Ulster County attracts businesses from all over the world.  Why?  Some say its our location, just 80 miles from New York City, the richest market in the world.  Others say it is because of the companies that have found success here in nice manufacturing, creative/digital arts, agriculture, tourism and other industries.  Still others say it is our workforce comprised of skilled labor who can adapt to most any industry.  Perhaps it's a combination of all of the above, along with a much desired high quality of living.  Of course, we'd like to think that it's because of the help UCDC provides companies looking to start or locate here.  And here are some ways we do that:

Business Planning:

Small Business Development Center.  Free business planning, assistance with SBA loan applications, training and seminars.

SBDC Business Plan Template

State Benefits:

• Empire State Development Corporation (ESDC) Jobs Now or Economic Development Fund Capital Grant: Jobs based capital grants that can partially assist with hard costs such as capital costs or soft costs such as the relocation of equipment and moving expenses for an eligible job creation or retention project. Funds may be provided to companies that create or retain jobs in New York State and that make eligible investments in facilities, real property, machinery and equipment, training, and certain other eligible uses. Grants are discretionary and are determined based on a set of project specifications.

• ESDC Manufacturing Assistance Program: Capital grants of up to $1 million for manufacturers who invest in projects to increase productivity competitiveness. A company must employ 50 to 1,000 workers, either export at least 30% of their production beyond their region or supply at least 30% of their production to a prime manufacturer that exports beyond the region, and make an investment of at least $1 million to improve the productivity and/or competitiveness of a manufacturing operation.
  

• ESDC Training Grant: Funded by EDF, a training grant can help companies upgrade the skills of existing workers or train new workers to maximize productivity and efficiency. (In addition, training projects may also receive assistance from local providers in Ulster County such as SUNY New Paltz, SUNY Ulster community college or Ulster County BOCES.) Early engagement with ESDC is essential.
  

• Industrial Efficiency Program (IEP): Provides assistance in identifying, developing and implementing improved management and production processes to enhance efficiency, expand market share and promote job growth.  Grants are up to $50,000 and must be matched by the Company’s own investment. Projects with resource conservation/pollution prevention outcomes may be eligible to receive funding from the ESD Environmental Investment Program.

• Environmental Investment Program (EIP): Grants are made that reflect a percentage of capital cost of machinery and equipment for environmental investment. The program is discretionary and the % varies based on benchmarks such as need and value of the project. This program is funded by the Department of Environmental Conservation.

• NYSERDA Energy Grants: NYSERDA provides grants for energy efficiency engineering and capital costs to developers and companies undertaking new construction projects or rehabilitation of existing buildings. Additional funds are available for companies seeking to achieve green building certification. They also provide financial incentives to existing companies for the purchase and installation of pre-qualified electric and gas energy efficiency measures, and for energy efficiency improvements based upon a technical engineering analysis.

IDA benefits: The Ulster County Industrial Development Agency (UCIDA) benefits are listed below.

• IRBs: Industrial revenue bond financing of equipment or fit up for manufacturing projects. Interest on such bonds up to $10M of principal is tax exempt. Additional taxable interest bond financing beyond $10M and/or a leaseback structure is also possible. Our IDA has bonded a single project of over $100M. See www.ulstercountyida.com for details and application forms for IRBs and leasebacks.
  

• PILOTs: Payment In Lieu of Taxes programs for reduction of property tax costs for up to 15 years.
  
  
• 1% Mortgage Tax Exemption: Applies to situations where a mortgage finances real property improvements.
  

• Sales Tax Exemption: Applies to construction, fit up materials, and equipment for the project

Empire Development Zone benefits: The State of New York offers the following potential tax credits and benefits for businesses located in an Empire Zone (such as TechCity):

• Wage Tax Credit: Credits are available for up to five consecutive years. Credits are $1,500 per employee (or $3,000 for employees in targeted groups). In investment zones, this credit is increased by $500 for workers with wages over $40,000.

• Investment Tax Credit: For an investment in the zone for depreciable property and/or equipment which is principally used in manufacturing, processing, assembly, industrial waste treatment or air pollution-control facilities, R&D or financial institutions. 10% (8% for personal income tax filers) of the eligible investment can be taken for credit.

• Employment Incentive Credit: 30% of the investment tax credit is available for each of the three years after the Investment Tax Credit (ITC) is claimed if employment is increased when the investment is made.

• Zone Capital Credits: 25% tax credit for personal or corporate income tax payers for eligible investments in certified zone businesses, or contributions to approved community development projects.

• NYS Sales Tax Refund: For the purchase of building materials used in the construction or renovation of industrial or commercial property located in a zone (IDA sales tax exemption trumps this one as it covers state and local shares).

• Enhanced benefits for Qualified Empire Zone Enterprises (QEZE):For eligible businesses:
  *       Sales Tax Exemptions:
  *       Real Property Tax Credit:
  *       Tax Reduction Credit:

• Utility benefits: Central Hudson may be able to offer also offer special rate reductions to certified Empire Zone businesses with respect to gas and electric services. Utility discount programs may include businesses that build new facilities, occupy vacant space and move to designated areas that are economically distressed or have an underutilized utility infrastructure.

