Facility Planning SolutionsGovernment Incentives

Government incentives are one of the most underutilized tools available to companies, with billions of dollars going unused every year. Most companies only peruse incentives during major relocations, which is a big mistake. Companies can often offset annual CapEx spends by 5%-20% depending on location and census tract, transformational projects can often be offset by 15%-40% , and annual labor costs reduced 1%-5% by using federal, state, and local training grants. Make sure you know all of the trigger events and the timing necessary to capture the programs. For example, very few companies explore incentive opportunities before a lease execution, in advance of a sale-leaseback, or before making new acquisitions, oftentimes leaving millions of dollars on the table.

Companies also need to understand how to de-risk claw-backs, know that many programs can be front-ended, and the many creative approaches to maximizing incentive packages.

Don't ever forget that the first offer you receive is just that, a first offer. When your next trigger event occurs, how will you create leverage and know that you didn't leave anything on the table?