Illinois Small Business Grants

Doing Business in Illinois

Illinois is one of those states offering an exceptional business opportunity platform to new and existing companies. It can be considered as the epicenter or business hub of North America. Doing business in Illinois has advantages as your company will have a world-class business environment. Illinois’s actual gross domestic product (GDP) has crossed $800 billion and is considered one of the most diverse economies in the USA today. A central location supported by a strong cluster of transportation, distribution, and logistics (TDL) hubs. You can reach almost 83 percent of the continental U.S. with the help of the state’s transportation and logistical network. An experienced workforce and several Illinois small business incentive programs provide the much-needed advantage that will help you make your business self-sustainable.

Why do businesses prefer doing business in Illinois?

If you plan on doing business in Illinois, it is one of the most culturally vibrant and business-friendly states. Several government agencies and private institutions provide meaningful assistance to new businesses. In fact, the Illinois Department of Commerce and Economic Opportunity is one such government agency that provides information and assistance to businesses, individuals, and communities. You can leverage many advantages while conducting a business, including Illinois small business grants. Let us take a look at some of the reasons why entrepreneurs and business owners prefer Illinois.

• World Class Infrastructure – Infrastructure is as important to any business as is finance. State infrastructural framework plays a key role in any business’s growth and success, especially manufacturing ones. Illinois is known for its robust infrastructure, which includes
• two major inland ports
• 14 waterway ports
• the 3rd most extensive interstate highway system in the USA
• 145,000 miles of highway
• Class 1 freight railroads
• 7 commercial and 5 international airports
• Technology & Innovation – The modern age of business belongs to technology and innovation. Technology is considered a critical enabler and strategic driver of business innovation and growth. Illinois is witnessing an increasingly competitive landscape; hence, technological innovation becomes necessary to ensure businesses stay at the top by reducing operational errors and speeding up their internal and external processes. The advantage in Illinois is that you can benefit from the several state-supported innovation hubs. Some of the top hubs include the Illinois Accelerator Research Center (IARC), PeoriaNEXT, Quad City Manufacturing Lab (QCML), and the National Center for Supercomputing Applications (NCSA).
• Business Climate – The state of Illinois has an extremely pro-business climate. Several factors play an important role. Some of the key factors are:
• Business incentive programs like small business tax credits in Illinois
• According to a report by Illinois Science & Technology Coalition, STEM Jobs in the state have reached a record high
• There are over 350,380 STEM Employees and 6.01 percent of all jobs in the state are in STEM fields
• Doing business in Illinois is much easier thanks to several startup incubators specifically designed for propelling new ventures
• You can enjoy quick access to venture funding through private firms like Abundant Venture Partners or government opportunities like Illinois Innovation Venture Fund (INVENT).
• The state is home to several foreign trade zones and Opportunity Zones

Register your company in Illinois today to enjoy great benefits!

Small Business Incentive Programs and Grants in Illinois

When you form a company in Illinois, you will get access to Illinois small business grants and other incentive programs. There are several grant programs like the DCEO grants in Illinois and Community Development Block Grant programs that will play a crucial role in shaping your business. So, let’s list some of the most popular grant and incentive programs in this state.

DCEO Grants

The Illinois Department of Commerce and Economic Opportunity (DCOE) is a department of the Illinois state government that sponsors and focuses on statewide economic development and creating opportunities for business investment. They are responsible for administering various loans, tax credits, and grant programs like the DCEO grants in Illinois.

• Illinois Travel and Tourism Grant Program
• Small Business Development Centers
• Accelerate Illinois Broadband Infrastructure Planning Program, Round 3
• Human Services Capital Investment Grant Subaward Program
• Illinois Meat & Poultry Supply Chain Capital Grant Program
• Community Development Block Grant, Public Infrastructure
• Connect Illinois Broadband Grant Program

State Small Business Credit Initiative

The State Small Business Credit Initiative (SSBCI) is a type of Illinois small business funding program. It is a part of the American Rescue Plan Act 2021 and provides $10 billion to the SSBCI fund annually. The state of Illinois received $354.6 million for administering four different programs as a part of this Illinois small business incentives program. It is being implemented by the Illinois Department of Commerce and Economic Opportunity (DCEO). SSBCI will focus on enabling Illinois to support small businesses across this state through this program. This will help small businesses to get capital investment and expand their operations in several key industries or sectors.

• Advantage Illinois (AI) Participation Loan Program</li>
• Advantage Illinois (AI) Loan Guarantee Program
• INVENT Venture Capital Program (VCP)
• Climate Bank Finance Participation Loan Program

Incentives and Tax Credits

If you thought doing business in Illinois was expensive, think again. The state offers various support to small businesses through incentive programs. Whether your company is a small startup or a medium-sized enterprise, you can take advantage of several small business tax credits in Illinois. There is a competitive range of credit incentives to encourage job creation and business growth. On top of this, there is access to loans, other funding programs, and several grant programs. You can even apply for early-stage investment incentives.

• Quantum Campus Enterprise Zone incentive program
• Reimagining Energy and Vehicles (REV) promoting utility tax exemption
• Manufacturing Illinois Chips for Real Opportunity (MICRO)
• Economic Development for a Growing Economy (EDGE)
• Research and Development Tax Credit
• Rivers Edge Redevelopment Zone expansion
• Blue Collar Jobs Act (BCJA) Tax Credit Program
• Illinois Historic Preservation Tax Credit Program

Community Development Block Grant

There are several Illinois small business grants programs, some of which are state-sponsored and some are Federal grants programs. The Community Development Block Grant (CDBG) program is a Federal grant program that specializes in providing funding for certain community-based projects planned in non-metropolitan areas. It is a formula-allocated program where eligible individuals, businesses, and communities receive Illinois small business funding grants. The key focus areas include housing rehabilitation, public infrastructure, disaster response, and economic development.

Loan and Relief Programs in Illinois

Once you start a new company in Illinois, there are three types of programs that you can participate in. They are business incentives programs like tax credits, grants programs like DCEO grants in Illinois, and loan programs. The state of Illinois offers several loan and relief programs, most offered by the Illinois Department of Commerce & Economic Opportunity. The “Advantage Illinois” is one such program, where qualifying businesses can get loans varying from $10,000 to a maximum of $2 million. This program is a part of the Illinois Small Business Incentives Program by DCEO.

Support for Key Sectors and Industries

When you start a new company or move your existing business to Illinois, there are several types of financial assistance that you can apply for. These Illinois small business grants and funding programs support the growth and sustainability of small and medium-sized enterprises (SME’s) in this state. These initiatives target businesses in specific sectors or industries, like the Illinois Enterprise Zone Program, which benefits businesses in an enterprise zone or an economically depressed area. Similarly, the Manufacturing Illinois Chips for Real Opportunity Act (MICRO) ensures businesses in microchips and semiconductor manufacturing have access to capital investment. Some of the other Illinois small business funding and grants programs for key sectors are –

• The Business Attraction Prime Sites Capital Grant Program
• Illinois Angel Investment Tax Credit Program
• High Impact Business Program
• Data Center Investment Tax Exemptions and Credits
• Film Production Tax Credit

Ready to Start a Business in Illinois?

Whether you are planning to move your existing business, expand your company, or register a startup, Illinois offers grants, loans, and other funding. You may need Illinois small business grants in the start-up stage or a loan to make your business operational. Either way, there are several options and many opportunities that you will be able to access in this state.