Aug 12, 2024
Updated on August 12, 2024
Wisconsin's manufacturing sector is ripe with chances for businesses to find the funds they need to grow and innovate. Groups like the Wisconsin Women’s Business Initiative Corporation (WWBIC), Wisconsin Housing and Economic Development Authority (WHEDA), and the Wisconsin Economic Development Corporation (WEDC) provide many options. Also, national lenders like Summit Credit Union and Huntington National Bank are key to financing in Wisconsin's manufacturing.
The state also offers financial help through tax credits and grants, along with special lending choices for manufacturing firms1. These programs focus on green energy and sustainability, matching bigger economic and environment aims.
Key Takeaways
- Wisconsin small business loans are obtainable through local and national lenders.
- Organizations such as WWBIC, WHEDA, and WEDC provide essential financing alternatives.
- National lenders, including Summit Credit Union and Huntington National Bank, offer significant support for manufacturing financing.
- State-supported tax credits and grants bolster manufacturing businesses in Wisconsin.
- Alternative lending options help meet unique financing needs of manufacturing companies.
Introduction to Financing Alternatives for Manufacturing Companies
Wisconsin manufacturing companies looking for ways to grow have a lot to choose from. They can look for funding locally or nationally. These options help companies get bigger and invest in manufacturing in Wisconsin. Even with Wisconsin's diverse economy, including farming, IT, healthcare, and tourism, there are still funds available.
Many organizations offer money to help out. The Wisconsin Housing and Economic Development Authority helps economic growth with different programs2. The Wisconsin Works (W-2) agency also gives financial help for things like car repairs and housing3.
Across the U.S., over 10,000 bonds are issued every year. These bonds support everything from roads to healthcare and manufacturing. This makes funding easier to find for those who know where to look. Loans, grants, and investments are common ways to get this money.
Business owners in Wisconsin have special finance classes too. A course like FINANCE 457 – Entrepreneurial Finance teaches about getting money for new businesses4. This class is key for using finance tools well to grow a business.
It's important for manufacturing companies to know about all the finance tools out there. Knowing about financial markets can lead to smarter decisions. Resources like the Investopedia finance section offer deep insights into finance4.
Local Loan Programs Available for Wisconsin Manufacturing Companies
Wisconsin has several local loans to support its economy, especially for making stuff. These programs help businesses grow in the state with financial aid.
Wisconsin Women’s Business Initiative Corporation (WWBIC)
The WWBIC helps women, minorities, and those with lower incomes by giving them money help. They offer up to $250,000 to help these groups get the cash they need to expand. With Wisconsin's big population, programs like WWBIC are key for everyone to have a fair chance at success5.
Wisconsin Housing and Economic Development Authority (WHEDA)
WHEDA works with lenders to offer loans up to $2 million for making stuff. They also guarantee loans for farming businesses up to $750,000. In three years, they gave out over $2 billion in loans, showing how important this funding is5.
Wisconsin Economic Development Corporation (WEDC)
The WEDC helps businesses in small towns or places that need an economic boost with loans from $100,000 to $250,000. This is big because small businesses in Wisconsin offer a lot of jobs. Nicolet National Bank gave an average loan of $584,2515. The WEDC is vital in making Wisconsin's economy stronger by supporting local manufacturers6.
National Lenders Beneficial to Wisconsin Manufacturers
In Wisconsin, manufacturers looking to grow have great financing options from national lenders. They can get SBA loans, designed just for them, from these lenders.
Summit Credit Union
Summit Credit Union in Madison is a big help for local manufacturers. It leads in giving out SBA loans, with over $9 million in loans in 20197. These loans help small and medium businesses buy new equipment, improve how they work, or grow their building space.
The biggest loan you can get is $5,000,0007. This large amount helps with all sorts of funding needs. Summit Credit Union is dedicated to boosting local businesses, showing its critical role as a lender in Wisconsin.
Huntington National Bank
Huntington National Bank is a key financier for Wisconsin's manufacturing. As a reliable national lender, it gave out more than $32 million in SBA loans8. This funding helps companies buy important machines, add to their production, and scale up to take on more work.
