The second phase of loans is open on 2/10!
TRENTON, NJ – The New Jersey Economic Development Authority (NJEDA) announced today that it will open pre-registration for Phase 2 of its Small Business Emergency Assistance Loan program at 9 a.m. on Wednesday, February 10, 2021 .
NJEDA announces the second phase of Small Business Emergency Assistance Loan Program
The $ 10 million Bridge Instant Loans program expansion will support New Jersey small businesses and nonprofits impacted by the COVID-19 pandemic and will be capitalized through ownership under the CARES Act (Coronavirus Aid, Relief, and Economic Security) from the United States Economic Development Administration (USEDA). Any business or entity that intends to apply for a loan must first pre-register during this pre-registration period, which will run from 9 a.m. on February 10, 2021 to 5 p.m. on February 22, 2021.
Access the portal: https://business.nj.gov/covid/small-business-emergency-assistance-loan-program-phase-2
The second phase of the Small Business Emergency Assistant Loan Program will make up to $ 100,000 in low-cost financing available to eligible New Jersey small businesses and nonprofits to aid in recovery and recovery efforts. reopening following COVID-19. Funding can be used to pay rent or mortgage, payroll, and / or utilities. It can also be used to purchase personal protective equipment (PPE) or inventory, furniture, accessories or equipment related to COVID.
Program applications will be considered on a first come, first served basis, with priority given to applicants who have not received more than $ 10,000 in government assistance from a federal, state assistance program. or local (county / municipality).
The authority will open pre-registration for the program on February 10, 2021 at 9 a.m. EST.
Most eligible businesses will be able to apply for up to $ 100,000, but if a business has been approved for a loan under Phase 1 of the Small Business Emergency Assistance Loan program, it will not be eligible in the. phase 2 only for an amount that will not exceed $ 100,000. in all of the two phases. To promote fairness, $ 3.5 million of the funding will be set aside for businesses in census tracts eligible for the opportunity zone.
Applicants MUST pre-register to apply for the Small Business Emergency Assistance Loan Program on the New Jersey COVID Business Information Portal. Only entities that pre-register will then be able to access the program request from 9:00 am on February 24, 2021. The order in which final requests are received may affect the availability of funding, as noted above.
To be eligible for funding under Phase 2 of the Small Business Emergency Assistance Loan program, small businesses and nonprofits must exist and have been in operation since at least February 24, 2020, have an annual income of $ 5 million or less and have a physical business location in New Jersey. They should also be able to describe how they have been affected by the COVID-19 outbreak. Home-based businesses and real estate holding companies are among the entities that are not eligible for funding under this program.
In accordance with the terms of Phase 1 of the program, Phase 2 loans will have ten-year terms with zero percent interest for the first five years, then revert to the NJEDA’s prevailing floor rate for the remaining five years, with a three percent cap. .
