Incentive Negotiations
Investment Consulting Associates has frequently been engaged with corporate incentive and locationstrategy advisory as well as incentive package negotiation.This experience enables us to evaluate incentive programs on the quantitative (e.g. benefits) as well as on the qualitytive (e.g. eligibility) aspects, taking into account a particular focus and requirements of our client. Our dynamic approach explicitly treats business incentives as a cost-effective asset that supports businesses in optimizing location strategies. As such, we ensure incentive benefits to be responsive to your business needs and policy.
Process of Designing Incentive Strategies
1. Incentives Identification
The first critical step is to understand the corporate strategy and current locational structure. Based on your customized business objectives and our in-house developed methodology to systematical- ly evaluate incentive regimes on its qualitative aspects, a selection of incentive programs can be drafted.The output is a summary of all relevant incentive schemes.
2. Incentives Optimization
Apart from evaluating whether our client is eligible to identified incentive programs, the incentive schemes should be quantitatively analyzed based on their potential fiscal benefits and financial opportunities. Taking into account the characteristics and projected economic impacts of the future investment provides sufficient input to determine the value of the incentive(s) our client can expect.
3. Incentives Implementation
Finally, a cost analysis based on the previous qualitative and qualitative evaluation of relevant incentive programs should support and optimize the location strategy. Financial modeling in the form of a cost benefit analysis to calculate the range of potential incentives and include this in the feasibility study is the main deliverable.
Investment Consulting Associates has the advantage to rely on crucial data obtained through its in-house developed software tool ICAincentives.com (now: IncentivesMonitor.com). This tool is the only Global Incentive Deal Database tracking information on all major financial incentives awarded to (foreign and domestic) corporate investors in all industries and monitors active associated incentive programs.This allows for transparent incentive benchmarking and helps negotiate and optimize incentive packages more efficiently.
ICA is a global management advisory firm based in Amsterdam and Boston specializing in corporate location advisory, Supply Chain Management, market entry, incentives advisory, free zone development, economic development strategies, investment promotion strategies, FDI advisory and training & Seminars. ICA offers customized, effective solutions matching its clients’ needs through a combination of analytical industry expertise and stakeholder management. ICA’s global team of multi-disciplinary professionals has worked on numerous projects across all continents, either on behalf of its growing portfolio of corporate clients or as strategic advisor to governmental organizations. ICA is also the founder of two successful software products: LocationSelector.com and ICAincentives.com (now known as IncentivesMonitor.com).