Overall Business Costs – Economy.com ranks Idaho the second lowest state in the West in overall costs of doing business.
Source: Moody's Economy.com index, May, 2007.

Electricity Costs – Industrial electric rates are lower than most major cities in the nation and about half that of many western cities.
Source: January 1, 2008, Industrial Rates EEI.

Per Capita Taxes – A balanced mix of personal income sales, property and corporate taxes provide a stable base to fund public services without unfairly burdening any sector.
Source: U.S. Bureau of the Census, 2007.

Workers' Compensation Rates – Idaho employers with workers' compensation insurance pay some of the lowest premiums in the country.

Natural Gas Costs – Idaho boasts some of the lowest natural gas prices in the nation.
Source: U.S. Energy Information Administration, May, 2008.

Unemployment Costs – Idaho's unemployment insurance fund is one of the only twelve in the nation that has never had to borrow.
Source: Payroll-Taxes.com, May, 2008.

"The Idaho Business Advantage" – From property tax to income tax and sales tax incentives, businesses that invest in new facilities and create new jobs in the State of Idaho are able to qualify for a variety of financial inducements and tax credits.

See "Incentives for Business" - www.commerce.idaho.gov

On October 9, 2008, in the City of Boise, Idaho Governor C. L. "Butch" Otter launched the Idaho Regional Optical Network (IRON) GigaPoP connection. This connection to the nation's ultra high-speed research computer network—the National Lambda Rail—puts Idaho on the right side of the "digital divide" and will be imperative to sustaining existing technology businesses and attracting new high-tech businesses to the region.

See: www.ironforidaho.net

Governor Otter has also announced a signature economic development initiative. Entitled "Project 60", the initiative's goal is to expand the gross state product of the State of Idaho from its current $51 billion to $60 billion. Project 60 will be integrated into the State's future plans regarding economic development and job creation.




Key points:

• Working with community and industry leaders throughout Idaho to complete public infrastructure projects that facilitate expansion, including road, highway and bridge improvements, as well as facilitation of energy transmission;

• Recruitment of people with special skills, including engineers and computer scientists needed by companies looking to grow and expand;

• Implementation of regional technology transfer protocol that encourages innovative new companies to take root and create jobs from the research being conducted at Idaho's universities and the Idaho National Laboratory, one of the nation's top Department of Energy national laboratories;

• Pursuit of the international market on three fronts: foreign direct investment; raising foreign investment capital for start-up of new innovation companies and support of growing companies; and expanding exports and trade, including recruitment of businesses from Canada and elsewhere for the State's available labor and very competitive operating costs.

"Employers know they'll find a high proportion of college graduates here (37%, compared with the national average of 27%)..."

Amy Bickers, Associate Editor
Kiplinger's Personal Finance
July 2008


Boise State University – Idaho's metropolitan research university and located in the State's population center, Boise State University is a hub of government, business, the arts, health care, industry and technology. Boise State is the largest university in the State of Idaho with an attendance at approximately 20,000 students.

Important campus highlights relating to high-technology and business-educational opportunities include:

• College of Engineering ranked in the U.S. News and World Report list of best engineering programs among public, comprehensive universities
• Dean of the College of Engineering, Cheryl Schrader, was one of eleven recipients, nationwide, of the 2005 Presidential Award for Excellence in Science, Mathematics and Engineering mentoring
• College of Business and Economics is rated among the top third in the nation with its AACSB international accreditation
• Eleven "Idaho Professor of the Year" honorees since 1990
• 2005 National Champion Student Debate and Speech Team
• Offers Idaho's first Executive MBA program
• Produced two Rhodes Scholars, a Truman Scholar, a Mitchell Scholar, USA Today Academic All-American, several NCAA Academic All-Americans, several NCAA post-graduate scholars, and many Fulbright scholars and professors;
• Part of two new Federal Aviation Administration research centers with other universities such as MIT, Stanford, Harvard and Cal Berkeley
• Micron Technology Foundation granted $12.5M to BSU to assist in funding Schools' $30M College of Business and Economics
• ASS Program in Semiconductor Technology
• Micron School of Engineering one of nation's premier microelectronics programs

The Boise State Broncos football program is another strong component of the school's success. The team is probably best known for their 2006 season where they attained a 13-0 WAC Championship season capped by a memorable overtime win in the 2007 Fiesta Bowl against the Oklahoma Sooners. They finished the season as the only major undefeated college football team, yet became the first team since the 2004-2005 season with an unblemished record that did not receive a share of the National Championship. The 2008/2009 season looks promising, as well: improving to 10-0 and clinching at least a tie for its sixth Western Athletic Conference Championship in the past seven years, Boise State University remained ninth in this week's Bowl Championship Series standings, and ninth in the three major college polls.

Boise State University is a winner—all the way around. From its strong sports program to its focus on the sciences and engineering, it has, and will continue to be, a success. For any entrepreneur who is looking for a location that will satisfy his or her company's academic needs, Boise is the place.

The availability of investment money, an issue for start-up companies, is improving. In early 2008, Peter Gombert, CEO of Balihoo, a 53-employee company that designed an online search engine for advertisers, received $4 million in venture-capital funding and expects more money will flow to the area...

A few examples of venture capitalists in the Intermountain Region include:

Highway 12 Ventures - Located in the Hoff Building in downtown Boise, Highway 12 Venture's principal focus is providing the first professional round of investment in high-growth companies in the Intermountain West.

Epic Ventures - Previously named "Wasatch Venture Fund", Epic Ventures was formed in 1994 in Salt Lake City, Utah, in partnership with Zions Bank. Since inception, the Epic Team has invested in over 80 early-stage companies and delivered significant returns to investors. Epic now manages four funds, equaling $170 million of capital under management. Given the Company's early-stage focus, their preference is to work with companies in the western United States.

vSpring Capital™ - Located in Salt Lake City, Utah, vSpring was founded to become the leading venture capital firm in the Intermountain Region. The Company's goal to build deep relationships with the best entrepreneurs in the Intermountain West is being realized by its outstanding investment portfolio.

UV Partners - UV Partners, established in 1986 with offices in Salt Lake City and Los Angeles, is a another example of a leading early-stage private equity investment group. UV Partners looks to assist companies located in the Intermountain West and west coast.

Executives are leaving the big city in droves to escape long commutes, extended drives to the out of doors, high costs of living, unacceptable school systems for their children, and simply put, just better qualities of life. One such exec gave up a job in Seattle’s booming software industry and moved his family from Bellevue, outside of Seattle, eight years ago:

"I was leaving (for work) at 6 a.m. and getting home at 6 p.m. The commute was horrible. At one point, my wife and I said, 'This isn't the quality of life we envisioned'."

Kevin Benedict
Chief Executive Officer
MobileDataforce

Hewlett Packard — Idaho owes its emerging high-tech reputation to companies like Hewlett Packard, which moved its printing division to Boise in the 1970's, and Micron, which started in the basement of a Boise dentist's office and has grown to become one of Idaho's largest employer.

Boise Cascade — Privately owned and headquartered in Boise, Idaho, Boise Cascade manufactures engineered wood products, plywood, lumber and particleboard and distributes a broad line of building materials.

Micron – Founded in October, 1978, in Boise, Idaho, Micron Technology, Inc., manufactures next-generation digital technology and is ranked sixth in the world for most patent holders. With a worldwide employee base of 18,250, Micron is a sound high-tech base in the Treasure Valley of Idaho.

Software/Information-Technology Companies - The Boise area has more than 350 software and information-technology companies, according to the Idaho Department of Commerce.

According to the Milken Institute, Boise has the second-highest tech GDP growth in the United States. Tech leaders are all starting to say that the Treasure Valley could become the next "mecca" for high-tech companies and software companies for two reasons: a relatively low cost of doing business and a high quality of life.

Boise Area Stats:

Population: 568,086
Population Growth Since 2000: 18.2%
Percentage of Workforce in Creative Class: 33.2%
Cost-of-Living Index: 95.5 (100 being national average)
Median Household Income: $49,833
Income Growth Since 2000: 16.6%

"Welcome to Boise, Idaho, the last great place in the American West – where housing remains affordable, Western culture still thrives, and access to the nation’s wildest state begins within city limits."

National Geographic Adventure Magazine
September, 2006

The Idaho State Capitol is located in Boise and houses the Idaho Legislature. The main building was completed in 1913 and is the only state capitol to be heated by a geothermal well.

