BUSINESS LINE OF CREDIT
COMMUNITY ECONOMIC DEVELOPMENT FUND           
The CEDF provides lines of credit up to $250,000.

Eligibility Requirements
Connecticut businesses must meet one of the following requirements to be eligible to apply:

1. Location Eligible: The business is not bankable and is located in one of the 53 eligible communities listed on the website regardless of each owner's household income
2. Income Eligible: The business is not bankable* and even though it is not located in an eligible CT community, each owner's annual household income (Adjusted Gross Income) is $112,600 or less.

Here, bankable means: The business is unable to obtain a loan from a traditional bank.

Application Information

• Submit a Loan Inquiry Form.
• Print the Loan Application along with the applicable documents.
• Complete the Loan Application. Don't forget all of the needed supporting documents. See the checklist provided. Submit your completed application package to:
  • CEDF,  Attention: Ricardo Vidal, Director of Lending,  965 East Main Street,  Meriden, CT 06450

Application Link

Additional information available from the Community Economic Development Fund.

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COMMERCIAL REAL ESTATE LOANS
COMMUNITY ECONOMIC DEVELOPMENT FUND
The CEDF provides businesses term loans, owner-occupied commercial real estate loans, and lines of credit up to $750,000 in combination.

Eligibility Requirements

• The owner of the business applying must have been in business for three years or longer
• The owner must have a business located or to be located in the building occupying 51% or more of the space (i.e. no pure investment real estate)
• Personal guaranty from all principals involved

Application Information
Submit a Loan Inquiry Form.

• Print the Loan Application along with the applicable documents.
• Complete the Loan Application. Don't forget all of the needed supporting documents. See the checklist provided. Submit your completed application package to:
  • CEDF,  Attention: Ricardo Vidal, Director of Lending,  965 East Main Street,  Meriden, CT 06450

Application Link

Additional information available from the Community Economic Development Fund.

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ELECTRONIC DATA PROCESSING EQUIPMENT PROPERTY TAX CREDIT
CONNECTICUT DEPARTMENT OF REVENUE SERVICES    
Credit equal to 100% of property taxes owed and paid on electronic data processing hardware peripheral equipment and software; credit may be applied against certain other CT taxes.

Eligibility Requirements
For more information, please contact the Connecticut Department of Revenue Services.

Electronic data processing equipment means computers, printers, peripheral computer equipment, bundled software, and any computer-based equipment acting as a computer, as defined under section 168 of the Internal Revenue Code of 1986, and any other equipment reported as Code 20 property on the Personal Property Declaration as prescribed by the Secretary of the Office of Policy and Management.

Application Information
Complete Form CT-1120 EDPC, Electronic Data Processing Equipment Property Tax Credit, and attach it to Form CT-1120K, Business Tax Credit Summary, and/or Form CT-207K, Insurance/Health Care Tax Credit Schedule.

Application Link

Additional information available from the Connecticut Department of Revenue Services.

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ENTERPRISE ZONE PROGRAM
CONNECTICUT DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT           
An Enterprise Zone is a designated area in a Targeted Investment Community. Incentive benefits are provided for eligible business relocation/expansion projects.

Eligibility Requirements
These programs are designed to encourage capital improvements to land and/or buildings. Businesses must be prepared to either:

1. renovate an existing facility by investing at least 50% of the facility’s prior assessed value in the renovation
2. construct a new facility or expand an existing facility
3. acquire a facility that has been idle for a stated minimum timeframe (sliding scale dependent on average number of employees for previous six months):
   • (if 19+ employees) at least one year
   • (if 6-19 employees) at least six months
   • (if 5 or fewer employees) no idleness requirement applies

If the applicant is leasing this qualifying facility, the lease must be for at least five years with the option at that point to either renew the lease for an aggregate term of not fewer than 10 years or buy the facility. If the business averages fewer than 10 employees, those requirements may be reduced to aggregate leases of fewer than six years or the option to purchase after three years.

