DEVELOPMENT 2 small businesses get incentives from city

Diversity in the small businesses is good for the city, the coordinator said.
By ROGER G. SMITH
CITY HALL REPORTER
YOUNGSTOWN -- Small-business development doesn't get much more diverse than the two companies the city recently signed. A downtown computer software development company is to create 11 new jobs in exchange for a forgivable city loan.
Meanwhile, a concrete repair company will bring four jobs to the city and create a couple more in exchange for some incentives.
Each is receiving incentives through the Youngstown-U.S. Small Business Administration Revitalization Initiative. The program combines city incentives, private bank loans and government loan guarantees.
Diversity in the expanding small businesses is a good thing for the city, said T. Sharon Woodberry, coordinator for the initiative program.
Empyra Inc. is a software development company in the Youngstown Business Incubator downtown. The company designs custom software for businesses and government and provides consulting services.
Empyra is receiving a $37,500 forgivable loan from the city. In exchange, the company is to create seven jobs in the first year of the deal and four jobs the second year. The company has six workers to date.
Investment
The company is investing $250,000 in equipment and working capital, including the city incentives. Empyra doesn't have to repay the loan as long as it remains in the city for at least five years.
The small-business program usually requires companies to stay in the city three years. The city sought a five-year commitment from Empyra because of the nature of the business, Woodberry said.
Incubator-based companies are expected to relocate to their own offices once they become solid businesses. The city, however, wants to make sure Empyra stays and makes more investment here, Woodberry said.
Meanwhile, A-1 Concrete is a home-based business in Austintown that is moving to the city. The company used a home for an office and was using a storage facility for its equipment.
A-1 repairs concrete slabs, rather than replace them, for commercial and residential customers.
The company is receiving a $16,875 city loan forgivable after three years, and a waiver on permit fees and is seeking a city facade grant. The company is to create one full-time job and one part-time job in exchange.
The company is investing $115,5000 to buy and renovate a building on Andrews Avenue and will bring its four workers and equipment.
rgsmith@vindy.com