The Texas Enterprise Fund is one of the nations premier competitive recruitment initiatives
By Texas Gov. Greg Abbott
Texas Insider Report: AUSTIN Texas The nations leading CEOs continually rank Texas as the Best State for Business" because of the Lone Star States pro-growth economic policies and friendly business climate with no corporate income tax and no personal income tax along with a skilled and growing workforce easy access to global markets robust infrastructure and predictable regulations.
It is in this framework that innovation technology and diverse industries thrive. Texas offers unmatched access to the key drivers of business success talent markets and cost efficiencies as well as the freedom to grow.
Thats why new business formation in Texas is at a five-year high with startups growing alongside the worlds biggest brands nearly 50 Fortune 500 companies hundreds of publicly traded firms and more than 2.6 million small businesses.
Thats why Texas is the top exporting state the top tech-exporting state and the top state for domestic and foreign direct investments. And thats why with an annual gross state product of $1.7 trillion Texas is the 10th-largest economy when compared to the nations of the world.
| As the Caterpillar plant in Seguin exemplifies Texas is increasingly a manufacturing powerhouse offering a growing job-ready workforce that is more than 13.5 million strong. |
Success attracts success. As a result Texas continues to lead the nation in new corporate facility projects and expansions. And theres room to grow even more.
Workforce of Tomorrow Today
Businesses grow where the workforce is ready and leaders in manufacturing technology life sciences financial services and other industries are growing in the Lone Star State adding more than 842000 new jobs over the last four years.
Texas offers a job-ready workforce thats more than 13.5 million strong. And with one of the youngest median ages the states population continues to expand following a wave of corporate and regional headquarters relocations.
Much of this high-performing employee base is drawn from Texas top-ranked public and private universities leaders in business biotech engineering and more. Because of the states investment in educational advancement the number of Tier One universities in Texas has doubled. And now through the Governors University Research Initiative Texas is welcoming even more transformative and internationally recognized researchers Nobel Laureates and National Academy members who will serve as catalysts for further economic development.
Texas also invests in innovative workforce training programs including the Skills Development Fund Texas premier job-training program providing local customized training opportunities for Texas businesses.
| Innovation technology and diverse industries like the recently expandedLockheed Martin facility in Fort Worth thrive in Texas due to the Lone Star States pro-growth economic policies and friendly business climate promoted by Gov. Greg Abbott. |
And more than 1 in 10 of the nations elementary and secondary students are in Texas classrooms today learning the skills needed to succeed in the workforce of tomorrow. With more public high schools ranked in the top 100 than any other state Texas high-school graduation rate is at a record high and fifth in the nation.
Global Market Access
Texas serves as the gateway to global trade for the entire nation with its unique and strategic geographic position centrally located in the United States with close access to Mexico trade links to Canada and direct shipping routes to Europe and beyond.
| Home to 29 ports of entry including the Port of Bayport in Houston Texas serves as the gateway to global trade for the nation with its strategic geographic position and robust infrastructure. |
Each of the states 29 ports of entry whether accessible via air land or sea supports domestic and international economic activity across multiple industries. The Port of Laredo is the No. 1 inland port along the entire U.S.-Mexico border. Along the 367 miles of Texas coastline are 11 deep-draft commercial ports and six shallow-draft ports with Port Houston ranking No. 1 in the U.S. for foreign waterborne tonnage. And Texas ports are connected by the Gulf Intracoastal Waterway an integral component of the states vast petrochemical and manufacturing supply chains.
Texas also has 32 Foreign Trade Zones allowing goods to be exported from the zone free of duty and excise tax.
Along with more miles of public roadways state highways and freight railways than any state Texas is also home to more airports as well as two major international airlines headquartered in Dallas-Fort Worth with a third operating a major hub in Houston.
By air land sea or rail the path to prosperity for more businesses begins in Texas.
Lower Operating Costs
With no personal or corporate income tax the Texas economy is booming as jobs and businesses are fleeing states that overtax and overregulate.
