Local Economic Development. Incubators

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1 Local Economic Development Incubators

2 Eagle Mountain BACKGROUND Eagle Mountain between two large cities Provo and Salt Lake City.

3 Eagle Mountain

4 Eagle Mountain BACKGROUND 1997 Eagle Mountain City founded, few hundred residents at the time. Telecom infrastructure was originally owned by the City Direct Communications purchased Eagle Mtn Telecom and began expanding infrastructure and bringing fiber to homes and businesses in the area ,000 residents. One of the youngest cities in USA square miles (3rd largest city geographically in Utah)

5 Incubator History BACKGROUND 2009 Mayor and I attend Economic Summit for the State. Attended several economic development programs Direct Communications purchased the building. Eagle Mountain City and Direct talked about trading office space rent (incubator program) for 5 acres of land and a warehouse 7 year contract was signed. Contract allows approximately 3900 sq ft of space to be utilized by EM incubators. Space comes with utilities, furniture, scheduler (provided by Direct Com), office equipment, internet services. Incubatees must purchase at least one business line Grand opening of building.

6 Incubator History current 2012 Currently have 8 incubatees with office space, with potential for more Businesses consist of investment/consulting, disaster repair, Computer software developer commercial construction, internet payments, publisher, insurance broker Off site: call center, internet HR firm, counseling clinic

7 Objectives Why develop PR opportunity Enterprise customer creation Local economic development Target particular industries Real estate revenue opportunity

8 Process GETTING APPROVED 1. Prescreen 2. Interested parties submit application to Small Business Development Center Coordinator (local university and city pay Coordinator salary) 3. Interview 4. Once approved, paperwork goes to office assistant at Directcom. 5. Incubatee receives packet, signs up for phone services.

9 Benefits to Incubatee WHY INCUBATE WITH US? Free rent first year, 2nd year at 50% and 3rd year at 85% fair market value Drastically reduced rates tailored to each business Mentor program Partnering with local University Free internet Free silver membership in Chamber of Commerce

10 Success Stories COMPANIES Little Dress Up Shop Working out of basement selling children s costumes. Needed to expand and willing to pay rent to city. 5 employees. Job Match Home based business; heard about incubator program, but couldn t wait 9 months for program to begin. Found a spot in neighboring building (rented at reduced rate). In past year, has hired 15 Eagle Mountain residents and increased business to manage Human Resources functions for over 700 clients Cymbiotechs Prosthesis manufacturer from Oregon. Had been interested in moving to Utah, but was convinced when presented incubator benefits. Manufacture extreme sport prosthesis and nationally recognized.

11 Benefits to Direct Communications WE RECEIVE Partnership with City officials Goodwill in community Business phone line Potential for business growth in future Increased foot traffic to office Businesses need of storage space at warehouse Seat on Economic Development Board

12 Benefits to Eagle Mountain City CITY GETS Economic Development No tax dollars spent Public relations Evening and satellite classes for community and University Partnering with University Office space filled in other locations Program is driven by word of mouth

13 Lessons Learned HOW TO GET STARTED Successful businesses: technology and home based businesses Less successful businesses: call center, businesses with medical/privacy issues, retail Utilize mentors from area to increase community involvement More rigid goals for incubates more contact with City and DirectCom employees Eliminate bureaucracy make process simple Reach out to large companies in Utah and offer telecommuting opportunities Think outside the box and be creative!

14 Contact Info facebook.com/directcom.eaglemtn blog.directcom.com directcom.com/eaglemtn

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