business finance opportunities part ii

8/10/2019 Business Finance Opportunities Part II

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Starting Your Business in Ohio Part 2

Business

FinancingOpportunities

1st Stop Business Connectionwww.business.ohio.gov/starting Revised 10/2012
http://www.business.ohio.gov/startinghttp://www.business.ohio.gov/startinghttp://www.business.ohio.gov/starting


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TABLE OF CONTENTS

Money 3Financing 4

Glossary of Business Terms 6

US SBA Federal Programs 7

USDA Federal Programs 11

FSA Federal Programs 15

Ohio Development Services Agency Programs 15

Ohio Treasurer Programs 22

Ohio Air Quality Development Authority Programs 23

Ohio Department of Taxation Programs 24

Ohio Arts Council Programs 26

Small Business Development Center Directory 30

The Small Business Development Center program of Ohio is funded in part through a cooperative agreement with the U.S. Small Business Administration. The SBDCprogram is also funded in part by the Ohio Development Services Agency. All opinions, conclusions or recommendations expressed are those of the author(s) and do notnecessarily reflect the views of the SBA. Reasonable accommodations for persons with disabilities will be made if requested at least two weeks in advance. Contact: SBDC614-466-2711.


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MONEY

One of the toughest parts of starting a small business is finding the necessary capital. In other words: Where do you find the money? Thispublication will help you figure out where to find the money you need to start and run a small business.

First, you must know how much money you'll need.Write down the equipment you have and the equipment and inventory you need. How much will it cost to buy or lease the equipment andinventory?

Equipment you already have Equipment and inventory you must purchase or lease Cost _______________________ ___________________________________________ $___________ _______________________ ___________________________________________ $___________ _______________________ ___________________________________________ $___________ _______________________ ___________________________________________ $___________ _______________________ ___________________________________________ $___________

TOTAL $ __________Now, it's time to estimate how much it will cost to keep your business running:Business space $______________________________Business supplies $______________________________Insurance $______________________________Utilities (electricity, water, phone, etc.) $______________________________Employees $______________________________Licenses $______________________________

Advertising $______________________________Emergencies/Unexpected costs $______________________________TOTAL $______________________________

Remember, your business may not make a profit right away. After you have estimated how much money you will need to keep your business running, add 1 1/2 times tothat amount. This will keep you from having just enough to get by. It may take a few years before you start to see a profit. Carefully consider how much money you will

need to pay your day-to-day expenses until your business makes a profit. YOU MUST PLAN AHEAD!

Read your Starting Your Business in Ohio to find out what licenses and permits your business will need.


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FINANCING

You should have a pretty good estimate of how much money you'll need to start your small business and to help it grow. But, what kind offinancing is available?

There are two main types of financing: debt financing and equity financing . Debt financing is a loan. It can be a short-term loan (lasts for less than a year), an intermediate- term loan (lasts for three to seven

years), or a long-term loan (lasts for 10 years or more). Most loans to small businesses through banks are secured loans. This means youor the business will have to use assets as collateral (which is how the bank makes sure the loan is repaid). There are two types discussedin this book: DIRECT LOAN and LOAN GUARANTY. A direct loan is money given directly to the borrower. A loan guaranty is moneypromised by another agency to a bank that will loan the business money. The money is promised to the bank as an assurance that thebank will get back the money it lends to the business.

Equity financing means someone (an investor) buys part of your business and gives you the money you need to start your business or tokeep it running.

For debt financing or equity financing, you will need a business plan and a loan proposal

Consider your sources of money:1) Yourself - Most lenders require the business owner to provide 10-30 percent of the total cash needed to start or expand a business.2) Business Partners3) Relatives4) Friends5) Commercial Banks (your personal bank)6) Savings and Loan Associations7) Loan Companies8) Insurance Companies - You can use your life insurance as collateral for a loan from your insurance company.

9) Your Suppliers - Sometimes suppliers will give loans in exchange for an agreement to buy a certain amount of supplies from them.10) Leasing Companies - Leasing companies buy equipment, etc., for you, and then you lease it from them.11) Business Brokers and Investors - People who make small business loans or invest in your business.12) Small Business Investment Companies - Private companies that provide money to low-risk small businesses.13) Community Development Companies - Organizations setup by a local community to attract business to their area.14) Federal Government15) State Government


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A business plan is a typewritten description of how you will run your business. It will show potential lenders that you are serious about startinga business.

If you need help with your business plan or loan proposal,

contact your local Small Business Development Center .See the phone listing on the last page .

A loan proposal is like a business plan, but it is aimed directly at the investor or lender you will be talking to. They are usually about 10 pageslong and include:

- How much money you'll need;- Exactly what the money will be used for;- A short description of your business;- What kind of terms you want;- How you want to repay the loan;- What kind of collateral you have available;- A list of other sources of funds;- A short personal history as it relates to your business;- A personal financial statement;- An earnings history;- Financial projections for the next three years; and- Credit, personal and business references.

When you meet with the lender or investor, be prepared to answer additional questions such as:How will you pay back the money? When will you pay back the money? Why don't you have the money already?

The lender wants to make sure you have thought this through and can pay the money back.The investor wants to make sure a wise investment is being made.


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GLOSSARY OF BUSINESS TERMSAssets: personal or business property you own

Capital: moneyCollateral: personal or business property (assets) used to secure a loanCosigner: a person who also signs for the loan and is responsible for payments if you default

Debt Financing: using a loan as means to start a businessDefault: failing to pay back a loanDirect Loan: money is given directly to the borrower

Equity Financing: using an investor as means to start a business

Fixed Costs: money you must spend (costs) on a regular basis

Gross Profit: how much money your business makes after subtracting the cost of goods from the net sales

Intermediate-Term Loan: loan for three to seven years

Liabilities: amount your business owes to creditorsLoan Guaranty: money is promised by another agency to a bank that will then loan a business moneyLong-Term Loan: loan for more than 10 years

Market: potential customersMicroenterprise: a small small business

Net Sales: amount of money made after sales tax and returns

Operating Expenses: how much you will spend to buy the items you will sell, plus how much money it takes to keep the business running (suchas payroll, utilities, rent)

SBA: (U. S. Small Business Administration) a federal agency that offers loans, loan guaranties and partially funds the SBDCs

SBDC: (Small Business Development Centers of Ohio) provide free business counseling to small start-up and existing businesses (funded by thestate and federal governments)r Short-Term Financing: a loan for one year or lessTarget Market: specific type of customer you want your business to attractTerms: conditions a bank puts on a loan

Working Capital: money a business must have on a regular basis to cover operating expenses


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US SBA FEDERAL LOAN PROGRAMS

SBA provides a guaranty for small business loans. The agency does not make or approve the loans. The local Small Business DevelopmentCenters can assist you in preparing your comprehensive loan package to include such a guaranty before you go to the bank. Please see directory

on the last page of this document.

There are no loans specifically for minorities, women, veterans or the disabled. All SBA loans are open to all existing and potential smallbusinesses that meet the SBA size standards. SBA size standard requirements vary from program to program. For specific standards for the loan program youre interested in, contact the agency listed in the loan program description or the SBA at the following numbers:

SBA Cleveland Office SBA Columbus Office SBA Cincinnati OfficePHONE: (216) 522-4180 Phone: (614) 469-6860 Phone: (513) 684-2814

Information is also on the web at: www.sba.gov

PROGRAM NAME: Builders Line Program MAXIMUM AMOUNT AVAILABLE: $5 millionCAN BE USED: to provides financing for small contractors or developers to construct or rehabilitate residential or commercial property.

ABOUT THE PROGRAM: The program provides financing for small contractors or developers to construct or rehabilitate residential orcommercial property. More details at: http://www.sba.gov/content/caplines .

