Trending
If you step onto a shop floor in Council Bluffs, Wichita, St. Joseph, or Grand Island, you see the true engine of our regional economy: hardworking families dedicated to keeping our communities moving forward. At the Small Business Administration (SBA), our goal is to support that dedication by providing practical, accessible tools to help your business thrive without adding bureaucratic red tape. To simplify support, the U.S. Department of Commerce released the 2026 Manufacturing Incentives Overview. Small and mid-sized producers can leverage federal tax updates, including 100% capital equipment bonus depreciation for property acquired after January 19, 2025, a permanent 20% pass-through business income deduction, immediate domestic research and experimental (R&E) expensing, and an annual capital investment deduction of up to $2,500,000.
Pairing these benefits with SBA financing -- such as MARC 7(a) loans, the Working Capital Pilot, and 504 loans up to $5.5 million (which allows for a total project size of more than $13 million) -- gives you flexible capital for new machinery and expansion.
These federal tools are highly effective when layered with local programs:
Iowa: Combine state Manufacturing 4.0 Technology Investment grants up to $75,000 with SBA revolving lines of credit.
Kansas: Pair the state's Machinery and Equipment Sales Tax Exemption with federal immediate R&E expensing.
Missouri: Utilize tax-exempt revenue bonds under the BUILD Program or the Single Issue Tax-Exempt Industrial Revenue Bond Program alongside SBA 504 fixed-rate loans.
Nebraska: Use state sales tax exemptions on machinery in tandem with federal 100% bonus depreciation for newly constructed or converted real estate (provided construction begins before 2029 and the facility is placed in service before 2031).
A modern plant requires a skilled workforce and efficient operations. The U.S. Department of Labor's American Manufacturing Apprenticeship Incentive Fund provides $35.8 million nationally, offering $3,500 for every apprentice retained for 90 days across 120 advanced manufacturing occupations, up to a maximum of 100 apprentices per sponsor during the pilot phase. Concurrently, the Department of Energy's Industrial Training and Assessment Centers (ITAC) offer no-cost energy assessments and grants of up to $300,000 per qualified recommendation to boost productivity. To qualify for ITAC support, plants must have gross annual sales under $100 million, fewer than 500 employees at the site, and annual energy bills between $100,000 and $3.5 million.
For supply chain resilience, shops can use the NIST Hollings Manufacturing Extension Partnership (MEP) Supplier Scouting service or the SBA's Make Onshoring Great Again Portal to find verified U.S. manufacturers, producers, and suppliers.
Federal and state resources are aligned to support your growth. Reach out directly to your local SBA District Office, Small Business Development Center (SBDC), or Resource Partner today to keep Great Plains manufacturing strong for generations.
Brad Zaun is the SBA Regional Administrator for Iowa, Kansas, Missouri and Nebraska and a former Iowa State Senator.