Van Wert County Revolving Loan Program
The county Revolving Loan Fund supplies gap funding for new or existing companies pursuing building acquisition, construction, equipment purchases and working capital based on job retention and creation. Borrowers may seek up to 50 percent of the total project cost; maximum $25,000 per job created. The loan cap may be determined by availability of funds. Interest rate is fixed and below market rate. Terms are 5-7 years for purchase of machinery and equipment a 15-20 years for real estate acquisition. The project may not begin until approval is given. A low-to-moderate income requirement is placed on a percentage of jobs created.
Companies locating in Vision Industrial Park just off U.S. 30 may receive a credit of $500 per job per year for five years to go toward land purchase. The city and Van Wert County Community Improvement Corporation own available lots in the industrial park and sell them for $6,000 per acre with no down payment needed. The job creation credits are applied at the end of the five year term.
Enterprise Zone Tax Exemption
Up to 100 percent of local real property taxes may be abated for as long as 15 years for qualifying manufacturing, distribution or service related projects locating within a Van Wert County Enterprise Zone. Abatement will require local school board approval. County commissioners must approve the agreement prior to the start of the project. The entire city of Van Wert is within an established enterprise zone.
Community Reinvestment Area Program
The Community Reinvestment Area Program is a direct incentive tax exemption program benefiting property owners who renovate existing or construct new buildings. The program permits municipalities to designate areas as a CRA to encourage revitalization of the existing housing stock and the development of new structures where investment has been discouraged. Companies may receive a property tax exemption of up to 100 percent of improvement value for up to 15 years. A minimum $5,000 investment must be made by the company. Tax exemption must be approved by the affected school district.
Lease-to-Own Building Purchase Option
The Van Wert County Business Development Corporation is available to assist companies with lease-back arrangements for new projects.
Job Creation Incentive Program
This incentive program offered by the city of Van Wert is for non-retail projects that create new payroll of at least $250,000. The program makes an annual payment to companies based on new payroll and job creation with average wages at least 150 percent above minimum wage. The payment is based on 30 percent of municipal income tax withheld by the city for a term of up to 10 years.
The state offers a variety of financial opportunities for companies wishing to launch, expand or relocate in Ohio. Details are available at The Ohio Development Services Agency and JobsOhio. The following are examples of frequently used programs.
Ohio Incumbent Workforce Training Voucher Program
The Ohio Incumbent Workforce Voucher Program will reimburse employers for up to 50 percent of the eligible employee training costs, up to $4,000 per employee, after the employer pays the full cost of the training, and the employee successfully completes the training. The program is designed to allow employers to retain and grow their existing Ohio workforce and create a statewide workforce that can meet the present and future demands in an ever changing economy.
Community Development Block Grant
Federal grant funds are available through the state to assist with public road, water, and sanitary sewer improvements specifically benefiting economic development projects. Job creation must be involved and companies must commit to hiring at least 51 percent of employees from low-to-moderate income populations in the county where the project is located.
Rapid Outreach Grants
Funds are for on or off site infrastructure improvements, including water, sewer, road and rail improvements. This fund is for companies primarily engaged in manufacturing, R & D, high technology, corporate headquarters, and distribution. Job creation or retention must be significant and all other sources of private and public financing must be considered first.
Roadwork Development (629)
Roadwork Development (629) funds are available for up to 50 percent of costs for public roadway improvements, including engineering and design costs. Funds are available for projects primarily involving manufacturing, research and development, high technology, corporate headquarters, and distribution activity. Projects must create or retain jobs. Grants are reimbursable and provided to a local jurisdiction and require local participation.
JobsOhio Workforce Grant
The JobsOhio Workforce Grant was created to promote economic development, business expansion, and job creation by providing funding for the improvement of worker skills and abilities in the State of Ohio. Grant decisions are based on a number of project factors, including but not limited to job creation, additional payroll, fixed-asset investment commitment, project return on investment, and project location.
JobsOhio Economic Development Grant
The JobsOhio Economic Development Grant was created to promote economic development, business expansion, and job creation by providing funding for eligible projects in the State of Ohio. Grant decisions are based on a number of project factors, including but not limited to job creation, additional payroll, fixed-asset investment commitment, project return on investment, and project location.
Ohio Vacant Facilities Fund
The Vacant Facilities Fund provides grants to assist business in creating new jobs in vacant and underutilized commercial buildings and business parks that have been at least 75 percent vacant for at least twelve months. For-profit employers can receive a $500 grant for every new full-time position created. The new employees must increase the employer’s base payroll at the time the vacant facility is occupied. Employers must employ at least 50% employees or half its Ohio employees at the facility.
