§ 281 - Statement of legislative findings and intent - Vermont Statutes

[Section 281 repealed effective on July 1, 2010.]

§ 281. Statement of legislative findings and intent

(a) The general assembly finds that one of the limiting factors on the beneficial economic development of the state is the limited availability of investment capital for the development and growth of Vermont businesses. The lack of equity capital and loans impedes the creation of new ventures and the worthwhile expansion of existing businesses. The shortage of the appropriate form of financing may inhibit otherwise viable business expansion and may also force businesses to use financing techniques which impede capital reinvestment, thus shifting the focus from long-term growth to short-term survival.

(b) These impediments to the development and expansion of viable Vermont businesses affect all the people of Vermont. The conditions of unemployment, underemployment, low per capita income and resource underutilization create additional pressures on state government.

(c) To help correct this situation, it is appropriate to use the profit motive of private investors to achieve additional economic development in the state. This can be accomplished by establishing an investment fund to provide capital, especially equity capital, to stimulate and encourage the development of new firms and products within Vermont by the infusion of funds for invention, innovation and development in situations in which such financing would not otherwise be reasonably available from other sources, and by establishing limited tax credits for investors in the fund to encourage the use of private capital to maintain and strengthen the state's economy. (Added 1985, No. 171 (Adj. Sess.), § 1, eff. May 7, 1986; amended 1987, No. 80, § 2, eff. June 9, 1987.)