Five businesses affiliated with University at Buffalo to locate or expand in WNY, invest more than $3 million
Governor Andrew M. Cuomo today announced that five businesses affiliated with the University at Buffalo will locate or expand in Western New York under the START-UP NY program, bringing an estimated 123 news jobs and more than $3 million in investment to the region.
"Jobs and businesses are coming back to Buffalo, bringing new energy and excitement to the entire region," Governor Cuomo said. "START-UP NY is just one part of the State's strategy to reinvigorate the entire economy of Western New York, and today's announcement of more than 120 jobs and $3 million in new investment is more good news for the region. These businesses recognize the resurgence of Buffalo and Western New York, and through the START-UP NY program they will be a part of the ongoing progress and economic momentum."
The businesses expanding or locating in Western New York include:
Mitigate Injury Management, Inc. is a new enterprise level management consulting business that will provide an array of services to Fortune 1000 companies to improve their safety records and lower their worker compensation costs. The company will locate to the Gateway Building to develop proprietary software to provide consultative services in a more cost-effective manner and create 81 net new jobs while investing $115,000.
You First Services, Inc. is an existing New York State business that seeks to commercialize technologies that have been created in the laboratory setting, but have not been supported by the resources necessary to get to the market. The company performs the necessary research and development to determine commercialization potential and bring new technologies to market, such as FDA approval for a product. You First Services will be expanding its administrative, business development, and R&D staff to allow for more simultaneous commercialization projects. The company will expand to the Baird Research Park and create seven net new jobs while investing $110,000.
HarkerBIO, LLC is a new biotechnology business that provides services to rapidly advance the development of pharmaceuticals. Based on technologies developed at the world-renowned Hauptman-Woodward Medical Research Institute, HarkerBIO determines the near atomic-resolution, three-dimensional structures of drug target and drug target – therapeutic agent complexes, to greatly accelerate the drug design process. Through industry partnerships, they are developing the next generation of therapeutics for a broad spectrum of diseases and health conditions. The company will locate to 700 Elicott Street, Buffalo, and create 10 net new jobs while investing $500,000.
ZeptoMetrix Corporation is an existing biotechnology company expanding to the Innovation Center Annex on the University at Buffalo campus. ZeptoMetrix specializes in products and services for the global infectious disease diagnostic market, offering developers support from initial test kit design to commercial manufacture and launch of the diagnostic products. The company will create 10 net new jobs and invest $575,000.
Robb Surgical Devices, LLC is a new surgical device company that has secured the rights to manufacture a novel, patented, laparoscopic sponge. The business will locate in the Center of Excellence in Bioinformatics Building and create 15 net new jobs while investing $1.87 million.
SUNY Chancellor Nancy L. Zimpher said, “Nowhere in the country do new businesses and entrepreneurs stand to benefit more by partnering with higher education than in New York State, thanks to the widespread success of Governor Cuomo’s START-UP NY program. With interest and investment coming in from around the globe and new jobs being created in every region, START-UP NY has provided a spark for our economy and for SUNY, making New York State a more competitive place to do business and lifting the value of teaching, learning, and conducting research at our colleges and universities. SUNY campuses in every region are proud to be implementing this transformative initiative.”
UB President Satish K. Tripathi said, “We are delighted to welcome these five new companies, and very pleased to be continuing UB’s leadership role as part of the Governor’s START-UP NY program. This program is an innovative and very effective way of leveraging all the strengths that a major research university brings to our region. And it has substantial benefit to our academic enterprise—from new internship and entrepreneurship opportunities for our students; to more jobs that attract global talent to our region and create new professional avenues for our graduates; and new pathways for our faculty to lend their expertise to industrial research and development.”
Senator Tim Kennedy said, "START-UP New York is creating the jobs that we need here in Western New York. These new jobs are just the beginning, with even more to come in the near future. START-UP is playing a big part in Buffalo's economic resurgence and our city is on the move again thanks to Governor Cuomo's leadership on the Buffalo Billion and START-UP New York. I was proud to vote in support of START-UP, and am thrilled to see it already paying dividends for Buffalo and Western New York."
Assemblywoman Crystal Peoples-Stokes said, “START –UP NY is continuing to bring new jobs and retain existing jobs right here in downtown Buffalo. Buffalo has world-class colleges and universities, combining that with a tax-free environment for businesses continues to spur growth in Buffalo and across Western New York. ZeptoMetrix, provides services to the Diagnostic and Pharmaceutical Research industries. Adding ten new jobs and retaining forty five jobs highlights their commitment to Buffalo and the growing corridor along Main Street. I applaud Governor Cuomo for making START-UP NY a reality and continuing his efforts to revive the economy for Western New York.”
Assemblyman Raymond Walter said, "Bringing in new, good paying jobs to our community is of the upmost importance and bringing in a tech company like You First Services will go a long way in achieving that goal. I look forward seeing what this new partnership between this Start-Up company and the University of Buffalo can create. It's an exciting time in our community and I hope more small businesses will choose to set up shop in our area."
About START-UP NY
START-UP NY seeks to accelerate entrepreneurialism and job creation across the state on a large scale, with a particular focus on Upstate New York. The State University of New York (SUNY) campus system, City University of New York (CUNY), and private university and college communities serve as the framework of the START-UP NY program to attract high-tech and other start-ups, venture capital, new business and investments from across the globe. Under the program, businesses have the opportunity to operate tax-free for 10 years on eligible land and space. Businesses partner with the higher education institutions and are able to access industry experts and advanced research laboratories.
Under START-UP NY, interested colleges and universities draft campus plans that identify their goals for the program and the space that they are proposing to designate as tax-free, as well as the types of businesses and industries that they are seeking to attract through the initiative. Public colleges and universities, including SUNY, provide their plans to community stakeholders for a 30-day comment period before submitting the plans to ESD, which, in consultation with the SUNY Chancellor, reviews the plans for final approval and designation of tax-free areas. CUNY plans, after a 30-day comment period, also are reviewed and approved by ESD. Plans submitted by private schools are reviewed by ESD and presented to the START-UP NY Approval Board for final approval and tax-free designation.
Once a school is admitted to START-UP NY, interested businesses may begin to apply to the program through the sponsoring college or university. After a thorough and comprehensive review of an application by the sponsoring college or university and ESD, approved businesses that create net new jobs will operate 100 percent tax-free for 10 years, paying no state income tax, business or corporate state or local taxes, sales tax, property tax or franchise fees.
To date, 57 schools have been approved for START-UP NY, establishing more than 310 tax-free areas for new or expanding businesses to operate on or near campus. Each school’s approved START-UP NY plan is available at www.startup-ny.com.
START-UP NY includes strong provisions to protect against fraud. Businesses are required to submit certification to ESD, and falsifying certifications is a felony. The program also includes strict provisions to guard against abuses such as shifting jobs among related entities or “shirtchanging,” when a company simply reincorporates under a new name and claims its existing employees are now new jobs. In addition, START-UP NY includes measures to prevent self-dealing and conflicts of interest. In cases of fraud, the State is empowered to claw-back benefits granted to the business. Companies that do not meet the terms of the program – including meeting their job creation targets – may have their benefits reduced, suspended or terminated. ESD has the authority to review company data to ensure that jobs have been created and maintained, and to end participation by companies that have not created net new jobs. ESD is required to publish a comprehensive annual report to enable the public to evaluate the program’s impact.