There are a variety of special business incentive zones located in Harrisonburg.
The Commonwealth of Virginia created a one stop shop to find the full suite of economic development incentives available from the state. The list of programs can be found at www.vedp.org/incentives.
Virginia offers a variety of tax credits that are available for use against a company’s corporate tax liability. For a complete list and detailed information, visit www.tax.virginia.gov/content/tax-credits.
Historic Rehabilitation Tax Credits
- Through the federal and state rehabilitation tax credit programs, property owners are given substantial incentives for private investment in preservation. State tax credits are available for owner-occupied, as well as income-producing buildings. If your property is income-producing, you may also be able to take advantage of federal tax credits.
New Markets Tax Credit
- The New Markets Tax Credit Program provide individual and corporate investors a tax credit against their federal income tax in exchange for making equity investments in specialized financial intermediaries called Community Development Entities (CDEs). The credit totals 39 percent of the original investment amount and is claimed over a period of seven years. A significant portion of Harrisonburg is located within a New Markets Tax Credit incentive zone. To check whether a specific property is within a qualified tract, visit the Community Development Financial Institutions mapping tool and enter the property’s address.
Whether your business is large or small, new or rapidly growing, Harrisonburg Economic Development can connect you with the right financing program to meet your needs.
- The Harrisonburg Business Loan Program provides up to $25,000 to encourage small business development and expansion. The program provides an alternative to traditional loans making it easier for small businesses to access funding.
- The Small Business Administration (SBA) offers a variety of financing programs to assist small businesses. These programs include the 7(a) Loan Program and the Microloan Program.
- The Virginia Small Business Financing Authority is the Commonwealth of Virginia’s economic development and business financing arm.
- The Virginia Economic Development Partnership offers a variety of financing and incentive programs in cooperation with Harrisonburg Economic Development.
- Shenandoah Valley Angel Investors (SVAI) is a network of private investors that help fund entrepreneurial enterprises located in our communities. SVAI’s primary interest is Start-Up/ Early Stage business ventures with funding needs in the range of $50,000 to $300,000 that leverage technology to create a new product or service. A review committee assesses and ranks business proposals based on several factors, including: market potential, scalability, new job creation, intellectual property, competition, management team, business acumen, capital intensity and potential return on an equity investment.