The eFactory to receive state tax credits

The Missouri State University business incubator The eFactory is one of six statewide small-business incubators to be certified by the Missouri Department of Economic Development and approved for state tax credits through the Small Business Incubator Tax Credit program.


The eFactory in downtown’s Robert W. Plaster Center for Free Enterprise and Business Development applied for and received $155,330 in tax credits. The funds leveraged by these credits must be used for capital and other nonoperating expenditures, according to a DED release. The applicants have committed $1 million in local investment and all contributions must be received between Jan. 1 and Dec. 31 of this year in order to qualify for the 2012 tax credits.
 
 “Being recognized as a certified incubator by Missouri is important to be eligible for incubator tax credits,” said Allen Kunkel, MSU associate vice president for economic development, in an email. “This will allow us to raise additional revenues for continued improvements to The eFactory to meet our tenant needs and those of entrepreneurs in the region.

“Because of the project costs and existing budget, there were improvements and equipment we were not able to provide in the current facility. The tax credits will allow us to engage donors and strategically make investments in the facility.”
 
The eFactory features 20,000 square feet of leasable space, including 150-square-foot offices, 550-square-foot office suites and 800- to 2,500-square-foot labs, as well as manufacturing space. The incubator currently has eight tenant client companies, leasing and occupying 13 of the 32 leasable spaces, according to an MSU news release.

Statewide, applications and tax credits for the following small business incubators have been approved:

• Center for Emerging Technologies, St. Louis, $106,216;
• Direct Impact Business Education Center, St. Louis County, $55,232:
• The eFactory, Springfield, $155,330
• Joseph Newman Business & Technology Incubation Center, Joplin, $26,554;
• Life Sciences Business Incubator Center, Columbia, $122,148; and
• Ozarks Small Business Incubator, West Plains, $34,520

The Small Business Incubator Tax Credit program is designed to generate private funds to be used to establish a protective business environment incubator in which a number of small businesses can collectively operate, fostering growth and development during a business’ start-up period, according to the DED release.[[In-content Ad]]