As I was researching some key enterprise zones, I discovered an interesting post on bizquest.com,  Bizquest is an online marketplace where companies can place themselves up for sale.  When you are selling your company, what is the first item you talk about?  Your most valuable assets, correct?  So I knew you would enjoy this, I’ve placed the post below:

Highly Profitable Charter Bus Service in the Enterprise zone.

This charter bus service company is located in the enterprise zone of Riverside County near Palm Desert.

Established 9 years ago, this company continues to grow its revenues over 15% year after year. 2008 revenues are expected to grow at the same rate. Because of its location in the Enterprise zone, this business enjoys several tax benefits, such as, no sales tax on all equipment, including buses, and an employer hiring credit of $10,000 to $12,000 per year per employee for 5 years.

Net Interest Deduction for Lenders: Zone business interest payments to lenders on commercial loans is not taxable income, but rather a tax deduction to the lender which gives Zone firms substantially greater bargaining power in obtaining both lower loan interest rates and more beneficial loan financing terms than non-zone businesses.

This business provides bus service to various schools in the area. The business comes with two 45 feet buses and one 40 foot bus, appraised at $430,000. Very well maintained. The business is for sale for $640,000. Asking price for the Real Estate that includes approx. 3 acres of land with a 1,500 sq feet home on it and plenty of room to park the buses is $480,000. The current owner lives in that house and uses a portion of the house as his office.

I loved it!  This is obviously a company that has realized the the power of enterprise zones and how valuable they can be corporately.  When analyzing a company to buy, or where to start a corporation, make sure to have a strategic mindset and operate in one of the California Enterprise Zones.  A full list of these zones can be found here: EZ Zones.  If you want to know more about the EZ Zones, you can call us directly at (314) 550-1666 and we can help navigate you through how we can help you take full advantage of your available tax credits.

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This entry was posted on Monday, September 22nd, 2008 at 3:10 am and is filed under Enterprise Zones. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.