PROGRAM NAME: 504 Loan ProgramMAXIMUM AMOUNT AVAILABLE : $1.5 million or $2.0 million or $4.0 millionCAN BE USED FOR: fixed asset projects, such as: the purchase of land, including existing buildings, improvements, including grading, streetimprovements, utilities, parking lots and landscaping, the construction of new facilities or modernizing, renovating or converting existing

facilities or the purchase of long-term machinery and equipment. The 504 Program cannot be used for working capital or inventory,consolidating or repaying debt, or refinancing.BORROWER: To be eligible for a 504 loan, your business must be operated for profit and fall within the size standards s et by the SBA. Loanscannot be made to businesses engaged in speculation or investment in rental real estate. ABOUT THE PROGRAM: The program is a long-term financing tool, designed to encourage economic development within a community, withlong-term, fixed-rate financing to acquire major fixed assets for expansion or modernization. More details at:http://www.sba.gov/content/cdc504-loan-program .
http://www.sba.gov/http://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/determining-size-standardshttp://www.sba.gov/content/cdc504-loan-programhttp://www.sba.gov/content/cdc504-loan-programhttp://www.sba.gov/content/cdc504-loan-programhttp://www.sba.gov/content/determining-size-standardshttp://www.sba.gov/content/caplineshttp://www.sba.gov/


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PROGRAM NAME: 7(a) Loan ProgramMAXIMUM AMOUNT AVAILABLE : $5 MillionCAN BE USED FOR: The purchase land or buildings, to cover new construction as well as expansion or conversion of existing facilities; Thepurchase of equipment, machinery, furniture, fixtures, supplies, or materials; Long-term working capital, including the payment of accountspayable and/or the purchase of inventory; Short-term working capital needs, including seasonal financing, contract performance, constructionfinancing and export production; Financing against existing inventory and receivable under special conditions.

ABOUT THE PROGRAM: The program includes financial help for businesses with special requirements. For example, funds are available for loansto businesses that handle exports to foreign countries, businesses that operate in rural areas, and for other very specific purposes. More details at: http://www.sba.gov/category/navigation-structure/loans-grants/small-business-loans/sba-loan-programs/7a-loan-program .

PROGRAM NAME: Community Adjustment and Investment Program (CAIP)BORROWER: To be eligible for CAIP, the small business must reside in a county, or a defined area within a county, noted as being negativelyaffected by NAFTA based on job losses and the unemployment rate of the county. There is also a job creation component. For 7(a) loans, one jobhas to be created for every $70,000 SBA guaranty. For 504 loans, one job has to be created for every $65,000 SBA guaranty. Counties: Crawford,Morgan, Perry

ABOUT THE PROGRAM: CAIP was established to assist U.S. companies doing business in areas of the country that have been negatively affectedby the North American Free Trade Agreement (NAFTA). CAIP loans allow for the payment of fees on eligible loans, including the 7(a) LoanProgram guaranty fee and the 504 program guaranty and CDC and lender fees. Depending on the size of the loan, these fees can be sizeable.CAIP works with SBA to reduce borrower costs and increase the availability of these programs. More details at:http://www.sba.gov/content/caip .

PROGRAM NAME: Contract Loan ProgramMAXIMUM AMOUNT AVAILABLE $5 millionCAN BE USED FOR: financing of material, labor, or overhead needs for a specific contract or contracts.

ABOUT THE PROGRAM: The programs can be used to finance seasonal working capital needs; direct costs of performing certain construction,

service and supply contracts; direct cost associated with commercial and residential construction; operating capital; and consolidate short-termdebt. SBA provides up to an 85 percent guarantee. More details at: http://www.sba.gov/content/caplines .

PROGRAM NAME: Employee Trusts MAXIMUM AMOUNT AVAILABLE: A maximum loan amount of $2 million has been established for 7(a) loans. However, the maximum dollaramount the SBA can guarantee is generally $1.5 million. Small loans carry a maximum guaranty of 85 percent.CAN BE USED FOR:financial assistance to Employee Stock Ownership PlansBORROWER: SBA can assist employee trusts to finance, small business must provide all the funds needed to collateralize and repay the loan.
http://www.sba.gov/category/navigation-structure/loans-grants/small-business-loans/sba-loan-programs/7a-loan-programhttp://www.sba.gov/category/navigation-structure/loans-grants/small-business-loans/sba-loan-programs/7a-loan-programhttp://www.sba.gov/content/caiphttp://www.sba.gov/content/caiphttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caiphttp://www.sba.gov/category/navigation-structure/loans-grants/small-business-loans/sba-loan-programs/7a-loan-program


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ABOUT THE PROGRAM: The employee trust must be part of a plan sponsored by the employer company and qualified under regulations set byeither the Internal Revenue Service Code (as an Employee Stock Ownership Plan, or ESOP) or the Department of Labor (the EmployeeRetirement Income Security Act, or ERISA). Applicants covered by the ERISA regulations must also secure an exemption from the Department ofLabor for regulations prohibiting certain loan transactions. More details at: http://www.sba.gov/content/employee-trusts .

PROGRAM NAME: Microloan ProgramMAXIMUM AMOUNT AVAILABLE: The maximum loan amount is $50,000, but the average microloan is about $13,000.CAN BE USED FOR: Working capital, the purchase of inventory or supplies, the purchase of furniture or fixtures, the purchase of machinery orequipment. Proceeds from a microloan cannot be used to pay existing debts or to purchase real estate.BORROWER: Small businesses interested in applying for a microloan should contact an intermediary in their area, since all credit decisions aremade on the local level.

ABOUT THE PROGRAM: The program provides small, short-term loans to small business concerns and certain types of not-for-profit child-carecenters. The SBA makes funds available to specially designated intermediary lenders, which are nonprofit community-based organizations withexperience in lending as well as management and technical assistance. These intermediaries make loans to eligible borrowers. More details at:http://www.sba.gov/content/microloan-program .

PROGRAM NAME: Patriot Express MAXIMUM AMOUNT AVAILABLE: $5 millionCAN BE USED FOR:Startup costs, equipment purchases, business-occupied real-estate purchases, inventory, infusing working capital, managingyour business, expansion, preparing your business for the possibility of your deployment, setting up to sell goods and services to thegovernment, recovery from declared disasters.BORROWER: Eligible military community members include: Veterans, service-disabled veterans, active-duty service members eligible for themilitarys transition assistance program, reservists and national guard members, current spouses of any of the above, the widowed spouse of aservice member or veteran who died during service or of a service-connected disability

ABOUT THE PROGRAM: The loan initiative for veterans and members of the military community wanting to establish or expand smallbusinesses. The SBA and its resource partners are focusing additional efforts on counseling and training to augment this loan initiative, making itmore accessible and easy to use. Patriot Express loans feature 2.25 percent to 4.75 percent over prime depending upon the size and maturity ofthe loan. More details at http://www.sba.gov/content/express-programs .

PROGRAM NAME: Rural Lender AdvantageMAXIMUM AMOUNT AVAILABLE: $350,000CAN BE USED FOR: purchase land or buildings, to cover new construction for expansion or conversion of existing facilities; equipment,machinery, furniture, fixtures, supplies, or materials, long-term working capital, payment of accounts payable and/or the purchase of inventory,short-term working capital needs, including seasonal financing, contract performance, construction financing and export production, financing
http://www.irs.gov/retirement/article/0,,id=225834,00.htmlhttp://www.dol.gov/compliance/laws/comp-erisa.htmhttp://www.sba.gov/content/employee-trustshttp://www.sba.gov/content/employee-trustshttp://www.sba.gov/content/employee-trustshttp://www.sba.gov/content/microloan-programhttp://www.sba.gov/content/microloan-programhttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/microloan-programhttp://www.sba.gov/content/employee-trustshttp://www.dol.gov/compliance/laws/comp-erisa.htmhttp://www.irs.gov/retirement/article/0,,id=225834,00.html


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against existing inventory and receivable under special conditions , the refinancing of existing business indebtedness that is not alreadystructured with reasonable terms and conditions, or to purchase an existing business ABOUT THE PROGRAM: The initiative is designed to accommodate loan processing needs of small community/rural-based lenders bysimplifying and streamlining loan application process and procedures, particularly for smaller SBA loans. It is part of a broader SBA initiative topromote the economic development of local communities, particularly those facing the challenges of population loss, economic dislocation, andhigh unemployment. More details at http://www.sba.gov/content/rural-business-loans .

PROGRAM NAME: SBA Express MAXIMUM AMOUNT AVAILABLE: $350,000 CAN BE USED FOR: The purchase land or buildings, to cover new construction as well as expansion or conversion of existing facilities, thepurchase of equipment, machinery, furniture, fixtures, supplies, or materials, long-term working capital, including the payment of accountspayable and/or the purchase of inventory, short-term working capital needs, including seasonal financing, contract performance, constructionfinancing and export production, financing against existing inventory and receivable under special conditions, the refinancing of existingbusiness indebtedness that is not already structured with reasonable terms and conditions, or to purchase an existing business

ABOUT THE PROGRAM: The program gives small business borrowers an accelerated turnaround time for SBA's review. You will receive a

response to your application within 36 hours. In addition, lower interest rates are often available to you when you apply through an Expressprogram. More details at http://www.sba.gov/content/express-programs .

PROGRAM NAME : Seasonal Line of Credit Program MAXIMUM AMOUNT AVAILABLE: $5 million CAN BE USED : to support buildup of inventory, accounts receivable or labor and materials above normal usage for seasonal inventory.

