Melbourne Starting A Business
Melbourne and Brevard) County is an area that is growing rapidly and welcomes
new business.
The Melbourne (Brevatd County) metropolitan area, which includes Titusville,
Cocoa, Meritt island and Palm Bay, has a population of more than 500,000
It is defiitely one of the most diverse metro areas in all of Florida.
Although the areas are sprawled out, they all have a small town feel, a
great infrastructure and a “user-friendly attitude.”
Whether you’re considering relocating a company or starting a business
from scratch, Melbourne wants your business.
To consider:
Employees:
Over 185,00- in the Brevard County area.
The market and potential:
- Total Population 519,000
- Population Forecast (2010) 588,000
- Median Age 41
- Income
- Median Income $35,271
- Average Household Income $47,571
Some of the more significant advantages to living and establishing businesses in Florida, with respect to taxes are:
No state income tax
No corporate income tax on sub-chapter S corporations
First $5000 of taxable income apportioned to Florida is exempt
No state property tax on inventory or equipment
No business inventory tax
No corporate franchise tax on capital stock
No corporate tax on limited partnerships, individuals, Estates and private
trusts
No collected or assessed state property tax
No sales tax on "boiler fuels" used at a fixed Florida location
in an industrial manufacturing, processing or compounding process
No sales and use tax on goods manufactured or produced in Florida for resale
or export outside Florida
Corporation accounts receivable (one third) exempt from intangible property
tax
Exemption of employee stock options from employer
No property tax on goods-in-transit for up to 180 days
While these are in themselves incentives, the following are additional
incentives offered by the State and local government working together to
provide you with an environment conducive to your success.
Ad Valorem Tax Exemption (real and personal property) is offered by the
local government and is based on the financial impact projected on the
County (number of employees, capital expenditure, etc.).
Sales and Use Tax Exemption
Silicon technology-based industry transactions involving manufacturing
or research equipment
Purchases of machinery and equipment used by a new or expanding Florida
business to manufacture, produce or process tangible personal property
for sale
Labor, parts and materials used in repair of and incorporated into machinery
and equipment that qualify for sales tax exemption upon purchase (phased
in over four years, 25% exempt on July 1, 1999)
Electricity used in the manufacturing process (phased in over five years,
80% exempt on July 1, 1999)
Aircraft parts, modification, maintenance and repair, sale or lease of
qualified aircraft
Commercial space activity - launch vehicles, payloads and fuel, machinery
and equipment for production of items used exclusively at Spaceport Florida
Labor component of research and development expenditures---------------------------------------------------------------------
Summary of Florida's Tax Incentive
Qualified Target Industry Tax Refund Programs
This program provides an inducement for target industry to locate new facilities
in Florida or to expand existing facilities in Florida. The program provides
tax refunds of $3,000 per new job created. The incentive is increased to
$6,000 per job if the company locates in a rural county or an Enterprise
Zone. Higher awards are available to companies paying very high wages.
To qualify for the “QTI” program, a company must create at
least 10 new jobs (or a 10% increase for expanding Florida companies),
pay an average of at least 115% of area wages, have a significant positive
impact on the community and have local support.
Quick Response Training Program
The Quick Response Training Program provides grant funding for customized
training to new or expanding businesses. The program is flexible and
structured to respond quickly to meet business training objectives. A
local training provider – community college, area technical center
or university – is selected and available to assist in the application
process and program development or delivery. If the business has a training
program in place, a state training provider will supervise and manage
the training program and serve as the fiscal agent for the grant funds.
Reimbursable textbooks/manuals, materials/supplies and training equipment.
Economic Development Transportation Fund
This grant program provides up to $2 million to local governments for the
construction or improvement of transportation infrastructure needed to
accommodate new or expanding industry.
Expedited Permitting Assistance
State and local permit streamlining procedures are available to assist
businesses in obtaining necessary permits and approvals in a quick, efficient
and predictable manner.
Specialized Incentives
Your project may qualify for opportunities such as urban or rural tax credits,
and incentives for brownsfields and enterprise zones.
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Local Property Tax Incentive
New and expanding businesses can be granted an exemption from property
taxes on improvements to real property and for tangible personal property.
In order for a company to be eligible for this incentive, it must first
meet the definitions of a new or expanding business as defined below:
New Business:
A manufacturer which establishes ten or more full-time jobs.
A business with more than 50% of its sales outside the State of Florida
which establishes 25 or more jobs.
Office space of a new Florida corporation housing 50 or more full-time
employees of the corporation.
The above are applicable if the business is on a site clearly separate
from any other facility owned by the same business.
Any business located in a slum or blighted area as defined by Section 163.355, Florida Statutes.
Expanding Business:
A manufacturer that adds a minimum of ten new employees and increases
employment by 10% or increases productive output by a minimum of 10%.
A business with more than 50% of its sales outside the State that adds
a minimum of 25 new employees and increases employment by 10% or increases
productive output by a minimum of 10%.
The expansion must be on the same or a co-located site of the business’ current
operations.
If a business meets one of the above definitions as a new or expanding
business, it may then file an application for the Economic Development
Property Tax Exemption with the local County Commissioners or the appropriate
municipality or both. After the city or county commission receives this
application, it must submit the application to the county property appraiser
for review. After the property appraiser makes the report as to the fiscal
impact of granting the exemption, the county or city commission shall then
adopt an ordinance in the usual manner-granting the exemption.
A business cannot receive exemption from school taxes or water management
district taxes. Also, a business must pay taxes that were approved by the
voters of a city or county to pay for bond issues and other special tax
levies authorized by the voters of a city or county.
The exemption can only be for the improvements to the real property and
for tangible personal property. The land on which the new or expanding
business is to be located will still be taxed.
The State offers programs such as the Qualified Target Industry (QTI) Tax
Refund Program (tax refund), a Sales Tax Exemption on Electricity and Steam
(exemption), a High Impact Performance Incentive (grant) and more.
Tax Information: State
Corporate Income Tax 5.5%
Personal Income Tax 0.0%
Retail Sales Tax 6.0%
Intangible Tax (per $1,000) $1 - $1.50
Groceries and medicine exempt from retail sales tax
Small Business Assistance
Below are nine resources proven helpful to start up and maintain a succesful
small business!
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Small Business Administration - www.sba.gov
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Small Business Development Center - www.fausbdc.com
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US Chamber of Commerce Small Business Center - www.uschamber.com/sb
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(The US Chamber of Commerce's Small Business Center is a one-stop shop for small businesses, containing everything from practical business advice to the latest small business news from Washington, D.C.)
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Florida Small Business - www.floridasmallbusiness.com
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Enterprise Florida - www.eflorida.com
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The Florida Venture Forum - www.flvencap.org
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SCORE Counselors to America's Small Business - www.score-chapter412.org
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Odeon Group (Small Business Administration Intermediary) - 305 681-9600
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Micro Business USA - 305 438-1407
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First Florida Capital - (888) 320-5504
