Prime Movers Lab Funds Startups with $245 Million

Prime Movers Lab Funds Startups with $245 Million

Prime Movers Lab is funding early stage science startups with $245 million. The company is looking for and backing startups that are making scientific breakthroughs in various industries, such as biotechnology and manufacturing among others. Prime Movers Lab’s first fund is one of the best performing funds of 2018. The company prides themselves on backing companies like Momentus, who just announced a SPAC merger. 

Prime Movers Lab general partner, Dakin Sloss, outlines how the company wants to support tech and science that works towards making the world a better place and to do that, it needs to support and encourage startups in the tech and science industry. The company wants to allow startups to make progress and assist them in their R&D process to allow the startups to grow.

Are you developing a new product or process? Did you know your development work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? Even if your development isn’t successful your work may still qualify for R&D credits (i.e. you don’t need to have a patent to qualify). To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes.

Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

Air Cleaners Inc. Pulls the Air Curtain on Pathogens

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As we start heading back to the office, there is an increased need for clean indoor air to limit the spread of Covid-19 and other viruses. That’s why Air Cleaners Inc has developed a small, portable air filtration system to clean indoor air during the Covid crisis. The company was founded by experts in airflow who combined multiple technologies to create a top-of-the-line filtration system called the Clean Air Curtain.

The Clean Air Curtain separates indoor air spaces by isolating and removing pathogens in the air. It uses a high efficiency particulate air (HEPA) filter, capable of removing very fine particles, and ultraviolet germicidal irradiation (UVGI) with a high velocity exhaust. The Clean Air Curtain identifies and diverts pathogens away from an area and quickly captures and kills them through UVGI. Or, in simple terms, it combines filters and UV lights to not only refine the air but also destroy pollutants. Since many buildings don’t have a central HVAC system, the Clean Air Curtain is a small and portable filtration device that can be easily installed to supply clean air circulation in any area. 

Are you developing new technology in response to Covid? Did you know your R&D experiments could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? To find out more, please contact a Swanson Reed R&D Specialist today or check out our free online eligibility test.

Who We Are:

Swanson Reed is one of the U.S.’ largest Specialist R&D tax advisory firms. We manage all facets of the R&D tax credit program, from claim preparation and audit compliance to claim disputes. Swanson Reed regularly hosts free webinars and provides free IRS CE and CPE credits for CPA’s. For more information please visit us at www.swansonreed.com/webinars or contact your usual Swanson Reed representative.

Study Ranks Performance of Each State’s Economy Over The Past Decade

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The economy of the United States is the largest in the world by nominal gross domestic product (GDP) and the second-largest by purchasing power parity (PPP). During the past decade, in most of the US states, economy has improved considerably, but that is not to say every state’s economy is equally healthy. Some states are experiencing an economic boom, while others continue to contend with poor GDP growth, low per capita income, unemployment and poverty.

The Ohio Alliance for Innovation in Population Health conducted an analysis of the data collected by the Appalachian Regional Commission (ARC) for 2009 and 2019 and ranked the economic performance of all fifty states in the US. The results determined that the economies of the states such as New Hampshire, followed by North Dakota, turned out to be the healthiest over the past ten years, while the states such as Louisiana and Mississippi were regarded as the most economically distressed states. To be more precise, the most economically distressed states for 2019 were Georgia, Arkansas, South Carolina, Arizona, Kentucky, Alabama, West Virginia, New Mexico, Louisiana, and Mississippi. However, the results of the study should be interpreted with caution.

This is because, though ranked last and being labelled as the poorest state, Mississippi improved its economic distress index score of 153 in 2009 to 141.8 in 2019. The state witnessed an upsurge in nearly all income-related categories. But simultaneously, it also faced widespread weakness across the economy. Sectors shrinking included government, construction, entertainment, arts, agriculture, nondurable goods manufacturing and recreation. The state’s economic conditions weakened as compared to its growth in the past. The economy grew just 0.3% in 2017, compared to 2% growth in 2016. However this is expected to improve in 2018 and 2019.

It can be concluded that economic vitality can help communities remain competitive and adapt to the constantly changing world.

New Hampshire Businesses Celebrate Newly Raised Cap on Research and Development Tax Credit

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New Hampshire businesses are now able to claim up to three times the amount in the state’s research and development (R&D) tax credit. The cap for claims has been raised from $2 million to $7 million, effective July 1.

