Move your business to Murphysboro!
If you are looking to open a business, you should move it to Main Street in Murphysboro! We have a plan to fill open storefronts, fix up facades, continue to beautify our main street and welcome new concepts, shoppers and entrepreneurs to town. Now is the perfect time to move, expand and or create your business in our downtown!
We know opening a business can be overwhelming, especially while trying to renovate a historic main street building. Use this page as a guide to help you answer any and all questions you have in order to bring your business to our hometown. Got questions not listed? No problem – simply reach out to one of our fantastic local experts listed below and we will make sure your questions are answered ASAP
Businesses: We want you!
Murphysboro needs new businesses! We’re not picky, if you want to do business here, we will find a way to get you here. To help get you started, here is a list of businesses our community needs:
Day Care Centers
But don’t limit yourself
We want to hear about all concepts!
Space Needs: All Shapes & Sizes
What size space do you need for your business? How will that space be used? This all depends on the type of business you choose. Let us know your ideal size and type of space – are you looking for a:
Land to build new
Existing Building to Fit Into
Need more incentive?
Ok fine! There are a number of existing resources available through the SIU Small Business Development Center from business plan development services to grants and access to Small Business Administration financing. Learn more about there services at https://sbdc.siu.edu/.
The City of Murphysboro also has existing programs to help support a business:
A wide range of financial incentives are available to businesses that expand or locate in Jackson County’s Enterprise Zone. The Jackson County Enterprise Zone is a broader zone jointly created by the City of Murphysboro, the City of Carbondale, and Jackson County, and authorized by the Illinois Department of Commerce and Economic Opportunity in 2020. Information about, A map of Enterprise Zone is available at:
- Abatement of Property Tax on New Improvements
Property tax on real estate improvements (a building or anything else attached to land which cannot be readily removed) that raise a commercial, industrial, or manufacturing property’s fair market value by more than $10,000 is abated at the following schedule. The Fair Market Value would be defined as the amount a willing buyer would pay a willing seller for a given piece of real estate. The fair market value is determined by the Township Tax Assessor to establish the assessed value.
For projects that create fewer than 100 jobs:
- 100% of property tax on the new improvement is abated for the first five (5) years after project completion
- 50% of property tax on the improvement is abated for the second five (5) years after project completion
For projects that create 100 jobs or more:
- 100% of property tax on the new improvement is abated for the first ten (10) years after project completion
(Owners of properties listed on the National Register of Historic Places are eligible for 100% abatement for the first seven years and 50% for the following three years.)
Property tax abatements apply to building renovations, expansions and construction of new buildings.
The property tax abatement provisions do not exempt owners of property in the Enterprise Zone from property tax altogether. The program abates property tax on new improvements, but not abate the tax paid on existing buildings and land. Abatement on an individual property is also limited to the amount of tax attributable to eligible improvements on the property.
Property tax abatement through the Enterprise Zone does not “freeze” an owner’s property tax. The tax due on a property during the ten-year abatement schedule will fluctuate based on reassessment and changes in the tax rate. The tax rate is defined as the formula applied to assessed value to determine the property tax due for a property (the tax rate is often expressed as $8.64 per $100 of assessed value). The assessed value is one-third of a property’s fair market value. The total assessed value for a given property has two components–the value of land and the value of improvements.
- Deduction of Sales Tax for Building Materials
100% of sales tax on materials used for construction or renovation of buildings in the Enterprise Zone can be deducted at the time of purchase. This provision applies to commercial or industrial construction.
The sales tax deduction applies to items that are permanently affixed to real property, such as lumber, mortar, glued-down carpets, paint, wallpaper and similar affixed items. As a rule of thumb, sales tax on any building materials that would remain with the property if the property were sold is eligible for the deduction.
The deduction does not apply to materials purchased for routine maintenance, repair or upkeep of the property.
The sales tax deduction includes both the local and state portion of sales tax. Any retailer who pays Illinois sales tax can deduct the sales tax, so long as the purchaser provides the retailer with a Certificate of Eligibility for Sales Tax Exemption, which is issued by the City of Carbondale’s building inspector.
- Waiver of Building Permit Fees
City building permit fees on any renovation, expansion or new construction project within the Enterprise Zone are waived. This waiver of fees applies to building, plumbing, electrical, demolition, site plan and zoning certificate fees for permits issued for rehabilitation, expansion or new construction.
Fees charged for permits issued for normal repair or replacement of electrical, plumbing or mechanical systems are not waived. Filing fees for rezoning or special use applications are not waived.
- State of Illinois Tax Incentives
There are a number of state tax incentives for investment in an Illinois enterprise zone. These incentives are related to income, utility, and sales taxes. The programs are listed below. Detailed information on each program is available (see contacts listed below).
- Enterprise Zone Investment Tax Credit
- Jobs Tax Credit
- Dividend Deduction
- Corporate Contribution Deductions
- Income Tax Deduction for Financial Institutions
- State Utility Tax Exemption
- Manufacturing Machinery and Equipment Sales Tax Exemption
Enterprise Zone FAQs
Q. Do I have to apply for Enterprise Zone benefits?
A. To take advantage of the benefits, an owner or developer of property within the Enterprise Zone must simply obtain a building permit (the fee for which is waived) and a “certificate of eligibility” from the City of Carbondale’s Building & Neighborhood Services Division if located inside Carbondale city limits.