Many agree that the name "Treasure Valley" appropriately reflects the "treasure chest of resources and opportunities" in the State of Idaho. Thanks to the Boise River, a major source of water for the region, the valley is abundant with lush vegetation and luxuriant growth. As a result of this verdant vegetation, the Boise forefathers aptly utilized the French word "Boisé" (which, when translated means, "wooded") to tag its capitol city, "Boisé/The City of Trees".

With its high-desert climate, the area has also rightfully been nicknamed the "banana belt" of Idaho. The result is the area's ability to qualify for an unprecedented three out of the USDA's ten plant hardiness zones, thus affording its inhabitants the ability to grow a wide variety of landscape plants.

"Sitting at the junction of the arid plateau of the high desert and the western foothills of the Rocky Mountains, the capitol of Idaho offers all the outdoor advantages of more ballyhooed Western towns but with less, well, ballyhoo."

The New York Times in July 2006

Combining four distinct seasons and a location nestled snugly against the foothills of the Rocky Mountains, the "City of Trees" affords its residents and visitors many diverse outdoor opportunities. From skiing to hiking and camping, to kayaking and river floating, the Boise region has now become an oasis for people who are ready to leave the hustle and bustle of the big city for a quieter, healthier way of life.

"A rejuvenated downtown and a budding arts community mean that after a day of rafting... you don't have to turn in once the sun fades."

The New York Times in July 2006

The Boise River meanders lazily through the Cities of Eagle and Star. Bordered by the Boise River Greenbelt, one of the longest greenbelt paths in the United States, the River, and all of its associated amenities, offers the Cities' inhabitants a vibrant place to work and play.

"The secret to living large affordably – do it in a small city like Boise... Despite its diminutive size, I conclude, this city has star quality."

National Geographic Traveler magazine in March 2006

Approximately half of the state's general fund is allocated to education. Idaho ranks among the top third of states for percentage of adults age 25 and older that have graduated from high school (84.7 percent). The Treasure Valley also ranks among the top 18 percent of U.S. metro areas for percentage of adults who have graduated from high school (86 percent); of those adults, 25 percent go on to attain a bachelor's degree or higher.

The synergy that is felt when there is a high concentration of high-tech companies sharing of innovative ideas and techniques and deriving their energy from one another cannot be understated. Boise truly has all the makings of the next high-tech hub of the United States—and the world.

By Amy Bickers, Associate Editor

How do folks get any work done around here? The skiing, snowboarding, fishing, biking and kayaking in and around Boise are an almost irresistible temptation to desert your desk. Glance northward from the city's orderly downtown business and shopping district, and the majestic slopes of the Boise foothills beckon.

Those in search of classy entertainment may be surprised. Says Susan Thayer, who relocated four years ago from Albany, Ore., to run sales for Episciences, which makes Epionce skin products: "The city has evolved into a magnet for the arts." She and her spouse, Terry, frequent the theater, as well as Boise's own symphony, opera and dance companies.

When they're not casting a line or taking in a show, a growing number of Boisians work for local high-tech businesses, the fruits of which make up the state's biggest exports. Micron Technology and Hewlett-Packard are the Boise Valley's two largest employers. But the area also cradles smaller technology and e-commerce firms, which come to make the most of low business costs -- about a third less than in California or Washington.

Employers know they'll find a high proportion of college graduates here (37%, compared with the national average of 27%) and that new hires will find plenty of affordable housing. Explore Boise's eclectic mix of old and new neighborhoods and you'll find homes with a median price of $235,000. The average work commute is 18 minutes.

For those in search of a small-but-happening feel, the burgeoning suburb of Eagle is the place to go. Lloyd Mahaffey, previously an executive at Honeywell, Apple Computer and Verifone, moved to the former farming town in 2004, hoping to find a laid-back place where his kids could hunt and play tennis while he dabbled in winemaking and developed real estate.

Eagle's soil tests perfectly for the cultivation of red-wine grapes. Now Mahaffey is developing ten homes reminiscent of Italian villas, each with its own 4-acre vineyard. After visiting him in Eagle, several friends are planning to relocate to the area. Be advised: "When you first arrive, you have to downshift and adjust to a more relaxed pace," says Mahaffey.

Kiplinger's Personal Finance
July 2008