They offer loans up to $250,000 for short terms and up to $2,000,000 for equipment financing7. With these options, Huntington meets the varied needs of manufacturers. The bank is essential in helping businesses grow.
It also provides loans for minority entrepreneurs up to $250,0007. This ensures support is available to a wide range of businesses.
Summit Credit Union and Huntington National Bank show how national lenders support Wisconsin's manufacturing field. Offering specialized manufacturing business financing, they help companies succeed in a tough marketplace.
Grants for Wisconsin Manufacturing Businesses
Wisconsin offers various avenues of financial support, especially in the form of manufacturing grants. These grants aim to empower businesses and enhance workforce development. They also support the agricultural sector through specialty crop funding.
Specialty Crop Block Grant Program
The Specialty Crop Block Grant Program helps agricultural manufacturers. It focuses on making specialty crops like fruits and vegetables competitively priced. This way, producers can succeed in the market. The program provides financial support, helping businesses meet market demands and stay economically sustainable.
Workforce Training Grants
Workforce Training Grants strengthen Wisconsin's manufacturing sector. They focus on skill improvement and developing the workforce. These grants are key in attracting and keeping talent in Wisconsin.
Enhanced training programs lift skill levels and increase employee satisfaction. This ensures Wisconsin stays competitive in manufacturing.
Wisconsin actively supports its businesses. For example, the Wisconsin Economic Development Authority (WHEDA) guarantees small business loans up to $750,000. It works with both public and private lenders to increase capital access for Wisconsin-based companies9. The Wisconsin Economic Development Corporation offers Business Development Loans. These loans are often between $100,000 to $250,000 for rural small businesses9. This support, along with manufacturing grants and workforce development programs, builds a strong framework for Wisconsin's manufacturing businesses.
Tax Incentives for Manufacturing Companies in Wisconsin
Wisconsin has a bunch of tax breaks to help manufacturing companies grow. These benefits help keep and attract businesses, boosting the state's economy.
Enterprise Zone Tax Credits
Enterprise zone tax credits help businesses expand in certain areas. They can get money back for creating jobs and making big investments. Also, companies doing special research can get a Research Expense Credit, rewarding them for spending more on research. Plus, they don’t have to pay sales tax on certain research equipment10.
New Markets Tax Credits
The New Markets Tax Credits program boosts investment in areas that need it the most. It's all about helping businesses grow in low-income communities. It creates jobs and helps develop these areas. The Wisconsin Economic Development Corporation makes sure businesses get these credits11.
Wisconsin also offers tax credits for creating jobs and investing, making it a great place for manufacturing companies. These efforts make Wisconsin a top choice for businesses wanting to expand10.
Alternative Lending Options for Wisconsin Manufacturers
Looking into different lending options can really help Wisconsin manufacturers, especially if they're looking outside of regular banks. Groups like Impact Seven and the Wisconsin Community Action Program Association (WISCAP) provide special loans. These loans are designed just for the needs of local companies.
Impact Seven
Impact Seven is a special kind of lender called a Community Development Financial Institution (CDFI). They give out loans from $10,000 to $5 million. These loans are for businesses that can't get money from standard banks. Impact Seven helps entrepreneurs and manufacturers grow. They make the Wisconsin economy stronger by offering good loan conditions and rates. This is especially useful for companies that need money to grow or update their products.
Wisconsin Community Action Program Association (WISCAP)
WISCAP has a program called Individual Development Accounts (IDAs) for people with lower incomes who want to start businesses. They match every dollar saved with two dollars, up to $2,000. This helps new business owners save money and get financial help to develop their manufacturing companies. WISCAP is focused on making economic growth fair for everyone. They offer unique loans to communities that really need them.
For more info on different loans and financial help for Wisconsin manufacturers, check out the Good Food Institute's investment resources page. There, you'll find lots of resources like directories, databases, and chances to join a community12.
Angel and Venture Capital Investments in Wisconsin
Wisconsin has great chances for angel investors and venture capital in manufacturing. The state's Qualified New Business Venture (QNBV) Program helps drive growth and innovation.
Qualified New Business Venture (QNBV) Program
The QNBV program gives tax breaks to investors in high-tech companies. It helps get money for companies ready to grow fast. The program focuses on businesses with high growth potential, benefiting both investors and the companies13.
