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Loans to Lenders Program

The Loans to Lenders Program makes capital available to financial intermediary organizations who can effectively reach small businesses in local markets including: micro lenders, Community Development Financial Institutions (CDFIs), and Urban Enterprise Zones (UEZs).

  • Dollar Amount

    Up to $750,000 for existing program borrowers seeking to recapitalize their existing revolving loan program

    Up to $500,000 for new program borrowers with demonstrated lending capacity

    Maximum exposure of $750,000 to any one entity

  • Uses

    Applicants can use financing to provide term loans and lines of credit to micro-enterprises and small businesses not qualified for traditional bank financing

  • Benefits

    Flexible financing to support urban community economic development, revitalize local economies, and provide employment for urban residents

  • Eligibility

    Microlenders and other Financial Intermediary Organizations, including Community Development Financial Institutions (CDFIs), and Urban Enterprise Zones (UEZs)

The Loan to Lenders Program is partially funded by the State Small Business Credit Initiative (SSBCI).


  • 2% fixed interest rate
  • Up to 15 year term with principal moratorium for up to 5 years, then principal and interest to full amortize the loan for the remaining 10 years
  • Quarterly loan repayments
  • Quarterly reporting


Disbursements are to be made in tranches as follows: 1/3 of amount awarded at closing and two additional tranches once 75% of the previous tranche is committed. Full disbursement of fund within 2 years.


  • Application fee: $1,000
  • Commitment fee: 0.875% of loan amount
  • Closing fee: 0.875% of loan amount

Division of Taxation Tax Clearance Certificate required.  Certificates may be requested through the State of New Jersey’s Premier Business Services (PBS) portal online.

  • Under the Tax & Revenue Center, select Tax Services, then select Business Incentive Tax Clearance.
  • If the applicant’s account is in compliance with its tax obligations and no liabilities exist, the Business Incentive Tax Clearance can be printed directly through PBS.

Please note:  It is the applicant/client’s responsibility to maintain a current and clear tax clearance certificate.  If a current and clear certificate is not evidenced to EDA at time of closing, EDA will not proceed with closing.