Two companies will get a break on their municipal business taxes for the next few years as part of the Town of Conception Bay South's policy to boost entrepreneurship by young people.
Councillor-at-large Kirk Youden told his fellow councillors at their public meeting Tuesday that both Traverse Analog and Platinum Gym have been accepted into the Town's Youth Business Tax Incentive Program.
Youden, who chairs council's Economic Development and Tourism Committee, said the Town has long been recognized for its efforts to promote small businesses and home based businesses. "But we also probably have some of the most encouraging incentives for young entrepreneurs," he added.
Traverse Analog is a vacuum tube and specialty audio equipment manufacturer and retailer, Youden noted. Platinum Gym is a large fitness centre offering an array of modern equipment on the main road in Long Pond.
After the meeting, Youden explained the program offers start-up companies a break on their municipal business taxes on a graduated basis with a 100 per cent break the first year, declining to a 25 per cent break in the final year of the program.
"It's meant to provide an incentive for people who are under the age of 35, who are starting non-competitive businesses in the town to help them start in the business community," Youden said.
Four or five businesses have qualified for the program so far this year, Youden said. Applicants have to be evaluated by the economic development committee to make sure they are not going to compete with existing businesses and that they meet other criteria.
"Looking back over the last 10 years there have been several companies that have stuck in the town who came in under that program when they were younger," Youden said. "It's a tool in our tool box to try to get more commercial development in the town."
Meanwhile the Bright Business Awards, sponsored by the Town and TD Canada Trust, are set for Thursday, October 20 at the Manuels River Interpretation Centre. Youden predicted it will be a good show, noting he was surprised by the number of companies vying for awards that weren't even in business in Conception Bay South as few as five years ago.