Starting a Business in Orlando and Orange County
Starting a Business in Orlando and Orange County
Starting a Business in Orlando and Orange County
The Orange county area is one of the fastest growing and expanding areas in the country.
With over one million residents, the region is constantly expanding, which means more jobs, incredible opportunities and a great lifestyle.
Whether you’re considering relocating a company or starting a business from scratch, Orange County and it’s neighboring communities have a place for your business.
Employees:
Over 520,000 in the greater Orange County area.
Average Annual Wage (2003)
· All Industries
· $34,623
· Construction
· $38,525
· Education & Health Services
· $35,666
· Financial Activities
· $48,414
· Information
· $48,205
· Leisure & Hospitality
· $21,921
· Manufacturing
· $47,730
· Natural Resources & Mining
· $20,952
· Other Services
· $24,722
· Professional & Business Services
· $40,246
· Public administration
· $41,642
· Trade, Transportation and Utilities
· $33,13
Major industries in Orange county
Construction 5.1%
Education & Health Services 15.0%
Financial Activities 6.5%
Information 2.7%
Leisure & Hospitality 22.2%
Manufacturing 4.6%
Natural Resources & Mining 0.8%
Other Services 2.9% 3.2%
Professional & Business Services 17.3%
Public administration 4.4%
Trade, Transportation and Utilities 18.6%
Source http://www.eflorida.com/profiles/CountyReport.asp?CountyID=54&Display=all
Major Employers (2003)
Walt Disney World
Business Line: Entertainment
Number of Employees...53,500 Orange County Public Schools
Business Line: Education
Number of Employees....22,807
Adventist Health Systems
Business Line: Healthcare
Number of Employees.. 17,059 Universal Orlando
Business Line: Entertainment
Number of Employees....14,500
Orlando Regional Healthcare System
Business Line: Healthcare
Number of Employees... 12,000 Orange County Government
Business Line: Government
Number of Employees..6,577
The market and potential:
Total Population Orange County area 990,000 (2003 per census bureau)
Population Forecast (2010) 1,166,000
Median Age 42
Median Household Income $35,7320
Business Assistance:
A message from the Orlando economic development council:
The Metro Orlando Economic Development Commission (EDC) is an organization that helps business. We are dedicated to meeting the needs of today's industries and creating a competitive economic climate where businesses can thrive. To meet this goal, the EDC provides key services and support, which range from relocation and expansion expertise to export counsel to long-term planning with our community partners.
Our charge is basically two-fold. To attract new business investment, we market the Orlando region worldwide as a top location for business. In addition, we work with local companies to assist them with expansion plans and other business concerns.See their Web site at: http://www.orlandoedc.com/About%20the%20EDC/
Enterprise Florida, Inc. (EFI) State Program
EFI is a partnership between Florida's government and business leaders and is the principal economic development organization for the State of Florida. The mission of EFI is to increase economic opportunities for all Floridians, through the creation of quality jobs and the active support of strong and growing businesses. It pursues this mission in cooperation with its statewide network of economic development partners. The primary focus of EFI includes: labor training, venture capital and technology development.
Enterprise Florida, Inc. 390 N. Orange Ave., Suite 1300
Orlando, FL 32801
(407) 316-4600
Web site: http://www.eflorida.com
Florida Tax Incentives: Advantageous Tax structure both state and local
Florida has no personal income tax, no gift tax, no inheritance or inventory tax and no corporate franchise or property tax. Florida also offers a homestead exemption, a $25,000 tax deduction from real Estate value and sales tax exemptions, including a 12 month exemption on qualified manufacturing equipment, motion pictures, television, recording activities, launch vehicles, fuels and payloads.
More on Incentives/Taxation
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.
---------------------------------------------------------------------
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!
Small Business Administration - www.sba.gov
Small Business Development Center - www.fausbdc.com
US Chamber of Commerce Small Business Center - www.uschamber.com/sb
(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.)
Florida Small Business - www.floridasmallbusiness.com
Enterprise Florida - www.eflorida.com
The Florida Venture Forum - www.flvencap.org
SCORE Counselors to America's Small Business - www.score-chapter412.org
Odeon Group (Small Business Administration Intermediary) - 305 681-9600
Micro Business USA - 305 438-1407
First Florida Capital - (888) 320-5504
Below is a great site explaining why you should be in business in Florida.
http://eflorida.com/aboutthissite/sitemap/default.asp?tn=1
Starting a Business in Orlando and Orange County
The Orange county area is one of the fastest growing and expanding areas in the country.
