Route To Expand Its Utah Headquarters

Pete CodellaNews, Tax Credits

The Utah Governor’s Office of Economic Development (GOED) is pleased to announce that Route App, Inc. will expand its Utah location, adding up to 3,353 new high-paying jobs in the state in the next 11 years. 

“This is a big win for Utah, and we couldn’t be more excited for this expansion and the number of high-paying jobs that will be created over the next 11 years,” said Dan Hemmert, GOED’s executive director. “For a company that was founded in 2018, we are amazed at the growth and the opportunities Route will bring to Utahns.”

Route is a technology company that is revolutionizing the e-commerce experience by connecting consumers and brands directly. The Route app provides consumers with visual package tracking, support, and a personalized shopping experience featuring recommendations based on purchase behavior and editorial-style storytelling highlighting emerging brands and products through its Discover feature. For merchants, Route offers a suite of end-to-end post-purchase amenities that help businesses increase customer loyalty. 

“Our mission at Route is to provide a better e-commerce experience that empowers consumers to connect with brands at every touchpoint and shop directly from them,” said Route Founder and CEO Evan Walker. “Given the undisputed staying power of online shopping and Route’s unique market fit, we’ve been fortunate to be experiencing record-breaking growth. With this expansion comes immense hiring needs and it’s important to us to invest into the Silicon Slopes community and recruit the incredible talent right here in Utah.”

Route may earn up to 20% of the new state taxes it will pay over the 11-year life of the agreement in the form of a Utah Legislature-authorized Economic Development Tax Increment Finance (EDTIF) tax credit. The GOED Board has approved a post-performance tax credit not to exceed $23,172,708. Each year that Route meets the criteria in its contract with the state, it will earn a portion of the total tax credit. 

“We’re always glad when an innovative technology company, with experience in other markets, selects Utah,” said Theresa A. Foxley, president and CEO of the Economic Development Corporation of Utah. “Route’s expansion not only bolsters Silicon Slopes as a whole but also strengthens our state’s industry expertise in e-commerce.”

“Lehi welcomes Route to our ever-growing technology sector and expects great things from them in the future,” said Marlin Eldred, economic development director for Lehi City. “Route is changing the way customers track packages, resolve claims, and engage with brands. Route’s focus and vision to change the consumer experience and turn one-time shoppers into loyal customers is a game-changer for online sales.”

State of Utah Tax Credit Projections by the Numbers

Tax Revenue$115,863,540
Capital Investment$17 million
Timeline11 years

About Utah Corporate Incentives

The Utah Legislature has authorized economic development incentives in the form of post-performance tax credits. Eligible companies work with the Utah Governor’s Office of Economic Development to outline specific performance criteria. Once GOED confirms those criteria have been met, according to statute (U.C.A. 63N-2-106(2)), companies can receive a refund of up to 30% of the state taxes they paid for up to 20 years. The contract with the state is post-performance; it only provides a state tax credit if the company meets its obligations.