The state will make an additional $235 million in funding available to Phase 4 of the Small Business Emergency Grant Program, the Legislature and Gov. Phil Murphy announced Friday afternoon.
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Murphy said the state also will create an Excluded New Jerseyans Fund, making $40 million available for direct cash assistance to residents who have been excluded from previous programs. (See more here.)
The largest chunk of the additional funding for Phase 4 of the Small Business Emergency Grant Program will go to microbusinesses — businesses with five or fewer employees. They will have an additional $120 million made available to them. The additional funding also includes $25 million for new businesses and startups.
Here is a breakdown of where the additional funding will go:
- Microbusinesses: $120 million;
- New businesses and startups: $25 million;
- Bars and restaurants: $20 million;
- Child care facilities: $10 million;
- Sustain and Serve program: $10 million;
- Other small businesses and nonprofits: $50 million.
The legislation was introduced in state Senate and General Assembly by a number of sponsors.
The New Jersey Economic Development Authority will oversee the programs — as it has throughout the pandemic.
State officials hope the additional funding will fulfill all eligible pending Phase 4 small business grant requests. EDA will begin accepting applications for the extended Phase 4 in the near future, state officials said.
In April, Murphy signed five bills allocating $100 million in federal COVID relief funds for small businesses, including: