Tax Exempt Bond Project Financing
What - The Economic Development Corporation (EDC) has the ability to issue and sell revenue bonds to finance qualified development projects. The use of Tax Exempt Bonds can reduce the costs of financing thereby making development and expansion projects possible.
Who - Tax Exempt Bond Project Financing is available up to a maximum of $10 million for qualified business and not-for-profit organizations. Qualified businesses include those who manufacture, create or produce tangible or intangible property. Intangible property includes any patent, copyright, formula, process, design, pattern, knowhow, format or similar item. Examples of eligible businesses include: traditional manufacturers plus software, biotechnology, life sciences and other emerging technology companies. The practical minimum amount financed with this method is approximately $500,000 to $1,000,000 depending on current market conditions. The EDC can help you to determine if a property qualifies for Tax Exempt Bond Financing.
Why - Project financing is one of the most critical part of economic development. The availability of financing at rates lower typically than those available on the open market makes Tax Exempt Bond Financing very attractive to businesses and not-for-profit organizations.
