One person of interest is in custody according to CBS News.
Police have said there are multiple suspects.
Chicago Police Deputy Superintendent Eric Carter said a black vehicle approached the funeral home located in the Auburn Gresham neighbourhood.
A memorial service was taking place when people inside the vehicle started to fire at the funeral home.
Mr Carter said people at the funeral home fired back at the vehicle before it drove away.
The vehicle then crashed halfway up the street from the scene.
The occupants inside the vehicle got out after crashing and fled in multiple directions.
At least 60 shell casings from the shooting were found at the scene.
The Chicago fire department told CBS News nine people were taken to local hospitals and are in serious to critical condition.
Mr Carter said all the victims are adults.
Sources told CBS Chicago the attack was a planned ambush outside the funeral home.
The memorial service was being held for a shooting victim according to the source.
More to follow…