A Feb. 8 article in the Hartford Business Journal about Connecticut Innovations’ hopes of recruiting international companies through equity or debt awards was a little disturbing to me.
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A Feb. 8 article in the Hartford Business Journal (“CT Innovations looks beyond U.S. for investments”) about Connecticut Innovations' hopes of recruiting international companies to Connecticut through equity or debt awards was a little disturbing to me.
I understand Connecticut needs more businesses, but I object to having the state (the taxpayers) pay for adding more competition to companies that are already here, paying taxes, hiring employees, and being generous to our communities.
Those who have been in business for several years could have a competitor brought in with state provided funds to help them eat into our sales.
I am sure other countries do not look outside of their borders to bring in competitors and in addition give them assistance. I have looked and not found one.
States started to offer financial incentives to companies several years ago, and it has become a standard way of doing business since then, with states not offering such deals leaving themselves at a disadvantage. I am not sure how effective this is over the long term.
I do not think states are qualified to determine which businesses are worthwhile to invest in. This is especially true for startups and companies that plan to expand. If these companies cannot obtain commercial lending, then they are at risk for staying in business.
I think true entrepreneurs should be encouraged and supported in some way. They must have skin in the game and have leveraged their finances and any other sources before getting help from the state. The U.S. Small Business Administration is a great way to finance a company and we used it early in our history.
Over the past 30 years, we have built a solid company respected within our industry and by our customers without resorting to government help, with the exception of the SBA.
Does it make sense for the state to loan or give money to companies that cannot get financing at rates lower than banks offer? Let's make the state business friendly, help keep our businesses, and not look at us as the bad guys.
Frustrated,
Charlie Sears, President, Dri-Air Industries Inc., East Windsor
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