Coronavirus (COVID-19) Relief Center
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These resources – like the public health crisis itself – are constantly evolving and are only current as to the date of publication. This page was last updated on August 21, 2020.
Description of Program and Relief
Entrepreneur Support Program
A $5 million program that encourages investment by encouraging private sector investors to provide additional working capital loans to NJ-based entrepreneurial businesses in which the investor is already an equity holder. The program provides a guarantee of an investor loan advanced for working capital to an entrepreneurial company that has been impacted by COVID-19. The New Jersey Economic Development Authority (NJEDA) will guarantee up to 80% of the total investment amount, not to exceed $200,000 per NJ entrepreneurial company.
Government or Lead Agency
The New Jersey Economic Development Authority (NJEDA) Board
Applications open April 22, 2020
The investment must have been made after the date of emergency (March 9, 2020, as per the Governor’s Executive Order 103). This program will be retroactive to that date.
Eligible entrepreneurial business must:
Have a minimum of 50% of employees in NJ;
Have less than 25 total employees at the time of application;
Have under $5 million in revenues;
Have corporate headquarters in New Jersey (including at least one C suite member with a principal office in New Jersey);
Fall under one of the nine sectors outlined in Governor Murphy’s economic plan (advanced manufacturing, information/technology, life sciences, finance and insurance, clean energy, food and beverage, advanced transportation, food and beverage, and film and digital media);
Be registered to do business in NJ and certify that the company is in good tax standing with the State; and
Be in good standing with the Department of Labor and Workforce Development.
Eligible investor criteria:
Investors can include, but are not limited to, individuals, trusts, and corporations
Investors must already have equity interest and equity position in the company
Qualified investors are not required to be New Jersey residents
For additional information regarding whether you might qualify for this program, use the NJ COVID-19 Business Support Eligibility Wizard here.
Application Deadlines (If Applicable)
Completed applications will be considered on a first come, first serve rolling basis.
Contact for More Information
List of Additional Information
More information is available here.
© 2020 Paul, Weiss, Rifkind, Wharton & Garrison LLP. This does not constitute legal advice and does not create an attorney-client relationship. In some jurisdictions, this publication may be considered attorney advertising. Past representations are no guarantee of future outcomes.