Παρουσίαση του San Francisco σχετικά με θέματα τοπικής αναπτυξιακής στρατηγικής - Πολύ χρήσιμο food for thought για τις προτάσεις μας στην Αθήνα!

1. San Francisco:
Innovation City for the New Economy
Mark Chandler
Director
Office of International Trade and Commerce
Direct: (415) 554-5628
Email: Mark.Chandler@sfgov.org

2. Overview of the San Francisco Economy

3. San Francisco Overview
Hub of the San Francisco Bay Area Napa Valley
» Location: San Francisco is located in the center of the San
Francisco Bay Area in California.
» Population: There are 808,976 people in San Francisco and
more than 7.4 million people in the San Francisco Bay Area. San Francisco
UC Berkeley
» Business Hub: Home to 8 Fortune 500 Companies. Leader in
Oakland
Financial Services, Information Technology, Biotechnology, UCSF
Cleantech, and Consumer Products.
» Top Tourist Destination: In 2009 San Francisco was named
best US City to visit and has been ranked #1 19 out of the last
20 years. San Francisco had more than 15.4 million visitors in
2009. Stanford
University
» Gateway to Asia: Approximately 33% of the City’s population
is Asian or of Asian descent – one of the highest percentages San Jose
in the US. Home to San Francisco International Airport.
» Human capital: San Francisco was named “The Best Educated
City in the Nation” by Money Magazine. 51.1% of residents
have a Bachelor's Degree or higher. At the hub of major
research universities including UCSF, Stanford and UC
Berkeley.

4. Key San Francisco Industries
Center for Business and Innovation
» Retain and Expand Existing Sectors
» Financial & Professional Services: Global headquarters for Wells Fargo,
Charles Schwab, Visa, Union Bank, Bank of the West. Major offices of
Bank of America, JP Morgan, Citibank, US Bank, BlackRock, Deloitte
» Consumer Products: Headquarters city to major consumer product
companies including Gap, Levi Strauss, Del Monte, Gymboree, Williams-
Sonoma, Sephora, Benefits, Design Within Reach
» Recruited and Grow New Industries
» New Media and IT: 1500+ companies. San Francisco is a leader in the
consumer internet, gaming and software industries. SF is home to:
Salesforce, Zynga, Twitter, Dolby, Yelp, Google, Playdom (Disney), Playfish
(ElectronicArts), LucasArts, Wikimedia, TechCrunch, Ustream, Zendesk,
Yammer, Eventbrite
» Biotech: 74+ Biotech Companies. San Francisco is a major biotech center
and is home to UCSF, Bayer, Pfizer, Celgene, FibroGen, Nektar,
Medivation, California Institute for Regenerative Medicine (CIRM)
» Cleantech: 225+ Cleantech Companies. San Francisco is an international
renewable energy hub with more than 30 solar companies including:
Suntech, Yingli Green Energy, Recurrent (Sharp Solar), GCL, Fotowatio
Renewable Ventures, UpSolar, GA Solar, Abengoa, Albiasa. Future home
of UN Global Compact Center

5. San Francisco Innovation Corridor

6. SF Innovation Corridor
Treasure Island
Financial District
Seawall Lot 337
Transbay
SoMa
Pier 70
Mission Bay
Central Waterfront Bayview Industrial District
Life Sciences Overlay Hunters Point Shipyard

10. What Makes San Francisco Different?
» Scale: In the last year, the City has approved the development of
over 5 million sq/ft of commercial space and 24,000 new units of
housing. 1500 tech firms, 225 cleantech firms, 8 Fortune 500
companies. Northern Terminus of California High Speed Rail, Home
to 34th America’s Cup
» Innovation, Entrepreneurship, and Thinking Big: The cutting
edge companies of this cycle are starting and growing in San
Francisco.
» Collaboration: Silicon Valley comes to San Francisco to meet,
collaborate and announce big news: Oracle Open World,
Dreamforce, Apple WWDC, Web 2.0, TechCrunch Disrupt.
» Talent: The creative talent of choice lives in San Francisco because
we are an urban, creative, convenient place to live.
» Committed, Responsive, Entrepreneurial Government:
Assistance, Incentives, Programs, International Reach

11. S A N F R A N C I S C O: tech destination

12. “Simply put, San Francisco is THE nexus of technology and creativity. Idle Games focuses on quality,
creativity and originality. While our goal is nothing short of revolutionizing Facebook games, we
cannot achieve these goals without the right people and culture. No other city in the world can
compete with San Francisco’s population of highly talented residents and the vibrant start-up
culture that is pervasive throughout the entire city. When you combine San Francisco, its people,
culture and the forward thinking policies and efforts of Mayor Lee, there is simply no other choice
for a start-up to call home.”
- Jeffrey Hyman, Co-Founder and CEO of Idle Games

13. Clustering
Cross-fertilization within an ecosystem of technology firms
» As of December 2010 San
Francisco was home to 1,503
tech companies employing
27,503 people.
» In the first 6 months of 2011 1.6
million sq feet of office space
were leased to tech companies.
And it doesn’t end there,
currently 20 firms are looking
for 1.9 million square feet of
space in SF. (November 2011)
» The dense concentration of tech
companies creates opportunities
for collaboration, sharing
infrastructure, and aggregating
resources.
These firms represent a diverse array including such sectors as hardware,
gaming, consumer web and media production.

