SMALL BUSINESS FUND
Creditworthy small businesses in New Jersey may be eligible for assistance under the Small Business Fund. Minority-owned or women-owned businesses may qualify under criteria that support their unique circumstances.
Creditworthy small, minority-owned or women-owned businesses in New Jersey may be eligible for assistance under the Small Business Fund.
PROGRAM DETAILS
Creditworthy small, minority-owned or women-owned business in New Jersey in operation for at least one full year who may not have the ability to get bank financing, or not-for-profit corporation in operation for at least three full years may be eligible for assistance under the Small Business Fund.
Financing can be used for fixed assets or working capital.
FINANCING AMOUNT
Small Businesses – Up to $500,000.
Not-for-Profits: Up to $500,000 with 1.0X historical debt service coverage.
ELIGIBILTY
- New Jersey-based small businesses must be in operation for at least one full year from date of application.
- Businesses must have no more than $3 million in total revenue to be eligible.
- New Jersey-based not-for-profits in operation for at least three full years from date of application.
- Must be able to provide fixed assets (e.g. real property and machinery/equipment).
- Homebased business are ineligible.
* Other credit criteria may apply
INTEREST RATE
Based on the 5-year US Treasury or floor of 1%, whichever is higher, with basis point additions for credit risk
FEES
Application fee: $300
Commitment fee: 0.5% of the loan amount
Closing fee: 0.5% of the loan amount
Guarantee fee: Up to 0.5% sized to percentage guarantee required, not to exceed 0.5%. (For example, 25% guarantee will require a 0.25% fee, 50% guarantee will require a 0.5% fee.)
*All fees are non-refundable
TAX CLEARANCE CERTIFICATE
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.
PROGRAM GUIDE
QUESTIONS
For more information or to ask a specific question please send an email to customercare@njeda.com and a team member will reach out to you.