Actually, wage, facility and development costs are pretty comparable at our location to other states for our business. Our HQ and manufacturing facility (we build all our radios here in CA) is located in a lower cost agricultural area of the state . (Watsonville and the Salinas Valley - Steinbeck country..), so our cost of living for manufacturing employees here for is substantially lower than other more populated areas of the state. And we are not capital intensive, which insulates us from some of the tax costs in CA associated with larger industries. Outside of the major population hubs, the cost of operating a business here drops significantly. CA also has an aggressive R&D / manufacturing tax credit, which for our size of company, reduces our taxes -significantly-. (Bigger industries probably max this credit out and end up paying higher taxes.)
Our primary cost increases have come from our component suppliers, many of whom are out of state. The wage and facility cost increases here have tracked those in our type of industry outside the state. Our engineering team is located both here at HQ and up and down the west coast from Washington state to Arizona, which keeps those costs in control too. We also benefit from an amazing number of engineers, suppliers, consultants and sub-contractors close by here who are related to the high tech industry, which allows us to quickly and economically develop and manufacture products. That proximity is priceless and unique. It is one of the reasons we have been successful for the past 16 years. 73, Eric elecraft.com _..._ > On Sep 24, 2015, at 6:03 AM, <ae...@carolinaheli.com> > <ae...@carolinaheli.com> wrote: > > Have you guys considered moving the company to a state with a lower cost of > living? ______________________________________________________________ Elecraft mailing list Home: http://mailman.qth.net/mailman/listinfo/elecraft Help: http://mailman.qth.net/mmfaq.htm Post: mailto:Elecraft@mailman.qth.net This list hosted by: http://www.qsl.net Please help support this email list: http://www.qsl.net/donate.html Message delivered to arch...@mail-archive.com