14. Single Buildings, Many Tech Companies
» Yammer and 7 other tech companies
including TechCrunch, Playdom,
OpenDNS, Eventbrite and Shop it to
Me are co-located in 410 Townsend
St with Zinch, Booyah and many
others just down the street.
» Idle Games and 4 other tech
companies, Kiva, Pivotal Labs, Strobe,
and Playhaven, are leasing a total of
93,000 square feet at 875 Howard.

17. Incubator/Co-Working Network
» “I founded RocketSpace in San Francisco because there is simply no better place for an
ambitious entrepreneur to build a game changing tech company…We’re growing in
San Francisco because the demand to enter our ecosystem is substantial and the
support network to ensure our clients success sits on our doorstep.”
– Duncan Logan, CEO Rocketspace
San Francisco is home to numerous incubators and co-working sites designed to accelerate the
successful development of entrepreneurial companies.

18. Tech Incubators and
Co-working Space

19. Quick and Efficient Growth
» Access to high quality marketing, media, and advertising
» Range of spaces available: incubators for small companies just starting out and
prime property in SOMA for companies looking to enter the next phase of growth
» Center of financial services & venture capital

20. Venture Capital
The San
Francisco Bay
Area dominates
venture capital
funding,
receiving nearly
40 percent of
the past four
quarter total.
- Jones, Lang LaSalle

21. Venture Capital in San Francisco
A Range of Opportunities
» High-tech has accounted for 50 percent of total venture
capital funding over the past four quarters
» The Bay Area’s market share over the same four quarters in
2000 - the funding peak - grew by almost 8 percentage
points, while most other areas remained stable or shrank.
» For the first quarter of 2010, 77 San Francisco based IT
companies received venture capital funding. All in all the
total sum of equity invested in San Francisco IT companies
was $364 million

22. Urban Setting
A “Social Silicon Valley”
» Offices close to
restaurants, bars, and
for those located in
SOMA, to AT&T Park
and Caltrain.
» Joe Fernandez, founder
and CEO of Klout, says
he’s looking for people
who can apply the
cultural ferment of
urban life to the online
world.

23. Having Fun in San Francisco
• Golden Gate Park stretches over three
miles long and covers more than one
thousand square acres making it larger
than New York’s famed Central Park.
Popular location for biking and jogging.
• Home to the 2010 World Series
Champion San Francisco Giants
• One of the best places for foodies. Few
places in the world rival SF’s quality
and variety of food choices, prepared
by world-class chefs
• 3 of the top 50 bars in the World are in
San Francisco; Bar Agricole (#40),
Tommy's Mexican Restaurant (#30)
and Smuggler's Cove (#19)
• San Francisco Centre is the largest
urban shopping center west of the
Mississippi; Home to the West Coast
flagship of Bloomingdale’s and the
second largest Nordstrom in the
country

26. Global Access
» ChinaSF, founded in
2009, is a business
exchange platform
between Shanghai and
San Francisco
» Over 12 companies have
been recruited by
ChinaSF, and the
organization is well-
positioned to assist local
companies looking for
overseas opportunities.
San Francisco has over 16 Sister Cities, including Krakow, Barcelona, Paris, Shanghai, Bangalore
and Ho Chi Minh City.

27. City Support
San Francisco Government collaboration with the Tech community
♦Our first of its kind Twitter-311
service is solving San Franciscans’
problems with a tweet or text.
City agencies are embracing
social media to interact with
residents and share information.
♦Over 60 apps have been
developed using data made
available through our Open Gov
To improve transparency and engage our tech Initiative.
community, San Francisco has an Open Gov Initiative,
which focuses on open data, open participation and ♦City sponsored hackathons have
open source. resulted in the participation of
500 individuals creating 10,000
hours of civic engagement

28. OEWD
Supporting the City’s Ongoing Economic Vitality
» OEWD provides city-wide leadership for
workforce development, business
attraction and retention, neighborhood
commercial revitalization,
international business and development
planning.
» By providing one point of contact for a
variety of essential City programs and
services, OEWD’s goal is to ensure that
San Francisco will always be what it is
today: one of the best places on the
planet to live, work and play.

