NJEDA Approves Grants to Support Micro Business Lenders

Last week, the New Jersey Economic Development Authority (NJEDA) endorsed the construction of the Main Street Lenders Grant.

Eligible micro business lenders will be offered up to $1 million that can be used to create new lending products or as supplemental funding for existing products. The Main Street Lenders Grant is the third product the NJEDA plans to launch under the Main Street Recovery Program. The $100 million small business support program was created under the Economic Recovery Act of 2020 (ERA) and was signed by Gov. Phil Murphy in January of 2020.

The technical assistance grant will support those who qualify with the costs associated with providing technical assistance to micro businesses, aiding these businesses to qualify for loans. The maximum grant one can receive is 50 percent of their lending grant amount (not to exceed $500,000).

The second product under the Main Street Recovery Program is the Small Business Improvement Grant, with applications now open as of Thursday. This product will reimburse eligible small businesses and nonprofits for up to 50 percent of eligible project costs associated with building improvements or purchases.

“Small businesses are the backbone of New Jersey,” stated Governor Phil Murphy. “This program will allow small businesses and nonprofits throughout our state to make the investments necessary for their success and for improvements to their spaces.”