Business Incentives

Beginning Farmer Bonds

Beginning Farmer Bonds are used to back below-market interest rate financing for eligible agricultural land, construction/improvements, breeder livestock, and equipment for qualified farmers.

Visit https://www.treasurer.ca.gov to learn more.

California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA)

(Full) Sales and Use Tax Exclusion – Advanced Manufacturing & Transportation and Alternative Energy  The Sales and Use Tax Exclusion (STE) for Manufacturers Program reached the 2019 Annual $100 million statutory cap. Applications are now being accepted for 2020.

California Capital Access Program (CalCAP) & CA Pollution Control Financing Authority (CPCFA)

The California Pollution Control Financing Authority (CPCFA) has been providing low-cost innovative financing to California businesses. CPCFA can facilitate low-cost financing to qualified waste and recycling projects, and other projects to control pollution and improve water supply.

Pollution Control Tax-Exempt Bond Financing Program: https://www.treasurer.ca.gov/cpcfa/tax_exempt.asp CPCFA also administers the California Capital Access Program (CalCAP), which encourages financial institutions to make loans to small businesses and provides for specialty programs targeted toward building an improved infrastructure for zero- and partial-emission vehicles and helping small businesses comply with the federal Americans with Disabilities Act (ADA) and seismic safety standards.

CalCAP for Small Business: https://www.treasurer.ca.gov/cpcfa/calcap/sb/index.asp

Collateral Support: https://www.treasurer.ca.gov/cpcfa/calcap/collateral/index.asp

Seismic Safety Program: https://www.treasurer.ca.gov/cpcfa/calcap/seismic/summary.asp

ADA Financing Program: https://www.treasurer.ca.gov/cpcfa/calcap/ada/index.asp

CARB Heavy Duty Vehicle Air Quality Loan Program: https://www.treasurer.ca.gov/cpcfa/calcap/arb/index.asp

Electric Vehicle Charging Station Financing Program: https://www.treasurer.ca.gov/cpcfa/calcap/evcs/index.asp

Update on CPCFA’s notice regarding the supplemental CalCAP benefits in natural disaster areas has been posted to the webpage. The link to the notice is: https://www.treasurer.ca.gov/cpcfa/designation-natural-disaster-areas.pdf

California Competes

State Income Tax credits available to businesses that want to come to California or stay and grow in California.

Visit https://www.business.ca.gov/Programs/CaliforniaCompetesTaxCredit to learn more.

California Competes Tax Credit

The California Competes Tax Credit (CCTC) application periods, credits available, and committee meeting dates for the fiscal year 2019-2020 have been posted here. The next application period will start on January 6, 2020 with $75 million in tax credits available. Starting January 6, 2020 the online application can be accessed at www.calcompetes.ca.gov. Application instructions, FAQs, and other technical assistance documents are available at www.business.ca.gov/CalCompetes.aspx. If you have any questions regarding the CCTC or application process, please contact the office at (916) 322-4051 or send an email to CalCompetes@gobiz.ca.gov.

California Infrastructure and Economic Development Bank (IBank) CLEEN Center

Offers financing to public agencies and non-profit corporations to help achieve the State’s greenhouse gas reduction goals and increase market confidence in green investing.

Visit https://www.ibank.ca.gov to learn more.

Central Sierra Economic Development District & Mother Lode Job Training

Partner with local economic development offices to bring workforce and economic development assistance to businesses and residents throughout the Mother Lode Region.

Visit https://www.csedd.org/ and https://mljt.org/ to learn more.

Employment Training Panel (ETP)

Provides funding to employers for training associated with upgrading the skills of their workers.

Visit https://etp.ca.gov/ to learn more.

External Affairs/Communication Unit

GO-Biz Made in California – Podcast https://podcasts.apple.com/us/podcast/made-in-california/id1468201383

#ShopLocalCA feature businesses in your community and use the hashtag #ShopLocalCA. Businesses are being shared and featured on GO-Biz's Twitter (@CAGOBIZ)

Food Production Investment Program 2019

https://www.energy.ca.gov/solicitations/2019-08/gfo-19-901-food-production-investment-program-2019  The goals of the program are to accelerate the adoption of advanced energy efficiency and renewable energy technologies at California food processing plants, demonstrate their reliability and effectiveness, help California food processors work towards a low carbon future, and benefit priority populations. Deadline to Submit Applications for Round 2: February 14, 2020, 5:00 p.m. Deadline to Submit Commitment Letter(s): March 16, 2020, 5:00 p.m.

GO-Biz

California small business assistance, international trade development, assistance with state government.

Visit https://business.ca.gov/Programs to learn more.

