$110 million OK'd for Missouri job creation

Opportunities for economic growth and job creation will be greatly increased in disadvantaged areas of Missouri as the result of a $110 million allocation of federal New Markets tax credits to a state entity, Gov. Bob Holden announced March 17.

Advantage Capital Partners, based in St. Louis, has received a $110 million tax credit allocation, the seventh largest awarded to any entity in the nation. Advantage is the only Missouri-based company to receive an allocation and was one of 66 entities nationwide selected out of 350 applicants.

"This is certainly great news for the state of Missouri and should help stimulate economic growth through the creation and retention of jobs in our state," said Holden. "All of the funds will be targeted to disadvantaged areas of Missouri and investments will range from venture capital transactions to real estate projects and business loans. Venture capital is extremely important to job creation."

Holden said all of the credits have to be issued within one year from the fundraising date.

This is a multi-year program that could result in even larger amounts for Missouri in the coming years, Holden said.

The New Markets Tax Credit Program is a federal tax initiative designed to increase the amount of investment capital in low-income communities. The program provides investors, such as banks, insurance companies, corporations and individuals with federal income tax credits in return for new investments in eligible businesses.