EDA Products - Product Overview
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Product Fees and Interest Rate Pricing:

The EDA charges application and processing fees for its products, details of which are captured in the individual product information pages found on our website.

For its loan products, the EDA also charges a fixed or variable interest rate that that has an interest rate floor for the specific product, and which is determined for individual loans at the time of closing using various other criteria. Interest rate floors utilize nationally recognized financial indices such as the 5 Year United States Treasury or the Prime Rate as published in the Wall Street Journal. For fixed and variable rates loans, adjustments will be made to the base rate and are calculated based on factors that involve the applicant's creditworthiness, project public policy criteria, including number of jobs to be created and the leveraging of total project costs to public dollars, and amortization. Please refer to product information pages for current interest rate floors.

For a full description of a specific EDA program, click on the product name in the chart below or Product Listing in the left navigation.

EDA Products Overview
Bond Financing The EDA issues conduit tax-exempt private activity bonds, the proceeds of which are used to provide low-interest, fixed-asset loans. Borrowers must meet the eligibility requirements outlined in the Internal Revenue Code (IRC) in order to qualify. Taxable bonds are also available for a wide variety of businesses. Taxable bonds offer similar flexibility in structuring rates and terms but are not subject to the restrictions placed on tax-exempt financing under the IRC.
Brownfields and Contaminated Site Remediation Program A developer in the state in need of financial assistance to clean up and redevelop polluted sites and closed municipal landfills may be eligible to recover up to 75% of approved costs associated with the remediation effort.
Business Employment Incentive Program (BEIP) Annual incentive grants are available to businesses moving to or expanding in New Jersey. Eligible companies must meet minimum Job creation requirements and prove financial viability to qualify for cash grants.
Business Retention and Relocation Assistance Grant The Business Retention and Relocation Assistance Grant (BRRAG) provides grants of corporate business tax credits to companies that are relocating operations within New Jersey and retaining jobs.
Business Retention and Relocation Assistance Grant Tax Credit Certificate Transfer Program The purpose of this program is to allow businesses in New Jersey with unused amounts of BRRAG tax credits to surrender those credits to other corporations desiring such credits.
Clean Energy Solutions Capital Investment (CESCI) Loan/Grant Up to $5 million in interest-free loans and grants is available to commercial, industrial and institutional entities "going green" in New Jersey. Under this program, scoring criteria based on the project's environmental and economic development impact determines the percentage split of loan and grant awarded. Funding can be used to purchase fixed assets, including real estate and equipment, for an end-use energy efficiency project, combined heat and power (CHP or cogen) production facility, or new state-of-the-art efficient electric generation facility, including Class I renewable energy.
Combined Heat and Power (CHP) Program Designed to complement the CESCI Loan/Grant, the CHP Program provides performance-based incentives for combined heat and power and combined cooling heat and power electrical and thermal energy generation projects.
Economic Redevelopment and Growth (ERG) Grant ERG provides incentive grants to developers, businesses, and owners to address redevelopment project financing gaps. The program utilizes up to 75% of the incremental increase in certain state and local revenue sources attributed to the project to provide gap financing of up to 20% of the total project cost, paid out over a period of up to 20 years. Redevelopment projects in qualifying areas that have secured a municipal ordinance and demonstrated sufficient net benefits may be eligible for assistance. ERG is available to shovel-ready projects that have not commenced any construction at the site of a proposed redevelopment project prior to submitting an application. In addition, a developer/owner is required to make a minimum capital investment of 20% of the project’s total cost.
Edison Innovation Clean Energy Manufacturing Fund Up to $3.3 million in grants and interest-free loans are available to qualified manufacturers of Class I renewable energy or energy efficiency systems, products or technologies. Funds may be used for project assessment and design, and project construction and operation.
Edison Innovation Commercialization Fund This program provides up t $200,000 (in the form of a subordinated convertible note) to New Jersey life-sciences or technology companies that have not achieved "proof of concept" to take the next critical steps, such as beta testing, on the path towards commercialization.