ABOUT THE PROGRAM: The program is designed to help small businesses meet their short-term and cyclical working capital needs. Theprograms can be used to finance seasonal working capital needs; finance the direct costs of performing certain construction, service and supplycontracts; finance the direct cost associated with commercial and residential construction; finance operating capital; and consolidate short-termdebt. SBA provides up to an 85 percent guarantee. More details at: http://www.sba.gov/content/caplines .

PROGRAM NAME: Working Capital LineMAXIMUM AMOUNT AVAILABLE: $5 millionCAN BE USED: as a revolving line of credit that provides short term working capital.

ABOUT THE PROGRAM: The program is designed to help small businesses meet their short-term and cyclical working capital needs. Theprograms can be used to finance seasonal working capital needs; finance the direct costs of performing certain construction, service and supplycontracts; finance the direct cost associated with commercial and residential construction; finance operating capital; and consolidate short-termdebt. SBA provides up to an 85 percent guarantee. More details at: http://www.sba.gov/content/caplines .
http://www.sba.gov/content/rural-business-loanshttp://www.sba.gov/content/rural-business-loanshttp://www.sba.gov/content/rural-business-loanshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/caplineshttp://www.sba.gov/content/express-programshttp://www.sba.gov/content/rural-business-loans


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Jennifer Sonnenberg, Acting Business and Cooperative Programs DirectorPhone: 614- 255-2423 Email: [email protected]

PROGRAM NAME: Biorefinery Assistance ProgramMAXIMUM AMOUNT AVAILABLE: $250 millionGuarantee Percentages: 90% on loans of up to $125million; 80% on $125-$150 million; 70% on $150-$200 million; and 60% on $200-$250millionCAN BE USED FOR: The project must be located in the United States, Commonwealth of Puerto Rico, Virgin Islands of the United States, Guam,American Samoa, Commonwealth of the Northern Mariana Islands, Republic of Palau, the Federated States of Micronesia, or Republic of theMarshall Islands. The project must be for the development and construction of commercial-scale bio refineries using eligible technology orretrofitting of existing facilities with eligible technology; the project must use an eligible feedstock for the production of advanced biofuels andbio based products. The majority of the bio refinery production must be an advanced biofuel. A project that creates an advanced biofuel that isconverted to another form of energy for sale will still be considered an advanced biofuel; the project must provide funds of not less than 20percent of eligible project costs; Refinancing, under certain circumstances, may be eligible.

ABOUT THE PROGRAM: The program provides loan guarantees for the development, construction, and retrofitting of commercial-scalebiorefineries. The program was established to assist in the development of new and emerging technologies for the development of advancedbiofuels and aims to accomplish the following: Increase the energy independence of the US; Promote resource conservation, public health, andthe environment, Diversify markets for agricultural and forestry products and agricultural waste materials, and Create jobs and enhanceeconomic development in rural America.WEBSITE: http://www.rurdev.usda.gov/BCP_Biorefinery_Financing.html

PROGRAM NAME: Business and Industry (B&I) Guaranteed LoansMAXIMUM AMOUNT AVAILABLE: $10 millionCAN BE USED FOR: Loan purposes must be consistent with the general purpose contained in the regulation. They include but are not limited to

the following: Business and industrial acquisitions when the loan will keep the business from closing, prevent the loss of employmentopportunities, or provide expanded job opportunities, Business conversion, enlargement, repair, modernization, or development, Purchase anddevelopment of land, easements, rights-of-way, buildings, or facilities, Purchase of equipment, leasehold improvements, machinery, supplies, orinventory.

ABOUT THE PROGRAM: The purpose of the program is to improve, develop, or finance business, industry, and employment and improve theeconomic and environmental climate in rural communities. This purpose is achieved by bolstering the existing private credit structure throughthe guarantee of quality loans which will provide lasting community benefits. It is not intended that the guarantee authority will be used formarginal or substandard loans or for relief of lenders having such loans.WEBSITE: http://www.rurdev.usda.gov/BCP_gar.html
http://www.rurdev.usda.gov/BCP_Biorefinery_Financing.htmlhttp://www.rurdev.usda.gov/BCP_Biorefinery_Financing.htmlhttp://www.rurdev.usda.gov/BCP_gar.htmlhttp://www.rurdev.usda.gov/BCP_gar.htmlhttp://www.rurdev.usda.gov/BCP_gar.htmlhttp://www.rurdev.usda.gov/BCP_gar.htmlhttp://www.rurdev.usda.gov/BCP_Biorefinery_Financing.html


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PROGRAM NAME: Intermediary Relending Program (IRP)MAXIMUM AMOUNT AVAILABLE: $15 millionCAN BE USED FOR IRP funding may be used for a number of purposes but to be eligible, ultimate recipients must be located in a rural area.Under the IRP, a rural area is any area that is not inside a city with a population of 25,000 or more according to the latest decennial census.Some examples of eligible projects are: The acquisition, construction, conversion, enlargement, or repair of a business or business facility,particularly when jobs will be created or retained; The purchase or development of land (easements, rights of way, buildings, facilities, leases,materials); To purchase equipment, leasehold improvements, machinery, supplies; Startup costs and working capital; Pollution control andabatement; Transportation Services; Feasibility studies; or Hote ls, motels, B&Bs, convention centers

ABOUT THE PROGRAM: The purpose of the program is to alleviate poverty and increase economic activity and employment in ruralcommunities. Under the IRP program, loans are provided to local organizations (intermediaries) for the establishment of revolving loan funds.These revolving loan funds are used to assist with financing business and economic development activity to create or retain jobs indisadvantaged and remote communities. Intermediaries are encouraged to work in concert with State and regional strategies, and in partnershipwith other public and private organizations that can provide complimentary resources.

WEBSITE: http://www.rurdev.usda.gov/BCP_irp.html

PROGRAM NAME:Rural Economic Development Loan and Grant (REDLG) MAXIMUM AMOUNT AVAILABLE: $10,000 up to $500,000 CAN BE USED FOR: REDLG grantees and borrowers pass the funding on to eligible projects. Examples of eligible projects include: Capitalization ofrevolving loan funds; Technical assistance in conjunction with projects funded under a zero interest REDLoan; Business Incubators; CommunityDevelopment Assistance to non-profits and public bodies (particularly job creation or enhancement); Facilities and equipment for education andtraining for rural residents to facilitate economic development; Facilities and equipment for medical care to rural residents; orTelecommunications/computer networks for distance learning or long distance medical care

ABOUT THE PROGRAM: The REDLG program provides funding to rural projects through local utility organizations. Under the REDLoan program,USDA provides zero interest loans to local utilities which they, in turn, pass through to local businesses (ultimate recipients) for projects that willcreate and retain employment in rural areas. The ultimate recipients repay the lending utility directly. The utility is responsible for repayment tothe Agency. Under the REDGrant program, USDA provides grant funds to local utility organizations which use the funding to establish revolvingloan funds. Loans are made from the revolving loan fund to projects that will create or retain rural jobs. When the revolving loan fund isterminated, the grant is repaid to the Agency.WEBSITE: http://www.rurdev.usda.gov/BCP_redlg.html
http://www.rurdev.usda.gov/BCP_irp.htmlhttp://www.rurdev.usda.gov/BCP_irp.htmlhttp://www.rurdev.usda.gov/BCP_irp.htmlhttp://www.rurdev.usda.gov/BCP_redlg.htmlhttp://www.rurdev.usda.gov/BCP_redlg.htmlhttp://www.rurdev.usda.gov/BCP_redlg.htmlhttp://www.rurdev.usda.gov/BCP_irp.html


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PROGRAM NAME: Rural Energy for America Program Guaranteed Loan Program (REAP LOANS)MAXIMUM AMOUNT AVAILABLE: Loans up to 75% of the projects cost, Maximum of $25 million, minimum of $5,000CAN BE USED FOR: Eligible project costs include: Post-application purchase and installation of equipment, Post-application construction orimprovements, Energy audits or assessments, Permit or license fees, Professional service fees, Feasibility studies and technical reports, Businessplans, Retrofitting, Construction of a new energy efficient facility only when the facility is used for the same purpose, is approximately the samesize, and based on the energy audit will provide more energy savings than improving an existing facility, Working capital, or Land acquisition.