IBANK

Revised CA Small Business Loan Guarantee Program & Disaster Relief Loan Guarantee Program

Maximum guarantee $1 Million www.ibank.ca.gov

Industrial Development Bond Project Program

Small-Issue Industrial Development Bonds (IDBs) are tax-exempt, private-activity bonds that are issued to provide financing for construction or expansion of manufacturing facilities, or the purchase of new equipment.

Visit https://www.treasurer.ca.gov to learn more.

Manufacturing and R&D Partial Sales and Tax Exemption

Manufacturers and certain research and developers may qualify for a partial exemption of sales and use tax on certain manufacturing and research and development equipment purchases and leases.

Visit https://www.boe.ca.gov to learn more.

Northeastern California Small Business Development Center (SBDC) San Joaquin Delta College

Business assistance to provide access to capital, consultants, and educational workshops thought a robust network.

Visit https://sbdc.deltacollege.edu/ to learn more.

Office of Small Business Advocate

The Office of Small Business Advocate (OSBA) unit within GO-Biz provides information and assistance to small businesses to help them succeed in the California marketplace. OSBA hosts a variety of summits, forums and interagency meetings. It also maintains a comprehensive list of resources for small business technical assistance, financing and state procurement. OSBA also advocates the need for businesses to become emergency ready. Review the information below on how to prepare for, respond to, and recover from emergency events: https://www.business.ca.gov/Programs/Small-Business-Assistance/Emergency-Preparedness

Opportunity Zones

Opportunity Zones - Opportunity Zones are a tool for economic development. They are a means to attract new capital to be deployed into a community. They allow investors to defer, reduce, or eliminate taxes on their unrealized capital gains. Opportunity Zones can be utilized to fund a wide array of community-supported projects, from renewable energy to affordable housing. There are 879 qualified census tracts in California, in 57 of 58 counties. GO-Biz just completed a statewide webinar on the OZ and Promise Zone Programs. You can view a recording of the webinar and the presentations under “Annual Meeting” at https://business.ca.gov/Programs/Opportunity-Zones

Recording: https://www.youtube.com/channel/UCD5Z1UmJf-AuSCzYwYlS22Q

Pacific Gas and Electric (PG&E)

Business customers investing in facility equipment, new construction, and energy efficiency measures are eligible for a variety of loans, technical assistance programs, and rebates.

Visit https://www.pge.com/en_US/business/save-energy-money/business-solutions-and-rebates/product-rebates/product-rebates.page to learn more.

Regions Rise Together

Regions Rise Together is a vision for inclusive economic development and sustainable land use and transportation planning across California regions, with a focus in 2019 on inland California. This effort is led by the Governor’s Office of Business and Economic Development (GO-Biz), the Governor's Office of Planning and Research (OPR) and CA Fwd.

Small Business Financing in California Guide

Tax Exemption for Farm Equipment

Partial exemption from the sales and use tax became available under section 6356.5 for the sale, storage, use, or other consumption of farm equipment, machinery and their parts to qualified persons for use in qualifying activities. The partial exemption also applies to leases of certain farm equipment and machinery.

Visit https://www.boe.ca.gov to learn more.

Tax Increment Financing Opportunities

EIFDs and CRIAs were introduced by the California Legislature from 2014-2015, enabling a new model for financing infrastructure and economic development in California. The statutes authorize the creation of districts by a local city or county. Special districts may participate. They are the most widely used tax increment financing tools for economic development following redevelopment.  Update: On 10/9 Governor Newsom signed AB-116 (Ting), which alters requirements for the establishment of the EIFD. EIFDs now follow a familiar approval process to CRIAs – three public hearings that take place 30 days apart rather than district-wide voter approval.

The California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA)

Provides full sales and use tax exclusion for advanced manufacturers, manufacturers of alternative source and advanced transportation products, and manufacturers using recycled feedstock.

Visit https://www.treasurer.ca.gov/caeatfa/ to learn more.

Timber Harvesting Partial Sales and Use Tax Exemption

Partial exemption from the sales and use tax became available under section 6356.5 for the sale, storage, use, or other consumption of farm equipment, machinery and their parts to qualified persons for use in qualifying activities. The partial exemption also applies to leases of certain farm equipment and machinery.

Visit https://www.boe.ca.gov to learn more.

U.S Department of Labor, Employment and Training Administration

The Work Opportunity Tax Credit (WOTC) is a Federal tax credit available to employers for hiring individuals from certain target groups who have consistently faced significant barriers to employment.

Visit https://doleta.gov/business/incentives/opptax/ to learn more

U.S. Small Business Administration (SBA)

Several small business grant and loan programs.

Visit https://www.sba.gov/loans-grants to learn more.

USDA

Provides funding opportunities for rural small businesses through loans, loan guarantees, and grants.

Visit https://www.rd.usda.gov/programs-services/programs-services-businesses to learn more.