Small Business Economic Development

Small business incentives — from tax relief to loan guarantees — make it easier to launch a new enterprise in Georgia and grow a small company.

These business incentives have helped Georgia earn top rankings in the number of new businesses started. According to the Kauffman Index of Entrepreneurial Activity, Georgia is second in the nation as having the largest increase in entrepreneurial activity during the past decade.

To promote the growth of smaller companies, Georgia offers:

• Small Business Tax Relief, allows for faster depreciation on equipment deduction where businesses can choose to claim the expense in year one as opposed to over several years.
• Angel investor tax credits, which encourage early investment in start-up companies. Qualified investors who provide angel funding in 2012 or 2013 can claim income tax credits of 35 percent of their investment, with total credits of up to $50, 000 allowed per year.
• Financing of up to $250, 000 through the Entrepreneurial and Small Business Development Loan Guarantee Program. The program provides financing (beginning at $35, 000) to entrepreneurs and small businesses located in rural Georgia counties.

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