ABOUT THE PROGRAM: The program encourages the commercial financing of renewable energy (bioenergy, geothermal, hydrogen, solar, windand hydro power) and energy efficiency projects. Under the program, project developers will work with local lenders, who in turn can apply toUSDA Rural Development for a loan guarantee up to 85 percent of the loan amount.WEBSITE: http://www.rurdev.usda.gov/BCP_ReapLoans.html

PROGRAM NAME:Repowering Assistance ProgramMAXIMUM AMOUNT AVAILABLE: The amount of assistance is determined by the availability of funds, the project scope, and the ability of theproposed project to meet all the scoring criteria. In particular, the percentage reduction in fossil fuel used by the biorefinery, the quantity offossil fuels replaced by a renewable biomass system, and the cost effectiveness of the renewable biomass system.CAN BE USED FOR: The program will provide reimbursement payments (not more frequently than once per month) for eligible post-applicationproject costs of the renewable biomass system during the construction phase of the repowering project. Up to 90 percent of the funds can beutilized during project construction, with the remaining 10 percent made upon demonstration of successful completion of the project.

ABOUT THE PROGRAM: The program provides payments to eligible biorefineries to replace fossil fuels used to produce heat or power tooperate the biorefineries with renewable biomass. It provides reimbursement payments to help offset the costs associated with convertingexisting fossil fuel systems to renewable biomass fuel systems.The program encourages the use of renewable biomass as a replacement fuel source for fossil fuels used to provide process heat or power in theoperation of eligible biorefineries.WEBSITE: http://www.rurdev.usda.gov/BCP_RepoweringAssistance.html

PROGRAM NAME:Rural Energy for America Program Grants/Renewable Energy Systems/Energy Efficiency Improvement Program(REAP/RES/EEI) MAXIMUM AMOUNT AVAILABLE: The grants are awarded on a competitive basis and can be up to 25% of total eligible project costs. Grants arelimited to $500,000 for renewable energy systems and $250,000 for energy efficiency improvements. Grant requests as low as $2,500 forrenewable energy systems and $1,500 for energy efficiency improvements will be considered. At least 20% of the grant funds awarded must befor grants of $20,000 or less.CAN BE USED FOR: Most rural projects that reduce energy use and result in savings for the agricultural producer or small business are eligible asenergy efficiency projects. These include projects such as retrofitting lighting or insulation, or purchasing or replacing equipment with more
http://www.rurdev.usda.gov/BCP_ReapLoans.htmlhttp://www.rurdev.usda.gov/BCP_ReapLoans.htmlhttp://www.rurdev.usda.gov/BCP_RepoweringAssistance.htmlhttp://www.rurdev.usda.gov/BCP_RepoweringAssistance.htmlhttp://www.rurdev.usda.gov/BCP_RepoweringAssistance.htmlhttp://www.rurdev.usda.gov/BCP_ReapLoans.html


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Phone: 800-848-1300

PROGRAM NAME: The 166 Direct Loan ProgramMAXIMUM AMOUNT AVAILABLE : 50% of allowable project costs with loans ranging in size from $500,000 to $1,500,000

CAN BE USED FOR:Land and/or building purchase; if the project involves the purchase of an existing building, the business must occupy at least51% of the premises, Machinery & equipment purchase, Building construction and/or renovation costs; if the project involves new constructionthe business must occupy at least 60% of the premises, Long-term leasehold improvements, Ongoing businesses fixed asset purchase, orCapitalizable costs directly related to a fixed-asset purchase. Refinancing is ineligible

ABOUT THE PROGRAM: The program promotes economic development, business expansion and job creation by providing financial assistancefor allowable costs of eligible projects in the State of Ohio. The program provides low-interest loans to businesses creating new jobs orpreserving existing employment opportunities.WEBSITE: http://development.ohio.gov/Business/loans_grants.htm#166DR Business Investment Divisio n, Loans & Servicing Office Email: [email protected] PROGRAM NAME: Collateral Enhancement Program (CEP)MAXIMUM AMOUNT AVAILABLE : Maximum Lender loan amount is $5 million, Minimum loan amount for working capital is $250,000CAN BE USED FOR: Loan purposes must be consistent with the general purpose contained in the regulation. They include but are not limited tothe following: Business and industrial acquisitions when the loan will keep the business from closing, prevent the loss of employmentopportunities, or provide expanded job opportunities; Business conversion, enlargement, repair, modernization, or development; Purchase anddevelopment of land, easements, rights-of-way, buildings, or facilities; or Purchase of equipment, leasehold improvements, machinery, supplies,or inventory.

ABOUT THE PROGRAM: CEP was created to facilitate increased lending by banks to small businesses, minority-and women-owned businesses,and businesses located in HubZone areas that need access to capital for growth or expansion. The CEP is designed to enable financing that mightotherwise be unavailable due to a collateral shortfall. The program supplies pledged cash collateral accounts to lending institutions to enhancecollateral coverage of individual small business loans. The program is designed to target certain situations or industries, like manufacturing, in

which there is a collateral shortfall.WEBSITE: http://development.ohio.gov/Minority/cep.htm Email: [email protected]

PROGRAM NAME: Innovation Ohio Loan Program (IOF)MAXIMUM AMOUNT AVAILABLE: up to 75% of allowable project costs from $500,000 to $1,500,000CAN BE USED FOR: Eligible projects include those related to industry, commerce, distribution or research activities. Retail projects are ineligible .

ABOUT THE PROGRAM: IOF promotes assistance to existing Ohio companies in developing next generation products and services within certainTargeted Industry Sectors. The Ohio Development Services Agencys IOF Loan provides competitive financing terms on loans to finance projects
http://development.ohio.gov/Business/loans_grants.htm#166DRhttp://development.ohio.gov/Business/loans_grants.htm#166DRhttp://development.ohio.gov/Business/loans_grants.htm#166DRhttp://development.ohio.gov/Minority/cep.htmhttp://development.ohio.gov/Minority/cep.htmhttp://development.ohio.gov/Minority/cep.htmhttp://development.ohio.gov/Minority/cep.htmhttp://development.ohio.gov/Business/loans_grants.htm#166DR


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that will positively impact Ohio by creating high-value jobs, increased tax revenues and improve the economic welfare of the State. IOF Loanaddresses an identified need in the capital-funding continuum. The IOF Loan is intended to supply capital to Ohio companies having difficultysecuring funds from conventional sources due to technical and commercial risk factors associated with the development of a new product orservice.WEBSITE: http://development.ohio.gov/ohiothirdfrontier/InnovationOhioLoanFund.htm Strategic Business Investment Division, Loans & Servicing Office Email: [email protected]

PROGRAM NAME: Minority Direct Loan Program MAXIMUM AMOUNT AVAILABLE: The minimum direct loan under the Minority Direct Loan Program is $45,000. CAN BE USED FOR:Acquisition of land and buildings; New construction; Renovation to existing buildings; or Acquisition of machinery andequipment/ In addition, limited soft costs related directly to the fixed asset expenditure may be included. Examples of eligible soft costs include:architectural/engineering costs; installation costs for machinery; and financing costs for bank loans.Minority Direct Loan funds may not be used for: Working capital, Refinancing, Rolling stock, Inventory/receivable financing, Speculative realestate development, Relocation costs, Office equipment, Small tools, or supplies

ABOUT THE PROGRAM: The program provides direct loans for businesses locating or expanding in Ohio that demonstrate they will create new jobs for Ohio citizens. The program focuses on several factors to determine the eligibility. Chief among those determinations are the number of jobs created and/or retained as a result of the States investment, the extent of participation by the business and a conventional lender in theproject; and the demonstration by the business that the States assistance is necessary in order for the project to go forward. In its review ofloan applications, the office also evaluates the management capacity of the company, the availability of working capital, and the overall ability ofthe company to repay its debt.WEBSITE: http://development.ohio.gov/Minority/MDLP.htm The Office of Minority Financial Incentives

PROGRAM NAME: Ohio Capital Access ProgramMAXIMUM AMOUNT AVAILABLE: $350,000 for fixed asset financing, and $250,000 for working capital f inancingCAN BE USED FOR:Loans can be used for short-term or long-term commercial real estate purchases, expansions, or renovations, Equipmentpurchases (new or used), Leasehold improvements, working capital, inventory, purchases, or rolling stock, Refinancing of another Lenders debt,start-up costs, franchise financing, or other business purpose

ABOUT THE PROGRAM: The program is a loan portfolio insurance program (similar to a loan guarantee) that enables small businesses to obtaincredit to help them grow and expand their businesses. Since 2002, the OCAP has assisted countless small businesses with their working capitaland fixed asset financing needs. In OCAP, when a participating Lender originates a loan, the Lender and Borrower combine to contribute apercentage of the loan (from 3 percent to 6 percent) into a reserve fund, held by the Lender. The Ohio Development Services Agency also sends
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a state contribution to the Lender-held reserve fund. Each Lenders total OCAP reserve fund is available to cover losses on any loan in theLenders OCAP portfolio. OCAP loans are originated and serviced by the Lender. The Ohio Development Services Agency also uses funds from theState Small Business Credit Initiative to make contributions to the reserve fund.WEBSITE: http://development.ohio.gov/Minority/CAP/default.htmEmail: [email protected]

