Kochava picked for state tax credit program
SANDPOINT — In the wake of a major business expansion, Kochava is working with the state of Idaho to push down the accelerator even more on its business plan.
City, state and business leaders announced Thursday that the company has been selected for participation in the Tax Reimbursement Incentive program. Designed to support businesses that demonstrate remarkable economic promise, the TRI program kicked into action in July and will give Kochava a 28-percent tax credit for five years. Over the agreement’s terms, Kochava’s expansion plans will bring $13.5 million in total wages and $1.3 million in new state tax revenue.
“Technology and innovation are important in any thriving economy, and I’m thrilled that Kochava has made the decision to not only remain in our state, but to enhance its presence and create new high-wage jobs in a key industry sector,” Gov. C. L. “Butch” Otter said in a press release.
Kochava CEO Charles Manning worked with city officials over several months to pursue approval for the TRI program. According to Sandpoint Planning and Zoning director Jeremy Grimm, Kochava’s TRI authorization is yet more good news for a company that stands to dramatically enhance Sandpoint’s footprint in the technology and software industries.
“This news further supports the awareness that Sandpoint is a hub of innovation and a destination for medical device, aerospace and other high-tech companies,” said Mayor Carrie Logan.
The news of Kochava’s TRI credits follows a major company expansion that included major additions to its executive leadership.
Four new executive positions in finance, marketing, data science and sales top off the company’s employees, who now stand at 35 strong. Manning expects that number to grow to 42 by the end of the year. And according to the governor’s office, Kochava anticipates hiring a total of 50 new employees over the next five years.
“These good-paying jobs are badly needed here in the far northern rural area of Idaho and (TRI) is an important (tool) that is paying off already,” said state Sen. Shawn Keough. “I am proud to have voted for this and having supported Governor Otter’s leadership.”
Kochava’s rapidly growing list of clients who depend on its mobile advertising analytic software warrant all the new hires.
The company’s customer base has grown 361 percent over the past year and is integrated with more than 700 publishers.
Earlier this week, Tech Crunch reported that Kochava secured a deal with Chinese company Chukong to provide services for mobile app developers.
For Grimm, the Kochava’s expansion is great news for the local economy. Software development jobs typically offer very high multipliers when it comes to economic planning, which means that one job in the field can symbiotically support several other jobs in differing fields. And Kochava’s downtown location is great news for the nearby shops and restaurants more than happy to meet employees’ lunch or retail needs.
“It really provides all sorts of ancillary benefits to downtown business,” Grimm said.