Microsoft MDF for US Partners

Market Development Funds turned into approved proposals, executed campaigns and evidenced pipeline - for US Microsoft Partners.

Microsoft MDF, decoded for US partners.

Market Development Funds are budget Microsoft sets aside for partners to invest in demand generation tied to specific solution areas and Microsoft's July-to-June fiscal priorities. It works differently from co-op: you write a proposal in USD, wait for approval, run the program, then submit proof before Microsoft releases a dollar.

For most US Microsoft Partners, MDF is the biggest funded-marketing line on the books - and also the one that goes unclaimed most often, either because the proposal gets bounced back or because nobody keeps the receipts once the campaign wraps.

How MDF actually works for a US partner.

You'll request MDF through your Microsoft Partner Development Manager or Channel Marketing Manager, and it needs to map to a named solution area - Data & AI, Modern Work, Security, Infrastructure, Business Applications, or a specific workload push around Copilot, Azure migration, or Dynamics 365.

Proposals that actually get approved read like a business case: which fiscal priority you're supporting, which customer segment you're targeting (a regional bank, a group of hospitals, a state agency), a USD pipeline number, and the exact vehicle - not a grab-bag of tactics thrown together the week before the deadline.

Once the funds are approved, you have a fixed window to spend them and a proof-of-execution package to assemble: creative, audience reached, leads generated, pipeline tied back to the campaign.

How we run MDF for US partners

1

Map to Microsoft's current fiscal priority

We start with what Microsoft is actually funding this year, not the campaign your team has been wanting to run since last summer. Nail this and the rest of the proposal gets a lot easier.

2

Write the case your PDM can forward as-is

Named segment, named workload, a USD pipeline target, the exact vehicle, and a measurement plan that survives scrutiny further up the chain.

3

Run it to the letter of the approved plan

Content, media and events ship inside the approved window with UTMs and lead capture set up the way MDF reporting requires.

4

Package the proof before anyone asks for it

Creative, audience data, spend records, lead counts and pipeline attribution assembled ahead of the deadline, so the check actually clears.

FAQs

Frequently asked questions

Is MDF the same as co-op funding?

No. Co-op accrues automatically as a percentage of eligible revenue. MDF has to be proposed, approved and evidenced against a specific campaign before Microsoft pays out a dollar of it.

How much MDF can a US partner get?

There's no published table to check. Amounts flex with solution area, partner tier and how well your proposal lines up with what Microsoft is prioritizing that fiscal year - your PDM decides case by case.

What gets an MDF proposal rejected in the US?

Four things, mostly: it doesn't map to Microsoft's current fiscal priorities, the customer segment is vague, there's no USD pipeline number attached, and the reporting plan doesn't give Microsoft anything it can use internally.

What if we can't produce proof of execution?

The money doesn't move, full stop, and it makes your next ask harder. Build the proof-of-execution plan into the proposal from day one instead of scrambling for it once the campaign has already run.