Newfoundland and Labrador Product Development Strategy

- 66 -" Its core programs include:- Small Business and Marketing Development, focused on new growth opportunities(mainly value-added manufacturing and export-oriented),- Regional Economic Development, in partnership with the 20 Regional EconomicDevelopment Boards located across the province, the private sector and communitybasedorganizations, and- Craft Industry Development Program.o The Canada/Newfoundland and Labrador Business Service Network is maintained inpartnership with ACOA; it includes over thirty locations across the province, offeringguidance, advice and answers to business inquiries and assistance with the development ofbusiness plans.o The Department maintains a Field Office in each of the 20 Economic Development Zones;the majority are staffed with two Economic Development Officers.o Investment Attraction – the Department, in co-operation with the Department of Finance,offers a substantial investment incentive program, including:- The Economic Diversification and Growth Enterprises (EDGE) Program is availableto qualifying new or expanding businesses that offer:• 10 new permanent jobs,• Capital investment of $300K or incremental sales of $500K, and• No competitive advantage over existing businesses.Businesses qualify for 10 – 15 year tax rebates if profitable including:• 100% on provincial corporate and payroll taxes,• 100% on municipal property and business taxes in participatingmunicipalities, and• 50% on federal corporate income tax.- The Direct Equity Tax Credit Program which• Is offered to investors in qualifying small businesses engaged in growthareas of the economy (including tourism)• Offers tax credit rates that are 35% outside the Northeast Avalon and20% within• Has a maximum credit per investor is $50K, which has to be held for aminimum of 5 years.CommentsThere needs to be more collaboration between this Department and the Department ofTourism, Culture and Recreation. This is discussed in Section 13.THE ECONOMIC PLANNING GROUP of Canada Newfoundland & Labrador Tourism Product DevelopmentD. W. Knight Associates Strategy and Accommodation Needs Study