New Resource for R&D Grant Recipients
In a new agreement between the EDA and the New Jersey Commission on Science & Technology (CST), technology companies in New Jersey that are working on applied research projects through the Edison Innovation R&D Fund are now eligible for supplemental financing for non-project specific costs, such as rent, capital, construction and utilities through the Edison Innovation R&D Fund Wraparound program.
The EDA and CST are committed to nurturing the development of new technologies and ensuring that the State continues to be a leader in innovation. There are many great benefits to the Edison Innovation R&D Fund Wraparound program, including:
- Funding of up to 20% of approved CST grant for indirect costs, up to a maximum of $100,000;
- Below market fixed interest rate of 2%;
- Increased capital growth and profitability;
- Reduced costs; and
- Support to create, sustain and grow science and technology businesses that will lead to high-paying job opportunities for New Jersey residents.
To be eligible for this financing option, companies must first be approved for an Edison Innovation R&D grant from CST. Upon approval, the EDA will then provide up to 20% of the approved grant for non-project costs, up to a maximum of $100,000. Companies must also maintain a minimum of 75% of their employees in New Jersey.
"The wraparound product provides a very user-friendly tool for early-stage companies to begin a relationship with the EDA, and secure much sought after growth capital," said Kathleen Coviello, director of technology & life sciences for the EDA. "We hope that this product is the first of a series that a technology or life sciences company will use to help support their growth in New Jersey."
One of the first awardees under the Edison Innovation R&D Fund Wraparound program is Aestus Therapeutics, a pharmaceutical company focused on the treatment of disorders of the nervous system. Founded in 2005, the company's core technology utilizes a unique proprietary process for mining both public gene expression and pharmaceutical data. To help support growth, the EDA awarded a sum of $100,000 to Aestus for non-project specific costs.
TreadStone Technologies, an innovative company dedicated to delivering solutions to address energy challenges in efficient fuel cell design and hydrogen energy, has also taken advantage of the Wraparound program. TreadStone provides the core innovative energy solutions that will drive the adoption and availability of products and services fueled by hydrogen-based energy forms. The company will use its $100,000 Wraparound financing for non-project specific costs in order to continue the growth of its LiteCell(tm) Technology for fuel cell development and HydroOSP(tm) "One Step Process" technology for processing hydrogen.
For more information on the Edison Innovation R&D Wraparound program, please call (609) 777-4898 or visit http://www.njeda.com.