These companies get ahead by mixing capital investments, job creation, and new tech. Wisconsin's Economic Development Corporation (WEDC) offers funding for tech development, jobs, and global market growth13.
Wisconsin Early Stage Symposium
The Wisconsin Early Stage Symposium lets growing companies meet investors. Entrepreneurs can pitch to angel investors and venture capitalists. This event proves Wisconsin's support for innovation and business growth.
Wisconsin also has the Early Stage Seed Investment Programs. These give tax credits to investors in high-tech businesses13.
For info on finance options and program benefits for tech businesses, visit the Wisconsin Technology Council. They have a toolkit to help entrepreneurs13.
List Of Financing Alternatives for Manufacturing Companies In Wisconsin
Wisconsin's manufacturing finance scene is rich with options for local manufacturers. Porter Capital shines among them, providing custom financial services. They've been aiding businesses for over 30 years, delivering billions in funding across the U.S. Their financial support ranges from $25,000 to $25 million, serving small and large companies alike14. Through Porter Capital, businesses can get up to 90% of their invoice values in advance. This makes cash readily available for them14.
Beyond regular loans, asset-based lending offers a solid choice. It lets companies use inventory, accounts receivable, and equipment as loan security. This option boosts cash flow, fueling day-to-day operations14. In 2020 alone, Porter Capital helped over 350 businesses. They support various sectors like manufacturing and transportation in Wisconsin14.
Looking at financial expansion? Wisconsin's cooperatives offer great chances. The state has 728 cooperatives, with 410 in the consumer sector. Producer cooperatives number 213. These groups give finance and support, tailored for each industry15. Agriculture benefits hugely, with 240 cooperatives dedicated to it15.
Networking and specific financial guidance are key in understanding business lending solutions. Porter Capital organizes networking events to connect industry leaders and businesses. These efforts not only make funding easier to get. They also encourage cooperation and growth in Wisconsin's manufacturing sector. To learn more, check out their official page14.
In short, Wisconsin offers many financing alternatives for manufacturers. From grants to cooperatives and specialized lending, there are tools for all business sizes and types. This full-ranged support lets companies grow and stay competitive.
State Support Programs Specific to Agricultural Manufacturing in Wisconsin
The Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) runs programs to help the agriculture section. These initiatives aim to grow the state's agricultural sector, helping with funds and support.
Agricultural Development Programs
DATCP gives grants, loans, and advice to Wisconsin's farm producers. Their goal is to help bring new products to market and conduct vital research. This is to strengthen the farm economy in Wisconsin.
One major effort is the Specialty Crop Block Grant. It gives money to make specialty crops more competitive. There's no need for a matching fund to get these grants. They're available until May 2, 202416.
This program helps smaller farms expand their practice. It's a big push towards growing agriculture in Wisconsin.
There's also the Farmers Market Promotion Program. It backs projects that improve farmers markets, offering $50,000 to $500,000 with some matching funds16. Plus, the Value-Added Producer Grant gives up to $75,000 for planning. It can also give up to $250,000 for working capital16. These funds are vital for supporting farmers throughout the state.
Furthermore, the DATCP aligns with USDA's efforts. They offer grants for renewable energy and energy efficiency16. This support is key for sustainable agricultural practices.
These support programs make sure Wisconsin's farmers have what they need to grow and compete. They are part of a big plan to make agriculture stronger and more resilient.
Conclusion
Wisconsin's manufacturing companies have many ways to get the money they need to grow. They can use local loan programs from the Wisconsin Women’s Business Initiative Corporation (WWBIC) and the Wisconsin Economic Development Corporation (WEDC). These programs give loans that fit the manufacturer's specific needs. Summit Credit Union and Huntington National Bank also offer loans that can help with different manufacturing projects.
Grants and tax breaks help manufacturers too. The Specialty Crop Block Grant and the Enterprise Zone Tax Credits give financial help. This means businesses can spend more on growing and creating new things. Impact Seven and the Wisconsin Community Action Program Association (WISCAP) have different lending options too.
