Saskatchewan craft brewers are among the businesses that could benefit from a new provincial incentive designed to boost investment in small and medium-sized companies.

The government is offering a 45 per cent annual tax credit to investors who put money into eligible Saskatchewan-based businesses. The tax credit is non-refundable, meaning it can only be applied against taxes owing.

“It is a significant tax credit for anybody willing to make that investment,” said Trade and Export Development Minister Warren Kaeding.

Regina’s Pile O’ Bones Brewing employs about 40 people. Founder Glenn Valgardson says raising capital for expansion can be difficult, and a program like this would have helped during their early growth years.

“We had to raise a lot of money the old way,” he said. “We got through it, but it’s very encouraging to see a program like this come out.”

The credit goes directly to investors, rather than to the business, and is available to manufacturers with between five and 50 employees. Saskatoon’s 9 Mile Legacy Brewing says it plans to take advantage of the program.

“We intend to use it, raise money and grow,” said co-founder Shawn Moen. “It unlocks a key barrier to scaling a business — fueling working capital and market presence.”

The government says it expects the program to keep investment in Saskatchewan, help businesses purchase new equipment, upgrade facilities and create jobs.