Some zones might specify a range of North American Industrial Classification System (NAIC) codes, priority industry clusters, and/or pre-approved non-manufacturing and service business operations such as those listed in Addendum A; please refer to the Related Resources section.

Application Information
For businesses seeking tax incentives and other benefits: Across all cities and towns that are approved by the DECD to participate in the Enterprise Zone program:

Step One

1. Before starting any project, the business must first submit a formal request through the local economic development office of the municipality in order to obtain a Preliminary Questionnaire.
2. If pre-qualified, the business would receive from the DECD a formal application and an invitation to apply.

Step Two

1. The business submits a complete application with required documentation to the DECD prior to October 1 of the year in which the project will be completed.
2. If approved, DECD would issue a Certificate of Eligibility.

For cities and town seeking to be approved for one of the Enterprise Zone program designations: The municipalities should first obtain local approvals to ensure the zone meets municipal and regional requirements, and then the municipality would submit a formal proposal to the Commissioner of the Connecticut Department of Economic and Community Development for review and approval.

Application Link

Additional information available from the Connecticut Department of Economic and Community Development.

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FIXED CAPITAL INVESTMENT TAX CREDIT
CONNECTICUT DEPARTMENT OF REVENUE SERVICES    
A tax credit may be applied against the tax imposed under Chapter 208 of the Connecticut General Statutes for amounts paid or incurred by a corporation for fixed capital.

Eligibility Requirements
Fixed capital means any new tangible personal property that meets all of the following criteria:

1. It must have a class life of more than four years;
2. It must have been purchased from someone other than a related person;
3. It is not leased or acquired to be leased to another person within 12 months of purchase; and
4. It will be held and used in Connecticut by a corporation in the ordinary course of the corporation’s trade or business in Connecticutfor a period of not less than five full years following its purchase.

Fixed capital does not include:

1. Inventory;
2. Land;
3. Buildings or structures; or
4. Mobile transportation property.

Related person means a corporation, partnership, association, or trust controlled by the corporation; an individual, corporation, partnership, association, or trust that is in control of the corporation; a corporation, partnership, association, or trust controlled by an individual, corporation, partnership, association, or trust that is in control of the corporation; or a member of the same controlled group as the corporation.

With respect to a corporation, control means ownership, directly or indirectly, of stock possessing 50% or more of the total combined voting power of all classes of the stock of the corporation entitled to vote; with respect to a trust, control means ownership, directly or indirectly, of 50% or more of the beneficial interest in the principal or income of the trust. Ownership is determined as provided in Section 267(c) of the Internal Revenue Code of 1986, or any subsequent corresponding Internal Revenue Code of the United States, as from time to time amended, other than paragraph (3) of that section.

Mobile transportation property is any transport equipment designed to move or convey people or property from one place to another, including but not limited to:

1. Trucks;
2. Buses;
3. Forklifts;
4. Snowplows; or
5. Certain construction equipments such as backhoes, bulldozers, cement mixers, and loaders.

Application Information
Complete Form CT-1120 FCIC, Fixed Capital Investment Tax Credit, and attach it along with any required detailed schedule to Form CT-1120K, Business Tax Credit Summary.

For more informtion, please contact the Connecticut Department of Economic and Community Development for details.

Application Link

Additional information available from the Connecticut Department of Revenue Services.

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HOUSING PROGRAM CONTRIBUTION TAX CREDIT
CONNECTICUT HOUSING FINANCE AUTHORITY
The Housing Program Contribution tax credit is available to business firms that make cash contributions to housing programs that benefit low and moderate income individuals and families. The housing programs must be sponsored, developed, or managed by nonprofit corporations.

Eligibility Requirements
The housing programs must be sponsored, developed, or managed by nonprofit corporations.

