IT startup company comes to downtown Kokomo

scott.smith@kokomotribune.com

A new company is coming to Kokomo, bringing with it hopes of diversifying the city's auto-industry dominated economy.

The launch of Zuna Infotech, announced Wednesday by Gov. Mitch Daniels, comes in the midst of Kokomo's worst economic downturn since the early 1980s.

The new company, which specializes in information technology outsourcing, will be headquartered in the Armstrong-Landon building, downtown at the corner of Sycamore and Main streets.

To bring the company to Kokomo, local officials partnered with the Indiana Economic Development Corp. to create an incentive package.

"Zuna Infotech is excited to be basing our operations in Kokomo. We are very impressed with the enthusiasm and commitment demonstrated by everyone we've worked with and look forward to becoming part of Kokomo's long-standing tradition of innovation and firsts," Zuna CEO Anju Bajaj said in a statement Wednesday morning.

The stated mission of the company is to "offer comprehensive services in product engineering, IT Services, and custom research in focus areas such as security, healthcare, and technical support."

Zuna is part of a growing trend of bringing IT call centers back into the United States, and the company's Web site notes it will offer a "U.S.-based model" and "on-shore delivery" of its services.

Joining Daniels for Wednesday's announcement at Inventrek Technology Park were Kokomo Mayor Greg Goodnight, Howard County Commissioner Dave Trine, former Kokomo Mayor Matt McKillip (who is performing consulting work for the firm) and other local officials and business leaders.

According to the company's press announcement, Zuna is accepting up to $1.16 million in performance-based tax credits through the IEDC, and up to $145,000 in training grants based on Zuna's job creation plans.

Kokomo and Howard County officials will provide local incentives totaling more than $500,000, including local training grants for new employees, tax incentives and relocation support based on new employment.

In September, the Kokomo Common Council appropriated $150,000 and the Howard County Commissioners appropriated $50,000 out of economic development income tax funds, and the Greater Kokomo Economic Development Alliance is also contributing toward the local incentives.

Zuna officials said they hope the company eventually employs up to 400 in the Kokomo area.

"Many individuals made this day come to fruition, but I personally want to recognize Don Foley [of the IEDC] and Jeb Conrad [GKEDA's executive director] for structuring the incentives that made Kokomo so competitive," Jim Harter, Zuna's chief operating officer, said in a statement. "I also thank former Kokomo Mayor Matt McKillip for guiding us through the entire process from our first meeting months ago in a coffee shop to this exciting day of opening."