PROGRAM NAME: Ohio Enterprise Bond Fund (OEBF) MAXIMUM AMOUNT AVAILABLE: 90% of allowable project costs with loans ranging in size from $2,000,000 to $10,000,000CAN BE USED FOR:Land and/or building purchase; if the project involves the purchase of an existing building, the business must occupy at least51% of the premises, Machinery & equipment purchase, Building construction and/or renovation costs; if the project involves new constructionthe business must occupy at least 60% of the premises, Long-term leasehold improvements, Ongoing businesses fixed asset purchase, orCapitalizable costs directly related to a fixed-asset purchase. Refinancing is ineligible

ABOUT THE PROGRAM: OEBF rated AA- by Standard & Poors, promotes economic development, business expansion and job creation byproviding financial assistance for allowable costs of eligible projects in the State of Ohio. The Ohio Development Services Agency issues bonds,

the proceeds of, which are loaned to business for allowable costs of eligible projects. The OEBF Loan provides long-term, fixed-rate, one-stopproject financing for qualifying businesses that create or preserve employment opportunities in the State of Ohio. The OEBF Loan also enableslarge and small creditworthy businesses access to capital at costs comparable to those of rated multi-national corporations.WEBSITE: http://development.ohio.gov/Business/Loans_Grants.htmStrategic Business Investment Division, Loans & Servicing Office Email: [email protected]

PROGRAM NAME: Community Reinvestment AreasRate/Terms : Up to 100% exemption of the improved real property tax valuation for up to 15 years depending on the project. Local legislativeauthority establishes rates and terms. In some instances, local school board approval may be required.

BENEFITS:Substantial real estate property tax reduction for new real property Eligibility: Real property investment incentives are available for residential, commercial, and/or industrial projects involving remodeling or newconstruction. Commercial and industrial projects must have an agreement in place prior to investment. Local legislative authority establishesproject eligibility. ABOUT THE PROGRAM: Provides local real-property tax incentives for residents and businesses that invest in designated areas of Ohio. In orderto apply, the municipality or county must apply to the State Development Director for confirmation. Investors meeting the local criteria mustapply to the municipality or county for the real property tax exemption.WEBSITE: http://development.ohio.gov/Business/CRA/default.htm CONTACT: Office of Tax Incentives 614-466-2317 or 800-848-1300
http://development.ohio.gov/Minority/CAP/default.htmhttp://development.ohio.gov/edd/cra/http://development.ohio.gov/edd/cra/http://development.ohio.gov/Business/CRA/default.htmhttp://development.ohio.gov/Business/CRA/default.htmhttp://development.ohio.gov/Business/CRA/default.htmhttp://development.ohio.gov/edd/cra/http://development.ohio.gov/Minority/CAP/default.htm


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PROGRAM NAME: Ohio Enterprise Zone ProgramRate/Terms : Up to 75% exemption in incorporated areas and up to 60% exemption in unincorporated areas on real property (or personalproperty, if applicable) for up to 10 years. Local school board approval is required to exceed this rate and/or term limits. BENEFITS:Substantial tax reductions on new real property investment (and personal property first used in business in Ohio, if applicable).Reductions apply to the increase in assessed value for real property and items first-used by the business in Ohio for personal property. Notethat: 1) manufacturing machinery and equipment new to the state purchased after 1/1/05 will not be taxed and 2) once personal property tax isphased out, the personal property tax incentive will no longer be applicable.Eligibility: Industrial projects (retail/service projects are eligible in limited areas) Businesses must finalize agreement to retain or createemployment; establish expand, renovate or occupy a facility in an Enterprise Zone; and invest in new real and/or personal property prior toproject initiation.

ABOUT THE PROGRAM: Provides real property tax incentives for businesses that expand or locate in Ohio (may provide personal property taxincentives for those qualifying businesses that continue to pay personal property tax). In order to apply, the municipality or county must apply tothe state Development Director for certification. To secure benefits, non-retail businesses must apply to the local community for local property

tax exemptions. Additional state franchise or state income tax incentives may be available through the Department of Development..WEBSITE: http://development.ohio.gov/Business/ez/ CONTACT: Office of Tax Incentives 614-466-2317 or 800-848-1300

PROGRAM NAME: Ohio Historic Preservation Tax CreditRate/Terms : The tax credit subsidy is 25% of qualified rehabilitation expenditures (QRE) not to exceed the QRE estimates in the application, withan application cap of $5M. QREs are hard construction costs that meet the requirements of the US Secretary of Interiors Standards forRehabilitation of Historic Properties. BENEFITS:The tax credit can be applied to applicable dealer in tangible, corporate franchise, or state income taxes.Eligibility: Applicants must meet four threshold criteria: The applicant is the fee simple owner of the building described in the application and is

a non-governmental entity; The building is listed on the National Register of Historic Places; is located in a registered historic district and iscertified by Ohios State Historic Preservation Officer as being of historic significance to the district/ or is listed as a historic landmark by acertified local government; The rehabilitation work as described in the application is consistent with the United States Secretary of the InteriorsStandards for Rehabilitation; and The issuance of an Ohio Historic Preservation Tax Credit is a major factor in the applicants decision torehabilitate the historic building or to increase the level of investment in the rehabilitation of the historic building.

ABOUT THE PROGRAM: The program provides a tax credit for the rehabilitation expenses to owners of historically significant buildings.Funding is provided through competitive rounds based on economic benefit and regional distributive balance.WEBSITE: http://development.ohio.gov/Urban/OHPTC/ CONTACT: Urban Development Division 614-995-2292
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PROGRAM NAME: Ohio Job Creation Tax CreditRate/Terms : Ohio Tax Credit Authority determines eligibility and termsBusiness must demonstrate to the Authority that the tax credit is a major factor in its decision to go forward with the project Local communitymust also provide a letter of support for the projectBENEFITS: Refundable state franchise or income tax credits that minimize expenditures to encourage business expansion and/or locationprojects in Ohio. The tax credit will apply against the corporate franchise tax through 6/30/08, and transfer to cover the Commercial Activity Tax(CAT) liabilities for tax period beginning July 1, 2008. The program will continue to be refundable.Eligibility: Businesses that create at least 25 net new full-time positions at a facility in Ohio and pay a minimum of 150% of federal minimumwage. In special circumstances, a company could create as few as 10 new full-time positions paying at least 400% of the federal minimum wage

ABOUT THE PROGRAM: Provides corporate franchise or state income tax credit for businesses that expand or locate in Ohio for companies thatincur tax liability under ORC Sections 5733.06 or 5747.02. Program will provide a tax credit against the Commercial Activity Tax (CAT) beginningon July 1, 2008.Insurance companies that pay the annual franchise tax under ORC Sections 5725.18/5729.03 are eligible for the tax creditbeginning July 1, 2005.

WEBSITE: http://development.ohio.gov/Business/jctc/ CONTACT: Office of Tax Incentives 614-466-2317 or 800-848-1300

PROGRAM NAME: Ohio Job Retention Tax Credit RATE/TERMS: Ohio Tax Credit Authority determines eligibility and terms Credits awarded to companies that are engaged at the project siteprimarily as a manufacturer or providing significant corporate administrative functions and can demonstrate the tax credit is a major factor in itsdecision to retain jobs in Ohio. Local community must also provide financial support for the project. BENEFITS:Nonrefundable corporate franchise or state income tax credits for corporations, partnerships, limited liability companies and otherpass-through entities to minimize the costs of maintaining an operation in the state. The tax credit will transfer to cover the Commercial Activity

Tax (CAT) liabilities for tax period beginning July 1, 2008. The program will continue to be non-refundable.ELIGIBILITY:Businesses that currently employ at least 1,000 full-time employees and make a capital asset investment of at least $200 million. Inspecial circumstances, a company could invest at least $100 million if the retained positions pay, and will continue to pay, at least 400% of thefederal minimum wage.

