NY Incentives | Finance, Loans, IRB, Workforce Development

A comprehensive list of New York financial aid, loans, grants, abatements, workforce development, exemptions, funds & capital investment opportunities.


https://businessfacilities.com/2016/03/ny-incentives-and-workforce-development-guide/
A comprehensive list of New York financial aid, loans, grants, abatements, workforce development, exemptions, funds & capital investment opportunities.
Facebooktwittergoogle_plusredditpinterestlinkedintumblrmail

New York Incentives and Workforce Development Guide

NY Incentives | Finance, Loans, IRB, Workforce Development

For a list of New York economic development agencies that can help with the site selection process, visit our Online Site Seekers’ Guide.

 

FINANCING & GRANTS

Regional Council Capital Fund Program (ESD Grants – REDC): Funding is for capital-based economic development initiatives intended to create or retain jobs; prevent, reduce or eliminate unemployment and underemployment; and/or increase business activity in a community or region. Capital grant funding from the Regional Council Capital Fund is available through the State‘s Regional Economic Development Council Initiative, which helps drive regional and local economic development across New York State in cooperation with 10 Regional Economic Development Councils (“Regional Councils”).

Economic Development Fund (EDF): Offers flexible financial assistance for projects that promote the economic health of New York State’ economic health by facilitating the creation and or retention of jobs, or the increase of business activity in the State. EDF funds assist with construction, expansion and rehabilitation of facilities; acquisition of machinery and equipment; working capital; and the training of full-time permanent employees.

Global NY Fund Grant Program: Global NY export grants of up to $25,000 can help companies start exporting or increase their global exports. Export grant funding may be used for market customization, trade show/mission participation, translations of websites and promotional materials, product certification, export workshops and product adaptation to meet foreign regulatory requirements. Export assistance funding of up to $50,000 is available to non-profit organizations that provide export assistance and trade education to New York State companies.

Global NY Fund Loan Program: The Global New York Loan Fund Program is a partnership with participating lenders to provide export financing of up to $500,000, for each transaction; or an aggregate of $1,000,000 to eligible New York State small and mid-sized businesses. Empire State Development (ESD) is also offering interest-free loans of up to $50,000 for Distilled and Fermented Beverage industry businesses to promote New York State’s thriving beverage industry on a global scale. Companies must apply to ESD for these loans.

Job Development Authority (JDA) Direct Loan Program: The JDA Direct Loan Program provides direct loans for the growth of manufacturing and other eligible businesses within New York State by assisting in financing a portion of the cost of acquiring and renovating existing buildings or constructing new buildings (“real estate” projects) or for purchasing machinery and equipment (“M&E” projects).

Linked Deposit Program (LDP): The program helps existing New York State firms obtain reduced-rate financing so they can: undertake projects to improve their competitiveness; improve market access and product development; modernize equipment or expand their facility; introduce new technologies facilitate ownership transition and; promote job creation and retention. Firms are provided up to a two to three percentage point savings on the prevailing interest rate for “Linked Loans,” to make borrowing less expensive. Eligible businesses can obtain loans from commercial banks, savings banks, savings and loan associations, farm credit institutions and the New York Business Development Corporation.

Market New York – Tourism Grant Program: Market New York is a grant program established to strengthen tourism and attract visitors to New York State by promoting destinations, attractions and special events. Funding is available for eligible projects that will create an economic impact by increasing tourism throughout the state. Eligible entities include not-for-profit corporations, municipalities, tourism promotional agencies (TPAs), and public benefit corporations and for-profit companies. Businesses must be certified in New York State.

Minority and Women-Owned Business Investment Fund Program: The MWBE Fund is a $2 million venture capital fund that invests in seed stage certified minority and women-owned business enterprises (MWBE) throughout New York State. Excell Partners, with a successful history of investing in high-tech MWBE startup firms across NYS, was competitively selected to manage the MWBE Investment Fund. Investments of up to $500,000 per company for general technology companies and up to $750,000 per company for life-sciences companies can be made.

New York State Innovation Venture Capital Fund (The Fund): A seed and early-stage venture capital fund with $100 million to support and attract new high-growth businesses. The Fund provides critical funding to promote the commercialization of new technologies, encourage job creation, and drive economic growth. The NYSIVC Fund invests directly in seed and/or early-stage companies with an emphasis on strategic industries such as information technology, life sciences, clean energy, and advanced manufacturing. Initial investments typically range in size from $500,000 to $1.5 million. All investments by The Fund require at least a 2:1 match from private sources at the time of investment.

New York State Surety Bond Assistance Program (NYSBAP): Provides technical and financial assistance to help contractors secure surety bonding. Contractors may be eligible to receive a guarantee of up to 30% to secure a surety bond line, bid bond or a performance and payment bond on New York State and New York City agency led projects.