Edison Innovation Digital Media Tax Credit Program Qualified technology companies in New Jersey that are involved in the production of digital media with at least $2 million in expenditures may be eligible for a 20% tax credit.
Edison Innovation Growth Fund New Jersey life-sciences of technology companies that have achieved "proof of concept" and have achieved successful, independent beta results, and want to continue with commercialization may be eligible for up to $1 million for product commercialization.
Energy Sales Tax Exemption for Certain Counties This program provides an energy sales tax exemption for the retail sales of electricity and natural gas and their transport to manufacturing businesses in Salem County.
Fund for Community Economic Development The Fund of Community Economic Development program provides loans and loan guarantees up to $750,000 to support community and economic development initiatives in New Jersey's urban centers.
Hazardous Discharge Site Remediation Fund (HDSRF) The NJDEP works with the EDA to provide loans, grants, and matching grants to public, private, and not-for-profit entities for the investigation and/or remediation of known or suspected contaminated sites.
Loan Guarantees The program offers guarantees of up to $1.5 million of loans provided by other financing sources for working capital or fixed assets when certain criteria are met.
Main Street Business Assistance Program This limited-term program provides financial support to commercial banks in New Jersey to assist in offering loans and guarantees to small and mid-sized businesses and not-for-profit organizations with projects in New Jersey.
Municipal Landfill Closure and Remediation Reimbursement Program An eligible developer saeeking financial assistance in the closure, remediation and redevelopment of municipal landfill sites in NJ may be eligible for reimbursement of 75% of the closure or clean up costs.
New Jersey Business Growth Fund Credit-worthy companies with revenues under $30 million operating in New Jersey that are creating or retaining jobs in New Jersey, may qualify for up to $2 million through this joint program with PNC Bank.
Petroleum Underground Storage Tank Program - Leaking Tanks Commercial & Residential The Petroleum Underground Storage Tank Program provides grants to business owners/operators and residential property owners who have less than 10 tanks on site and are required by law to upgrade, close, and remediate discharge from those tanks.
Petroleum Underground Storage Tank Program - Non-Leaking Tanks Commercial, Residential & Not-for-profit Grant and loan funding is available to business owners or residential property owners that must upgrade, close, and remediate discharge from petroleum underground storage tanks. Applicant must have less than 10 tanks on site and net worth must not exceed $2,000,000.
Preferred Lender Program The Preferred Lender Program creates new loan opportunities for the EDA's lending partners by providing below-market interest rates with flexible terms for their commercial and not-for-profit clients in New Jersey. Fast turnaround from approval to closing provides strong incentives for borrowers while the EDA's exposure reduces the lender's risk.
Sales and Use Tax Exemption Program This program allows companies to make purchases for construction and renovation of their new business location without having to pay state sales tax.
Small Business Fund Expedited approvals of loans up to $300,000, which may be used for fixed assets or working capital, are available to credit-worthy small, women, and minority-owned businesses that have been in operation for at least one year and not-for-profit corporations in operation for at least three full years.
Statewide Loan Pool Under the Statewide Loan Pool program, the EDA can participate in or guarantee up to 50% of a bank loan. On fixed asset transactions the EDA maximum loan participation is $1,250,000 and the maximum guarantee is $1,500,000 for an overall maximum exposure of $2,750,000. For working capital, the maximum loan participation is $750,000 and the maximum guarantee is $1,500,000 for an overall maximum exposure of $2,250,000.
Urban Enterprise Zones (UEZ) Energy Sales Tax Exemption Sales tax exemption on energy and utility services is available to UEZ certified manufacturers with at least 250 full-time employees, 50% of whom are involved in the manufacturing process.
Urban Plus Urban Plus provides financial support to small, women or minority-owned businesses, manufacturers, redevelopers and not-for-profit organizations in 9 endorsed New Jersey municipalities for a total of up to $3 million when other certain criteria are met.
Urban Transit Hub Tax Credit Program Qualified businesses located in Urban Transit Hubs may qualify for tax credits equal to 100% of the qualified capital investment that may be applied against corporation business tax, insurance premiums tax or gross income tax liability.