Minneapolis's Top 10 Startups That Tech Professionals Should Watch Out For in 2025

Minneapolis's tech scene is absolutely crushing it in 2025! The city's tech sector employs over 380,000 people, making up 12.4% of Minnesota's total workforce - that's even higher than the national average.

The University of Minnesota just launched 25 new startups this year, breaking records for the fourth year straight.

The startup success rate is mind-blowing at 68%, with 73% of these companies staying right here in Minnesota. These aren't just random tech companies - we're talking about groundbreaking stuff like sustainable magnets and AI-powered biotech.

Looking ahead, data scientists and statisticians are among the most in-demand roles, especially in analytics.

The city's got this amazing mix of established tech giants and fresh startups, plus tons of networking events and innovation hubs where you can connect with other tech enthusiasts.

Whether you're into AI, fintech, or healthcare tech, Minneapolis is seriously the place to be for anyone wanting to make their mark in the tech world.

Our selection process for Minneapolis's top startups goes way beyond just looking at who's got the most funding. We focused on what really matters in 2025 - the essential mix of talent, timing, technology, and execution.

The data shows that startups with diverse leadership teams perform significantly better, with a 26% boost in team effectiveness and faster market growth. That's why we made diversity a key factor in our picks.

When evaluating each startup, we looked at multiple factors including their problem-solving capabilities, market fit, and growth potential.

The most successful startups typically demonstrate strong problem-solving abilities and clear market opportunities, so we made sure our selection process reflected these crucial elements.

We also paid close attention to each company's scalability and business model - because honestly, great ideas need solid execution to succeed.

What makes our methodology super reliable is how we combine both hard data and real-world impact.

We specifically looked at factors like founder experience, product-market fit, and traction - because these are what actually determine a startup's success.

Our analysis shows that companies making real waves in Minneapolis's tech scene aren't just the ones with cool ideas - they're the ones transforming those ideas into solutions that users actually need and want.

Each startup on our list has shown they can adapt and grow in this fast-paced tech landscape, which is exactly what you need to succeed in 2025.

Center is transforming how companies handle their money with a fresh take on expense management. Their connected card and software platform makes tracking company spending super straightforward - no more chasing down receipts or dealing with month-end chaos.

What makes Center stand out is how it captures expenses in real-time, which means finance teams can actually see what's happening with company money as it's being spent.

The platform's automated expense process is seriously cutting down on the time it takes to close the books - some companies are seeing their month-end process shrink from a week to just one day.

What's really cool about Center is how it adapts to different company needs.

The automated spend management system lets businesses customize everything from approval workflows to policy rules, making it super flexible for any size organization.

Their mobile app makes it simple to snap pictures of receipts and submit expenses on the go, which is exactly what busy professionals need. The real game-changer is their analytics dashboard, where managers can break down spending by vendor, employee, or department, helping companies make smarter decisions about their budgets.

Recent data shows that companies using Center are seeing major improvements in their expense management process.

The platform's real-time visibility helps catch unusual spending patterns right away, while the automated workflows mean less time spent on paperwork and more time focusing on what matters.

With the expense management software market growing fast, Center is definitely one of the Minneapolis tech scene's most promising players, bringing practical solutions to an everyday business challenge.

Inspectorio is revolutionizing supply chain management with its cutting-edge AI solutions. Their AI-powered platform has helped companies save an incredible $11 million annually through reduced defect rates and knocked down inspection fail rates by 40%.

The platform connects over 8,000 supply chain partners, making it easier for businesses to track everything from product quality to sustainability metrics. What's really cool is how they've introduced the world's first generative AI-driven supply chain management system, which means smarter, faster decision-making for businesses.

The results speak for themselves - they've prevented 165,000 defective units from reaching consumers and saved companies around $5 million on third-party inspections and audits.

Their Rise platform is absolutely crushing it regarding sustainability and compliance management.

It helps companies deal with all those complicated regulations while ensuring their supply chains are environmentally friendly. What makes this platform stand out is how it brings everything together in one place - from tracking carbon footprints to monitoring supplier performance.

The company's got more than 300 employees worldwide now, and they're completely changing how businesses think about supply chain management. With all these environmental regulations getting stricter, Inspectorio's tech is exactly what companies need to stay ahead of the game.

Branch is changing the game for workers who want better control of their money through their innovative digital wallet platform.

What makes Branch stand out is their zero-fee approach - no overdraft fees, no maintenance fees, and access to over 55,000 ATMs nationwide. With their award-winning digital wallet, workers can instantly access up to 50% of their earned wages before payday, making it way easier to handle unexpected expenses without stressing about cash flow.

The platform's impact is real - 96% of workers feel better supported with Branch as a benefit, and companies see 60% longer employee retention.

The coolest thing about Branch is how it's basically a complete financial toolkit in your pocket.