Although local governor, Chris Sununu, thanked the “Republican leadership of the Legislature” for the increase, the  change was in the works long before the current Legislature. 2015 governor Maggie Hassan originally vetoed the budget, stating it was unbalanced due to corporate tax cuts. Eventually, Hassan stood behind the budget with the caveat of having business tax rate cuts aligned with New Hampshire’s fiscal health. Nothing, however, was mentioned regarding the R&D tax credit.

The R&D tax credit helps to strength the economy of small businesses, especially those involved in high-tech. Created in 2008, the state R&D tax credit was originally capped at $1 million. In New Hampshire, 71 businesses applied for the credit during its first year. Following this, the credit cap was lifted to $2 million in 2013, and 155 businesses applied for the credit. It is estimated that this number will grow in the current year, especially with the current credit cap of $7 million.

Businesses are allowed to claim credit for 10% of their research and development costs, to a maximum of $50,000. Interestingly, this maximum has never been reached as the demand for the credit has always been greater than the supply.

Is your business involved in innovative projects relating to research and development of new products or processes? You may qualify for the R&D tax credit. To learn more about the federal and state R&D tax credit incentive program, contact a Swanson Reed Tax Advisor today.

New Hampshire’s High-Tech Industry on The Rise With $7 Million In R&D Tax Credits

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New Hampshire Governor Chris Sununu has issued a statement saying that $700 million will be given out to 200 New Hampshire businesses in 2017, meeting 92.4% of the total requested dollar amount for each company. This wasn’t all done by the Governor, but with the help of the Republican leadership and the Legislature, as well as the Senator Jeb Bradley who increased the Research and Development (R&D) tax credit from $2 million in 2008 to $7 million in 2017.

The reason for increasing the R&D Tax Credit for New Hampshire is the small economy of this area. Although most businesses are SMEs, they are high-tech focused and would benefit greatly from the increased R&D credits.

Governor Chris Sununu believes that the change in the R&D Tax Credit will send out a message that New Hampshire is now “open for business.” He is hoping that this change will promote a business-friendly environment that will spark company growth and job creation, thereby benefiting everyone.

The New Hampshire Legislature enacted an R&D tax credit in 2007 for businesses that paid taxes to the state of New Hampshire. In 2007 the Legislature designated $1,000,000 to be available for the next five fiscal years. In 2013 that was changed and a new Bill was passed changing the amount to $2,000,000, which was subsequently increased to $7,000,000 in 2015 (effective as of July of 2017).

Sununu believes that R&D is key to driving the future investment of businesses in New Hampshire. If you would like to find out how your business could benefit from R&D tax credits, contact a Swanson Reed R&D Tax Advisor today.

New Biotech Institute To Develop Organs For Transplant

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The Advanced Regenerative Manufacturing Institute (ARMI) has just opened in Manchester and has the potential to transform the region into a flourishing tech hub for healthcare. The institute will work to develop transplant organs and tissues grown from scratch for soldiers and veterans who have lost limbs in combat, as well for as other patients, such as those with renal failure.

BioFabUSA is ARMI’s first large project, a public-private partnership designed to build the technologies necessary to create human organ factories. The goal is to one day mass-produce human organs for those in need of a transplant.

President and CEO of the Greater Manchester Chamber, Michael Skelton, believes that the project could be transformative for the city. Jerry McGinn from the Department of Defense commented that “Many of the challenges we face in the department are in areas that are either adjacent to the battlefield or not on the battlefield itself and that’s why this institute is so important.”

ARMI will be led by DEKA Research and Development Corp, Dartmouth-Hitchcock and the University of New Hampshire. The institute will bring jobs and draw talented researchers to work on the cutting-edge technology.

Founder Dean Kamen said that “This is one of those rare places where the technology that we’re developing is one that is going to give you a better outcome, but it also lowers the cost,” referring to the replacement of a failing kidney, where the patient would no longer need dialysis.

The Department of Defense will invest $80 million into the project over five years, with another $200 million coming from private investors, including universities and medical research institutions.

Governor Chris Sununu said that the best thing that New Hampshire can do is provide an atmosphere that makes it easy for businesses to come in and partner, “Because that’s what this is: a public-private partnership.”

