Starting a Business in Maine: Six Funding Resources to Help You Reach Your Goals
It’s not a secret that I love Maine. Technically, I’m “from away,” but it’s been long enough now that I think of myself as a proud Mainer. There are a million wonderful reasons to start a business in our beloved home state.
If you are ready to take the first steps toward establishing your business in Maine, I’m happy to tell you that there are excellent support services and organizations that are here to help make sure your small business has the best chances of success. Here are six of them to explore when it’s time to seek funding beyond the typical bank loan.
Get Funding for Your Small Business
Maine Small Business Development Centers - Maine’s SBDCs offer a lot more than funding - like education, advising and assistance with things like writing a business plan or performing market analysis. But they can also help you determine if you qualify for a US Small Business Administration- backed loan (see below for more info on the SBA), and help you apply for it if you do. They also have very cool resources like their Guide to Starting a Business in Maine, a Startup Checklist and more. This is the place to start when it’s time to start looking for funds and assistance for your small Maine business.
Finance Authority of Maine (FAME) - FAME’s goal is to make Maine affordable, so it’s a great place for any Mainer to get information on financial literacy. But they also have business financing programs that offer lending, equity investment, tax credits and bond investments to not only get businesses on their feet, but to help them scale and continue their success here in our state. For those just learning about business finances, their Glossary of Financial Terms is a well-written resource to check out.
Maine Technology Institute (MTI) - from biotech to agriculture, IT to manufacturing, MTI offers grants, loans, investments and business-building services to companies whose offerings fall into one of seven different technology sectors. Those that receive funding have access to mentors who work alongside the company to advise on everything from marketing to product development, ensuring that investments made are supported by a strong network of professionals invested in your success.
Coastal Enterprises Inc. (CEI) - formed in 1977 as a community development corporation, CEI has grown in scope to include several subsidiaries focused on complementary areas of economic growth here in the state of Maine. For those starting new businesses and seeking funding, CEI Ventures and small business loans are great places to start. CEI invests in local businesses that create good jobs and help develop the workforce in Maine. Like MTI, CEI also pairs its investments with passionate and knowledgable mentors to guide you through the challenges you might face as you grow.
U.S. Small Business Administration - the US SBA has three offices in Maine, in Portland, Augusta and Bangor, and indirectly offers SBA-backed loans through lending partners, which you can find by going through the “Lending Finder” on the SBA website. SBA-backed loans can, in many cases, have lower interest rates, more flexible terms or lower down payments than privately-backed commercial debt financing, as they are partially guaranteed by the federal government. Solopreneurs might want to check out their micro loans, while more more complex small businesses have options for working capital, funding the acquisition of fixed assets and multiple-use loans.
Maine Community Foundation et. al. - it’s no secret that nonprofits and grant funds everywhere have taken a hit due to effects of the current administration’s spending decisions. Though there may be a dip in federal funding, private funds also exist and can still be found. The Maine Community Foundation’s available grants page is a good place to start looking, particularly if you’re starting a nonprofit or arts-focused business. The State of Maine also publishes a list of open grants offered by state agencies, and Maine Microenterprise Assistance Program offers grants of up to $20,000 through local communities, focusing on minority- and women-owned businesses.
But grants don’t begin and end with the state of Maine. It pays to look for national and local grant funding for your specific type of business when you’re starting up or growing.
Good luck! When you’re ready to apply for loans, grants or other financing programs, North Star is here to help with planning, grant writing and accounting support.
