The New Jersey Economic Development Authority announced on Thursday that since April, it has supported 35 investments totaling more than $2 million into 11 companies through the New Jersey Entrepreneur Support Program.
The $5 million program was established to support COVID-19 impacted small businesses in the state. It provides an EDA guarantee of up to 80% (not to exceed $200,000) for an eligible new loan or convertible note by a qualified investor into a New Jersey qualified business. In total, the EDA’s COVID-19 relief programs have supported nearly 15,000 small businesses in the Garden State.
NJEDA CEO Tim Sullivan said the companies that have benefited from the program typically have five employees and receive an average investment of $59,000.
“We are finding that investors participating in this program are focusing on our state’s smallest innovation companies,” Sullivan said. “Strengthening New Jersey’s innovation sector is essential as we begin to recover from the pandemic, and it is encouraging to see investment dollars flowing to where they can make the biggest impact.”
Since mid-July, the EDA closed on guarantees on 16 investments into four companies, resulting in $550,000 into the economy. They were:
- Peace of Mind (POM) Partners, Newark, provider of a one-touch safety device, $240,000 from six investments;
- Tripod Technologies, Cherry Hill, information technology, provider of a software test automation platform, $150,000 from five investments;
- InquisitHealth, River Edge, connects patients via a peer-to-peer mentoring platform, $110,000 from four investments;
- MAPay LLC, Voorhees, developer of a health care payment network, $50,000 from one investment.
“Our POM device is perfect for healthcare workers on the front lines in the fight against COVID-19, as it connects them directly with first responders, sends GPS locations, and opens two-way calling, all while eliminating the need to strip off gloves to use a cell phone,” Andrew Leahy, co-founder, CEO and president, POM Partners, said. “Thanks to the New Jersey Entrepreneur Support Program, we are able to scale up our production and provide support to those combatting the pandemic.”
InquisitHealth and MAPay previously closed on a combined $340,000 in investment through the program before July, the EDA said.
“New Jersey’s proximity to an abundance of technology companies, coupled with its easy access to major markets like New York City, Philadelphia and Washington, has been extremely advantageous to us as we’ve grown,” Tripod Technologies CEO Badri Nittoor said. “Despite the challenges that COVID-19 poses to startups like ours, the New Jersey Entrepreneur Support Program has allowed us to continue attracting capital even during these uncertain times.”