Advanced Solutions are already considering moving their life sciences lab to New Hampshire. CEO Michael Golway presented the BioAssemblyBot (BAB) at ARMI, which is a 3D printer that has the ability to build tissue.

Companies creating new knowledge on a global scale can apply for the federal and New Hampshire R&D tax credit. Companies who are unsure about whether their projects qualify can contact Swanson Reed R&D Tax Advisors to assess their eligibility.

Top States for Doing Business 2016

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How does your state rank for doing business? CNBC ranked all 50 states for business using a range of publicly available data.  They used a points-based system for each of the 10 categories of competitiveness.

Here are the results:

Workforce

Rating based on education level of the workforce, the numbers of available employees, and the states’ demonstrated abilities to retain college-educated workers.

Top 5

  1. Colorado
  2. Massachusetts
  3. Virginia
  4. North Dakota
  5. Arizona

Bottom 5

  1. Maine
  2. Missouri
  3. Hawaii
  4. Vermont
  5. Kentucky

Cost of Doing Business

Rating based on the competitiveness of each state’s tax climate, as well as state-sponsored incentives that can lower the cost of doing business. Utility costs can add up to a huge expense for business, and they vary widely by state. Also considered was the cost of wages, as well as rental costs for office and industrial space.

Top 5

  1. Indiana
  2. Iowa
  3. Mississippi
  4. South Dakota
  5. Kentucky

Bottom 5

  1. Hawaii
  2. California
  3. Maryland
  4. Connecticut
  5. Massachusetts

Infrastructure

Rating based on the vitality of each state’s transportation system by the value of goods shipped by air, waterways, roads and rail. The availability of air travel in each state, the quality of the roads and bridges, and the time it takes to commute to work was taken into account, as was the condition of each state’s drinking water and wastewater systems.

Top 5

  1. Indiana
  2. Tennessee/Texas
  3. Tennessee/Texas
  4. Georgia
  5. Minnesota

Bottom 5

  1. Rhode Island
  2. New Hampshire
  3. Maine
  4. Connecticut
  5. Hawaii

Economy

Rating based on economic growth, job creation, consumer spending, and the health of the residential real estate market. Each state’s fiscal health was measured by looking at its credit ratings and outlook, as well as its overall budget picture. Also considered was the number of major corporations headquartered in each state.

Top 5

  1. Texas
  2. Colorado
  3. Utah
  4. Florida
  5. Oregon

Bottom 5

  1. Mississippi
  2. Maine
  3. Alabama
  4. West Virginia
  5. Louisiana

Quality of Life

Rating based on livability, including several factors, such as the crime rate; inclusiveness, such as antidiscrimination protections; the quality of health care; the level of health insurance coverage and the overall health of the population. Also evaluated were local attractions, parks and recreation, as well as environmental quality.

Top 5

  1. Hawaii
  2. Minnesota
  3. Vermont
  4. New Hampshire
  5. Maine

Bottom 5

  1. Arkansas
  2. Missouri
  3. Oklahoma
  4. Louisiana
  5. Tennessee

Technology and Innovation

Rating based on support for innovation, the number of patents issued to their residents and the record of high-tech business formation. Also considered were federal health, science and agricultural research grants to the states.

Top 5

  1. Washington
  2. California
  3. Massachusetts
  4. New York
  5. Maryland

Bottom 5

  1. Mississippi
  2. West Virginia
  3. Wyoming
  4. Arkansas
  5. Louisiana

Education

Rating based on the number of higher-education institutions in each state, as well as long-term funding trends for higher education. Also evaluated were several measures of K–12 education, including test scores, class size and spending, as well as digital and lifelong learning opportunities in each state.

Top 5

  1. Massachusetts
  2. Minnesota
  3. Wyoming
  4. Illinois
  5. Virginia

Bottom 5

  1. Nevada
  2. Idaho
  3. Mississippi
  4. Arizona
  5. Alabama

Business Friendliness

Rating based on the freedom each state’s legal and regulatory frameworks provide for business.

Top 5

  1. New Hampshire
  2. South Dakota
  3. Virginia
  4. North Dakota
  5. Idaho

Bottom 5

  1. California
  2. West Virginia
  3. Illinois
  4. Mississippi
  5. Hawaii

Cost of Living

Rating based on cost of housing, food and energy.

