What are the economic benefits here?
The SEIDA service area includes 22 counties in 3 states where tax and incentive packages vary.
We work in partnership with state and local governments to assist you in lowering your cost of getting facilities operational.
We can help you figure this out, but if you want some information to start out with we've provided the most popular options below...
FastTrack Infrastructure Program
Provides discretionary grants to local communities for public infrastructure improvements that will benefit at least one company that has committed to creating net new full-time jobs and making a capital investment in a business facility.
FastTrack Economic Development Fund
Discretionary grants may be provided to local government agencies to reimburse a business for project-related expenditures that are not covered by grants offered by the FastTrack Infrastructure and FastTrack Job Training programs. The grant can help offset expenses such as relocation of equipment, temporary office space, capital improvements and retrofitting. To qualify, a business must create net new full-time jobs and make a capital investment.
FastTrack Job Training Assistance Program
Reimbursable grants that cover up to 50% of new employee training costs are available for businesses that create net new full-time jobs. The amount of funds awarded under this discretionary program will be based on the level of new job creation, amount of capital investment, and new employee wages.
Site Development Grant
This grant opportunity seeks to transform economic development sites to shovel-ready status as part of our nationally recognized Select Tennessee Site Certification program.
Eligible construction activities include: Access roadways, acceleration/deceleration/turn lanes, traffic signalization, rail lines/signalization/switching, utility line construction/relocation including electricity, water, sewer, gas and telecommunications.
Eligible Property-Related Activities include: Purchase of property, right-of-way, easements, legal fees, tree/vegetation clearing, grubbing, grading, drainage improvements, detention/retention ponds, due diligence studies
Employment Incentive Program (EIP)
Employment Incentive Program (EIP) is a financing program capitalized with State CDBG funds that may be used by private businesses along with conventional private financing to carry out economic-development projects which will result in employment of low-and moderate-income persons.
- The maximum EIP grant or loan amount is $500,000. Each dollar in EIP funds must leverage a minimum of one dollar in private investment.
- For loans, the interest rate and term of an EIP loan are determined on a case-by-case basis. The average rate is currently 3% and terms of EIP loans range between 4 and 15 years depending on the assets to be financed.
One Georgia EQUITY AND EDGE
Grants/Loans may be made up to $500,000 per project: (a) the award amount is dependent on regional impact; and (b) support from neighboring counties; and (c) local investment and commitment. Up to $1,000,000 per project: (a) evidences ownership by a multi-county development authority with at least one directly eligible county; and (b) a revenue/cost sharing agreement between two or more counties is executed; an (c) where the project will result in substantial multi-county impact.
Grant funds for public activities require local investment and must demonstrate potential return on investment impact. Loan funds for business growth are made at 3% interest at 5-7 years for machinery and equipment and 20 years for real estate. Loan funds for speculative buildings are made at zero percent interest with a five-year deferment; however, a marketing plan and local investment are required.
North Carolina Only
Job Development Investment Grant
JDIG is a performance-based, discretionary incentive program that provides cash grants directly to new and expanding businesses to help offset the cost of locating or expanding a business facility in the state.
One North Carolina Fund
This is a discretionary cash-grant program that allows the Governor to respond quickly to competitive job creation projects.
Rural Division, Economic Infrastructure Program
This program provides grants to local governments to assist with public infrastructure projects that will lead to the creation of new, full time jobs.
Industrial Development Bonds
Most communities located in the Southeast Industrial Development Association region have economic development authorities/ industrial development boards in place that can provide low interest, tax-exempt industrial development bond financing for the acquisition of property, building construction and equipment purchases. Bonds can be used for manufacturing facilities, and up to 25% of the bond issue can be used for ancillary facilities (office, warehousing, etc.) at the same location as the manufacturing facility. Eligibility depends on strength and credit of locating and/or expanding company, type of business, investment and quality job creation.
Small Cities Community Development Block Grant (CDBG) Funds
Georgia, Tennessee and North Carolina have CDBG funds available for economic development loan and grant programs. These funds are awarded for infrastructure grants and building or capital loans to assist industrial manufacturing companies in locating and expanding operations in their communities and providing jobs to their citizens. Terms and conditions of the CDBG will depend on the scope of the project and the criteria of the individual state.
Tennessee Valley Authority Economic Development Loan Fund
TVA makes available to communities throughout their power service area gap financing low interest economic development loan funds. The level of funding is based on $5,000 per job created within the first 5 years up to 25% of the project cost not to exceed $2 million. Loans are for fixed assets only with a maximum of 10 yearsand are typically below market rate.Specific rates are determined on a case by case basis after consideration of the loan evaluation criteria.
Small Business Administration
SBA 504 Long-term financing tool for economic development in a community that creates or retains 1 job per $50,000 of debenture proceeds. Eligible companies are for-profit businesses that do not exceed $7.5 million in tangible net worth and do not have average net income over $2.5 million for the past 2 years. Maximum limits on the SBA portion of the project is $1.5 million to $4 million for a period of up to 20 years based on current market rate for 5 and 10-year Treasury issues. SBA provides a 100% guarantee on up to 40% of the eligible project cost.
7(A) Loan Guaranty Program SBA provides a 75% (80% if total loan is $100,000 or less) guarantee up to $1.5 million to for profit businesses that meet SBA size standards; show good character, management expertise and commitment, and an ability to repay. Loan proceeds may be used for expansion/renovation, construction of new facility, purchase land or buildings, purchase equipment, fixtures, leasehold improvements, working capital, refinance debt for compelling reasons, seasonal line of credit and inventory. Terms depend on the ability to repay, generally working capital is 7 years; machinery/equipment; real estate, and construction up to 25 years. Interest rates are negotiable with lender; loans under 7 years maximum are typically at prime + 2.25%; 7 years or more, maximum 2.75% over prime; under $50,000 rates may be slightly higher.
Rural Development Business & Industry Loans
The Business and Industry (B & I) Guaranteed Loan Program guarantees loans by eligible local lenders to businesses to benefit rural areas. Loan guarantees are limited to a maximum of $10 million per borrower and are typically for up to 80%. Eligible loan purposes include:
- Acquisitions, construction, conversions, expansions, repair, modernization or development costs.
- Purchase of equipment, machinery or supplies.
- Start-up costs and working capital.
- Processing and marketing facilities.
- Pollution control and abatement.
- Refinancing for viable projects, under certain conditions.