Workers can set savings goals, get cashback rewards on everyday purchases, and send money directly from their phones.

Each user gets both a virtual and physical Mastercard debit card that works just like a regular bank account, but without all the usual banking hassles. For employers, it's a total win too - they're saving 10-20 hours every week on payment processing and seeing better shift coverage since workers feel more incentivized.

Branch has seriously simplified workforce payments by making everything instant and digital.

Whether it's tips, mileage reimbursements, or regular wages, everything hits your account immediately. The best part? You're not just getting paid - you're getting tools to actually build financial stability.

Their built-in financial wellness features help users track spending, set goals, and make smarter money moves. With 86% of companies seeing an increase in job applicants when they list Branch as a benefit, it's clear this platform is becoming a must-have for modern workers.

Let me tell you about Bright Health, which has totally changed the game in health insurance. As one of the most funded health insurtechs with $2.4 billion in total funding, they've made insurance actually make sense for regular people.

Their approach focuses on making healthcare straightforward and affordable, with features like $0 primary care visits and no need for referrals to see specialists.

However, it's worth noting that Bright Health made a significant shift in their business model, choosing to focus primarily on specific markets while maintaining their commitment to innovation in healthcare delivery.

What's really cool about Bright Health is how they're making insurance work better for everyone.

Their member rewards program lets people earn up to $500 in cash rewards just for taking care of their health, which is pretty sweet for those of us trying to stay healthy while saving money.

They've built partnerships with quality healthcare providers to keep costs down and make sure members get the best care possible. Their mobile app makes everything super easy to handle, from finding doctors to checking claims - basically everything you need right at your fingertips.

Looking at the bigger picture in Minneapolis's tech scene, Bright Health represents the kind of innovation that's making healthcare more accessible.

They're showing that insurance doesn't have to be complicated or impossible to understand. With their focus on technology and user experience, they're building something that actually works for our generation.

While the healthcare industry keeps changing, Bright Health continues to adapt and innovate, making sure they stay relevant in today's fast-moving digital world.

phData is seriously making waves in Minneapolis's tech scene as a powerhouse in AI and data services. Their data science expertise spans everything from building smart AI applications to revolutionizing how companies handle their data.

What makes them stand out is their track record - they've been named Snowflake Partner of the Year five years straight, which is pretty impressive. The company has grown since its start in 2014, and now they're working with some of the biggest names across different industries.

What's cool is how they're transforming machine learning from just ideas in presentations into real, working solutions that actually help businesses.

The company really knows what they're doing when it comes to the technical stuff.

Their toolset combines cloud platforms and advanced analytics to make data work smarter, not harder. What's exciting is their focus on MLOps - basically making sure AI projects don't just work once, but keep working reliably over time.

They've built this awesome reputation by partnering with major tech players and handling complex data challenges for their clients.

With offices across the globe and a team of nearly 600 people, they're definitely not slowing down.

Looking ahead to 2025, phData is positioned to keep growing as more companies realize they need solid data strategies to stay competitive.

They're not just riding the AI wave - they're helping shape how businesses use it. What makes them particularly interesting is their practical approach to AI and data, making these advanced technologies accessible and actually useful for real-world business problems.

For tech professionals in Minneapolis, phData represents the kind of innovative company that's worth watching, especially as they continue expanding their influence in the data and AI space.

Sezzle stands out as a game-changer in the BNPL space with its interest-free payment platform that's seriously reshaping how we shop in 2025.

The app, rated 4.8 stars with over 11.9 million downloads, lets users split purchases into four payments over six weeks - perfect for budget-conscious shoppers like me who want flexibility without the stress of interest charges.

What's really cool is how Sezzle has partnered with major e-commerce platforms to boost cart conversion rates and increase average order values for merchants.

Their latest collab with Shoplazza is just one example of how they're expanding their reach. The platform's success isn't just about numbers - it's about making shopping more accessible for everyone.

Through Sezzle Up, users can even build their credit while making purchases, which is huge for young professionals starting their financial journey.

The app's transparent approach, with no hidden fees or surprise charges, has helped drive its massive adoption among both shoppers and retailers. As someone who's watched the fintech space evolve, it's clear that Sezzle's focus on user experience and ethical financial practices is setting new standards in digital payments.

Their growth shows no signs of slowing, with their merchant network expanding rapidly and their technology becoming more sophisticated by the day.

Squigl is completely changing the game in video content creation with their AI-powered platform that transforms text and speech into animated videos.

Used by over 1000 B2B clients worldwide, Squigl has grabbed major awards from UNESCO and McGraw Hill for their innovative approach. Their proprietary 'ILLM' technology lets users create engaging animations just by typing or speaking.

The platform offers different pricing tiers starting at $97/month, making it accessible for both small teams and large enterprises. The best part is how it streamlines video production - most content takes just 2-3 minutes to create, which is amazing for anyone trying to keep up with content demands.