Job Creation Tax Credit
The Job Creation Tax Credit is a refundable tax credit to companies generally creating at least 10 new jobs (within three years) with a minimum annual payroll of $660,000 that pay at least 150 percent of the federal minimum wage. The tax credit is measured as a percentage of the state income tax withholdings for all new employees hired under the program, and is applied toward the company’s commercial activity tax liability. Should the amount of the credit exceed the company’s commercial activity tax liability for any given year, the difference is refunded. A business must apply for the credit before committing to the project. Applicants must be approved through the Ohio Tax Credit Authority before hiring begins.
Technology Investment Tax Credit
The Technology Investment Tax Credit Program offers a variety of benefits to Ohio taxpayers who invest in small, research and development, and technology-oriented firms. Through this innovative program, Ohio investors may reduce their state taxes by 25 percent (or 30 percent- see FAQ) on the amount they invest in qualified, technology-based Ohio companies. Both the companies and their investor’s must meet several requirements specified by Ohio law in order to be considered for the Technology Investment Tax Credit program.
Research and Development Investment Tax Credit
The R & D Investment Tax Credit administered by the state is a non-refundable Ohio commercial activity tax credit for all investment in qualified research expenses incurred in Ohio by eligible “C” corporations. Qualified research expenses are based on Section 41 definitions in the U.S. Internal Revenue Code and include expenses for both in-house and contract research expenses. The amount of the credit is based on 7 percent of the amount of all qualified investment in a specific year. The credit can be carried forward up to seven years.
GrowNOW is a partnership between the state’s eligible banks and the Ohio Treasury. The program enables small business owners to receive up to a 3 percent interest rate reduction on a bank loan when they link the loan to job growth or retention in Ohio. GrowNOW also serves as a catalyst for Ohio’s economic development and rewards the small business that drives it.
Targeted Investment Program
The Targeted Investment Program supports the growth and expansion of targeted small businesses within Ohio’s manufacturing, technology, and logistics industries. TIP targets small businesses that have received first or second round equity funding and offers debt financing tailored to the specific needs of the company at or below market interest rates.
JobsOhio Revitalization Program
This revitalization program is focused on helping revitalize sites in preparation for end-users that support future job creation opportunities for Ohioans. The program, comprised of loans and grants, is available to public and private entities seeking to cleanup and redevelop sites across Ohio.
Research and Development Investment Loan
The Research and Development Investment Loan Fund provides loan financing between $500,000 and $5 million for projects primarily engaging in research and development activity. Rates are fixed (at- or below-market rates) with other loan terms similar to those of commercial bank financing. Companies receive a dollar-for-dollar, non-refundable Ohio commercial activity tax credit for principal and interest payments made during the year up to $150,000 during the loan term.
166 Direct Loan
The 166 Direct Loan provides fixed-rate loans for land and building acquisition, construction, expansion, or renovation, and equipment purchases for eligible businesses. The program provides low-interest loans up to 40 percent not to exceed $1.5 million. Terms are based on useful life of the assets being financed; up to 15 years for real estate.
Regional 166 Direct Loan
The Regional 166 Direct Loan provides loans for land and building acquisition, construction, expansion, or renovation, and equipment purchases for eligible businesses. Regional economic development agencies administer the program. It provides low-interest loans up to 75 percent collateral value, not to exceed $500,000. Terms include 3 percent interest up to $350,000, and length is based on useful life of the assets being financed; up to 15 years for real estate.
Innovation Ohio Loan Fund
The Innovation Ohio Loan Fund provides loans for acquisition, construction, and related capital costs of technology, facilities, and equipment purchases. The fund was created to assist existing Ohio companies in developing next-generation products and services within the state’s Industry Sectors up to 75 percent ranging from $500,000 to $1.5 million.
JobsOhio Growth Fund Loan
The JobsOhio Growth Fund provides capital for expansion projects to companies that have limited access to capital and funding from conventional, private sources of financing. JobsOhio will consider loans to companies that are in the growth, established or expansion stage, and that have generated revenues through a proven business plan. Loan decisions are based on a number of project factors, including but not limited to job creation, additional payroll, fixed-asset investment commitment, project return on investment, and project location.
Ohio Enterprise Bond Fund
The Ohio Enterprise Bond Fund provides revenue bond financing through a fund rated AA by the S&P, whereby proceeds from the sale of bonds are loaned to companies for fixed-rate, long-term financing for land, building construction and renovations, leasehold improvements, machinery and equipment. Rates are market-driven and fixed prior to funding. Loan terms range between 7 to 10 years for equipment and 15 to 20 years for real estate. Up to $10 million in financing is available through the program. Fees applicable and a deposit is required.
Northwest Ohio Bond Fund
The Northwest Ohio Bond Fund offers long-term fixed rate financing for land, building, construction, renovations, leasehold improvements, machinery, and equipment. The fund is rated BBB by the S&P. Up to 90 percent of financing available for costs $1-8 million. Terms are based on useful life of the assets being financed; up to 15 years for real estate. Fees applicable and deposits required.