 

TAX INCENTIVES

Special Tax Benefits for Manufacturers:

  • Zero percent corporate income tax rate for qualified New York manufacturers.
  • Real Property Tax Credit for Manufacturers equal to 20% of the real property tax paid during the taxable year for real property owned and principally used in manufacturing, in New York State, by a qualified New York manufacturer, to the extent not deducted in determining taxable income.
  • Manufacturers are exempt from paying sales tax on machinery and equipment.

Excelsior Jobs Program: This is a discretionary tax credit that provides job creation and investment incentives to firms in targeted industries. Eligible firms that create and maintain new jobs or make significant financial investment are eligible for up to four Excelsior tax credits. The Program encourages businesses to expand in and relocate to New York while maintaining accountability standards to ensure businesses deliver on job and investment commitments.

Firms in the Excelsior Jobs Program may qualify for four fully refundable tax credits, and claim these credits over an 8 to 10-year period:

  • The Excelsior Jobs Tax Credit: A credit of 6.85 percent of wages per new job to cover a portion of the associated payroll cost.
  • The Excelsior Investment Tax Credit: Valued at 2% of qualified investments.
  • The Excelsior Research and Development Tax Credit: A credit of 50 percent of the Federal Research and Development credit up to 3% percent of research expenditures.
  • The Excelsior Real Property Tax Credit: Available to firms locating in certain distressed areas (see Investment Zone list below) and to firms in targeted industries that meet higher employment and investment thresholds (Regionally Significant Project).

START-UP NY: Offers new and expanding businesses the opportunity to operate tax-free for 10 years on or near eligible university or college campuses in New York State. Partnering with these schools gives businesses direct access to advanced research laboratories, development resources and experts in key industries.

Empire State Music and Theatrical Production Tax Credit Program: Provides incentives for qualified production companies to conduct technical rehearsals and other pre-tour activities and perform shows in regional theaters throughout Upstate New York. The program encourages the use of these upstate entertainment venues and provides competitive balance against competing venues located in Northeastern states that offer similar tax incentives to musical and theatrical productions produced on Broadway. Program credits of $4 million per year can be allocated. Qualified companies may be eligible to receive a fully refundable credit of 25% of certain production and transportation expenditures directly related to the technical period (those activities performed by technical personnel of a qualified touring production prior to commencement of a tour, including, but not limited to, those personnel responsible for lighting, sound, wardrobe and props) at a qualified facility in Upstate New York.

New Markets Tax Credits (NMTC): This program subsidizes long-term capital investment for operating companies and real estate development projects to foster job creation and community development. The NMTC program is intended for borrowers / projects that can demonstrate new, quality, permanent job creation for low-income communities throughout New York State, or otherwise provide goods and services that benefit residents of those communities.

New York State (NYS) Commercial Tax Credit Program: Credits of up to $7 million a year can be allocated to encourage qualified production companies to produce commercials in NYS and help create and maintain jobs. The $7 million a year consists of three components for companies: shooting commercials downstate ($3 million), shooting upstate ($3 million) and those demonstrating incremental “growth” in commercial production ($1 million).

New York State (NYS) Film Tax Credit Program: Provides incentives to qualified production companies that produce feature films, television series, relocated television series, television pilots, films for television and/or incur post-production costs associated with the original creation of these productions. Program credits of $420 million per year can be allocated and used to encourage companies to produce film projects in New York and help create and maintain film industry jobs. Of the $420 million, a set-aside for the post-production credit was increased from $7 million to $25 million per year beginning in 2015.

 

WORKFORCE DEVELOPMENT

Employee Training Incentive Program (ETIP): Provides refundable tax credits to New York State employers for procuring skills training that upgrades or improves the productivity of their employees. Businesses can also receive tax credits for approved internship programs that provide training in advanced technology.

Tax credits may be awarded for costs associated with an eligible training program for current or new employees. The internship program is available for current students, recent graduates and recent members of the armed forces. Tax credits may be issued only after approved training is completed.

  • ETIP: a credit of 50% of eligible training costs, up to $10,000 per employee receiving eligible training.
  • Internship Program: a credit of 50% of the stipend paid to an intern, up to $3,000 per intern.

Entrepreneurial Assistance Program (EAP): EAP establishes Entrepreneurial Assistance Centers in local communities to provide instruction, training, technical assistance and support services to individuals who have recently started their own business or are interested in starting a business.

 

ADDITIONAL RESOURCES

New York Power Authority (NYPA): Electricity rate assistance through NYPA’s Recharge New York (RNY) program may be made available for projects. Any allocation would be based on the project’s capital investment and job creation. The term of the allocation would be for up to seven (7) years and could represent a savings of up to 70% off market rates.

Export Marketing Assistance Service (EMAS): Helps New York State businesses find sales agents or distributors abroad. Once accepted, Global NY’s international offices will provide local expertise for the markets you select, conduct customized research and identify potential partners for your company abroad. Eligible businesses should be New York State companies engaged in manufacturing or services with New York State production content of at least 51%.

 

Suggested Links:

You Might Like: