Incentives for Business Owners in Indiana
Did you know that the government has free money available to business owners through certain incentives? Local, state, and federal governments offer economic incentives to attract new facilities, create jobs, and encourage investments in buildings and equipment, while also retaining existing facilities and employees. Depending on the size of the business, industry, and purpose of funds, you may qualify for tens to hundred-thousands of dollars in free money.
Free Money for Buying a Business?
A business acquisition is a “business growth event” that can trigger an incentive opportunity.
By allowing acquiring companies to take advantage of new job creation credits and incentives, states create an environment where jobs and investment remain in their home communities. Credits and incentives encourage further investment in their communities, as the cost savings realized from the incentive benefit are reinvested at a faster rate into the acquired location. This then adds further opportunities for investment and net new jobs.
Acquisitions can be a win-win for both companies acquiring new employees and the employees being acquired.
What Typically Triggers Incentives for Indiana Business Owners?
- Mergers & Acquisitions
- New facility or expanding footprint
- Adding employees
- Purchasing equipment
What Types of Incentives are Available?
- Tax Credits
- Training Grants
- Tax Abatements
- Infrastructure Grants
- Utilities Discount
- Cash Grants
- Tax Exemptions
- Example Incentive Trigger Scenario
An owner of a metal fabrication company that is ready for retirement may seek out a buyer to purchase the business. The acquiring company agrees to purchase the assets of the business (enterprise itself, building, machinery, etc.) and then needs to determine whether to relocate the newly acquired assets or leave in place.
In this scenario, the acquiring business could qualify for incentives related to the existing jobs as well as any future jobs created over the next 5 years. Additionally, if the acquiring company will be making a qualified investment in the facility or equipment (over the next 5 years), then this investment could qualify for incentives as well.
The job creation and investment incentives could range from $10,000 – $15,000 per job depending on the wages, number of employees, and future investment. For a company with 30 existing jobs ($60k/average) and plans to hire 10 more, this could create a savings of over $600,000 to the acquiring company!
How Do I Qualify?
Our trusted partner, Brian Wahl, and his team has over 50 years of experience assisting corporate executives and business owners with incentives procurement and location decisions. With both public and private sector knowledge, they can assist any size company focused on growth to get the most generous incentive package possible. After meeting with you, Brian will evaluate the business and highlight some options that are available to you, assist with the application and incentive procurement, and work as a guide through the entire process through compliance. To see what incentives your company or business acquisition qualify for, reach out to Brian directly or feel free to have us make the connection. You might be leaving money on the table.
written by:
Brian Wahl
Business Growth Consultants
75 North Main Street
Zionsville, IN 46077
C: 317-507-6927
E: brian@bgcgrowth.com
Thank you for taking the time to read Incentives for Business Owners in Indiana. Brian Wahl is a trusted advisor and partner to Indiana Business Advisors. If you are considering selling your business, or buying a business, it is to your benefit to explore what incentives may exist for your acquisition scenario. Feel free to reach out to Brian at the contact info above, and be sure to mention where heard about. Or, alternately you can feel free to contact us directly on our Contact Us page.
Indiana Business Advisors is the top business brokerage firm in the state of Indiana and one of the largest in the Midwest. Whether you are looking to a buy a business or sell a business, Indiana Business Advisors has the expertise and experience to get the deal completed. With over 40 years of history and 2200 businesses sold all over the United States, our team will work diligently to achieve your professional and personal goals.