COLUMBIA, S.C. — State Sen. Kevin Bryant, R-Anderson, said he hopes that a bill he’s supporting will give investors one more reason to put their money behind South Carolina start-ups.
Senate bill 287, the South Carolina Entrepreneurial Success Fund Act, would provide tax breaks to those who invest in funds that offer seed money to start-up businesses. The bill received a favorable report last week in the subcommittee of which Sen. Bryant is chairman and is gaining support among business leaders.
To be eligible, investors would need to create a seed fund of $10 million. The fund must be managed by a South Carolina taxpayer, and 70 percent would need to be invested in local companies that are three years old or younger.
The legislation would give those investors income tax credits worth 30 percent of the amount they contribute, with the total amount of credits not exceeding $5 million in a year.
Sen. Bryant said the bill complements the state’s endowed chairs fund, which encourages research at colleges and universities, and the South Carolina Venture Capital Program, which supports companies that want to expand in the state.
“I think it’s the jump-start our economy needs,” Sen. Bryant said.