ABOUT THE PROGRAM: Provides corporate franchise or state income tax credit for businesses that commit to re tain a significant number offull-time jobs. Program will provide a tax credit against the Commercial Activity Tax (CAT) beginning on July 1, 2008.WEBSITE: http://development.ohio.gov/cms/uploadedfiles/Root/JRTCsummary.pdf http://development.ohio.gov/Business/OTI.htm CONTACT: Office of Tax Incentives 614-466-2317 or 800-848-1300
http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/cms/uploadedfiles/Root/JRTCsummary.pdfhttp://development.ohio.gov/cms/uploadedfiles/Root/JRTCsummary.pdfhttp://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/cms/uploadedfiles/Root/JRTCsummary.pdfhttp://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/http://development.ohio.gov/Business/jctc/


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PROGRAM NAME: Technology Investment Tax Credit Rate/Terms : Provides a tax credit for taxpayers that invest in small, Ohio-based technology companies. The amount of the tax credit is 25% (or30% in some limited cases) of the amount invested by the taxpayer. The maximum investment to which this credit may be applied is $250,000(or $300,000). The credit may be claimed against personal income tax, corporate franchise tax, public utility excise tax or the dealers inintangibles tax. To be eligible, the company must have its principal place of business located in Ohio and must also have less than $2.5 million inrevenue or less than $2.5 million in net assets for the most recently completed fiscal year. Finally, the entity must be engaged in a business thatprimarily involves R&D and/or technology transfer.Benefits: Investors may reduce their state taxes by up to 25% of amount investedEligibility: Businesses primarily focused on research and development, technology transfer, or the application of a new technology Businessmust have gross revenues less than $1 million, or net book value of less than $1 million, at the end of most recent fiscal year. Principal place ofbusiness and 1/2 of its gross assets and employees must be in Ohio Business must have received less than $1 million in investments that havequalified for the tax credit.

ABOUT THE PROGRAM: Offers a variety of benefits to Ohio taxpayers who invest in small, research and development and technology-oriented

forms.WEBSITE: http://development.ohio.gov/technology/titc/Default.htm CONTACT: Technology Division

PROGRAM NAME: Ohio International Market Access Grant for Exporters (IMAGE) MAXIMUM AMOUNT AVAILABLE: IMAGE funds will reimburse companies a maximum of $6,000 (50 percent on qualifying expenditures up to$12,000)* for activities associated with new international marketing initiatives *Companies located in the Ohio Appalachian region may qualify for an additional 50 percent reimbursement up to $2,000 to use toward theeligible export-related activities.

Companies may apply for an additional 50 percent reimbursement up to $3,000 for any State of Ohio trade mission, OR up to $2,000 for anyU.S. Department of Commerce trade mission, to use toward participant fees, market research and appointment setting fees, economy classairfare, and lodging.CAN BE USED FOR: International trade show participation (excluding airfare, meals, and lodging)e.g., Booth space rental and construction,interpreter fees, freight costs to ship booth, and trade show participation fees; Subscription to services provided by the U.S. Department ofCommerce and other approved providerse.g., International Partner Search, Gold Key Service, Single Company Promotion, Commercial NewsUSA, etc.; Select international marketing and technical translation servicese.g., Website and marketing material translation services, technicalmanual translations, and label translation services; Exporter specialized education programse.g., Global Target
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ABOUT THE PROGRAM: Many Ohio farmers struggle with the high cost of borrowing operating funds for their businesses each year. ThroughAg-LINK, the State Treasurers office partners with eligible banks and Farm Credit Lenders on an annual basis to provide reduced interest ratesfor farmers. Every year before the planting season, many farmers finance their operating costs for feed, seed, fertilizer, and fuel. Ag-LINK helpsoffset the impact of these costs.WEBSITE: http://www.ohiotreasurer.org/aglink CONTACT: (800) 228-1102 option 3

PROGRAM NAME: Renew & Rebuild OhioMAXIMUM AMOUNT AVAILABLE: $400,000 (result of severe weather in 2011 )CAN BE USED FOR: State Treasurer Josh Mandel has initiated Renew Ohio and Rebuild Ohio, emergency financing programs for Ohioans whosebusinesses, farms and homes were damaged by flooding and severe weather.BORROWER: Business owners and farmers must: Have suffered severe damage or loss as a result of severe weather in 2011; Obtain a loan froman eligible bank or apply for a reduction on a current loan to improve cash flow; Agree to comply with monitoring requests as required by theTreasurer; and Agree to comply with other requirements as stipulated in the application.

ABOUT THE PROGRAM: Renew Ohio will assist small business owners and the agricultural community. Business owners and farmers can alsoapply for priority rate reduction assistance through the Ohio Treasurys GrowNOW Program.WEBSITE: http://www.ohiotreasurer.org/renewrebuild CONTACT: (800) 228-1102 option 3

OHIO AIR QUALITY DEVELOPMENT AUTHORITY PROGRAMS

Ohio Air Quality Development Authority50 W. Broad Street, Suite 1718, Columbus, OH 43215

Phone: 614-224-3383

PROGRAM NAME: Clean Air Resource Center Loan and Grant MAXIMUM AMOUNT AVAILABLE: No MaximumCAN BE USED FOR: The Clean Air Resource Center provides loans to help businesses in many industries finance pollution control or preventionprojects. From dry cleaners that need machines with cleaner emissions to collision repair shops that must install paint booths, CARC offersfinancing to help all types of companies become compliant with air quality regulations.
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ABOUT THE PROGRAM: CARC strives to support the critical role played by small businesses in Ohios economy and recognizes the financialchallenges presented by environmental regulations. CARC offers special services specifically for small business owners. In addition to helpingsmall businesses pay for up-front costs of financing of air quality projects, we provide access to technical assistance and one-on-one consultingto help business owners understand clean air regulations. CARC is the one-stop shop for small business owners. Services include: One-on-onetechnical assistance; On-site visits; Confidential compliance assessments; Permitting assistance; Tax incentives through conduit financing; andSmall business grants to cover closing costs.WEBSITE: www.ohioairquality.org/clean_air/default.asp CONTACT: Small Business Hotline: 800-225-5051 Phone: 614-728-3540 Fax: 614-752-9188

PROGRAM NAME: Ohio Air Quality Development Authority Loan and Grant MAXIMUM AMOUNT AVAILABLE: No MaximumCAN BE USED FOR: The definition of eligibility can be found in the Ohio Revised Code, Section 3706.01 (G). This legislation describes exactlywhat can be financed through OAQDA. The key portion follows:(1) Any method, modification or replacement of property, process, device, structure, or equipment that removes, reduces, prevents, contains,

alters, conveys, stores, disperses, or disposes of air contaminants or substances containing air contaminants, or that renders less noxious orreduces the concentration of air contaminants in the ambient air, including, without limitation, facilities and expenditures that qualify as airpollution control facilities under section 103 (C)(4)(F) of the Internal Revenue Code of 1954, as amended, and regulations adopted thereunder; (2) Motor vehicle inspection stations operated in accordance with, and any equipment used for motor vehicle inspections conductedunder, section 3704.14 of the Revised Code and rules adopted under it; (3) Ethanol or other biofuel facilities, including any equipment used atthe ethanol or other biofuel facility for the production of ethanol or other biofuels; (4) Any property or portion thereof used for the collection,storage, treatment, utilization, processing, or final disposal of solid waste resulting from any method, process, device, structure, or equipmentthat removes, reduces, prevents, contains, alters, conveys, stores, disperses, or disposes of air contaminants, or that renders less noxious orreduces the concentration of air contaminants in the ambient air; (5) Any property, device, or equipment that promotes the reduction ofemissions of air contaminants into the ambient air through improvements in the efficiency of energy utilization or energy conservation.All definitions and other provisions of OAQDA financing should be carefully reviewed in ORC 3706.

ABOUT THE PROGRAM: The role of the Ohio Air Quality Development Authority is to provide for the conservation of air as a natural resource ofthe state to prevent or abate the pollution of the air, to provide for the comfort, health, safety and general welfare of all citizens of the state andto assist in the financing of air quality facilities for industry, commerce, and research.WEBSITE: www.ohioairquality.orgCONTACT: Ohio Air Quality Development Authority Phone: 614-224-3383
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OHIO DEPARTMENT OF TAXATIONOhio Department of Taxation, Sales Tax DivisionPhone: 614- 466-7351 or 888- 405-4039

PROGRAM NAME: Manufacturing Machinery & Equipment Sales Tax Exemption Rate/Terms : Exempts business from entire state and county sales tax for purchases of machinery and equipment used primarily for manufacturing BENEFITS:Provides significant tax savings for companies and individuals that are involved in manufacturing in Ohio Eligibility: Includes machinery, equipment, supplies and fuel used primarily in a manufacturing operation to produce tangible personal property for sales

ABOUT THE PROGRAM: Provides an exemption from state and county sales tax for companies that purchase machinery and equipment for manufacturingactivities. Vendor needs a blanket exemption certificate, available on-line at the Department of Taxations website (http://tax.ohio.gov/) under Business, TaxForms WEBSITE: http://development.ohio.gov/Business/OTI.htm

PROGRAM NAME: Ohio Research and Development Investment Tax CreditRATE/TERMS: The credit equals 7% of the excess amount of Qualified Research Expenses.BENEFITS:Nonrefundable tax credit.The tax credit currently is applied against a companys corporate franchise tax. The tax credit will transfer to cover the Commercial Activity Tax(CAT) for corporations subject to ORC Section 5733.01(G)(2) after tax year 2008. Any excess credit not used in the taxable year in which it isearned by be carried forward for up to 7 years. ELIGIBILITY:Only those taxpayers subject to the franchise tax provision of ORC Section 5733.06, or those subject to division (G)(2) of section5733.01 under CAT tax are eligible for the credit.Taxpayer must invest in Qualified Research Expenses, defined within Section 41 of the Internal Revenue Code and includes both in-houseresearch expenses (wages and supplies) and contract research expenses.

