Incentive Negotiation

Incentives play a vital role in driving economic development. State and local governments use incentives to attract businesses and stimulate regional growth. By reducing costs and minimizing operational risks for companies relocating or expanding, incentives can take many forms—cash grants, tax credits, land and buildings at reduced costs, infrastructure improvements, recruitment and training assistance, or expedited development approvals.

Securing these incentives, however, can be complex, involving legal, financial, and political intricacies. That’s where KMKC comes in.

We streamline the process of securing the right incentives. Identifying all potential incentives can be challenging, especially in the U.S., where programs are discretionary and vary widely at the state and local levels, each with distinct eligibility criteria, funding structures, and benefits. By leveraging internal databases, we benchmark incentive awards to maintain confidentiality and protect project information. KMKC structures incentive solutions to deliver maximum value to our clients and foster lasting benefits for the community.

Structuring & Negotiations

At KMKC, we negotiate in line with our clients' corporate values, maintaining the highest ethical standards and conducting discussions as if our client’s executive leadership were present. Our strong, long-established relationships with economic development authorities and federal and state revenue departments enhance our negotiation efforts. Throughout the negotiation and approval process, we provide clients with a clear roadmap of expectations and milestones, along with summary updates across the organization. Our team ensures businesses qualify for benefits while maintaining flexibility. We coordinate closely with real estate acquisition and project planning, developing a communication strategy that protects confidentiality and strengthens public relations.

Results

To obtain the best results, it is critical to have skilled practitioners on your side to negotiate with local and state government economic development professionals. Ultimately, the incentive process is about much more than the incentives themselves. Any interaction with government requires a defined strategy and holistic approach.

KMK Consulting has been very successful in securing strong incentive support for our clients. When comparing the incentive packages that KMK Consulting has led over the past two years, our results speak for themselves:

• $53,785 — average dollars per new job — 914% above average
• $6,278,500 — average incentive package — 785% above average
• $950,000 — average grant support — 1,273% above average

KMK Consulting has negotiated more than 600 deals in 35 states across the country and has saved our clients over $250MM in just the past two years.