29. Workforce Programs
» The San Francisco workforce development system actively recruits and trains thousands of
local residents every year, preparing them to enter or re-enter the workforce with the most
up-to-date skills to be of benefit to local companies across industry sectors:
» Employment Training Panel: ETP provides dollar-for-dollar matched funds to companies for
the training of incumbent workers.
» OEWD is a strong local partner that can assist in drawing down these State funds for
San Francisco companies.
» Workforce Screen/Match/Referral Services: Available through the City’s One-Stop Career
Link Centers, this program is designed to provide employers with access to a skilled
applicant pool.
» HireSF.org launched March 2010.

30. Tax Incentives

31. Central Market Payroll Expense Tax Exclusion
» Effective date: April 20, 2011
» Available for a period of 8 years.
Individual businesses may claim the
exclusion for a maximum of 6 years.
» Any business located within the
Central Market/Tenderloin Payroll
Expense Tax Exclusion area is eligible.
» Application process, First Source
Hiring, and community benefit
requirements (for payroll over $1
million) apply

32. Central Market Payroll Expense Tax Exclusion
Payroll expense tax exclusion is limited to the amount of payroll expense tax
above the business’s tax base year. Base year means:
»For businesses already located in the tax exclusion area on the effective date,
the Base Year is 2010.
»For businesses located elsewhere in San Francisco that move into the tax
exclusion area after the effective date, the Base Year is the full tax year for the
year prior to entering into a lease agreement or buying real property in the area.
»For businesses located outside of San Francisco that subsequently relocate to
the tax exclusion area, the Base Year is their first full tax year in the area.

33. Stock Based Compensation Payroll Tax Exclusion
» Overview
» The City of San Francisco’s payroll expense tax covers all forms of compensation for services
rendered in San Francisco, including but not limited to wages and salaries, bonuses, and stock
compensation.
» A payroll expense tax exclusion for stock based compensation was approved on June 3, 2011
and allows companies to exclude stock based compensation above certain thresholds for tax
years 2011 – 2017. The exclusion expires in 2017.
» All pre-IPO companies are eligible. Only stock compensation granted before an IPO is eligible.
» Calculating Exclusion:
» Paid more than $750,000 of Payroll Expense Tax on stock based compensation in 2010:
Company may exclude payroll expense on stock based compensation for amount over what
was paid in tax year 2010.
» Paid less than $750,000 of Payroll Expense Tax on stock based compensation in 2010:
Company may exclude payroll expense on stock based compensation above $750,000 in tax.
» Requirements
» File a timely affidavit with Treasurer and Tax Collector
» Maintain records and documents
» File annual payroll expense tax return with Treasurer and Tax Collector, regardless of amount
owed, after claiming this exclusion

34. State Enterprise Zone Tax Credits
» History: The Enterprise Zone program
was developed by the California State
Legislature to provide targeted areas
with a means to stimulate business and
employment growth.
» The City & County of San Francisco is
currently operating under a Conditional
Designation which began on May 28,
2007.
» Location: The Enterprise Zone includes
the Financial District, SOMA, the
Northeast Waterfront, Mission Bay,
Central Waterfront/Dogpatch, the
Mission, Bayview & Hunters Point.

35. State Enterprise Zone Tax Credits
» Primary EZ Incentives:
» Tax Credit for Sales or Use Tax Paid: income tax credit equal to the
sales or use tax paid up to the first $1 million ($20 million for
corporate taxpayers) of machinery or parts purchased for use within
the enterprise zone.
» Tax Credits for Qualified Hires: For each qualified individual working
within the boundaries of the zone, businesses can receive a $37,000
tax credit over 5 years. There are 13 categories under which
employees can qualify.

36. State Enterprise Zone Tax Credits
» 13 Categories for EZ Hiring Credit Eligibility:
» California Work Opportunity and Responsibility to Kids (CalWORKS)
» Workforce Investment Act (WIA) (enrolled/eligible for WIA Intensive Services
or Core B)
» Work Opportunity Tax Credit (WOTC) or successor program
» Economically disadvantaged individual 14 years of age or older
» Dislocated worker
» Disabled individual or service-connected disabled veteran
» Vietnam Veteran or veteran recently separated
» Ex-offender
» Recipient of, or eligible for, Public Assistance (AFDC,SSI, Food Stamps)
» Native American, Native Samoan, Native Hawaiian or member of another
group of Native American descent
» Targeted Employment Area (TEA) resident.

37. Local Enterprise Zone Payroll Tax Credits
» As a supplement to the state level tax credits, San Francisco also offers an
EZ Payroll Tax Credit.
» Same zone (boundaries).
» The credit is a tax incentive against the payroll taxes for any new hires.
They must be San Francisco residents and must meet one of the
qualifying categories of the state EZ program (except TEA category).
Calculation of Payroll Tax Credit
Year 1-2: 100%
Year 3-4: 50%
Year 5-6: 25%
Year 7-8: 15%
Year 9-10: 10%

38. Thank You
From the City & County of San Francisco