Tennessee Department of Economic & Community Development

What Tennessee Department of Economic & Community Development does

Tennessee Department of Economic and Community Development (TNECD) is a cabinet-level state agency of the State of Tennessee, established in 2011 and headquartered at 312 Rosa L. Parks Ave., Nashville. It is responsible for recruiting new businesses to Tennessee, supporting the expansion of existing businesses, and positioning the state as a destination for capital investment and job creation. The agency reports to Deputy Governor and Commissioner Stuart C. McWhorter, sits under Governor Bill Lee, and operates with 101-250 staff across the central Nashville headquarters, seven international offices (Canada, France, Germany, Italy, Japan, South Korea, UK/Ireland), and eight regional business-development directorates covering Tennessee's three grand divisions.

TNECD's product surface is not commercial technology but rather a portfolio of economic-development programs: the FastTrack suite (Job Training Assistance, Economic Development Fund, Infrastructure Program, Bonus Incentives for at-risk and distressed counties), tax-based incentives (Standard, Enhanced, and Super Job Tax Credits; Industrial Machinery credits; Sales & Use Tax exemptions), workforce-development channels through the TNWorks hub, the Launch Tennessee public-private partnership, Tennessee SmartStart for business registration, the $100M+ Fund Tennessee SSBCI capital initiative, the IRIS Grant research linkage, the Federal Innovation Grant Matching Fund, the SelectTN certified-sites program, rural-development and broadband programs, and the Tennessee Entertainment Commission for film and music. Its underlying "technology" stack is therefore less software-product and more program architecture: incentive instruments, grant administration, and certified industrial-site data, anchored to state infrastructure (96,000+ highway miles, 2,900+ rail miles, 970+ navigable waterway miles, Memphis International as the Western Hemisphere's busiest cargo airport).

Tennessee does not make money from selling products or services; its revenue mechanics are state appropriations augmented by federal grants (notably SSBCI for Fund Tennessee and ARC funding for distressed-county bonus incentives). Pricing is non-commercial: incentives are awarded on a project-by-project basis conditioned on job creation and capital-investment thresholds (e.g., $4,500 per net-new full-time position Standard Job Tax Credit; $5,000 per position Super Job Tax Credit requiring $100M+ capex and 100+ jobs). Customer segments span domestic enterprises (Nissan, GM, Volkswagen, FedEx, Amazon, HCA Healthcare, Oracle), international firms (LG Chem, Hankook, Korea Zinc, Kewpie, Schneider Electric, Radiant, Hitachi Energy, Florim, Trane), the 741K+ small businesses statewide, and rural communities receiving targeted development grants. The agency's GTM motion is enterprise field sales backed by event-driven international trade missions across the seven overseas offices.

Name

Tennessee Department of Economic & Community Development

Legal name

Tennessee Department of Economic and Community Development

Website

https://tnecd.com

Company type

Private

Founded year

2011

Operating status

Operating

Headcount range

51–100 employees

Short description

The Tennessee Department of Economic and Community Development (TNECD) is a cabinet-level state agency that recruits new businesses to Tennessee, supports expansion of existing businesses, and administers tax incentives, grants, workforce development, and seven international offices to attract foreign and domestic investment.

Ownership category

akta.pro rank

Headquarters

HQ city

Nashville

HQ country

United States

HQ region

North America

Offices9 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Infrastructure, Others

Revenue model

1. Government Funding: TNECD is a state government agency funded through state appropriations and federal grants. The agency does not generate revenue but allocates public funds to support business recruitment, workforce development, and community development programs.

Pricing tiers

Go-to-market motion2 records

Distribution channels6 records

Marketing channels7 records

Core offering

Tennessee Department of Economic & Community Development (TNECD) is the state agency responsible for economic and community development in Tennessee. It recruits new businesses to the state, supports the growth of existing businesses, and markets Tennessee as a premier business destination. TNECD administers FastTrack incentive programs, job tax credits, workforce development via TNWorks, innovation grants, certified industrial sites, and rural development programs, supported by seven international offices.

Product overview

TNECD is the Tennessee Department of Economic and Community Development, a state government agency that serves as the primary economic development organization for Tennessee. Rather than a software product company, TNECD offers a portfolio of economic development programs and services including: FastTrack incentive programs (Job Training Assistance, Economic Development Fund, Infrastructure Program, and Bonus Incentives), tax credit programs (Standard Job Tax Credit, Enhanced Job Tax Credit, Super Job Tax Credit, Industrial Machinery Tax Credits, and Sales & Use Tax Exemptions), workforce development through TNWorks, innovation support via Launch Tennessee, Tennessee SmartStart business registration platform, Fund Tennessee capital initiative ($100M+), IRIS Grant and Federal Match research programs, certified sites through SelectTN, rural development programs, and international business development offices. These programs work together to recruit new businesses, support existing business expansion, and market Tennessee as a premier business destination.

