Financial Incentives

Many tax advantages and financial incentives are available to businesses that locate or expand in Elkader. Browse the links below for more information.

Revolving Loan Funds

• Main Street Elkader Revolving Loan Fund
• Upper Explorerland Revolving Loan Fund
• Clayton County Development Group Revolving Loan Fund

Main Street Iowa Grants

Elkader is proud to be able to partner with Main Street Iowa through our Main Street America accreditation to offer Main Street Elkader businesses the opportunity to apply for additional state funding only allocated to Main Street Iowa communities.

Main Street Iowa Challenge Grant 

This program is provided through Elkader’s accreditation with Main Street Iowa (MSI) and MSI’s partnership with Iowa Economic Development Authority. Main Street Iowa and the Iowa Economic Development Authority (IEDA) offer the Main Street Iowa Challenge Grant each year. Funds are awarded to eligible applicants for brick and mortar projects within a designated Main Street district. Contact Main Street Elkader for more information. 

Main Street Iowa Open 4 Business Grant 

This program is provided through Elkader’s accreditation with Main Street Iowa (MSI) and MSI’s partnership with Iowa Economic Development Authority. Main Street Iowa and the Iowa Economic Development Authority (IEDA) offer the Main Street Iowa Challenge Grant each year. The program provides up to $75,000 in funding to be awarded to eligible Main Street Iowa community applicants for business expansion projects. Contact Main Street Elkader for more information. 

Other Grants

Numerous additional grant opportunities are available throughout the year and are available for businesses that fall outside of the Main Street designated district. If you have a project you are interested in exploring grant funding for, please contact the Elkader Economic Development Director at 563-245-2770 or email us.

You can also view current grant opportunities in the Grant Opportunities document. 

Local Tax Incentives and Rebates

• The City of Elkader offers tax rebates in select situations to assist a new or expanding business in making improvements to their property. When taxes are rebated, the property owner continues to pay taxes on the property and the City reimburses them for a portion of those taxes.
• Tax Increment Financing is available in certain designated areas.
• Tax abatement in the Downtown Area
• Historic Tax Credit Information
• For more on tax incentives or rebates, please contact the City Administrator at (563)245-2098 or email at email us.

State Incentives

Economic Development Set-Aside Program (EDSA)

• The EDSA program provides financial assistance to companies that create new employment opportunities and/or retain existing jobs, and make new capital investment in Iowa. At least 51 percent of the created or retained employment opportunities must be made available to individuals presently earning wages defined as low-and-moderate income. More information on this program can be found on the Iowa Economic Development Authority website. 

New Jobs Tax Credit

This one-time, corporate income tax credit is available to participants in the New Jobs Training (260E) Program. Iowa offers this credit as an incentive for businesses that provide additional training to employees and expand their workforce. More information on this program can be found on the Iowa Economic Development Authority's website.

High Quality Jobs Program

The High Quality Jobs (HQJ) program provides qualifying businesses assistance to off-set some of the costs incurred to locate, expand or modernize an Iowa facility. This flexible program includes loans, forgivable loans, tax credits, exemptions and/or refunds. More information on this program can be found on the Iowa Economic Development Authority's website.

Future Ready Iowa Clearinghouse

The Iowa Clearinghouse for Work-Based Learning connects students and employers through shared projects that give students professional experience. This can include virtual projects, internships and apprenticeships. Businesses can upload project ideas on the Future Ready Iowa Clearinghouse website.

Historic Tax Credit

The State Historic Preservation Tax Credit Program provides state income tax credit for the sensitive, substantial rehabilitation of historic buildings. It ensures character-defining features and spaces of buildings are retained and helps revitalize surrounding neighbors. For more information visit the Iowa Department of Cultural Affairs website.

Elkader Housing Incentives

New Home Construction Incentives

Home Remodeling Incentives

Home Purchase Incentives

Combined Commercial & Residential Building Incentives