Texas continues to see great economic growth. According to the U.S. Bureau of Economic Analysis, Texas had the fastest GDP growth in the United States for the fourth quarter of 2022. With a growth rate of 7%, Texas is growing faster than the whole nation, which grew around 2.6%. The business-friendly climate of Texas continues to encourage more projects and investments throughout the state. As people and businesses choose to relocate to Texas, this growth is expected to continue. However, there are still some areas of Texas that are economically distressed. The state aims to alleviate some of these issues with the help of the Texas Enterprise Zone program, a state sales and use tax refund program that’s designed to bring job creation and business investment to these areas. The Texas Enterprise Zone program (the EZP) is one of many economic development tools available to businesses in Texas. Read on to learn about 5 real world Texas Enterprise Zone success stories.
Alamo Drafthouse Cinema. This movie house describes itself as the place for good food, good beer, and good film, all in one place. Founded in Austin in 1997, this movie theater chain offers a unique dining and movie-going experience. It has since expanded to more than 40 locations throughout the country, bringing its high-quality food and beverage and comfortable seating to many movie fans. Thanks to some of the benefits from the Texas Enterprise Zone Program, Alamo Drafthouse Cinema has received tax breaks on property taxes, sales taxes, and payroll taxes, which has allowed the company to save, invest, and grow. The company has also received grants to help with marketing and advertising as well as research and development. All of this has helped Alamo Drafthouse Cinema to create more jobs in Texas, as it employs more than 5000 people.
Texas Precision Manufacturing. Located in Lubbock, this company manufactures precision metal parts for many different industries, including critical components for oil and gas and aerospace. They specialize in the CNC—computer numerical control—machining, a process that uses computer software to control the movement of machine tools. Texas Precision Manufacturing is located in an enterprise zone, making it eligible for certain tax refunds. In turn, the Texas Enterprise Zone Program helped this company to offset the cost of new equipment. The manufacturing facility houses a variety of CNC equipment such as lathes, mills, and grinders. This allowed for more expansion and production capacity for new job creation. This company proves to be a valuable asset to the Lubbock community, and the Texas Enterprise Zone Program helped contribute to the economic development of the area.
Texas Solar. This solar energy company installs and maintains solar panels for homes and businesses. Founded in 2006, Texas Solar has headquarters in San Antonio. Texas Solar is a certified installer of solar panels by the North American Board of Certified Energy Practitioners, which ensures the highest standards of employee training and experience. This company has benefited from the Texas Enterprise Program in a number of ways including the expansion of its operations and the creation of new jobs. Texas Solar also met certain EZP criteria, making it eligible for tax incentives. The Texas Enterprise Program has been a valuable resource, helping to contribute to the development of Texas Solar, which in turn provides Texas homes and businesses with sustainable, renewable energy.
Whole Foods Market. The Texas Enterprise Fund has helped businesses big and small, and Whole Foods is no exception. Whole Foods was founded in 1980. Since then, the company has expanded to more than 500 stores in 3 different countries. Known for its high-quality, healthy products as well as its commitment to sustainability, Whole Foods has been successful in gaining a big customer base in Texas and beyond. Through the EZP, Whole Foods has received tax breaks on property taxes, sales taxes, and payroll taxes, allowing for more growth and investment. Whole Foods has also received grant money to open new locations in a number of Texas towns, creating more jobs and boosting the booming economy. With more than 50 locations across the state, it employs more than 10,000 Texans.
Dell Technologies. Dell was founded in 1984 in Round Rock. As a leading provider of computer hardware, software, and business solutions, it has been successful in growing its business by providing high-quality products and services at competitive prices. In addition to receiving tax breaks from the Texas Enterprise Zone, the company has also received grants to help with marketing and advertising as well as research and development. Grants have helped Dell to open a new research facility and a new call center and expand operations at the headquarters in Round Rock. All this expansion helps to create more jobs in Texas towns, attracting even more businesses to the state.
Business owners who are considering relocating or expanding to Texas should learn more about the Texas Enterprise Zone Program. There are currently more than 500 enterprise zones in Texas. The Texas Economic Development Connection wants to help you make great business decisions when moving your business to Texas. Reach out to the experts by setting up a call. Learn more here.