Differentiator

Problem solved

Functional benefit

Brands

• TNECD: Official abbreviation for Tennessee Department of Economic and Community Development
• FastTrack
• Launch Tennessee
• Tennessee SmartStart
• Fund Tennessee
• TNWorks
• SelectTN
• IRIS Grant
• Tennessee Entertainment Commission
• OpenECD

Products and services

• FastTrack Job Training Assistance Program Grants provided directly to new or expanding companies to support training of net new full-time employees, funded to eligible new positions created and retained in accordance with program guidelines.
• FastTrack Economic Development Fund Grants provided to local communities to reimburse companies for eligible expenditures such as real property acquisition, new construction, and building retrofit.
• FastTrack Infrastructure Program Grants provided to local governments for public infrastructure improvements on behalf of new or expanding companies, including water, sewer, gas, and electric infrastructure.
• FastTrack Bonus Incentives Premium incentives (35% for At-Risk Counties, 50% for Distressed Counties) applied to projects based on county designation by the Appalachian Regional Commission.
• Standard Job Tax Credit Credit of $4,500 per position to offset up to 50% of franchise and excise tax liability with a 25-year carry forward; requires 25+ net new full-time positions within 36 months and $500,000+ investment.
• Enhanced Job Tax Credit Additional annual credits for companies in designated Tier 2, 3, or 4 Enhancement Counties, offsetting up to 100% of franchise and excise tax liability.
• Super Job Tax Credit Additional $5,000 per position to offset up to 100% of F&E tax liability; requires $100M+ capital investment and 100+ jobs or $10M+ investment and 100+ HQ jobs at 150% avg wage.
• Industrial Machinery Tax Credits Credit of 1% (up to 10% enhanced) of purchase, installation and repair of qualified industrial machinery, offsetting up to 50% of F&E tax liability with 25-year carry forward.
• Sales & Use Tax Exemptions Sales and use tax exemptions and reductions available for qualified equipment, utilities, and materials used in manufacturing, headquarters, warehouse, distribution, call centers, data centers, and R&D operations.
• TNWorks Tennessee's central hub connecting employers to customized, data-driven workforce development services, delivered at no cost to businesses through partnerships with state workforce entities.
• Launch Tennessee Public-private partnership providing direct investment and supporting collaboration among founders, investors, researchers, the private sector, and government to support the startup ecosystem.
• Tennessee SmartStart Interactive platform connecting entrepreneurs with resources for business registration and support networks.
• Fund Tennessee $100M+ initiative to expand access to capital for small businesses and entrepreneurs across all 95 counties, supported by U.S. Treasury's State Small Business Credit Initiative.
• IRIS Grant Program Innovation & Research for Industry Success Grant connecting Tennessee companies with research institutions to support applied R&D and partnerships.
• Federal Innovation Grant Matching Fund State matching funds for major federal awards in nuclear energy, mobility, life sciences, and advanced computing sectors.
• SelectTN Certified Sites Program Tennessee's site readiness program providing property evaluation, site development grants, and certification of shovel-ready industrial parcels.
• Rural Development Programs Targeted grants, infrastructure development, and strategic partnerships supporting rural communities with job creation and downtown revitalization.
• International Business Development International offices in Canada, France, Germany, Italy, Japan, South Korea, and United Kingdom & Ireland supporting foreign direct investment attraction in Tennessee.

Quantifiable outcome

• #1 in the nation for labor force growth (2.6% year-over-year 2024-2025)
• +9 more outcomes

Named customers15 records

Segments8 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

16 partnerships are on record, tiered core and minor.