Business firm means:

• Any business entity authorized to do business in Connecticut and subject to the corporation business tax;
• Any company subject to the tax imposed under Chapter 207;
• Any air carrier subject to the air carriers tax imposed under Chapter 209;
• Any railroad subject to the railroad companies tax imposed under Chapter 210;
• Any community antenna television systems company subject to the tax imposed under Chapter 211; or
• Any utility subject to the utility companies tax imposed under Chapter 212.

Nonprofit corporation means any nonprofit corporation incorporated according to Chapter 602 of the Connecticut General Statutes (or any predecessor statutes) which: 1) has as one of its purposes the construction, rehabilitation, ownership or operation of  housing; and 2) has articles of incorporation that have been approved by the executive director of CHFA in accordance with CHFA’s adopted regulations.

Application Information
Contact CHFA Tax Credit Unit at 860-721-9501, Ext. 237 or go to www.chfa.org for information regarding the application process.

Additional information available from the Connecticut Department of Revenue Services.

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HUMAN CAPITAL INVESTMENT TAX CREDIT
CONNECTICUT DEPARTMENT OF REVENUE SERVICES    
The Human Capital Investment Tax Credit may be applied against the Connecticut corporation business tax for amounts paid or incurred for certain types of human capital investments.

Eligibility Requirements
Human capital investment means:

1. In-state job training of persons employed in Connecticut;
2. Work education programs in Connecticut;
3. Worker training and education of persons employed in Connecticut provided by Connecticut institutions of higher education;
4. Donations or capital contributions to institutions of higher education in Connecticut for improvements or advancement of technology, including physical plant improvements;
5. Planning, sit preparation, construction, renovation, or acquisition of facilities in Connecticut for the purpose of establishing a day care facility to be used primarily by the children of employees who are employed in Connecticut;
6. Child care subsidies paid to employees employed in Connecticut for child care provided in Connecticut; or
7. Contributions made to the Individual Development Account Reserve Fund administered by the Connecticut Department of Labor.

Expenditures associated with the “in-state job training of persons employed in Connecticut” include:

1. Training materials;
2. Direct expenses relating to training (e.g., the cost of a training instructor);
3. Course registration fees; and
4. Travel costs related to training, provided the travel is within Connecticut.

Additional Provisions

• The credit claimed cannot exceed the amount of tax liability.
• Corporations claiming expenditures for the Human Capital Investment Credit cannot claim or use the same expenditures against any other corporation business tax credit.

Application Information
Complete Form CT-1120 HCIC, Human Capital Investment Tax Credit, and attach it to Form CT-1120K, Business Tax Credit Summary, along with all required detailed schedules.

Application Link

Additional information available from the Connecticut Department of Revenue Services.

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INCUMBENT WORKER TRAINING PROGRAM (IWT)
CONNECTICUT CENTER FOR ADVANCED TECHNOLOGY 
The IWT program is a matching grant program that offers financial reimbursement to manufacturing companies for providing up-skill training to their employees. The goals are:

• To support advanced manufacturing and innovative companies in their efforts to train incumbent workers in the appropriate skills to meet current and emerging market needs.
• To bring technological innovation to the market and help manufacturing companies leap ahead in productivity and efficiency by enhancing the skills of their current workforce.
• To grow sales revenue and increase profitability.

The program will reimburse up to 50% of training costs $50,000 of training costs annually. Companies may submit multiple reimbursement applications so long as the aggregate amount does not exceed $50,000 in any given calendar year. There is no minimum grant amount that will be awarded to qualified applicants. The maximum amount of lifetime assistance provided to any one company by this program is limited to $100,000.

In order for a company to apply for reimbursement, they must meet all of eligibility criteria for the program. As an example, an applicant who can evidence having spent a total of $30,000 in training costs over the course of one year will be eligible for a potential grant of $15,000 ($15,000 grant + $15,000 company match).

Eligibility Requirements
A qualified third-party training company must have been used to conduct the training.