New investment in a taxable year must exceed business' annual average investment in Qualifying Research Expenses for the tree previoustaxable years. ABOUT THE PROGRAM: Provides a nonrefundable tax credit against the corporate franchise tax and is designed to encourage Ohioscorporations to invest in increased research and development activities.WEBSITE: http://development.ohio.gov/Business/OTI.htm
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PROGRAM NAME:Research and Development Sales Tax ExemptionRate/Terms : Exempts business from entire state and county sales tax for purchases of machinery and equipment used primarily for research anddevelopment.Benefits: Provides significant tax savings for companies undertaking research and development activities in OhioEligibility: Includes research and development activity in both direct and pure research.Direct research refers to research conducted to design, create or formulate new or better products, equipment or processes.Pure research refers to scientific or technological inquiry and experimentation in the physical sciences.

ABOUT THE PROGRAM: Provides an exemption from the usual state and county sales tax for companies that purchase equipment for researchand development activities. Vendor needs a blanket exemption certificate, available on-line at the Department of Taxations website(http://tax.ohio.gov/) under Business, Tax Forms.WEBSITE: http://development.ohio.gov/Business/OTI.htm

PROGRAM NAME:Warehouse Machinery & Equipment Sales Tax ExemptionRate/Terms : Exempts business from entire state and county sales tax for purchases of eligible machinery and equipment Benefits: Provides tax savings for companies purchasing machinery and equipment for warehousing, distribution and direct marketing activities

Eligibility: Includes machinery and equipment used primarily (51%) in storing, transporting, mailing or handling inventory in a warehouse,distribution center or similar facility if the inventory handled by the facility is primarily distributed outside Ohio to retail stores owned by thebusiness or affiliated group that owns the Ohio facility or distributed by means of direct marketing

ABOUT THE PROGRAM: Provides an exemption from state and county sales tax for companies that purchase eligible warehousing equipment.Vendor needs a blanket exemption certificate, available on-line at the Department of Taxations website (http://tax.ohio.gov/) under Business,Tax FormsWEBSITE: http://development.ohio.gov/Business/OTI.htm

OHIO ARTS COUNCIL PROGRAMSOhio Arts Council30 East Broad Street, 33 rd Floor, Columbus, OH 43215Phone: 614-466-2613Email: [email protected]

PROGRAM NAME: Artists with Disabilities Access ProgramMAXIMUM AMOUNT AVAILABLE: Applicants may request up to $500
http://tax.ohio.gov/http://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/Business/OTI.htmhttp://tax.ohio.gov/http://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/Business/OTI.htmhttp://development.ohio.gov/Business/OTI.htmmailto:[email protected]:[email protected]:[email protected]://development.ohio.gov/Business/OTI.htmhttp://tax.ohio.gov/http://development.ohio.gov/Business/OTI.htmhttp://tax.ohio.gov/


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CAN BE USED FOR: OAC funds may be used for a variety of expenses. Artists often choose to dedicate funds to: attend or present at aconference; attend a class or workshop; participate in a mentorship with another artist or arts organization; rent studio space or art equipment;undertake a planning process with a consultant or agent to develop business skills; purchase art supplies or equipment (e.g., framing,photographic supplies, cameras, CDs, etc.); pay for professional services (e.g., an assistant, marketing, resume writing); or travel. Please refer tothe Funding Restrictions section below for a list of applicant restrictions.

ABOUT THE PROGRAM: Artists provide the imagination and creativity that fuels cultural vitality in small and large communities throughoutOhio. Developing an artistic career is a long-term process that requires various types of assistance at different times. The OAC recognizes thatartists with disabilities often face unique challenges to advancing their artistic practice. The Artists with Disabilities Access Program (ADAP)provides funding that gives artists with disabilities the resources they need to further their artistic development. The OAC believes the creativeexpression of artists of all abilities is essential to building vibrant, dynamic communities throughout Ohio. WEBSITE: http://www.oac.state.oh.us/grantsprogs/guidelines/ADAP.asp CONTACT: Applications to ADAP may be submitted either electronically via the OACs OnLine Grant Application system (OLGA) or via paperapplication. VSA Ohio is available to assist artists with disabilities in completing their applications and facilitating access to the program. If anartist prefers to handwrite the application, he/she should contact VSA Ohio at 614/241-5325 to request a paper application. Additionaldirections for applying to ADAP are included in both the online and paper application forms.Online Grant Application system (OLGA) Phone: 614-728-4449

PROGRAM NAME: Individual Excellence Awards MAXIMUM AMOUNT AVAILABLE: Individual Excellence Awards are $5,000. Grant awards are recommended by discipline review panels. Allrecommendations must be approved by the OAC board. The Individual Excellence Award program is very competitive; less than 10 percent ofapplicants receive funding.CAN BE USED FOR: Individual Excellence Awards may be used for a variety of expenses related to the growth and development of the artist andhis or her work. The award may be used for any purpose designated by the receiving artist, except it cannot be used to continue educationthrough a degree-granting program.Grantee: Creative artists who are residents of Ohio may apply to this program. Applicants must have lived in Ohio for one year prior to theSeptember 1 deadline and must remain in the state during the grant period.

ABOUT THE PROGRAM: The Individual Excellence Awards program provides grants to Ohio artists for the exceptional merit of a completed bodyof work. These awards recognize creativity and imagination that exemplify the highest level of achievement and advancement of the art form fora particular discipline. With this support the OAC encourages the growth and development of individual artists. Awards are offered in thefollowing areas: choreography, crafts, fiction/non-fiction, poetry, playwriting/screenplays, criticism, design arts/illustration,interdisciplinary/ performance art, media arts, music composition, photography and visual arts. The awards are based on the quality of past workand are not project-based.WEBSITE: http://www.oac.state.oh.us/grantsprogs/guidelines/IndividualExcellenceAwards.asp#IEAWhatSupport CONTACT: OnLine Grant Application system (OLGA) Phone: 614-728-4449
http://www.oac.state.oh.us/grantsprogs/guidelines/ADAP.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/ADAP.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/ADAP.asphttp://www.culturegrants-oh.org/http://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#programhttps://www.culturegrants-oh.org/http://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#interdisciplinaryhttp://www.oac.state.oh.us/grantsprogs/guidelines/IndividualExcellenceAwards.asp#IEAWhatSupporthttp://www.oac.state.oh.us/grantsprogs/guidelines/IndividualExcellenceAwards.asp#IEAWhatSupporthttp://www.oac.state.oh.us/grantsprogs/guidelines/IndividualExcellenceAwards.asp#IEAWhatSupporthttps://www.culturegrants-oh.org/https://www.culturegrants-oh.org/http://www.oac.state.oh.us/grantsprogs/guidelines/IndividualExcellenceAwards.asp#IEAWhatSupporthttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#interdisciplinaryhttps://www.culturegrants-oh.org/http://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#programhttp://www.culturegrants-oh.org/http://www.oac.state.oh.us/grantsprogs/guidelines/ADAP.asp


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PROGRAM NAME: Ohio Heritage Fellowships MAXIMUM AMOUNT AVAILABLE: Ohio Heritage Fellowship awards are $3,500. Grant amounts are recommended by a review panel. Allrecommendations must be approved by the OAC board.CAN BE USED FOR: Ohio Heritage Fellowship awards may be used for a variety of expenses related to the growth and development of the artistand their work. The award may be used for any purpose designated by the receiving individual except to continue their education through adegree-granting program. BORROWER: Individuals must be nominated in order to receive an award from the Ohio Heritage Fellowship program. Individuals may notnominate themselves. Nominees must have lived in Ohio for one year prior to the January 15 deadline.

