CEO Guide to Site Selection

#43

Connecticut

CEO Rank on Best & Worst States for Business

A SMALL STATE MANUFACTURING A BIG FUTURE

Connecticut’s economy grew 7% in the fourth quarter of 2020 and continued the momentum throughout 2021. The state’s manufacturers produced more than $31 billion worth of goods in 2020, slightly better than pre-pandemic figures. Electric Boat, one of the largest manufacturers in the state, recently secured a $9.5 billion contract to build submarines in a deal that will create 2,000 jobs. The state has also seen several company relocations from New York, including the 500-employee headquarters of Nuvance Health. Amazon opened three centers in the past year, and Infosys announced 1,000 new jobs.

“As we emerge from this pandemic, we are seeing Connecticut companies of all sizes increase their workforce and expand operations… What is particularly significant is the fact that much of this growth is coming from companies like Frito-Lay that already have a presence here and know first-hand the benefits of doing business— and investing—in Connecticut.”
Ned Lamont
Governor

TAXES

0 %

top corporate income tax

# 0

on the Tax Foundation’s State Business Tax Climate Index ranking

EDUCATION

0 %

of students graduated high school in 2019

0 %

of adults age 25 and older have a bachelor’s degree or higher

UNEMPLOYMENT RATE

0 %

RIGHT TO WORK STATE

No

QUALITY OF LIFE

# 0

POPULATION GROWTH

0 %

increase between 2010 and 2020

KEY INCENTIVES

Urban and Industrial Site Reinvestment Tax Credit: Offers a dollar-for-dollar tax credit on qualifying projects with a minimum of $5 million in distressed communities and $50 million in all other communities.

Connecticut Bioscience Innovation Fund: A $200 million, 10-year program that offers focused financial assistance to startups, early-stage businesses, nonprofits and accredited universities.

Angel Investor Tax Credit: Offers $25,000 or more in a qualified Connecticut business, equal to 25 percent of the investor’s cash investment when at least $25,000 is invested in qualifying businesses.

Digital Media Tax Credit: Offers a tax credit of up to 30% on qualified digital media and motion picture production expenses, up to $1 million or more.

EDCs

Connecticut Department of Economic and Community Development
portal.ct.gov/DECD

AdvanceCT
advancect.org

Metro Hartford Alliance
metrohartford.com

HIGHLIGHTED PROGRAM OR INITIATIVE

The Connecticut CARES Small Business Grant Program assists small businesses that have been impacted by the economic downturn related to the pandemic. It offers a one-time grant of $5,000 to businesses and non-profits that have fewer than 20 employees and a payroll of less than $1.5 million.

BIG DEALS

  • General Dynamics Electric Boat was awarded in November 2020 a $9.5 billion contract that is expected to create more than 2,000 jobs in Connecticut and Rhode Island.
  • Frito-Lay announced in May 2021 a $235 million expansion and 120 new jobs in Killingly.
  • GE Appliances announced in September 2021 the launch of CoCREATE Stamford, a co-creation center aimed to bring small appliance manufacturing back to the state.
  • ITT announced in June 2021 the relocation of its head- quarters from White Plains, New York, to Stamford.
  • Fintech startup Tomo announced in July 2021 that it would locate its headquarters in Stamford.

BIG COMPANIES

14 Fortune 500 companies headquartered in state, including:

  • Cigna
  • Charter Communications
  • Hartford Financial Services
  • Synchrony Financial
  • XPO Logistics
  • Stanley Black & Decker
  • Xerox
  • Frontier Communications