Teachers are using it to boost student engagement, while businesses are leveraging it for training and marketing. As someone who's grown up watching endless videos online, it's exciting to see how Squigl integrates seamlessly with Microsoft Teams, making it simple to create and share videos right where you work.

The platform includes features like custom branding, a premium glyph library, and collaboration tools, which means you can create professional-looking content without being a video expert.

Companies are using this tech to transform their content game, and it's not hard to see why - in a world where everyone's competing for attention, having an AI assistant that can turn your ideas into engaging videos is revolutionary.

Included Health is revolutionizing healthcare with their latest launch of virtual specialty care clinics focused on cancer care, women's health, and metabolic health.

Their platform combines virtual consultations with in-home support, making healthcare seriously accessible for everyone. They've managed to save about $9,800 per case while improving outcomes for 66% of their patients.

Working with major partners like CalPERS, they're bringing comprehensive healthcare to millions.

The platform's got everything from primary care to mental health support, and now they're launching these specialized virtual clinics that connect you with experts in just seven days - pretty impressive when you think about how long it usually takes to see a specialist.

Their network includes over 4,000 specialists and 40+ health systems, making it one of the most extensive healthcare platforms out there.

They're not just throwing technology at the problem; they're actually making healthcare work better with features like in-home medical prescriptions, diagnostics, and monitoring.

By 2025, they'll be running three major virtual specialty centers, focusing on cancer, women's health, and metabolic health - areas where people often struggle to get the care they need.

What makes this really stand out is how they're making everything work together seamlessly, from primary care to specialist visits, all while keeping track of your medical history in one place.

It's basically like having a healthcare command center in your pocket.

Kaleidoscope is transforming education funding through its innovative cloud-based platform, making it easier than ever for students to connect with scholarship opportunities.

The platform has already distributed over $150 million in awards, with organizations like Taco Bell Foundation, Land O'Lakes, and the University of Alaska joining as major sponsors.

Students love that there are no application fees, and the cloud-based profile system automatically fills in repeat information, saving precious time when applying to multiple scholarships.

The platform's marketplace connects millions of applicants with over 300 sponsors, creating a streamlined process that benefits everyone involved. Recent data shows that Kaleidoscope has unlocked access to $24 million in new scholarship opportunities, making dreams of higher education more achievable for students everywhere.

The platform's success in equalizing education access earned it recognition as a finalist in Fast Company's 2022 World Changing Ideas Awards.

Sponsors maintain control over their requirements while enjoying features like customizable branding, real-time analytics, and comprehensive support services.

This perfect balance of functionality and accessibility has made Kaleidoscope the go-to choice for both scholarship providers and applicants, proving that smart technology can make a real difference in helping students achieve their educational goals.

ConnexPay is making serious waves in the payment tech space with their game-changing recently patented unified payment platform that smoothly handles both incoming and outgoing payments.

Their innovative system uses smart tech to manage customer payments in real-time while automatically generating supplier payments, which is pretty incredible for businesses trying to keep their payment game strong.

Since receiving their $110 million investment, they've been crushing it - doubling their client base and expanding across six continents.

Their new Intelligent PayOuts technology is next level, using AI and machine learning to boost card acceptance rates and cut down on those annoying cross-border fees.

The platform has been especially huge for travel companies, insurance firms, and media buyers who need to handle complex payment flows. ConnexPay's solution works for all kinds of corporate payment situations, from ticketing to warranty claims.

With a 95% customer retention rate and being named Travel Innovator of the Year, they're definitely not just another payment company - they're changing how businesses handle their money moves.

The company keeps pushing forward with new features and global expansion, making it easier for companies worldwide to deal with their payment needs without all the usual headaches.

Looking ahead, ConnexPay is set to keep innovating with more AI-powered solutions and expanded global coverage.

Minneapolis is absolutely crushing it in the tech scene right now! The University of Minnesota just launched 25 new startups in 2024, breaking records for the fourth year straight.

The city's tech sector is seriously impressive, employing over 380,000 people and contributing $31 billion annually to the state's economy. 73% of these innovative companies choose to stay right here in Minnesota, showing just how strong our tech community is.

The startup scene is particularly exciting with companies like Objective Biotechnology creating AI-powered robots and Niron Magnetics developing sustainable magnet technology.

Looking ahead, we're seeing huge opportunities in areas like clean energy and automation, with Launch Minnesota providing $1.5 million in grant funding to support new ventures.

The focus is heavily on software development, cybersecurity, and data analytics - exactly where the jobs are growing.

With over 20,500 new software developer positions expected by 2028 and the global automation market reaching $114 billion by 2025, Minneapolis is seriously becoming a major player in the national tech scene.

These aren't just regular startups - they're companies that are actually solving real problems and creating awesome tech jobs for people like me who are just starting their careers.