County and Municipal Benefits:

Ulster County Revolving Loan Funds:  Provides financial assistance to businesses within the boundaries of Ulster County.  Loans are available for up to fifty percent (50%) of the total project cost, up to a maximum of $75,000.  The interest rate is four (4) points below the prime rate with a minimum of six percent (4%).  Loans must help create and/or retain jobs.

City of Kingston Revolving Loan Funds:  Provides financial assistance to businesses within the boundaries of the City of Kingston, to encourage the creation and retention of jobs.  The Kingston Local Development Corp. (KLDC) administers the Kingston Revolving Loan Fund and Community Development Revolving Loan Fund, a Section 108 Loan Guarantee Program, an SBA 7A program through the National Development Council and has access to other economic development programs, for example the USDA.  Rates have been established as the prime rate minus one percent (1%) for revolving loan funds, the three (3) month LIBOR plus two percent (2%) for the Section 108 program, and for the SBA 7A program rates vary from the prime rate plus one percent (1%) to two and one-half percent (2.5%).  The KLDC has “Gap Financing” loans of twenty-five percent (25%) and thirty percent (30%) of the total project costs.

Town of Esopus Waterfront Development Loan Fund (Section 108):  Capitalized with $2.0 million from the U.S. Department of Housing and Urban Developments (HUD) Section 108 loan program.  Provides financing to Esopus businesses for projects that range from a $50,000 minimum to a $1 million maximum.  Loans are for business development and job creation.  The interest rates are between three and one-half percent (3.5%) and four and three-quarters percent (4.75%) depending on project size.  Contact the Esopus Town Supervisor John Coutant (845) 331- 0676.

Town of Lloyd Revolving Loan Fund:  Provides financial assistance to businesses within the boundaries of the Town of Lloyd.  Loans are available for up to fifty percent (50%) of the total project cost up to a maximum of $75,000.  The interest rate is three (3) points below prime with a minimum of four percent (4%).  Loans must help create and/or retain jobs.

Town of New Paltz Revolving Loan Fund:  Provides financial assistance to businesses within the boundaries of the Town of New Paltz.   Loans are available for variable amounts and terms depending on the project needs.  The interest rate is four percent (4%).  The interest rate is subject to change, although it will always be below prime.  Loans must help create and/or retain jobs.  The maximum loan amount is one-half (1/2) of available capital in the fund.  Contact New Paltz Town Supervisor
Toni Hokanson (845) 255-0604.

Town of Shandaken Revolving Loan Fund:  Provides financial assistance to businesses within the boundaries of the Town of Shandaken. Loans are available for variable amounts and terms depending on the project needs.  The interest rate is five percent (5%). Loans must help create and/or retain jobs.  Contact Director of SHARP Vance L. Kibe (845) 688-5777.

Town of Shawangunk Revolving Loan Fund:  Provides financial assistance to businesses within the boundaries of the Town of Shawangunk.  Loans are available for a variable percentage of the total project based on project needs.  The interest rate is four (4) points below the prime rate with a minimum of four percent (4%).  Loans must help create and/or retain jobs.  Contact Shawangunk Town Supervisor John Valk (845) 895- 2900.

Village of Ellenville Revolving Loan Fund:  Provides financial assistance to businesses within the boundaries of the Village of Ellenville.  Loans are available for up to 33% of the total project costs up to a maximum of $50,000.  The interest rate is between two percent (2%) and four percent (4%) with variable term lengths, based on project needs.   Loans must help create and/or retain jobs.  Contact Ellenville Village Manager Mary Sheeley (845) 647-7080.

Village of New Paltz Revolving Loan Fund:  Provides financial assistance to businesses within the boundaries of the Village of New Paltz.  Loans are available for variable amounts.  Interest rates and term lengths are based on project needs. Loans must help create and/or retain jobs.  Contact Village of New Paltz Mayor Terry Dungan (845) 255- 1413.

Village of Saugerties Revolving Loan Fund: Provides financial assistance to businesses zoned commercial or industrial within the boundaries of the Village.  RLF will participate up to a maximum of $50,000.  The interest rate is below the prime rate and varies by project need.  Maximum loan term is 10 years.  Loans must be used for renovation or rehabilitation.   Contact Saugerties Village Mayor Robert Yerick (845) 246-2321.

The Telecommunications Fund: Provides financial assistance to communities, developers, facility owners and businesses to make investments in existing buildings with limited use potential due to a lack of current telecommunications infrastructure or high-speed Internet access.  The maximum loan amount is 25% of the total project cost or $100,000.  The interest rate is fixed at one-half (1/2) of the prime rate.  Loan terms are from three (3) to seven (7) years.

Other Benefits:

Catskill Watershed Corporation –Catskill Fund for the Future:  Provides financial assistance to businesses within the boundaries of the Ulster County towns in the Catskill Watershed (Denning, Hardenburgh, Hurley, Town of Kingston, Marbletown, Olive, Rochester, Shandaken, Wawarsing, Woodstock).  Loans are available for up to fifty percent (50%) of the total project costs.  The interest rate is one-half (1?2) of the prime rate plus one percent (1%). A minimum ten percent (10%) equity, collateral as available and personal guarantees are required.

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