5 Ways Local IDAs Can Help Your Start-Up Business
Recently, I met someone from the local Industrial Development Agency (IDA) here in Erie County and was surprised at how many different options they have to help start-up businesses with obtaining capital for their business.
IDAs started in order to provide resources to help entrepreneurs and business start or grow their business. Typically, the resource that is needed is capital. In many cases, an entrepreneur or small business is not able to obtain as much money from a traditional bank as they need or has been declined a loan from a traditional bank. Ultimately, the IDA helps businesses in order to facilitate job growth.
Locally, ECIDA can help with the following different types of general resources and financial resources.
- General Resources. When starting or expanding a business, many people don’t know where to look for general information. ECIDA provides information about services provided by different centers that have specific information depending on what you are looking for. See here.
- Tax Incentives. Many people associate IDAs with providing tax breaks and incentives – which they do for businesses that are making large capital investments and creating jobs within the community. In return for these local investments and jobs, the IDA lowers the taxes on these investments freeing up the company’s short term working capital. This is where tax incentives can be very helpful. See here.
- Small Business Loans. These are smaller loans for businesses that are just starting out or don’t have as much of a financial need. See here.
- Large Business Loans. These loans are the next step up from the small business loans. Often, these loans are for businesses that need to buy large pieces of equipment for their business. See here.
- Innovation Loans. These loans are for businesses that need capital for the “end stages” of taking a product to market. These businesses are typically in the life sciences, tech, and manufacturing industries. For more, see here.
While this is just a brief overview of what our local IDA, ECIDA, can do for you and your business, be sure to check out their website, in order to learn more. Also, don’t hesitate to contact them even if it doesn’t seem like they would have the information. Their staff is very warm and inviting and they are trying to promote job creation, so it is in their interest to help you and guide you to the resources that you need.
Please note that this information is shared as guidance only and is not intended to be legal advice for your particular business and circumstances. For more information on IP and to access videos about IP, visit our website and youtube page.
Rebecca M. Stadler, Esq.