CAAL Ignite backs 21 Minnesota Asian American businesses and nonprofits

The Coalition of Asian American Leaders is funding 21 Asian American businesses, entrepreneurs and nonprofits across 13 Minnesota cities through its 2026 Ignite cohort. The grants land amid a sharp philanthropic funding gap for AANHPI communities in the Twin Cities and growing demand for accessible capital.

Why it matters: - CAAL Ignite is aimed at closing a long-running investment gap for Minnesota’s Asian American communities. - The program is supporting small businesses, emerging entrepreneurs and nonprofits that can drive local economic activity and community impact. - Demand for the program suggests the need for more capital is far greater than current funding levels.

What happened: - The Coalition of Asian American Leaders launched CAAL Ignite in 2024 to address underinvestment in Minnesota’s Asian American communities. - CAAL Ignite is now supporting 21 organizations and entrepreneurs across 13 Minnesota cities in its third year. - CAAL said it received nearly 300 applications for this year’s cohort. - To date, CAAL Ignite has invested in 62 small businesses, 18 emerging entrepreneurs and 12 nonprofits.

The details: - In the Twin Cities, 13 cents of every $100 in philanthropic funding went to Asian American, Native Hawaiian and Pacific Islander communities between 2019 and 2023, according to the AAPIP 2025 Twin Cities AANHPI Funding Snapshot. - That funding rate is less than half the national rate of 0.34%. - AANHPI communities make up 7% of the region’s population. - CAAL Executive Director ThaoMee Xiong said the grant program is a direct response to the funding gap and the high demand for accessible capital. - CAAL Board Chair Nicole Dailo Jison said the grants help entrepreneurs and organizations thrive while creating lasting economic and community impact across Minnesota. - Cynthia Lee, owner of Dearest Baker Macarons in St. Paul and a past recipient, said the grant helped her expand production, improve consistency, attend more local events and enter retail spaces. - More information is available at CAAL Ignite.

Between the lines: - The application surge points to a broader problem: the funding pipeline for Asian American-led enterprises and nonprofits in Minnesota appears to be too small for current demand. - The Twin Cities funding data also suggests the gap is structural, not temporary. - CAAL’s program is not just a grantmaking effort. It is also a signal that community-based capital can produce measurable business growth and local reach.

What's next: - CAAL is likely to use the strong applicant turnout to argue for more philanthropic and institutional investment in Asian American communities. - The organization is also positioning Ignite as a continuing platform for direct investment, leadership development and economic support across Minnesota. - Supporters can learn more through CAAL’s Ignite page and broader organization channels.