IF YOU ARE:   A credit-worthy small or mid-sized company operating in New Jersey that is creating or retaining jobs in New Jersey.

YOU CAN APPLY FOR: Financing through the New Jersey Business Growth Fund, a joint program of the EDA and PNC Bank—the only one of its kind in the state.

IN THE AMOUNT OF: Up to $2 million.

TO BE USED FOR: The funding of real estate or equipment.

PROGRAM DETAILS: Businesses that borrow under this program must meet specific eligibility requirements:

• Borrowers must commit to creating one full-time job in New Jersey for every $50,000 of guarantee provided by the EDA for such loans with the exception of manufacturers, which must commit to maintaining existing full-time jobs in New Jersey.
• Borrowers must demonstrate creditworthiness that meets PNC Bank's and the EDA's existing standards for business loans.
• The primary business checking account must be maintained at PNC Bank.
• 1.1:1 Debt Service Coverage Ratio.
• 100% loan-to-value for real estate and 90% for equipment.

TERMS:

• Interest rate either fixed at the five-year U.S. Treasury Note Rate plus 2.5%, or variable at Prime minus .5%. 
• Loan terms of up to five years for machinery and equipment (with up to 10-year amortization) and up to five years for owner–occupied real estate purchases (up to 20-year amortization).
• Preference is given to borrowers located in targeted geographies throughout the State of New Jersey, and in targeted industries such as manufacturing, business/personal services, technology drivers, transportation and wholesale trade.
• The loan approval process involves both PNC Bank and the EDA, and both organizations will work together in making a credit decision on each loan application.

FEES*:

• Application fee: $1,000
• Commitment Fee: $750
• Extension:  $750             
• Guarantee: 0.5% of guaranteed portion of loan for every year of guarantee

• Division of Taxation Tax Clearance Certificate Application Processing Fee: $75 for standard processing; $200 for expedited processing (response within three business days)    

*All fees are non-refundable.