The City of Lynchburg is rapidly growing as Central Virginia’s urban center for commerce and culture. This is evident in our expanding diverse population, our flourishing higher education institutions, and our economic growth. Read below to find out more about why Lynchburg is thriving.
An Environment for Opportunity
our Median Age is 28.5; our colleges & universities graduate over 24,000 degrees annually.
Our population is 81,000 and is projected to grow 5% over the next 5 years.
More than 6,000 work in the manufacturing sector – 22% more than the national average.
The cost of Living is 12.8% lower than the national average, and average annual wages increased by 6.3% in 2021.
Largest Employers in Lynchburg
We are a city that makes things and produces talent for the world. Our top industries include nuclear engineering, manufacturing, healthcare and social assistance, retail trade, and higher education. Our growth sector industries include health care & social assistance, hospitality & tourism, education & training, and IT/STEM.
5,000 - 1,000 Total Employees
- Liberty University
- Centra Health
- Lynchburg City Schools
- City of Lynchburg
- Framatome
999 - 500 Total Employees
- J Crew Outfitters
- Horizon Behavioral Health
- Frito-Lay, Inc.
- Walmart Stores, Inc.
- Central Virginia Community College
- Kroger, Inc.
- Delta Star, inc.
499 – 200 Total Employees
- University of Lynchburg
- Genworth Financial
- Southern Air
- Westminster-Canterbury
- Belvac
- Randolph College
- US Pipe
- L3 Harris
- Pacific Life
- CB. Fleet Company, Inc.
- Lowes
- Tessy Plastics
- Ortho Virginia
- Hanwha Azdel
- BWXT
- Flowserve
- Bausch & Lomb
199-100 Employees
- Aerofin Corporation
- Flowers Bakery
- International Paper
- Concentrix
Location and Transportation
Lynchburg is at the heart of Central Virginia, sited near the geographic center of the Commonwealth. This principal locality is contributing to the city’s status as the economic hub of the region. Nestled in the foothills of the Blue Ridge Mountains and bounded by the James River, Lynchburg is a prime location for pristine environment.
East of Lynchburg is the capital of Richmond, which is a short drive away. Also, North of Lynchburg is Washington, D.C. which is a quick train ride or drive. The major east coast shipping hub, the Port of Hampton Roads, can be reached in a matter of hours by rail or road.
Economic Profile
Utilities & Taxes
Utilities
Utilities
The following utility companies proudly service the Lynchburg Metropolitan Area.
Utility Providers
|
Electricity |
American Electric Power |
|
Natural Gas |
Columbia Gas |
|
Water |
Water Resources, City of Lynchburg |
|
Sewer/WWT |
Water Resources, City of Lynchburg |
|
Solid Waste Disposal |
Region 2000 Services Authority |
|
Telecommunications |
Verizon-Virginia |
Download the City of Lynchburg 2022 Water Quality Report.
*In some cases commercial utility rates may be negotiable. Rates above based on recent published rates but are not guaranteed. Contact the utility provider for specific rates and rebates.
Taxes
Taxes
Lynchburg’s business environment is vibrant due to a sensible local and state tax codes that help foster investment and expansion. Our local taxes reflect Virginia as the fourth most tax-competitive state in the nation. In many instances, the rates below may be eligible for reimbursement or credits depending on your business, revenues or expenditures. For more information, contact the Office of Economic Development at 434-455-4491 or email melissa.dismond@lynchburgva.gov.
Corporate Income Tax
- Rate of 6%
- Unchanged in Over Forty Years
- Three-Factor Apportionment Formula of Payroll, Property and Sales (Sales Double-Weighted)
- Tax Credits for Job Creation and Investment
- No Franchise or Net Worth Tax
Sales and Use Tax
- Rate of 4.3%
- Tax on Gross Receipts from Retail Sales or Leases of Taxable Tangible
- Personal Property Manufacturers Exempt from Tax on Purchases for Production
- Distributors Exempt from Tax on Items Purchased for Resale
Local Taxes
The Commissioner of the Revenue administers local taxes in the City of Lynchburg. For local tax purposes, businesses are classified as Manufacturers or Non-Manufacturers.
All Businesses
|
Real Estate Tax |
|
|
Nominal Tax Rate per $100 of Assessed Value |
$1.11 |
|
Business Personal Property Tax |
|
|
Nominal Tax Rates per $100 of Assessed Value |
$3.80 |
|
Value Used for Tax Calculation |
Original Cost |
|
Assessment Ratio (in years) |
|
|
1-5 years old |
30% |
|
6+ years old |
25.35% |
Manufacturing Businesses
|
Machinery and Tools |
|
|
Nominal Tax Rate per $100 of Assessed Value |
$3.00 |
|
Value Used for Tax Calculation |
Original Cost |
|
Assessment Ratio (in years) |
|
|
1-5 years old |
30% |
|
6+ years old |
25.35% |
Non-Manufacturing Businesses
|
Business, Professional and Occupational License Tax |
|
|
All Businesses with Gross Receipts Less Than $10,000 |
No fee |
|
$10,001-$50,000 |
$30.00 |
|
$50,001-$100,000 |
$50.00 |
|
$100,001-$150,000 |
$160.00 |
|
Retail Merchants |
20 cents per $100 of Gross Receipts |
|
Contractor |
16 cents per $100 of Gross Receipts |
|
Business/Personal Service |
36 cents per $100 of Gross Receipts |
|
Professional Service |
58 cents per $100 of Gross Receipts |
|
Wholesale Merchant |
$20 plus 28 cents per $100 of Gross Purchases |
Hospitality & Service Sector Taxes
Local Sales and Use Tax
- Retail Sales and Leases of Tangible Property: 1%
Meals & Lodging
- Prepared Foods and Beverages: 6.5% of Sale
- Lodging for Compensation Per Room Per Night: $1 plus 6.5% of Sale
Amusement Tax
- Event or Activity Admission: 7% of Sale