If a company wants to grow a lot, they can look into angel and venture capital funding. The Qualified New Business Venture (QNBV) program and the Wisconsin Early Stage Symposium help connect manufacturers with investors. This helps both the companies and the state's economy. Midland Equipment Finance offers tailored loan and leasing solutions. They have more than 15 years of experience and offer quick approvals and flexible payments, making them a great choice for Wisconsin's manufacturers17.
The manufacturing sector in Wisconsin has also been helped by tax credits and economic plans. For example, a tax credit in 2011 led to more manufacturing jobs. However, the number of jobs and salaries have changed over time18. The Advanced Manufacturing Production Tax Credit (45X MPTC) also helps clean energy component producers19.
There are many financial options for manufacturers, from loans and grants to tax incentives and venture capital. All these help make a strong support network. This helps Wisconsin's manufacturing companies succeed and boost the state's economy.
Additional Resources and Next Steps for Wisconsin Manufacturers
Wisconsin's manufacturing companies looking to grow have access to many funding resources. They should check out local options like the Wisconsin Economic Development Corporation (WEDC). There are also national funds through groups like the Small Business Administration (SBA). The SBA helps businesses start or expand by offering guaranteed loans. They use a large network of offices20and partners to give out these loans.
There's more business loan guidance available for groups that need extra help. The Wisconsin Women’s Business Initiative Corporation (WWBIC) supports women, minorities, and those with lower income. They do this through loans, education20,and advice. Also, the WBD Finance Corporation gives special loan packages. These help with job creation and community growth, making it easier for businesses to get capital.
The UW-Stout Manufacturing Outreach Center (MOC) also offers big help for manufacturers. Covering 33 counties in northwestern Wisconsin, the MOC provides consulting, training, and workforce development. These services encourage improvement and new ideas21. The MEP National Network™, including the UW-Stout MOC, helps manufacturers get better financially and operationally.
To wisely pick and use resources, companies should look at tools like the Wisconsin Economic Development Corporation’s program summary. The SBA's Startup Guide is crucial for getting and using financial support to grow and expand operations. Using these Wisconsin manufacturing support tools helps companies understand business finance better. This ensures they can grow steadily.
FAQ
What loans does the Wisconsin Women’s Business Initiative Corporation (WWBIC) offer?
WWBIC helps women, minorities, and those with lower incomes. They offer loans up to $250,000 to help small businesses grow in Wisconsin.
How does the Wisconsin Housing and Economic Development Authority (WHEDA) assist manufacturers?
WHEDA offers up to $2 million in loans through lender partnerships. They also provide guarantees for agriculture loans up to $750,000, aiding manufacturers in getting capital to expand.
What financial support does the Wisconsin Economic Development Corporation (WEDC) offer?
WEDC gives loans from $100,000 to $250,000. These loans target businesses in rural or distressed areas, helping them develop and grow.
How do national lenders like Summit Credit Union and Huntington National Bank benefit Wisconsin manufacturers?
Summit Credit Union and Huntington National Bank provide large SBA loans to Wisconsin companies. In 2019, Summit issued over $9 million in SBA 7(a) loans. Huntington granted more than $32 million in SBA loans.
What grants are available for Wisconsin manufacturers?
Wisconsin has grants like the Specialty Crop Block Grant, supporting agricultural firms to compete in pricing. There are also Workforce Training Grants for improving manufacturing skills.
What tax incentives exist for manufacturing companies in Wisconsin?
The state provides Enterprise Zone Tax Credits for job creation and investment, and New Markets Tax Credits to boost investment in low-income areas.
Are there alternative lending options for manufacturers in Wisconsin?
Yes. Impact Seven offers loans from $10,000 to $5 million for those with limited traditional capital access. WISCAP has Individual Development Accounts, with a 2:1 match up to $2,000.
How do angel and venture capital investments work for Wisconsin manufacturers?
The QNBV Program offers tax credits to investors in high-tech startups. The Wisconsin Early Stage Symposium helps connect growing companies with investors.
What support programs are available for agricultural manufacturing in Wisconsin?
The state runs Agricultural Development Programs. These offer grants for projects that boost the farm economy, focusing on new products and market research.
What additional resources are available for securing financing for Wisconsin manufacturers?
Entrepreneurs have many resources like the WEDC’s business program summary and the SBA’s Startup Guide. These help in finding and using funds for business growth.