• Applicants must evidence good standing with the CT Department of Revenue Services (DRS) and the Department of Labor (DOL) and be current with their registration with Secretary of the State and other relevant agencies (for the most recent quarter).
• Applicants are required to match grant awards dollar for dollar.
• Must have conducted beneficial training that is consistent with the goals of this program and worthy of funding as determined by the program administrator.
• Companies receiving funds will be asked to complete a survey form on the impact of the training.
• A Connecticut based manufacturer or allied service provider who has between 3 and 300 employees and incurred training expenses post 4/1/22.
• A Connecticut based manufacturer or allied service provider who has between 300 and 1,000 employees and incurred training expenses post 6/29/23.
• Must Have conducted beneficial training worthy of funding as determined by the program administrator.

Application Information
The Required Documentation:

• DRS Letter of Good Standing (aka Status Letter for the most recent quarter)
• DOL Letter of Good Standing (aka Status Letter for the most recent quarter)
• Completed W9 Taxpayer ID Form
• Invoice Copies for Training Conducted
• Checks or other documentation evidencing payment for training
• Completed Training Cost Sheet (IWTF33)
• Training Attendance Form (IWTF34) or similar

Additional information available from the Connecticut Center for Advanced Technology.

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MACHINERY AND EQUIPMENT EXPENDITURE TAX CREDIT
CONNECTICUT DEPARTMENT OF REVENUE SERVICES    
A Machinery and Equipment Expenditure Tax Credit may be applied against the Connecticut corporation business tax based upon a percentage of the incremental increase in expenditures for machinery and equipment acquired for and installed in a facility in Connecticut which exceeds the amount spent for such expenditures in the prior income year.

Eligibility Requirements
The credit amount is determined by the number of the corporation’s full-time, permanent employees whose wages, salaries or other compensation is paid in Connecticut. Please see the website for the exact parameters used to define each term of the credit.

Application Information
Complete Form CT-1120 MEC, Machinery and Equipment Credit. This form can be obtained from the DRS Forms Unit by calling 860-297-5962 or 1-800-382-9463 (in-state). Forms may also be obtained 24 hours a day either by calling DRS Tax-Fax, 860-297-5698, or from the agency Web site

Application Link

Additional information available from the Connecticut Department of Revenue Services.

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MINORITY BUSINESS REVOLVING LOAN FUND
DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT          
The Minority Business Revolving Loan Fund provides loans and lines of credit to Connecticut businesses owned by minorities and/or women.

Eligibility Requirements
To be eligible for financing through the Minority Business Revolving Loan Fund, your business must be:

1. in operation for at least one year and/or officially registered for at least a year;
2. physically located and operating in Connecticut;
3. a for-profit business;
4. current with both state and federal taxes for both the business owner and the business.

Note: principals with 50% or more ownership must not be more than 60 days delinquent on child support.

Application Information
There are two ways to apply for a Minority Business Revolving Loan.

1. You can apply online through our program administrator, HEDCO.
2. You can download and complete the appropriate forms, then mail or fax them to HEDCO.

Please see the website for application materials and instructions.

Application Link

Additional information from the Connecticut Department of Economic and Community Development.

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REAL & PERSONAL PROPERTY TAX EXEMPTIONS
CONNECTICUT DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT           
Exemption on property taxes associated with inventory, depreciable equipment, and real property improvements. For more information, please contact the Connecticut Department of Economic and Community Development.

Contact Information
Jennifer Gauther
Connecticut Department of Economic and Community Development
Office of Policy and Management
450 Capitol Avenue
Hartford, CT 06106
Phone: (860) 418-6342
Fax: (860) 418-6493
[email protected]

Additional information available from the Connecticut Department of Economic and Community Development.

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SALES AND USE TAX EXEMPTION
CONNECTICUT DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT
Investments that help Connecticut businesses create jobs and modernize may be eligible for tax relief. Please contact the Connecticut Department of Economic and Community Development for details.

