Features : Illinois Business Development Programs:

Financing programs provided through the Illinois Department of Commerce and Economic Opportunity’s Business Development Finance Division

 

 

09-12-fe-02-08Population: 12.6 million
Illinois Department of Commerce and Economic Opportunity
100 W. Randolph, Suite 3-400 Chicago, IL 60601
Phone: 312-814-2811
Fax: 312-814-3032
www.commerce.state.il.us
Contact: Bob Westover, deputy director of business development
Phone: 217-785-6193
Email: Robert_Westover@commerce.state.il.us
Illinois Bankers Association 133 S. 4th St., Suite 300 Springfield, IL 62701
Phone: 217-789-9340
Fax:217-789-5410
www.ilbanker.com
The Illinois Development Council 1224 Centre West Drive, Suite 400B Springfield, IL 62704
Phone: 217-698-7067
Fax: 217-793-0041
www.ildevelopmentcouncil.org
Contact: Pam Tolson, executive director
Email: pam@ildevelopmentcouncil.org
Top Banking Institutions Bank One LaSalle Bank Northern Trust

 

 

PARTICIPATION LOAN PROGRAM
The program works through banks and other conventional lenders to provide subordinated financial assistance to small businesses that will employ Illinois workers. The state will participate in loans up to 25% of the total amount of a project, but not less than $10,000 nor more than $750,000. The participation amount is limited to approximately $10,000 per job projected to be created/retained, and a need-for-assistance test is applied.

CAPITAL ACCESS PROGRAM (CAP)
The Capital Access Program is designed to encourage financial institutions to make loans to new and small businesses that do not qualify for conventional financing. A reserve fund is established at the lending bank and is available to draw upon should any of the bank’s CAP loans default. Loans enrolled in this program are limited to a maximum amount of $100,000.

BUSINESS DEVELOPMENT PUBLIC INFRASTRUCTURE PROGRAM
The Business Development Public Infrastructure Program provides low-in
terest financing to units of local government for public improvements on behalf of businesses undertaking expansion or relocation projects that meet the program criteria and demonstrate great potential for creating and retaining jobs. The infrastructure improvements must be made on public property and must directly result in the creation or retention of private-sector jobs. The local government must demonstrate clear need for the financial assistance to undertake the improvements.

COMMUNITY DEVELOPMENT ASSISTANCE PROGRAM (CDAP)
CDAP is a federally funded program that assists smaller Illinois local governments in financing public facilities, housing rehabilitation projects or economic development needs. Grants are made to units of local government and may be loaned to businesses for projects that will create or retain jobs in the community. Grant funds may also be used by the local government for improvements to public infrastructure that directly support economic development. The program is limited to communities with populations under 50,000 that are not located within one of the eight large urban counties that receive funds directly from the federal government. Funds are targeted toward projects

that primarily benefit low- and moderate-income people.

LARGE BUSINESS DEVELOPMENT PROGRAM
The Illinois Large Business Development Program (LBDP) provides incentive financing to encourage large out-of-state companies to locate in Illinois or existing large companies to undertake substantial job expansion or retention projects. Funds available through the program can be used by large businesses (500 or more employees) for typical business activities, including financing the purchase of land and buildings, construction or renovation of fixed assets, site preparation and purchase of machinery and equipment. LBDP funds are targeted to extraordinary economic development opportunities—that is, projects that will result in substantial private investment and the creation and/or retention of 300 or more jobs.

EMPLOYER TRAINING INVESTMENT PROGRAM/LARGE COMPANYCOMPONENT (ETIP/LCC)

This state-funded program assists Illinois companies with 250 or more employees in training new workers or upgrading the skills of their existing workers. ETIP/LCC grants may be awarded to individual companies, multi-company efforts and intermediary organizations offering multi-company training.

EMPLOYER TRAINING INVESTMENT PROGRAM / SMALL/MID-SIZE COMPANYCOMPONENT (ETIP/SMCC)

Same as above except for companies with 249 or fewer employees. ILLINOIS EDGE

(ECONOMIC DEVELOPMENT FOR A GROWING ECONOMY)

EDGE provides tax credits to qualifying businesses that create or retain jobs and
make capital investments in Illinois. Credits are calculated from the personal income tax collected on salaries paid to employees in the new or retained jobs, which may be taken as a non-refundable tax credit against corporate income taxes over a period not to exceed 10 taxable years.To qualify, firms with 100 or more employees must make an investment of at least $5 million in capital improvement and create a minimum of 25 new full-time jobs, although demonstrated public benefit may result in a waiver of these requirements. For firms with 100 or fewer employees, a capital investments of $1 million must be made and the creation of at least five new jobs must occur.

