The New Jersey Economic Development Authority on Friday unveiled enhancements to its lending programs to help increase access to capital for small-, women-, minority- and veteran-owned businesses.
The NJEDA also said that applications are open for its newest program Access, which offers small businesses more flexibility by placing more emphasis on cash-flower over hard collateral.
“The NJEDA is now better positioned to provide more dynamic support to small businesses, particularly those firms that have been historically underserved — a key component of Gov. Phil Murphy’s plan for a stronger and fairer economy,” NJEDA CEO Tim Sullivan said. “New Jersey’s small business community employs an estimated 50 percent of our residents, and it is critical to the State’s long-term economic competitiveness that we create an environment where these businesses can thrive.”
The new steps the NJEDA is taking with its Premier Lending program, a partnership with more than two-dozen New Jersey banks, include extending the EDA’s loan term and amortization from 10 years to 30 years. This enhancement also applies to the EDA’s direct loan programs, which can offer up to $3 million for fixed assets and up to $750,000 for working capital. In addition, the EDA will now be able to fix interest rates for up to 30 years across its small business lending programs.
Applications for the new Access program are available here. The NJEDA said it will make a total of $15 million available for small businesses through Access.