With over one million residents, the region is constantly expanding, which means more jobs, incredible opportunities and a great lifestyle.
Whether you’re considering relocating a company or starting a business from scratch, Orange County and it’s neighboring communities have a place for your business.
Employees:
Over 520,000 in the greater Orange County area.
Average Annual Wage (2003)
· All Industries
· $34,623
· Construction
· $38,525
· Education & Health Services
· $35,666
· Financial Activities
· $48,414
· Information
· $48,205
· Leisure & Hospitality
· $21,921
· Manufacturing
· $47,730
· Natural Resources & Mining
· $20,952
· Other Services
· $24,722
· Professional & Business Services
· $40,246
· Public administration
· $41,642
· Trade, Transportation and Utilities
· $33,13
Major industries in Orange county
Construction 5.1%
Education & Health Services 15.0%
Financial Activities 6.5%
Information 2.7%
Leisure & Hospitality 22.2%
Manufacturing 4.6%
Natural Resources & Mining 0.8%
Other Services 2.9% 3.2%
Professional & Business Services 17.3%
Public administration 4.4%
Trade, Transportation and Utilities 18.6%
Source http://www.eflorida.com/profiles/CountyReport.asp?CountyID=54&Display=all
Major Employers (2003)
Walt Disney World
Business Line: Entertainment
Number of Employees...53,500 Orange County Public Schools
Business Line: Education
Number of Employees....22,807
Adventist Health Systems
Business Line: Healthcare
Number of Employees.. 17,059 Universal Orlando
Business Line: Entertainment
Number of Employees....14,500
Orlando Regional Healthcare System
Business Line: Healthcare
Number of Employees... 12,000 Orange County Government
Business Line: Government
Number of Employees..6,577
The market and potential:
Total Population Orange County area 990,000 (2003 per census bureau)
Population Forecast (2010) 1,166,000
Median Age 42
Median Household Income $35,7320
Business Assistance:
A message from the Orlando economic development council:
The Metro Orlando Economic Development Commission (EDC) is an organization that helps business. We are dedicated to meeting the needs of today's industries and creating a competitive economic climate where businesses can thrive. To meet this goal, the EDC provides key services and support, which range from relocation and expansion expertise to export counsel to long-term planning with our community partners.
Our charge is basically two-fold. To attract new business investment, we market the Orlando region worldwide as a top location for business. In addition, we work with local companies to assist them with expansion plans and other business concerns.See their Web site at: http://www.orlandoedc.com/About%20the%20EDC/
Enterprise Florida, Inc. (EFI) State Program
EFI is a partnership between Florida's government and business leaders and is the principal economic development organization for the State of Florida. The mission of EFI is to increase economic opportunities for all Floridians, through the creation of quality jobs and the active support of strong and growing businesses. It pursues this mission in cooperation with its statewide network of economic development partners. The primary focus of EFI includes: labor training, venture capital and technology development.
Enterprise Florida, Inc. 390 N. Orange Ave., Suite 1300
Orlando, FL 32801
(407) 316-4600
Web site: http://www.eflorida.com
Florida Tax Incentives: Advantageous Tax structure both state and local
Florida has no personal income tax, no gift tax, no inheritance or inventory tax and no corporate franchise or property tax. Florida also offers a homestead exemption, a $25,000 tax deduction from real Estate value and sales tax exemptions, including a 12 month exemption on qualified manufacturing equipment, motion pictures, television, recording activities, launch vehicles, fuels and payloads.
More on Incentives/Taxation
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.
---------------------------------------------------------------------
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!
Small Business Administration - www.sba.gov
Small Business Development Center - www.fausbdc.com
US Chamber of Commerce Small Business Center - www.uschamber.com/sb
(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.)
Florida Small Business - www.floridasmallbusiness.com
Enterprise Florida - www.eflorida.com
The Florida Venture Forum - www.flvencap.org
SCORE Counselors to America's Small Business - www.score-chapter412.org
Odeon Group (Small Business Administration Intermediary) - 305 681-9600
Micro Business USA - 305 438-1407
First Florida Capital - (888) 320-5504
Below is a great site explaining why you should be in business in Florida.
http://eflorida.com/aboutthissite/sitemap/default.asp?tn=1