Texas offers lower operating costs for businesses with lower energy costs lower land costs and fewer land-use restrictions. And the states strategic investments in its already robust infrastructure and transportation network including a 10-year $70 billion commitment to new state roadway projects help keep logistics and supply-chain costs down.
| Texas offers room to grow and leads in attracting capital investments relocation and expansion projects including the Toyota North America headquarters in Plano. |
Along with the Texas Enterprise Fund one of the nations most competitive deal-closing" funds Texas offers incentives such as tax exemptions on manufacturing machinery and equipment on natural gas and electricity used in manufacturing and on data center equipment. Texas businesses are also exempt from paying state sales-and-use tax on labor for new facility construction.
To further unleash business growth in his first term Gov. Greg Abbott cut taxes by nearly $4 billion including a permanent 25 percent reduction in the gross margins tax and is focused on speeding up permitting processes and reducing burdensome regulations that drive up business costs.
Across regions whether rural suburban or urban Texas also offers lower costs of living and a higher quality of life for employees. Night and day" is how one CEO described the difference after relocating to Texas.
Limitless Frontier of Opportunity
That Texas leads in attracting capital investments and relocation and expansion projects is not accidental notes Gov. Abbott: Innovation and a strong work ethic are deeply rooted in the Lone Star State and when freed from the stranglehold of over-taxation and overregulation new ideas flourish here."
Already a tech mecca manufacturing powerhouse and financial services epicenterand home to the worlds largest medical complexrecent relocations and expansions in Texas include: Charles Schwab Cognizant Jacobs Engineering Kubota Tractor Corporation LyondellBassell Mitsubishi Heavy Industries NTT Data Smith & Nephew W.W. Grainger and more. They join giants like Amazon Apple Boeing Dell Lockheed Martin Oracle Samsung Toyota and others with a strong Texas presence. Attracted by the growing workforce and synergies with leaders in technology the U.S. Army recently selected Texas as home for its new Army Futures Command.
Over the last decade Texas has targeted diversified development in advanced technology and manufacturing; aerospace aviation and defense; biotechnology and life sciences; information and computer technology; petroleum refining and chemical products; and energy.
And more relocation announcements are yet to come.
Big Ideas Grow Bigger
Texas offers unmatched advantages for business successaccess to talent markets and cost efficienciesand the freedom to grow.
One successful Texas entrepreneur perhaps puts it best: If you like big ideas…build your business in Texas."
Want to #GoBigInTexas? Youre invited to visit gov.texas.gov/business. T&ID
Incentives-at-a-Glance
Texas invests in the future offering competitive incentives to companies that create jobs and drive innovation in the Lone Star State. Key incentive programs include:
• Texas Enterprise Fund (TEF) a deal-closing" grant for new projects offering significant new high-wage job creation and capital investment where one Texas site is competing with other viable out-of-state sites. Administered within the Office of the Governor TEF helps strengthen the states already diverse growing economy. The $70 million invested during Gov. Abbotts first term to date closed the deal on 28 projectsincluding seven corporate headquarters relocationsthat committed to more than $849 million in new capital investments and more than 16000 new direct jobs in communities across the state.
• Texas Enterprise Zone Program a state sales-and-use tax refund program to encourage private investment and job creation and retention in economically distressed areas. Companies must meet minimum capital investment thresholds and employ economically disadvantaged individuals enterprise-zone residents or veterans.
• Skills Development Fund an innovative program offering customized job training for businesses through partnerships with local community colleges and technical schools.
Cities counties and special-purpose districts may offer property tax exemptions and fee waivers to attract new industries and promote capital investment.
Greg Abbott is the 48th governor of the State of Texas. Elected in November of 2014 Gov. Abbott has put forth a vision to build a better future for Texas founded on economic opportunity education excellence limited government and securing our border in the face of federal government inaction.
Also Visit: www.texaswideopenforbusiness.com