ENTERPRISE ZONE PROGRAM

Enterprise Zones offer a number of state and local tax incentives to businesses that make investments to create or retain jobs in any of the 94 certified zones located in communities throughout the state. Eligi-bility varies according to specific incen-tive requirements.


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Indiana Business  Development Programs: 
Financing and incentive programs provided through the Indiana Department of Commerce’s Business Development Division

 

Population: 6.2 million
Indiana Department of Commerce
One North Capitol, Suite 700 Indianapolis, IN 46204 Phone: 800-463-8081 Fax: 317-233-5123 www.indianacommerce.com Contact:Tim Monger, executive director Email: tmonger@commerce.in.gov

Indiana Bankers Association
3135 N. Meridian St. Indianapolis, IN 46208 Phone: 317-921-3131 Fax: 317-921-3131 www.indianabankers.org


Indiana Economic Development Council
1 North Capitol Ave. Indianapolis, IN 46204 Phone: 317-234-2371 www.iedc.org Contact: M.Jacqueline Nytes, president Phone: 317-234-2114 Email: jnytes@iedc.org


Top Banking Institutions
National City Bank of Indiana Old National Bank Irwin Union Bank & Trust

 

OFFICE OF INTERNATIONAL TRADE TRAINING
The Department of Commerce offers possible assistance from its Skills Enhancement Fund (SEF) program. This flexible training program will provide partial reimbursement for a wide variety of training costs. Eligible costs include instructional materials, instructor salaries and travel to training sites. EDGE
The Department of Commerce may offer Economic Development for a Growing Economy (EDGE) tax credits based on the added payroll for Indiana jobs created. The payroll taxes withheld from those new employees, effectively 3% in Indiana, are the basis for the credits. Tax credits can be awarded up to that amount for a period not to exceed 10 years.The credits awarded are first applied against any Indiana corporate income tax liability, and any excess amount earned is refunded directly to the company.

PUBLIC INFRASTRUCTURE
The Department of Commerce may assist the community companies select by helping to provide public infrastructure, through the Industrial Development Grant Fund (IDGF), to serve a company's facility. Assistance may be provided to support the opening of the new plant or at any time in the future if a plant expansion necessitates additional public improvements.

PERMITTING ASSISTANCE
The Office of the Ombudsman serves as a liaison between companies, communities, local economic development organizations and regulatory agencies. It can
provide permit application assistance and tracking and will also help to establish early communications with the technical staff of regulatory agencies to ensure permits are efficiently processed.This service is an effort to minimize the amount of time spent on regulatory compliance.

TECH FUND
The commerce department, in partnership with the Department of Workforce Development, created the Technology Enhancement Certification for Hoosiers (TECH) Fund to help Indiana businesses train their existing information technology professionals.The maximum award to any one company is $50,000 and can be used for costs associated with a company's IT professionals earning recognized certifications in areas including systems administration, systems engineering and software development.

HOOSIER BUSINESS INVESTMENT TAX CREDIT
Under new legislation passed by the Indiana General Assembly, businesses may be eligible for a credit against future Indiana tax liabilities, worth up to 30% of the capital investment made in Indiana during the calendar years 2004 and 2005.

 

ENERGY POLICY
Companies may qualify for loans or grants through the Indiana Department of Commerce's Energy & Recycling Office.The ERO administers the Recycling Promotion and Assistance Fund (RPAF), which may provide a zero interest loan of up to $1 million dollars to support the use of recycled materials in a company’s products. The programs promote economic development by encouraging the responsible use of natural resources and helping businesses increase the energy efficiency of their manufacturing processes.


Additional assistance offered by Indiana’s

 

DEPARTMENT OF WORKFORCE DEVELOPMENT (DWD): EMPLOYEE RECRUITMENT
DWD's Customer Self-Service System
(CS3) is a sophisticated Internet-based job matching system that provides the ability to match the company's job orders for new workers with the skills of job seekers all over the state. The system increases the company's access to qualified workers, contributes to diversity in the potential labor pool and ensures that only those individuals most likely to meet the company's job criteria are seen.Through CS3, DWD can assist in the recruitment, screening and selection of employees based on qualifications specified.

ADVANCE INDIANA
Once a business is established in Indiana and a company is committed to expanding the skills of its current workforce, the Advance Indiana program can be considered. Advance Indiana is intended to address the need of companies for a skilled workforce while promoting lifelong learning opportunities for working Hoosiers.The training initiative develops the transferable skills of workers,is targeted to Indiana businesses,is available over a two-year period and must result in a portable credential for the employee participating in the training. Portable credentials sought by participants in current training projects include college degrees and advanced information technology certifications.

PORTS OF INDIANA
New legislation passed in 2003 authorizes the Ports of Indiana to extend their financing authority throughout the state. One of the new financing tools available through the Ports of Indiana is a Synthetic Lease, which provides financial flexibility through off-balance-sheet financing, while allowing companies to take depreciation on capital investment. Disposition of the property at the end of the lease is flexible, with buy-outs or lease renewals available.


Additional assistance offered by INDIANA DEVELOPMENT FINANCE AUTHORITY: TAX-EXEMPT BONDS & VOLUME CAP
IDFA is a low-cost, statewide conduit issuer of tax-exempt bonds. Companies
with projects that qualify for tax-exempt financing under federal regulations (manufacturing, pollution control or solid waste disposal facilities) may request IDFA to issue conduit bonds. IDFA also allocates the state's volume cap, which describes each state's capacity to issue tax-exempt bonds on behalf of private companies.

CAPITAL ACCESS PROGRAM
The Capital Access Program is a small business credit enhancement tool that helps lenders become more comfortable lending to businesses that may not be eligible for conventional financing. The lender and the borrower each contribute 1.5%- 3.5% of the loan amount into a reserve fund, and IDFA matches that contribution.As long as a lender is enrolled in CAP, IDFA does not need to approve the loan.The lender and the borrower negotiate all terms of the loan, including the rate and the maturity. IDFA provides additional incentives for banks to lend to minority and high-tech/high-growth businesses by doubling and tripling its match, respectively.

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Michigan Economic Development Corporation
300 North Washington Square Lansing, MI 48913 Phone: 517-373-9808 Fax: 517-241-0745 www.michigan.org
The financing programs provided through the Michigan Economic Development Corp. are based on the actual parameters of each project. Examples of incentives include infrastructure funds, jobs creation tax credits, local tax abatements and job training programs.

Michigan Economic Developers Association
300 North Washington Square Lansing, MI 48901-5096 Phone: 517-241-0011 Fax: 517-241-0089 www.medaweb.org Contact: John Avery, executive director

Michigan Bankers Association
222 North Washington Square Lansing MI Phone:517-485-3600 Fax: 517-485-3672 www.mibankers.com

Top Banking Institutions
Comerica Bank Fifth Third Bank National City Corporation

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Ohio Department of Development Economic Development Division
77 South High St., 28th Floor Columbus, OH 43216 Phone: 800-848-1300 or 614-466-4551 Fax: 614-752-9925 www.odod.state.oh.us Contact: Keith Conroy, manager/business representative Email: kconroy@odod.state.oh.us 

International Trade Division
P.O. Box 1001 Columbus, OH 43216-1001 Phone: 614-466-5017 Fax: 614-463-1540 www.odod.state.oh.us/itd Email: itd@odod.state.oh.us Contact: Kirk Merrit, deputy director 

Ohio Business Development Coalition
Phone:513-622-4640 Fax: 513-622-2555 www.sellOhio.org Contact: Edward Burghard, acting director Email: burghard.em@pg.com
Offices to open in January 2005  

Ohio Bankers League
37 W. Broad St., Suite 1001 Columbus, OH 43214 Phone: 614-221-5121 Fax: 614-221-3421 www.ohiobankersleague.com 

Top Banking Institutions
National City Corporation Fifth Third Bancorp KeyCorp

 

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Wisconsin Department of Commerce
201 West Washington Ave. Madison,WI 53703 Phone: 608-266-1018 Fax: 608-267-2829 www.commerce.wi.gov Contact: Jamie Wall, division administrator Email: jwall@commerce.state.wi.us 

Wisconsin Economic Development Association

P.O. Box 1230 44 East Mifflin St., Suite 101 Madison,WI 53703 Phone: 608-255-5666 or 800-581-4941 Fax: 608-283-2589 www.weda.org Contact: James E. Hough, executive director Email: director@weda.org 

Wisconsin Bankers Association
4721 S. Biltmore Lane Madison,WI 53718 Phone: 608-441-1200 Fax: 608-661-9381 www.wisbank.com 

Top Banking Institutions
M&I Bank Associated Bancorp AnchorBank

 

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