Contact Information
Patricia Paesani
Connecticut Department of Economic and Community Development
Office of Business Development
450 Columbus Blvd.
Hartford, CT 06103
Phone: (860) 500-2415
[email protected]

Additional information available from the Connecticut Department of Economic and Community Development.

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SBA MICROLOAN
COMMUNITY ECONOMIC DEVELOPMENT FUND           
The CEDF SBA microloan program provides loans to small businesses not able to obtain traditional financing to obtain capital.

Eligibility Requirements
Eligible use of proceeds include:

1. Working capital
2. Inventory or supplies
3. Furniture or fixtures
4. Machinery or equipment
5. Refinance debt (with some limitations)

The applying company must be a small business.

Connecticut businesses must meet one of the following requirements to be eligible to apply:

1. Location Eligible: The business is not bankable and is located in one of the 53 eligible communities listed on the website regardless of each owner's household income
2. Income Eligible: The business is not bankable* and even though it is not located in an eligible CT community, each owner's annual household income (Adjusted Gross Income) is $112,600 or less.

Here, bankable means: The business is unable to obtain a loan from a traditional bank.

Application Information
To apply:

1. Submit a Loan Inquiry Form.
2. Print the Loan Application along with the applicable documents.
3. Complete the Loan Application. Don't forget all of the needed supporting documents. See the checklist provided. Submit your completed application package to:
4. CEDF,  Attention: Karen Tessman, Director of Lending,  965 East Main Street,  Meriden, CT 06450

Application Link

Additional information available from the Community Economic Development Fund.

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SMALL BUSINESS EXPRESS PROGRAM
CONNECTICUT DEPARTMENT OF ECONOMIC AND COMMUNITY DEVELOPMENT           
The Small Business Express Program (EXP) provides loans and grants to small businesses to spur job creation and growth.

Eligibility Requirements & Application
Contact the agency for additional information.

Application Link

Additional information available from the Connecticut Department of Economic and Community Development.

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TERM LOANS
COMMUNITY ECONOMIC DEVELOPMENT FUND
The CEDF provides businesses term loans up to $250,000 in combination.

Eligibility Requirements
Connecticut businesses must meet one of the following requirements to be eligible to apply:

1. Location Eligible: The business is not bankable and is located in one of the 53 eligible communities listed on the website regardless of each owner's household income
2. Income Eligible: The business is not bankable* and even though it is not located in an eligible CT community, each owner's annual household income (Adjusted Gross Income) is $112,600 or less.

Here, bankable means: The business is unable to obtain a loan from a traditional bank.

Application Information

• Submit a Loan Inquiry Form.
• Print the Loan Application along with the applicable documents.
• Complete the Loan Application. Don't forget all of the needed supporting documents. See the checklist provided. Submit your completed application package to:
  • CEDF,  Attention: Ricardo Vidal, Director of Lending,  965 East Main Street,  Meriden, CT 06450

Application Link

Additional information available from the Community Economic Development Fund.

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WOMEN AND MINORITY LOAN GUARANTEE PROGRAM
COMMUNITY ECONOMIC DEVELOPMENT FUND           
The Community Economic Development Fund (CEDF) can access a special loan guarantee in conjunction with the Department of Economic and Community Development (DECD) to help women- and minority-owned businesses obtain flexible financing.

Eligibility Requirements
Connecticut businesses must meet one of the following requirements to be eligible to apply:

1. Location Eligible: The business is not bankable and is located in one of the 53 eligible communities listed on the website regardless of each owner's household income
2. Income Eligible: The business is not bankable* and even though it is not located in an eligible CT community, each owner's annual household income (Adjusted Gross Income) is $99,700 or less.

Here, bankable means: The business is unable to obtain a loan from a traditional bank.

Other requirements for eligibility:

1. Women- or minority-owned business
2. 50 or fewer employees
3. Loan amount up to $50,000

Application Information
Please contact the Program Manager for more information.

Application Link

Additional information from the Community Economic Development Fund.