Incentive ProgramsThe City offers several different types of local financial incentives to new or expanding businesses in Bowling Green. These incentives range from low interest loans to tax credits. These programs compliment incentives which are offered by the State. A brief explanation of each is offered below, along with the contact person for each program. For more information on any of these programs, contact us at (270) 393-3000.
Job Development Incentive Program
This program is limited to new or existing service, technological or industrial companies. New jobs must be created, producing a minimum of $10,000 annually in City withholding tax over the incentive period. The incentive will be in the form of a witholding credit withheld from their employees over the incentive period. The incentive funds may be used for items such as land acquisition, building, construction, renovation, machinery, equipment or working capital.
Bowling Green Revolving Loan Fund
This low interest loan program was designed to further job creation in the City, particularly for persons of low to moderate income. It is funded through repayment of previous economic development loans from the State. To be eligible, the project must result in the creation or retention of jobs of which at least 51% are filled by low to moderate income persons. Eligible project costs include land acquisition, building, construction, renovation, machinery, equipment or working capital. The maximum amount of the loan is $10,000 per job created.
Community Development Block Grants
The City can apply on behalf of a business to the Kentucky Department of Local Government for assistance in three categories. The first, traditional economic development, is similar to the low interest Revolving Loan Fund explained above. However, this State program allows for a loan ratio of up to $20,000 per job created.
The second category is non-traditional economic development which provides low interest loans for businesses that support development but may not directly create jobs. Examples of businesses in this category include day cares, job training, transportation and educational programs.
The final category is for agencies that provide technical assistance to persons wishing to start or expand a micro-enterprise operation.