Do Economic Development Corporations Help Buisness Owners?
Updated: Aug 16, 2018
August 13, 2018
Economic development corporations (EDCs) generally are established to assist existing and new businesses located in a particular geographic area through a variety of activities including grants, loans, provision of information and expertise, or creation of industrial parks.
Incubators are a type of economic development corporation generally formed to provide assistance to induce new businesses to locate in communities whose economies are depressed or deteriorating, or to provide assistance to existing, emerging businesses so that they may remain in such communities.
Some incubators provide low-interest loans, facilities and equipment to new and emerging businesses as well as clerical and technical services in an effort to encourage such businesses to locate in the depressed areas. The services provided to the new businesses are offered by the incubator at reduced rates or even free of charge. Incubators may be set-up and/or sponsored by local and state governments, they may be affiliated with universities, or they may be an offshoot of an existing tax-exempt organization.
In many cases, incubator organizations operate a "technology center" where businesses can be assisted (nurtured) through provision of business expertise, lower rental rates or pooled or shared services.
River Falls EDC
Established January 8, 1988 as a Wisconsin Non-Stock Corporation (later a 501(c)(6) corporation), the RFEDC was initially funded by the City of River Falls and intended to replace the City's Industrial Advisory Board. The RFEDC's charge was:
To create and maintain a listing of land and buildings available for sale to prospective employers.
To create an Industrial park that will be suitable for industrial employers.
To create an organization that will coordinate the marketing, financing, and ultimate sale of industrial properties to employers.
To create an incubator for the support and encouragement of ideas from inception through job creation.
For more information on local EDC's, there are links to their websites below: