HUBZone: The HUBZone Empowerment Contracting Program was established to stimulate economic development and creates jobs in urban and rural communities by providing Federal contracting preferences to small businesses. These preferences go to small businesses that obtain HUBZone (Historically Underutilized Business Zone) certification in part by employing staff who live in a HUBZone (35% of staff must reside in a HUBZone). The company must also maintain a "principal office" in one of these specially designated areas and be owned and controlled by one or more U.S. Citizens. The program resulted from provisions contained in the Small Business Reauthorization Act of 1997 and falls under the auspices of the U.S. Small Business Administration. Lake Elsinore’s industrial parks are located within a designated HUBZone.
Fast Track Program: With the exception of projects requiring technical or environmental studies, development proposals involving commercial or industrial projects with a high value to the community can be expedited through the entitlement process after conferring with the Planning Manager, Environmental Manager, and notifying principal interested agencies (i.e., Water District, County Fire, etc.). Most “Fast Track” projects can be processed within sixty days. The applicant should provide a submittal timeline to assure that the necessary work is completed in a timely manner.
No Utility Use Tax: There is no utility use tax, including electric, telephone, cellular, gas, and water, for businesses located in Lake Elsinore.
Foreign Trade Zone: Businesses in the City of Lake Elsinore have an opportunity for Foreign Trade Zone designation. Foreign Trade Zones (FTZs) were created in the United States to provide special customs procedures to U.S. plants engaged in international trade-related activities. Duty-free treatment is accorded items that are processed in FTZs and then re-exported, and duty payment is deferred on items until they are brought out of the FTZ for sale in the U.S. market. This helps to offset customs advantages available to overseas producers who compete with domestic industry.
Office of Foreign Trade Agreement: The City of Lake Elsinore recently entered into an agreement with the Office of Foreign Trade which focuses on exports, foreign direct investments, diplomatic relations and global business attraction. This will provide assistance with exporting, foreign finance, logistics, shipping, federal and international trade regulations, treaties and other areas directly related to foreign trade and investment.
International Investor Program via EB 5 – Investment increments of $500,000.00 are available to help capitalize your company. You set interest and loan repayment terms.
Export-Import Bank – Financing via the Office of Foreign Trade – Assists your international customers in finding credit to purchase your products at a very low interest rate. Export-Import Bank can also loan businesses funds to sell products overseas and for new machinery.
Developer Agreements: The City of Lake Elsinore has a history of cooperation with developers and is very open to agreements involving infrastructure issues.
Fiber Optics: Wireless Internet services are available and a new state-of-the-art Verizon FIOS fiber optic network has been completed.
Brine Line: The City is serviced by a brine line, or non-reclaimable wastewater line. This provides a disposal point for industries that produce non-recyclable waste brines.
Competitive Lease/Sale Prices: The City of Lake Elsinore has some of the lowest lease/sales rates in southern California. This, combined with low property tax rates, makes Lake Elsinore a very competitive place to do business.
Affordable Housing: The City of Lake Elsinore offers a wide variety of housing choices. From low income to executive homes, prices are extremely affordable and competitive.
Quality Education: The Lake Elsinore Unified School District is one of the highest performing schools districts in the entire county. The City lies within a one hour drive of over 20 colleges and universities, with combined enrollment of more than 150,000 students.
Transportation Networks: Just 68 miles to San Diego, 74 miles to Los Angeles, 60 miles to Orange County and 30 miles to Riverside, the City of Lake Elsinore is centrally located along the I-15 corridor. The City is served by 5 international airports (San Diego, Orange County, Ontario, Los Angeles and Palm Springs) and 3 local commuter airports which accommodate corporate jets and/or commuter planes (French Valley, Hemet-Ryan and Riverside Municipal). DHL service is also available out of March ARB. Water networks include the deep water ports of San Diego and Los Angeles-Long Beach, rail transport through Santa Fe and Union Pacific is available in San Bernardino and the City is serviced by several trucking companies.
Market Driven Solutions: Lake Elsinore is one of only a handful of cities in the United States to adopt an information driven, technology-based approach to working with prospective and existing business clients. The City has access to highly sophisticated information available from many commercial databases. These databases, which computerize information from thousands of sources, make it possible to obtain information on competitors, look at trends within your particular industry, provide targeted mail lists, or create customized research reports. Using the GIS (Geographic Information System), the City can provide computer mapping and geographic analysis for your business. We are able to determine demographics, consumer expenditures, provide lifestyle data, market profiles and drive-time analyses, and can also map your current customer and competitor locations. GIS provides an ideal way to visualize and conduct analysis on your current and future market areas. Information of this caliber is typically only available to large corporations because of its high cost, and the City is proud to offer this as a free service to our business community.
Workforce Development: The Workforce Development Centers of Riverside County (WDC) employ a full staff of Business Solutions Consultants who provide a variety of services to businesses to help them maximize their success. These services include recruitment assistance to help companies streamline the prescreening, assessment and job posting process. A sampling of services also include labor market information, government resources, job description development and help with accessing hiring and tax incentives.
Hiring Incentives: On-the-Job Training (OJT) through the WDC allows a business to hire and train a new employee in the basic skills necessary to perform the job while working in the job. A business can receive up to 50% of the employee’s wages to help offset the cost of training.
Tax Incentives: The Work Opportunity Tax Credit (WOTC) is a state program that allows a business to take a one-time tax credit up to $9,000 for hiring individuals who meet certain criteria.
For more information about WDC programs and services, visit www.rivcoworkforce.com
New California State Incentives: Manufacturing Equipment Sales Tax Exemption – The existing sales tax credit for businesses located in Enterprise Zones has been expanded to a statewide sales tax exemption on manufacturing equipment or research and development equipment purchases by companies engaged in manufacturing or biotechnology research and development. A business will be allowed to exclude the first $200 million equipment purchases from the state share of sales tax (4.19%) beginning in January 2014.
Hiring Credit – This credit will be available for the hiring of long-term unemployed workers, unemployed veterans, and people receiving the federal earned income tax credit. Twenty-five percent of these funds will be designated for small businesses. The credit will be 35 percent of wages between 1.5 and 3.5 times the minimum wage for a period of five years.
California Competes Credit – Businesses will have the opportunity to compete for available tax credits based on specified criteria including the number of jobs to be created or retained, a minimum compensation limitation, and a set job retention period. 25% of these credits will be designated for small businesses.