Top 5

  1. Mississippi
  2. Kentucky
  3. Arkansas
  4. Alabama
  5. Tennessee

Bottom 5

  1. Hawaii
  2. New York
  3. Delaware
  4. California
  5. Connecticut

Access to Capital

Rating based on venture capital investments by state, as well as small-business lending on a relative basis.

Top 5

  1. Illinois
  2. North Carolina
  3. California
  4. Michigan
  5. New Jersey

Bottom 5

  1. Wyoming
  2. Vermont
  3. West Virginia
  4. Delaware
  5. New Mexico

Many US businesses can take advantage of the state and/or federal R&D tax credit. Please contact a Swanson Reed representative to find out what is available in your state and whether your business qualifies.

Slow but steady economic growth in New England states

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The New England economy has continued to move in a positive direction, according to the Federal Reserve Bank of Boston. The economy has seen consecutive yearly increases in employment as of the third quarter of 2016. These increases have been led by construction, hospitality, and information industries.

Only a year earlier in 2015, much of the region lagged the nation in terms of economic recovery. By September 2016 unemployment was as low as 2.9 percent in New Hampshire, 3.3 percent in Vermont, 3.6 percent in Massachusetts, and 4.1 percent in Maine, all lower than the national average of 5.0 percent that month.

Technology Driving Growth

Technology-related sectors are major economic drivers in New England, particularly in the R&D focused area of Massachusetts, which for generations has been renowned for the brainpower residing on its university campuses. The State Technology and Science Index from the Milken Institute once again named Massachusetts the nation’s most innovative state, continuing its strong run since 2002).

Among the region’s biggest tech-related headlines was word from Akamai Technologies that it plans to expand its corporate headquarters in Cambridge, Massachusetts. The tech company is spread across six buildings currently present, however plans to consolidate into two. In the process 700 jobs are expected to be added to the 1,666 already there. Another 400 new tech jobs are promised in Lowell, where cloud-based workforce management solutions provider Kronos plans to move its headquarters from nearby Chelmsford.

Rhode Island may be small but it gets its share of technology development, too. One of the past year’s biggest announcements involved plans by GE Digital to launch an information technology center in Providence, with the potential to create hundreds of new jobs, starting with about a hundred at the outset. The company cited strong university partnership opportunities and a healthy tech talent pipeline in making its decision.

The life sciences are historically strong in the region, led by Massachusetts. Among the developments, Siemens Healthcare Diagnostics intends to invest $300 million in an expansion of its office, warehouse, and lab space in the Massachusetts community of Walpole. As many as 400 new jobs will join the 600-plus that will be retained.

Pro-Business Initiatives

There is wide spread initiative seeking to explore a variety of ways to grow the areas economies. The state of Connecticut plans to builds upon its economic strengths with a variety of programs designed to facilitate growth. Its Small Business Express program gives small businesses access to capital and job training, and has benefited more than 1,500 companies and contributed to the creation or retention of about 22,500 jobs. Meanwhile, the First Five Plus program is designed to boost large-scale expansion or relocation projects, with a focus on generating capital investment and creating jobs. According to a recent analysis of the program, just over a dozen companies have signed up to participate, and they’ve collectively invested more than $1.3 billion in infrastructure and human capital, creating nearly 3,800 jobs.

The state of New Hampshire is making a variety of ongoing investments to boost innovation. For example, nearly 200 companies were awarded research and development tax credits in the past year. Companies of all sizes are eligible for the state’s program, which is based on qualified manufacturing research and development. And the New Hampshire Department of Resources and Economic Development recently landed federal grant money to help businesses expand their global opportunities.

Among the ways Rhode Island supports business growth is the Innovation Voucher program. A recent round of voucher funding is supporting six small companies that have entered into R&D partnerships with local universities. The recipients are involved in everything from life sciences to wind energy advancements to wireless charging of unmanned air and underwater vehicles. Also recognizing that big ideas tend to start small, the publicly financed Maine Technology Institute recently launched a new round of seed grant funding for 19 fledgling tech companies, plus several development loans and TechStart grants. Maine’s leadership offered additional signals of the state’s intent to keep moving in business-friendly directions — the governor, for example, laid out a proposal to gradually scale back Maine’s income tax until it hits zero in 2024.