Q. Can the boundaries of the Zone be changed to include my property?
A. There are detailed procedures to amend the boundaries of the Enterprise Zone. The Zone may be extended to incorporate a property if a specific improvement to the property is being considered. Contact the City of Carbondale for detailed information.
Q. When does the Enterprise Zone expire?
A. The Zone expires in 2035
Q. Can TIF incentives and EZ incentives be used together?
A. Yes and no. When an EZ application is submitted inside the City’s TIF zone, the EZ abatement of property taxes incentive is trumped with any TIF abatement incentive. All other EZ incentives are still valid.
Questions about Jackson County ’s Enterprise Zone? Contact:
City of Carbondale
200 South Illinois Avenue
Carbondale, Illinois 62902
|Illinois Dept. of Commerce & Economic Opportunity (DCEO)
Bureau of Business Development
620 East Adams
Springfield, Illinois 62701
For more details on Murphysboro’s Enterprise Zone Program, click HERE.
To download the application form, click HERE.
Tax increment financing (TIF) is a public financing method that is used to incentivize redevelopment, infrastructure, and other community-improvement projects within a specified perimeter. The intent of a TIF program is to stimulate private investment in a blighted area that has been designated to be in need of economic revitalization.
Using TIF, municipalities, such as the City of Murphysboro, typically divert future property tax revenue increases from a defined area or district toward an economic development project or public improvement project in the community. TIF subsidies are not appropriated directly from a city’s budget, but the city incurs loss through forgone tax revenue. It is the marriage of private (the developer’s) and public (the taxing districts’) monies to facilitate a project that will benefit both private and public, where the project would not otherwise happen. TIF revenue is only created if the proposed project will generate an increase in tax revenue over that generated by the project.
To find out more regarding TIF districts in Illinois, visit: https://www.tifillinois.com/tif-basics.html (tifillinois.com)
Moran Economic Development is a consultant with the City of Murphysboro, that is the point of contact for TIF project inquiries and submittals for the City. Below are general steps that you can expect to occur during the TIF assistance and award process for a business or developer:
- Developer/Business approaches City regarding TIF incentives for a potential or proposed project to be undertaken.
- Designated staff or consultant takes lead on project to determine if it would be appropriate to take steps to consider the project for TIF Funding (determination of initial geographic eligibility).
- The City issues an Application for TIF Assistance and/or any other requests for information about the project.
- Applicant completes application – designated staff assists as needed.
- Completed application is submitted to the City or Consultant for review.
- Designated staff or consultant reviews and evaluates project, including, but not limited to: TIF Eligibility of estimated costs to be incurred, impact on property tax liability, impact on sales tax revenues, TIF revenue projections, employment impact, desirability/benefit of the project to the local community, jobs created or retained and conformance of the project with the TIF Redevelopment Plan.
- Project evaluation and economic impact studies submitted to the City Council for review. Formal consideration for provision of TIF Incentives to applicant is given at a City Council Meeting. TIF Funding is approved or denied. If approved, structure and form of incentives is determined/approved (term, extent, form of payment).
- Should approval occur, the consultant and appropriate legal counsel create a formal Redevelopment Agreement which outlines all terms and obligations.
- Should disapproval occur, applicant will be notified, and any other appropriate actions should be taken.
- A Redevelopment Agreement is officially approved and passed via Resolution at first available Council Meeting. (Vote of approval required for resolution/ordinance authorizing execution of agreement). Formal documents are recorded, and copies distributed to all parties as necessary.
Submission of application to execution of agreement generally takes up to 1 month and project cannot start until approved by the Murphysboro City Council.
TIF supersedes Enterprise Zone Tax Abatement.
Questions about the City of Murphysboro ’s TIF Program? Contact:
Moran Economic Development
202 East Schwarz Street
Edwardsville, Illinois 62025
City of Murphysboro
1101 Walnut Street
Murphysboro, Illinois 62966
Click HERE to download the application.
Champion Community Investments is another grant resource for financing and other business needs. They are a 501(c)(3) non-profit corporation dedicated to community and economic development in our home in Southern Illinois. Click HERE to learn more about their small business financing support and other resources available
All the Codes
When opening a business you will likely need to obtain a number of permits and licenses before opening. This is especially true when renovating an old building. Do I need a sprinkler system for fire safety? Can I put a neon sign in front of my business? How many stalls do I need in my restrooms? The list can go on and on.
The City of Murphysboro’s Public Works Department can help answer these questions. The Code Enforcement Division is tasked with ensuring that all property owners within the city comply with city regulations. For assistance on understanding the local codes, use the contact information below:
Eric Kennedy, Code Enforcement Officer, 618.684.2961
Tell us about yourself
Are you interested now? Please use the link below to download a fillable form and share some information about yourself so our team of experts can help connect you to available resources. Once the form is filled in, please email it to email@example.com