Packsize International may earn up to 20 percent of the new state taxes they will pay over the seven-year life of the agreement in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) tax credit rebate. As part of the contract with Packsize, the GOED Board of Directors has approved a post-performance tax credit rebate not to exceed $1,202,029. Each year as Packsize meets the criteria in its contract with the state, it will earn a portion of the total tax credit rebate.
Packsize, an innovative, rapidly growing packaging company began searching for opportunities to consolidate and expand in the fall of 2016. The company has offices in both Sweden and Utah and was looking for a location where they could add engineers and technicians. The Utah local management team at Packsize wanted to make a case to hire and expand here as a way to take advantage of all Utah has to offer. Local real estate agent, Luke Burbank, assisted the company in the search for a site.
Typically, companies keep thousands of precut boxes on hand for shipping purposes. These boxes may not be the exact right size, which is extremely inefficient and wasteful. Packsize has created a machine that cuts cardboard according to the size of product being shipped in a given order. This process not only saves cardboard and shipping space, it reduces costs and increases sustainability. Companies are able to rent these machines from Packsize, as well as purchase custom-cut cardboard from them.
EDCUtah discussed the benefits of expanding in Utah with Packsize during the initial meeting. They also discussed the different incentive programs that would be available to the company. EDCUtah is continuing to work with local cities to identify local incentives available to Packsize. Packsize is currently looking at real estate in Salt Lake County.
This expansion will create 354 new jobs, and retain 120 jobs. Packsize announced their project expansion on January 12, 2017.