ABOUT THE PROGRAM: The Ohio Heritage Fellowship program recognizes Ohio folk and traditional artists who are the finest and mostinfluential masters of their particular art forms and traditions, and whose work in the folk and traditional arts have had a significant impact onthe people and communities of the state. Awards are given in three categories: Performing Arts, Material Culture (e.g., folk art, folk crafts andfolk architecture) and Community Leadership. The OAC expects awardees to adhere to cultural artistic traditions and work to maintain theaesthetics and preservation of their art form, while also contributing to the public visibility of the folk and traditional arts; be activelyparticipating in their art form as a practitioner, a mentor, teacher or community leader; and be creating works of depth and brilliance thatdeepen our awareness of the rich and diverse cultural and artistic traditions of the people of Ohio.

WEBSITE: http://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritage CONTACT: The Ohio Heritage Fellowship program nomination form is NOT part of OLGA. The nomination form is available online at:http://www.oac.ohio.gov/search/OhioHeritageFellowships/SearchFellowshipNominations.asp .

PROGRAM NAME: Ohio River Border InitiativeMAXIMUM AMOUNT AVAILABLE: The maximum grant award for ORBI's annual grant program is $3,000 to any one group or artist. Themaximum award for Artist Fact Track grants is $500, and the maximum award for Accessibility Mini-Grants is $1,000.CAN BE USED FOR: ORBI annual grants may be used to fund: Transportation costs for bringing art to people or people to art; Artist fees andservices; Costs of administering the project; Marketing costs and publicity; Art or educational materials. Artist Fast Track grants may be used tofund: Professional and artistic development for attendance at workshops, conferences, seminars, master classes, exhibits, exchange programs;Presentation opportunities--preparation of portfolios and slides, printing of brochures or marketing materials and demonstration tapes; Rentalexpenses for rehearsal or studio space for time periods of less than one month; Shipping and crating of art works for a show or exhibit; Lodgingand transportation costs for a training session, workshop, conference or exhibit; or Rental of equipment/purchase of supplies required forshowing and displaying artwork. Accessibility Mini-Grants may be used to fund: Minor physical plant improvements such as hand rails, ramps,door alterations; Sign and visibility improvements for people with vision limitations; Assistive devices for hearing or visually impaired people;Signers and other assistive service providers; Accessibility improvements for websites to improve use by the visually impaired; or Direct outreachactivities to people with disabilities in the applicant's community. For a complete list of funding criteria and restrictions, visit:http://orbi.org/orbi-grants/.
http://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritagehttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritagehttp://www.oac.state.oh.us/search/OhioHeritageFellowships/SearchFellowshipNominations.asphttp://www.oac.state.oh.us/search/OhioHeritageFellowships/SearchFellowshipNominations.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#criteriahttp://www.oac.state.oh.us/grantsprogs/guidelines/%20http:/orbi.org/orbi-grants/http://www.oac.state.oh.us/grantsprogs/guidelines/%20http:/orbi.org/orbi-grants/http://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#criteriahttp://www.oac.state.oh.us/search/OhioHeritageFellowships/SearchFellowshipNominations.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritage


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ABOUT THE PROGRAM: Since 1994, ORBI has awarded a total of more than $450,000 in grant funding to a wide variety of projects, artists andcommunity groups in West Virginia and Ohio counties that border the Ohio River. ORBI's annual grant program funds projects that encourageactive collaborations among artists, communities and/or organizations on both sides of the Ohio River. In addition to the annual grant program,ORBI offers grants for individual artists through its Artist Fast Track program. Fast Track grants are intended to support immediate, short-termprojects that have a positive impact on the career development of artists by helping them: Increase access to audiences and venues; Developnew skills and insights; and Investigate new artistic ideas and approaches.WEBSITE: http://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritage CONTACT: The ORBI grant application forms are NOT part of the OAC's OnLine Grants Applications (OLGA) system. You can find the applicationforms and information on program-specific application requirements here: http://orbi.org/orbi-grants/.

PROGRAM NAME: Traditional Arts Apprenticeship ProgramMAXIMUM AMOUNT AVAILABLE: The maximum award is $4,000 for a master and apprentice to work together, regardless of the number ofapprentices. Master artist fees should be at least half of the requested amount.CAN BE USED FOR: The Traditional Arts Apprenticeship program provides grants to compensate the master artist for teaching time. However,supplies, materials and travel expenses for the master and apprentice may also be included in the application. The OAC is not permitted to

support stipends for apprentices and equipment purchases may not exceed $500. The master artist or apprentice may apply for only oneapprenticeship each year. The program is designed to fund more than just lessons; it is intended to support a mentoring relationship betweenmaster artist and apprentice. It may not be used to support an ongoing class or school. Funds are not available in this program for apprenticeswho wish to travel and study with master artists who live outside the United States. Masters and apprentices must be U.S. citizens or permanentresident aliens and must have lived in the United States for at least eight months before the application deadline date.

ABOUT THE PROGRAM: The Traditional Arts Apprenticeship program provides awards that allow dedicated apprentices to work with masterartists in a time-honored method to acquire an understanding of and proficiency in valued art forms. Master artists are recognized within theircommunities as exemplary practitioners of traditional art forms and as important repositories for the wisdom and knowledge of our ancestors.Apprentices should have prior experience in the art form and demonstrate significant promise and long-term commitment to practicing the art.The apprenticeship work plan should allow for in-depth learning that encompasses the context of the culture and the development of amentoring relationship as well as the acquisition of techniques and artistry.WEBSITE: http://www.oac.state.oh.us/grantsprogs/guidelines/TraditionalArtsApprenticeship.asp CONTACT: The ORBI grant application forms are NOT part of the OAC's OnLine Grants Applications (OLGA) system. You can find the applicationforms and information on program-specific application requirements here: http://orbi.org/orbi-grants/.
http://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritagehttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritagehttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritagehttp://orbi.org/orbi-grants/http://orbi.org/orbi-grants/http://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#programhttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#programhttp://www.oac.state.oh.us/grantsprogs/guidelines/TraditionalArtsApprenticeship.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/TraditionalArtsApprenticeship.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/TraditionalArtsApprenticeship.asphttp://orbi.org/orbi-grants/http://orbi.org/orbi-grants/http://orbi.org/orbi-grants/http://www.oac.state.oh.us/grantsprogs/guidelines/TraditionalArtsApprenticeship.asphttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#programhttp://www.oac.state.oh.us/grantsprogs/guidelines/guide_definitions.asp#programhttp://orbi.org/orbi-grants/http://www.oac.state.oh.us/grantsprogs/guidelines/guide_other.asp#ohioheritage


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OHIO SMALL BUSINESS DEVELOPMENT CENTERS (SBDC)

Akron (330) 375-2111 Fremont (419) 559-2210

Athens (740) 593-1797 Hamilton (513) 737-6543Ashland (419) 755-9011 Kent (330) 474-3597Cambridge (740) 432-6568 Lima (419) 995-8184Cincinnati Urban League (513) 487-1155 Marietta (740) 373-5150Cincinnati Clermont Chamber (513) 576-5000 New Philadelphia (330) 308-7479Cleveland Urban League (216) 622-0999 North Canton (330) 244-3290Cleveland Cleveland State U. (216) 359-0220 Painesville (440) 357-2290Cleveland Hispanic Center for (216) 281-4422 Piketon (800) 860-7232Economic Development Piqua (937) 381-1516Columbus (614) 287-5294 Springfield (937) 322-7821Dayton - Entrepreneur Center (937) 281-0118 Toledo (419) 243-8191Dayton Wright State University (937) 775-4761 Youngstown (330) 941-2140Defiance (419) 782-6270

OHIO INTERNATIONAL TRADE ASSISATANCE CENTERS (ITAC)

Cleveland (216) 875-9715 Toledo (419) 243-8191Columbus (614) 287-3850 New Philadelphia (330) 308-7479Dayton (937) 775-3524 Piketon (800) 860-7232Kent (800) 793-0912 Youngstown (330) 941-2140

OHIO MANUFACTURING and TECHNOLOGY SMALL BUSINESS DEVELOPMENT CENTERS (MTSBDC)

Columbus (614) 287-2553 Piketon (800) 297-2072Kent (330) 672-0793 Toledo (419) 243-8191Mansfield (419) 525-1614

www.OhioSBDC.com
http://www.ohiosbdc.com/http://www.ohiosbdc.com/http://www.ohiosbdc.com/

business finance opportunities part ii

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