Many cities across the country merely focus on attracting new businesses to their area. But in Henrico, business retention is just as important. With an annual gross county product of $25.4 billion, we know that our existing businesses are vital contributors to our vibrant business community and enduring reputation for excellence.
Recently, a host of industry leaders made headlines for announcing their growth in Henrico. The education firm EAB is investing $6 million to expand into a larger office in the SunTrust Building. American Paper Converting, a leader in bathroom tissue, facial tissue, and paper towel product manufacturing, has upgraded into a larger Henrico facility as part of its $17 million East Coast expansion. And Thermo Fisher Scientific Inc., the world leader in serving science, is growing its local footprint with two new bioanalytical labs.
But it is also the smaller companies who may not make the headlines that still command our attention.
“We understand that running your business is no flash in the pan, it’s a long-term play,” says Henrico EDA Managing Director Ebonie Atkins. “So, we want to build those authentic relationships and make sure that we are proactively here for all our business owners in whatever capacity they need us.”
Putting Business First
There are several ways the Henrico EDA engages with and responds to its business community. Through our award-winning Business First program, we send 25 volunteers to visit local companies throughout the year to help identify specific barriers to success and report back to us. Then, from real estate assistance to workforce development to resource connections, the Henrico EDA staff defines ways in which we can help boost a company’s bottom line.
For instance, in 2017, the Virginia Beach-based IT consulting firm Marathon Consulting established its first footprint in Central Virginia with a temporary office and five team members. By 2019, we found a new state-of-the-art office technology and solution center for them, which opened in 2020 and serves as Marathon’s regional hub. In 2019, we also helped Swedish manufacturer Alfa Laval Inc. add a new production line and take advantage of a low machinery and tool tax in the process. And in 2018, we helped the technology consulting company UDig find bigger digs to house twice the number of team members, all in one place.
Low Taxes
To cultivate a business-friendly climate, the Henrico EDA has a long history of listening responsively to our business community, then collaborating with the Henrico Board of Supervisors to lower taxes to meet the needs of local companies.
Just this year, we slashed the R&D tax rate to 90¢/$100 of assessed value – the lowest in the state. Last November, we authorized the Henrico Investment Program, which offers new or enhanced incentives for reinvestment in portions of our more mature business areas. This is over and above the machinery and tools and data center tax rate reductions, as well as the BPOL tax exemption we instituted in recent years.
Track Record of Success
Henrico understands that one of the keys to our vibrant economy is nurturing our business environment. And our formula is proving successful so far. We’re one of only 47 U.S. localities with a AAA bond rating from all three major bond rating agencies. Six Fortune 1000 companies and more than 25,000 businesses have put their trust in us, and that is not a responsibility that we take lightly. With this in mind, we will continue to nurture Henrico as a superior place to live, work, and grow.