2025 to retain 205 jobs in Wilmington, split between $500,000 for employment support and $500,000 for goods and services.^[3] PepsiCo was approved for up to $2,887,000 for a distribution expansion.^[2] Every winner demonstrated competitive pressure from other locations and a specific, verifiable job count. With only $5 million in the FY2026 pool, a single large award can consume more than half the annual allocation. The Division of Small Business is looking for quality jobs with competitive wages, not just headcount.^[1]

If your project is earlier-stage or smaller in scope, the Delaware EDGE Grant is a better starting point before you take on the Strategic Fund’s documentation burden.

The Manager Gate

You cannot apply online. The Regional Business Manager for your county is the only entry point. These managers cover New Castle, Kent, and Sussex counties and determine whether your project is worth preparing for the Council on Development Finance. They help shape your proposal before it reaches formal review. Submitting directly to Dover without their initial vetting means your application will be returned.

The 60-Day Review

Once your application is deemed complete, the state begins a 60-day clock to reach a preliminary decision.^[6] This is not a paperwork check. Staff run nine distinct evaluation methods drawn from the Administrative Code. They will contact your bank, your suppliers, and your customers to verify what you put in writing. Audited financials are expected; internal tax drafts are not a substitute.

The state is verifying that every dollar from the $5 million pool goes to a stable business that will still be operating in Delaware years from now. Your references are part of that proof.

The Public Hearing and 7 Legal Criteria

Passing staff review sends your project to a public hearing before the Council on Development Finance.^[7] The CDF evaluates projects against seven legal criteria from Delaware Code section 8729A before making a recommendation to the Chairperson.

After Approval

The Strategic Fund disburses as reimbursement. You incur the expense first, document it, then request the funds.^[6] The obligations do not end at disbursement. Annual reports are due every June 30 for the entire term of the grant or loan, covering job counts, wage scales, financial statements, and economic impact data.^[6]

Alternatives for Delaware Projects

If your focus is site preparation and infrastructure rather than direct job creation, the Delaware Site Readiness Fund shares the CDF hearing process but targets site development specifically. Early-stage or smaller companies that cannot meet the Strategic Fund’s document burden usually start with the Delaware EDGE Grant, which uses a competitive pitch format instead.

Frequently Asked Questions

How do I apply for the Delaware Strategic Fund?

Contact the Regional Business Manager for the county where your project is located. They vet the project before you submit the formal application package — 12 physical copies plus a non-refundable fee — to the Director of Capital Resources in Dover.

What counts as “but-for” necessity?

You must show the project would not move forward in Delaware without state financial assistance. In practice, this means documenting a competing offer from another state, a financial gap in your project model, or evidence that your internal return on investment doesn’t work without the support.

How long does the process take?

Once the application is deemed complete, staff have 60 days to reach a preliminary decision. After that, timing depends on the next scheduled CDF public hearing and the Chairperson’s final sign-off. The approved term letter is valid for a maximum of one year to close the agreement.

What happens after I am approved?

You receive a term letter outlining conditions. After acceptance and documentation, a closing is scheduled. Funds are disbursed as reimbursement after you incur and document expenses. You must then submit annual reports every June 30 covering jobs, wages, and financial performance for the full term of the award.

What happens if I miss my job targets?

The agreement includes recapture provisions. If your headcount falls below the benchmarks you committed to, the state can require partial or full repayment of the funds received.

Is there a maximum award amount?

No hard legal cap exists. Awards scale with economic impact and project size. Recent approvals range from $438,000 for a 44-job biotech expansion to $2,887,000 for a major distribution project.

What sectors are excluded?

Retail, restaurants, residential development, professional office buildings, speculative real estate, and refinancing existing debt are all excluded. The fund is designed for manufacturing, distribution, headquarters operations, and R&D.

Glossary

But-For Requirement

Mandatory proof that a project would not move forward in Delaware without state financial assistance. Typically demonstrated through a competing location offer or a documented financial gap.

CDF Public Hearing

A required public session where the Council on Development Finance reviews and votes on project recommendations before final Chairperson approval.^[7]

Job Maintenance

An ongoing performance requirement to keep the number of full-time employees committed to in your agreement. Failure can trigger repayment obligations.

Nine Evaluation Methods

The state’s due diligence checklist during the 60-day review period, including site visits, financial analysis, industry benchmarking, and direct outreach to your bank, customers, and suppliers.^[6]

Recapture Provision

The state’s legal right to recover funds if you fail to meet employment or operational commitments in the grant or loan agreement.

Term Letter

The official offer document issued after final Chairperson approval, valid for a maximum of 12 months from the CDF meeting date to close the agreement.

Source Notes

• Spotlight Delaware: FY2026 Budget Breakdown confirms the $5 million Strategic Fund allocation for FY2026. Back to claim
• Choose Delaware: CDF Approvals details the PepsiCo approval for up to $2,887,000 for distribution expansion. Back to claim
• Spotlight Delaware: Corteva Grant outlines the $1M retention award split between employment support and goods and services to retain 205 jobs in Wilmington. Back to claim
• Choose Delaware: Synnovation Therapeutics confirms the $438,000 award for 44 new biotech roles. Back to claim
• 2025 DSB Program Booklet provides context on Regional Manager roles and program structure. Back to claim
• Delaware Admin Code: Strategic Fund Procedures specifies the 60-day review timeline, nine evaluation methods, annual reporting requirements, and recapture provisions. Back to claim
• DEDA: Public Hearing Requirement confirms that all Strategic Fund awards must go through a CDF public hearing before final approval. Back to claim
• CDF Meeting Schedule lists confirmed hearing dates and locations, including the February 25, 2026 session at Buena Vista in New Castle. Back to claim

More Delaware Business Funding

Need Help With Your Application?

The Delaware Strategic Fund is less like a grant and more like a high-stakes negotiation with the state. Applications fail not because the project is bad, but because the but-for evidence is too thin or the bank reference wasn’t prepared for a DSB inquiry. With only $5 million in the annual pool and no fixed deadline to pace applications, the quality of your preparation is what separates funded projects from those that stall at manager vetting.

If you want to confirm your project holds up against the Code’s seven criteria before you pay the non-refundable state fee, start with a Grant Assessment. Our team reviews your financials and site plans against those criteria and helps identify gaps in your but-for case. Your Grant Assessment fee is non-refundable, but the base assessment fee can be deducted once toward the same grant’s Full Application when you choose the optional checkbox at checkout. For projects ready to move, our Full Application Submission service handles the narrative drafting, reference preparation, and physical 12-copy assembly.

Start Full Application Submission
Want a quick gut-check first? Book a live 1-on-1 consultation to discuss your project fit with a Delaware grant specialist.

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    "custom_description": "The Delaware EDGE Grant uses a competitive pitch format and carries a lighter documentation burden, making it the natural starting point for earlier-stage companies before they take on the Strategic Fund's full application requirements. Both programs are administered through the same Division of Small Business infrastructure, so EDGE experience builds familiarity with how DSB evaluates Delaware projects."
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