Worcester Business Journal

wbjournal.com | May 16, 2022 | Worcester Business Journal 17 L et's set the scene. A Central Massachusetts company has remained competitive during the COVID-19 pandemic and seeks to expand – growth resulting in real estate investment, the creation of new jobs, and a positive impact on the local and surrounding communities. But between uncertainty about the state's and nation's fiscal future, rising inflation, and a myriad of other economic concerns, the company may be hesitant to move forward. However, with government tax incentives for real estate expansion projects available under the Massachusetts Economic Development Incentive Program, growing businesses can save thousands – even millions – of dollars. e EDIP has become a foremost economic development tool in the commonwealth and can best be described as a partnership between the state, a municipality, and a company. A variety of tax incentives are available to businesses with a proposed real estate expansion project, meaning the project is considered if it will result in job creation and a renovation or new construction at a Massachusetts site. Municipal tax-increment financing is the most widely known tax incentive available to eligible businesses. In brief, a TIF is a negotiated local property tax exemption of up to 20 years based on the increased value of the project property as a result of new construction or other significant improvements. Over the past several years, a number of Central Massachusetts companies have applied for and received TIF approval, including WuXi Biologics in Worcester, SMC Ltd, in Devens, and IPG Photonics in Oxford. e best-suited projects for TIF incentives are those to increase tax revenue at the property. While TIFs have received the lion's share of news coverage, there are other options that can result in significant savings for an expanding business. ese include: • State EDIP Credit based on job creation and other criteria • State 10% Abandoned Building Tax Deduction for costs associated with renovating an abandoned building at least 75% vacant for two years • Municipal Personal Property tax Exemption, a negotiated local personal property tax exemption of up to 20 years with all TIFs • Municipal Special Tax Assessment, a negotiated local property tax exemption of up to 20 years on the total base value of the project property Due to the complexity of the incentives process, it is critical participating companies possess strong communication and negotiating skills. e ability to present the project to government officials and resident voters at numerous municipal meetings and community sessions is essential to achieving a positive outcome. Getting the green light is not a simple process. Once available incentives have been identified, the company must garner approval from various municipal boards and committees, the city council or town meeting, and eventually the state Economic Assistance Coordinating Council. Timing of the project is another vital element. If a company has already made a commitment to a property, it is unlikely tax incentives would be available for the proposed project, with the unfortunate result of the company leaving cash on the table. Taking the time to learn about, apply for, and secure government tax incentives for projects can not only pay off financially for companies planning to grow, but for the communities and residents who now have a stimulated local economy with new tax revenue, jobs, and other benefits. By David Oliva Oliva is general manager of Berlin manufacturer Organomation.Reach him at davido@ organomation.com. 10) Commit early. Some trade shows provide a discount for early registration. The lower your costs, the lower your hurdle for reaching profitability. 9) Define staffing needs. You want to right size your booth's headcount. Consider factors such as the ease of setup and breakdown and the antici- pated foot traffic based on expected attendees. 8) Remember Murphy's Law. Especially in the current environment, lead times are not guaran- teed. Provide a buffer for your event materials so you can avoid rush shipments, or worse, missing out on the goods entirely. 7) Engage with attendees. While you might see other staffers sitting at their booths and checking their email, go against the grain and initiate conver- sation with the attendees who pass by. Standing next to or in front of your area, greeting people, and smiling are all easy ways to boost interactions. 6) Capture leads. Determine the best approach for collecting visitors' contact information. Some shows offer paid services where you can scan an attendee's badge for streamlined data recording. However, more affordable options include exchang- ing old fashioned business cards or taking a picture of an attendee's badge to manually add them to your customer relationship management software. 5) Take notes. For visitors you want to follow up with post show, scoring them based on their inter- est while recording what was discussed will only bolster your efforts to continue the conversation. 4) Site visits. Especially if you incur high travel costs by attending a show far from your office, con- sider trying to visit customers in the area to boost the value of the trip. While generating a new sale or receiving a glowing customer testimonial are great, you will always learn something. 3) Debrief. Discuss and record what worked and what could have gone better. Parlay this into future success by keeping proven strategies and improv- ing on the missteps. 2) Post-show strategy. Just because the show is over does not mean the necessary work is. Promptly contacting leads with an urgent need, or scheduling the delivery of relevant content in the coming months, are both valuable approaches to forming relationships. 1) Evaluation. While the timing will depend on your specific goals and the customer's buying cycle, reviewing the ROI of the show is vital to proving the value generated for your organization from a relatively expensive type of outreach. K N O W H O W Use government tax incentives to save cash and stimulate growth T here's a whole human resources checklist to do when employees gives their notices – informing other employees, communicating the news to clients, and retrieving com- pany property, among others. But all this oen comes amid shock and panic around the transition. Here are some things to remember when employees quit. Handle resignations with grace. "You want every employee's last memory of your firm to be positive and professional … as if he had a special opportunity while working with your organization," writes Susan Heathfield at eBalanceCareers.com, no matter the reason for their leaving. If they are leaving for a higher-level role, congrat- ulate them. Arrange for an appropriate going-away gathering. Sometimes it's best they leave im- mediately, says David Barron at SHRM. org. ese situations include: When the employee is leaving for a competitor and could have trade secrets; when the employee is unhappy at work and could deflate morale; or the employee's role is sensitive, and having them just going through the motions could be harmful, such as a quality-control inspector. "Why would you allow someone to perform this role if they are checked out and not focused on their work?" Barron asks. Transfer knowledge. Your team might have extra work, especially if the departure is unexpected, says Harvard Business Review's Rebecca Knight. But the resignations can be turned into an opportunities to talk to employees about their own goals for growth. "Say, 'Frank is leaving. I want to talk about what that means for you. Is there something that Frank does that you have an interest in learning or trying?'" Extensive shadowing for sticky knowledge – things that can't be shown on Excel spreadsheets – should then be established, with good communication maintained with the departing individ- ual for later support if needed. 1 0 T H I NG S I know about... ... Successful trade show participation BY SUSAN SHALHOUB Special to WBJ 101: Q U I T T I N G E M P L O Y E E S W Lynn Tokarczyk is president of Business De- velopment Strategies, Inc. in Medway. Reach her at lynn@businessdevelopment-strate- gies.com. BY LYNN TOKARCZYK Special to WBJ W W

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