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V O L . X X I I I N O. V I M A R C H 2 0 , 2 0 1 7 38 W E A LT H M A N A G E M E N T / R E T I R E M E N T F O C U S in 2002, though the trade group says that is because Congress, the IRS and the ESOP community itself started cracking down on "dubiously legitimate plans" established to take advantage of the then-recent S-corporation ESOP- related law. e Department of Labor and other entities now take a more pro- active role in policing ESOP violations. rough 2014, the trade group listed 25 ESOPs in Maine, with a 6,609 employees, though that number has apparently grown signifi cantly since then. What's ahead Looking ahead, Scherbel says banks are increasingly stepping in to help with fi nancing, which can help spur the ESOP process. Her fi rm, Ellsworth- based Bellview Associates, is seeing a wide variety of companies taking an interest in ESOPs, including those in the service and distribution industries. " ey tend to be labor-, not capi- tal-intensive. eir capital goes home at night," she says. Steven Tenney, a wealth manage- ment advisor at UBS Family Wealth Management Partners, has also seen a continued interest in ESOPs. "Interestingly, it seemed as if the pace was slowing down over the last six months. However just in the last month I have had multiple inquiries regard- ing ESOPs," says Tenney. "Owners are still attracted to the 'soft' benefi ts of selling to employees as well as the economics. At the same time, owners are becoming more educated regarding their options and how design choices can impact the possibility or likelihood of a Department of Labor audit." Pendergast at Spinnaker says the ESOP structure continues to hold an appeal. " e management team stays the same. e governance and thought process changes. ere's more structure, though. You have a board of directors," she says. Outside parties monitor the progress of the ESOP to ensure that it has being run properly. In cases where there are concerns, an appointed trustee can investigate with the management team or, in some cases, the board. "Having independent board members sometimes scares people," Pendergast says. "Yet once they're in place, they ask, 'Why didn't we do that earlier?'" P e T e r Va n A l l e n , M a i n e b i z e d i to r, c a n be r e a ch e d a t p vanal l e n @ mainebiz.biz and @ MainebizEDiTor Chalmers talked to us about health plans as if we were family. —Susan Simkins, DVM, Co-owner Fryeburg Veterinary Hospital with Jenn MacDonald, Practice Manager "We work hard to keep our four-legged patients healthy, and wanted to do the same for our people, too. Another firm sent us numbers, but Chalmers took the time to explain all the options—in simple, human terms. That's why we use Chalmers for all our group benefits and insurance needs." Read more about how Chalmers works with Fryeburg Veterinary Hospital at: ChalmersInsuranceGroup.com/FVH Call us at 800-360-3000 or visit ChalmersInsuranceGroup.com Like us on FOR GROUP BENEFITS AND BUSINESS INSURANCE, JOIN THE FA M I LY AT www.mainebiz.biz/OTRnorway 207.761.8379 x341 R E G I S T E R T O DAY FOLLOW US @MBEVENTS #OTRNorway17 PR ES ENTI NG S PONS OR Let Mainebiz help you build your professional network! Join us as we make our second stop at the On the Road event series in Norway. This free event is a great forum to put a face with a name as well as make new business connections. Free admission Cash bar Complimentary hors d'oeuvres AT TENDANCE IS FREE BUT SPACE IS LIMITED! Please be sure to register ahead. NORWAY April 13 | 5–7pm | Cafe Nomad, Norway R EGI ONAL S PONS OR » C O N T I N U E D F RO M P R E V I O U S PA G E

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