Vermont
State Resources
Vermont’s lead economic development organization is the Agency of Commerce and Community Development (ACCD), which houses the state’s Department of Economic Development (DED). DED’s mission is “to improve the economic well-being of Vermonters by fostering growth, opportunity, and innovation” and connecting businesses and organizations with “resources including financing, workforce development, and market expansion, with the goal of cultivating high-quality jobs and expanding the state tax base.” DED prioritizes the protection of state resources, public infrastructure improvement, quality of life enhancement, economic diversification, and the unique character of Vermont. Among other programs and entities, DED houses trade promotion efforts, the state’s APEX accelerator, the high-tech business catalyst program Elevate Vermont, and the Vermont Economic Progress Council (VEPC), an independent board of citizens and regional development corporation and planning commission representatives that acts as the approval body for selected state economic development programs. Highlighted below is a sample of what Vermont’s ACCD DED is doing to support new ventures in the state.
SBIR/STTR Matching Grant
Enacted by the Vermont State Legislature and effective July 2022, the SBIR/STTR non-competitive matching grant program under Elevate Vermont provides up to $50,000 on a first-come, first-served basis to Vermont businesses that have received an SBIR/STTR Phase I or Phase II award. The grant is geared toward covering commercialization costs not covered by the federal award, such as marketing, market research, sales material development, etc. To be eligible, a business must not have received more than 3 SBIR/STTR Phase II awards. A business may receive one matching grant per SBIR/STTR award, up to 5 over the business’s lifetime.
Vermont Employment Growth Incentive (VEGI)
Under VEPC, the Vermont Employment Growth Incentive (VEGI) is a performance-based cash incentives program that began in 2007 to support businesses of any size that are expanding in or relocating to Vermont. For a period of 1–5 years, businesses can earn incremental incentives for making capital investments, increasing payroll, and creating new qualifying jobs that will generate increased tax revenue for the state.
The program typically pays out a total of $2 million–$3 million per year to participating companies. Interested companies submit a pre-application to obtain an incentive estimate. VEGI is currently accepting applications through the end of 2026. (The state legislature may vote during the 2026 session to extend VEGI beyond 2026.)
Vermont Manufacturing Extension Center (VMEC)
The Vermont Manufacturing Extension Center (VMEC) in Randolph Center, VT is the state’s NIST Manufacturing Extension Partnership (MEP) center, providing consulting services and trainings to help improve the productivity and performance of small- and medium-sized manufacturers in Vermont. VMEC’s consulting services focus on advanced manufacturing and automation, operational excellence, people development, quality and compliance, innovation and growth, cybersecurity, and supply chain management. Fees apply for most of the center’s offerings, but VMEC also offers no-cost supply chain assessments that identify gaps and recommend solutions.
