If 2020 were a normal year, organizations would be furiously preparing their Consolidated Funding Applications to submit to Empire State Development by August 1, but as we all know, 2020 is far from normal.
Since March when all non-essential workers were instructed to stay at home, the State has responded to the lack of personal protection equipment (PPE) with the Production & Development of Medical/Critical Need Supplies Related to Covid 19 – Financial Assistance Program.
Unlike other State grant programs that have new job creation reporting associated with the awards, this new grant is about production. If your organization has the capacity to manufacture PPE supplies or your current business operations can be modified or re-tooled to help meet the demand for PPE materials, the State of New York wants to help.
This grant is meant to be deployed in 6-12 weeks - a quick turnaround for a state as large as New York. Specifically, applicants must be in New York State or plan to produce their products here. The business must be able to demonstrate their experience, expertise, and financial stability to implement the proposed project. Eligible costs the grant can cover can include capital equipment, materials needed for production, operating expenses associated with increased production, and costs associated with compliance or regulatory expenses.
Be prepared to share proof of FDA approval, any orders or contracts you currently have in place or any other documentation that can substantiate proposals that are in the works.
If you’re ready to have a conversation about whether your business could be eligible for these funds, call Invest Buffalo Niagara and we can assist you in the application process.
As our counties, state and country open back up, we expect additional incentives to restart our economy will be available.
More reasons to expand your manufacturing business to NYS
New York State has created standard benefits to make it lucrative for manufacturing companies locating here. These standard benefits are just that – no applications necessary. We refer to these benefits as “as-of-right” incentives. New York State has built these benefits right into the tax law to lower barriers for manufacturers to invest and create jobs in the state. These lucrative incentives include:
- No state corporate income tax for manufacturing companies*
- No inventory/real personal property tax
- No sales tax on production or R&D equipment
You read that right. Qualified manufacturers in New York State would have a 0% state corporate income tax rate. And there is no end date for these benefits. Unless the law in the state changes, these as-of-right incentives never expire for qualified companies.
These tax benefits are great for businesses looking to expand and grow in New York, but it doesn’t stop there. There are additional benefits available for qualifying companies at both the state and local level. While these are discretionary and require an application, they are a great way to mitigate operating costs. We can help you understand which ones to apply for and walk you through the processes.