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W W W. M A I N E B I Z . B I Z 19 A P R I L 1 7 , 2 0 1 7 Development Block Grant and sold $275,000 of a total $2 million debt and equity off ering. CDBGs are a good way for startups to raise money, but the grants need buy- in from the community, says Andrea Smith of the Maine Department of Economic and Community Development. " e company needs to create [a certain number of ] jobs, and until those jobs are created the municipality is on the hook for those funds," she says. Not all Maine communities qualify for CDBG grants. ose that don't should contact the Maine DECD, she says. Another option to get some fi nancial help via a tax credit is to be located in a Pine Tree Development Zone and hire fi ve new employees over two years, says Matt Pore, senior manager at accounting fi rm Baker Newman Noyes in Portland. "Being designated in a Pine Tree Zone can virtually eliminate the Maine income tax requirement," he says. However, it can be a bit time-consuming to get cer- tifi ed, he says. Most counties in Maine qualify, though only a few towns within York and Cumberland counties do. ere are other credits breweries can seek, including using Internal Revenue Service Form 8846, which is a credit for employer Social Security and Medicare taxes paid on certain employee tips, and Form 8903, which is a federal incentive to deduct domestic production activities. Pore says it allows a 90% deduction of production activity income for keeping jobs in the United States. Another option is Employment Tax Increment Financing, a state pro- gram that helps new and established Maine businesses hire new employees by refunding 30% to 80% of the state withholding taxes paid by the business for up to 10 years. e reimbursement rate rises with the level of local unem- ployment, with businesses located in Pine Tree Development Zones get- ting the highest rate. Qualifying businesses must plan to hire fi ve or more new, full-time employees over a two-year period. Lori Valigra, Mainebiz senior writer / c o n t e n t s p e c i a l i s t , c a n b e r e a c h e d a t lvaligra @ mainebiz.biz and @LValigra Ben Marcus, Kaitlyn Husar, Jeff Piampiano, and Julia Pitney Ben Marcus, Kaitlyn Husar, Jeff Piampiano, and Julia Pitney can help. Our extensive bankruptcy, restructuring, and creditors' rights practice is ready, willing, and able to undertake efficient and is ready, willing, and able to undertake efficient and immediate action in any distressed commercial situation. We immediate action in any distressed commercial situation. We pride ourselves on providing practical advice to our clients pride ourselves on providing practical advice to our clients in New England and across the country from the first sign of in New England and across the country from the first sign of distress through the most complex chapter 11 bankruptcy. distress through the most complex chapter 11 bankruptcy. We practice law differently. Since 1965. We practice law differently. Since 1965. dwmlaw.com | 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 800.727.1941 That's where Drummond Woodsum attorneys Jeremy Fischer, That's where Drummond Woodsum attorneys Jeremy Fischer, Navigating through distressed commercial matters requires a guide who knows what's around the bend. "New distillery ideas can be very speculative. When our business needed financing, nobody we approached would help us out. But FAME did. Every person we dealt with at FAME was helpful and has been a partner for us. They are willing to listen and work with you. I don't think we would have been able to get this company off the ground if we hadn't obtained the initial loan we did from FAME." Chris Dowe Managing Partner/Master Distiller, Cold River Vodka Helping Maine Businesses Succeed since 1983 Best Places to Work in Maine 2015, 2016 1-800-228-3734 • FAMEmaine.com [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have [Craft beer] will have to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other to compete with other alcohol and beverages going forward. — Bart Watson chief economist, Brewers Association

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