The Interstate 35 corridor runs through the heart of Texas, connecting Laredo on the Mexican border through San Antonio, Austin, Temple, Waco, and Dallas-Fort Worth. This corridor is the state's primary north-south trade route and one of the busiest freight corridors in North America. Businesses along the I-35 corridor may be eligible for logistics and trade incentives, workforce training grants, and local economic development programs in some of Texas's fastest-growing communities.
This guide covers the most relevant grants, loans, tax credits, and incentive programs for businesses along the Texas I-35 corridor.
Logistics and Trade Programs
Foreign Trade Zones
Multiple Foreign Trade Zones operate along the I-35 corridor, from Laredo's border FTZ through San Antonio, Austin, and DFW. Businesses handling imported goods may defer, reduce, or eliminate customs duties through FTZ status.
Freeport Exemption
Distribution and logistics businesses along I-35 holding goods for interstate or international shipment may qualify for the Freeport property tax exemption. This is especially valuable for warehousing and distribution operations.
STEP Export Grants
The SBA State Trade Expansion Program provides grants for small businesses to develop export capabilities. I-35 corridor businesses benefit from proximity to the Laredo port of entry, the busiest inland port in the United States.
Workforce Programs
Skills Development Fund
Community colleges along the entire I-35 corridor partner with the TWC to provide customized workforce training grants. The corridor passes through multiple workforce development areas, each with active training programs for logistics, manufacturing, healthcare, and technology.
WOTC
Employers along the corridor hiring from WOTC-eligible target groups can claim federal tax credits of $2,400 to $9,600 per qualifying hire. The corridor's diverse labor markets offer broad WOTC opportunities.
Growth Corridor Incentives
Fast-Growing Cities
Some of Texas's fastest-growing cities sit along I-35, including New Braunfels, San Marcos, Georgetown, Round Rock, and Temple. These cities actively compete for business investment with:
- Chapter 380 agreements: Customized incentive packages for qualifying businesses.
- Property tax abatements: Temporary reductions for new business investment.
- Infrastructure support: Utility extensions, road improvements, and site preparation assistance.
- Expedited permitting: Fast-track processing for qualified economic development projects.
Enterprise Zone Incentives
Several I-35 corridor communities carry Enterprise Zone designations, offering state sales tax refunds for job creation and capital investment.
Federal Programs
SBA Lending
Multiple SBA district offices serve the I-35 corridor. Businesses can access the full range of SBA lending programs through one of the densest networks of approved lenders in the state.
Federal Procurement
Military installations and federal facilities along I-35 generate procurement opportunities. PTACs throughout the corridor provide free contracting assistance.
Steps for I-35 Corridor Business Owners
- Contact your local EDC: I-35 corridor cities offer competitive incentive packages.
- Visit the nearest SBDC: Free consulting for program identification.
- Explore Freeport Exemption: Distribution and logistics businesses should evaluate property tax savings.
- Check FTZ availability: Import-dependent businesses may reduce customs costs.
- Review workforce programs: Training grants and WOTC credits can offset labor costs.
Find Programs That May Fit Your Business
I-35 corridor businesses benefit from the highest concentration of government programs in Texas. Our screening report matches your business against all applicable programs. Start your free screening →