• Korean International Trade Association (KITA)coreStrategic or Co-development Partner · 23 October 2025KITA and Tennessee are deepening ties in EV supply chains. Korean firms have invested $6 billion in Tennessee creating over 4,500 jobs. Discussions included LG Chem, LG Electronics, and LG Energy Solution for future collaborations.
• TNWorks Partnership (State Workforce Entities)coreStrategic or Co-development PartnerTNWorks is Tennessee's central hub connecting employers to workforce development services through partnerships with Tennessee Department of Labor & Workforce Development, Tennessee Department of Education, Tennessee Board of Regents, and others.
• Nissan - TCAT Smyrna Training CentercoreStrategic or Co-development PartnerNissan partnered with Tennessee College of Applied Technology (TCAT) in Murfreesboro to open a training center in Smyrna for careers in advanced manufacturing, creating a pipeline of high-skilled workers.
• Volkswagen - Chattanooga State Community CollegecoreStrategic or Co-development PartnerVolkswagen joined forces with Chattanooga State Community College to develop two three-year mechatronics degree programs accredited by German Chambers of Industry and Commerce.
• Bridgestone - Motlow State Community CollegecoreStrategic or Co-development PartnerBridgestone partnered with Motlow State Community College to develop a mechatronics program based on Siemens Mechatronics Systems approach - the only program in the U.S. to offer a three-step pathway for advanced manufacturing education.
• Electrolux - Workforce Investment Network (WIN)coreStrategic or Co-development PartnerElectrolux and WIN teamed up to provide training through WIN's Industrial Readiness Training program. Classes are based on Electrolux's specifications and training requirements at Southwest Tennessee Community College.
• Launch TennesseecoreStrategic or Co-development PartnerLaunch Tennessee is a public-private partnership providing direct investment and supporting collaboration among founders, investors, researchers, private sector, and government to support the startup ecosystem.
• Tennessee Valley Authority (TVA)coreStrategic or Co-development PartnerTVA is the nation's largest public power provider covering more than 99% of Tennessee, delivering rates below national average with 99.999% transmission reliability.
• Oak Ridge National LaboratorycoreStrategic or Co-development PartnerORNL is a major research asset supporting innovation in Tennessee, partnering on advanced manufacturing, nuclear energy, and technology development initiatives.
• Canada (Craig Manufacturing)minorStrategic or Co-development PartnerCanadian company Craig Manufacturing with operations in Tennessee for advanced manufacturing.
• France (Schneider Electric)coreStrategic or Co-development PartnerFrench company Schneider Electric expanding manufacturing presence in Middle Tennessee.
• Germany (Volkswagen)coreStrategic or Co-development PartnerGerman automotive company Volkswagen with plant in Tennessee.
• Italy (Florim)minorStrategic or Co-development PartnerItalian ceramics company Florim USA with manufacturing operations in Tennessee.
• Japan (Kewpie Corporation)coreStrategic or Co-development PartnerJapanese food company Kewpie Corporation invested $65M+ for second U.S. facility in Clarksville.
• South Korea (LG Chem, Hankook, Korea Zinc)coreStrategic or Co-development PartnerKorean companies including LG Chem (cathode manufacturing), Hankook (relocated HQ to Nashville), and Korea Zinc ($6.6B investment announced).
• United Kingdom & Ireland (Trane)minorStrategic or Co-development PartnerTrane (Ingersoll Rand brand) with operations in Tennessee.

Scale indicators24 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• Georgia Department of Economic Development: Georgia's state-level economic development agency recruiting businesses, supporting expansion, and administering incentives. Direct peer with overlapping GTM in automotive (Kia), manufacturing FDI, and Southeast U.S. site-selection competitions.
• Texas Economic Development & Tourism: Texas's state economic development office operating under the Office of the Governor. Direct peer in large-scale corporate attraction, no-income-tax messaging, and competing for the same automotive, advanced manufacturing, and FDI projects.
• North Carolina Department of Commerce: North Carolina's lead economic development agency administering Job Development Investment Grants (JDIG) and One North Carolina Fund. Direct peer in Southeast manufacturing recruitment, EV/battery competition, and workforce development.
• Indiana Economic Development Corporation: Indiana's public-private economic development organization with similar structure (IEDC operates more like a corporation than a traditional department). Direct peer in automotive/EV manufacturing attraction and incentive-based corporate recruitment.
• South Carolina Department of Commerce: Southeastern peer with deep automotive and EV investment track record (BMW, Mercedes-Benz Sprinter, Scout Motors). Direct peer in port-adjacent logistics recruitment, EV battery competition, and rural site-development grants.
• Ohio Department of Development: Ohio's state economic development agency administering JobsOhio and state-level incentives. Direct peer in Midwest/Southeast crossover competition, automotive/EV supply chain projects (Honda-LG, Intel-related ecosystem), and FDI recruitment.
• Kentucky Cabinet for Economic Development: Kentucky's state economic development cabinet, adjacent to Tennessee's automotive corridor. Direct peer in automotive supplier recruitment (Toyota, Ford suppliers), battery manufacturing competition, and regional site readiness.
• Virginia Economic Development Partnership: Virginia's state economic development authority with similar incentive structures (Virginia Jobs Investment Program). Direct peer in data center recruitment, HQ relocations, and competing for the same portfolio companies evaluating the Southeast/Mid-Atlantic.
• Alabama Department of Commerce: Alabama's lead economic development agency administering incentive programs for automotive (Mercedes, Honda, Hyundai) and aerospace recruitment. Direct peer in Southeast manufacturing FDI, right-to-work state positioning, and rural site development.
• Mississippi Development Authority: Mississippi's state economic development agency with rural-focused incentive programs and similar Southeast FDI recruitment mission. Direct peer in competing for lower-cost manufacturing projects and rural Tennessee border-region site selections.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/tnecd
• YouTubeyoutube.com/channel/UC6ZZPzTdsQyYMAKsfS7wHIg
• Facebookfacebook.com/tnecd
• LinkedInlinkedin.com/company/tnecd
• Instagraminstagram.com/tnecd

Revenue estimate

Valuation estimate

Number of profiles

Profiles36 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Tennessee Department of Economic & Community Development