The village of Marble Cliff will support a company interested in moving to the village in its application for a job-creation tax credit from the state of Ohio.

The village of Marble Cliff will support a company interested in moving to the village in its application for a job-creation tax credit from the state of Ohio.

Zipline Logistics is considering a lease of about 10,000 square feet of office space on the second floor of the Babbage Simmel building, 2300 W. Fifth Ave.

At its meeting Monday, June 17, Village Council authorized Mayor Kent Studebaker to submit a letter of support and to proceed with negotiations to finalize a tax-abatement request from Zipline.

Zipline has asked the village for a five-year, 50 percent tax abatement on only the new employees it plans to hire. The abatement would not apply to the 24 employees already working for Zipline.

The company has outgrown its current space on Northwest Boulevard, especially with its plans to add between 30 and 40 employees over the next three years, said Andrew Lynch, Zipline president and director of carrier sales.

Lynch said he and two other partners opened the business in 2007 over a Chinese dinner in German Village.

Since then, the company has steadily grown. Zipline earned $20 million in sales over the last 12 months, Lynch said.

"Our growth strategy is measured but aggressive," he said. "One of the reasons we like the building (at 2300 W. Fifth Ave.) is the possibility of expansion (within the building)."

According to its website, Zipline is focused on the "underserved market" of clients searching for high-level service and standards in delivering goods.

The median age of Zipline's employees is 25 or 26, and the average employee earns $40,000 or $45,000 a year, he said.

The letter the village will submit to the state does not commit it to anything specific, Studebaker said, but indicates the company would be a good addition to Marble Cliff and that the village is considering granting a tax abatement.

Based on the village's 2 percent income tax rate, the payroll generated by the 24 current employees would bring $14,100 in revenue annually to Marble Cliff, he said.

Assuming another 40 employees are added -- a number "that seems conservative" -- the additional payroll would generate another $32,000 in tax revenue, Studebaker said.

With the 50 percent abatement, the village still would realize $16,000 in additional annual revenue during the five-year abatement period, he said.

Zipline's application for the tax credit will be heard next week, Lynch said.

The tax credit would help support the training program that new company employees will undergo, he said.