COVID-19 SMALL BUSINESS RESOURCES
Today, Burlington County Freeholder Deputy Director Tom Pullion Announced a Joint Small Business Loan Program with Burlington County Bridge Commission. This program will provide working capital loans to eligible businesses struggling as a result of the Coronavirus Disease outbreak.
“These loans are intended to be used for working capital, including but not limited to covering wages and salaries of current employees, as well as paying for inventories, accounts payable and operational activities of the business,” said Freeholder Deputy Director Tom Pullion.
“Small businesses are central to our community and paramount to the economy,” said Bridge Commission Chairman Troy Singleton. “Our hope and intention is that these loans will bring much needed relief to business owners by helping them avoid layoffs and retain their valued employees. We will to continue supporting Burlington County families and small businesses as we face unprecedented challenges as a result of this pandemic.”
The terms of the working capital loans are:
- Up to $10,000 for each job retained, to a maximum of $50,000;
- Interest rate of 2.4375%, which is 75% of the Prime Rate currently set at 3.25%;
- Maximum payback period of 10 years; and
- Equity in the business at risk must be at least 10% of the amount requested to borrow.
- These loans may not be used to refinance current debt.
Criteria for eligible borrowers include:
- The borrowing business must be located in Burlington County;
- Jobs must be retained for the term of the loan; and,
- Borrower must have sufficient collateral in business or personal real estate to secure the loan.
The Economic Development and Regional Planning (EDRP) arm of the Burlington County Bridge Commission, together with the Burlington County Board of Chosen Freeholders will expedite the review of loan applications, and settlement of loans for eligible applicants. In addition, during the COVID-19 pandemic, all application fees will be waived.
The Department of Economic Development and Regional Planning of the Burlington County Bridge Commission is responsible for administering Burlington County’s Small Business Loan Program. Inquiries about the Small Business Loan Program should be made by clicking on the “SEE IF YOU QUALIFY” button at right; a member of the EDRP staff will be in touch within one business day.
Today, I announce a Joint Small Business Loan Program with the Burlington County Bridge Commission, which will provide working capital loans to eligible businesses struggling as a result of the Coronavirus Disease outbreak.
BURLINGTON COUNTY SMALL BUSINESS LOAN PROGRAM
Burlington County Route 130 Revolving Loan Fund Program
Zero-interest loans offered to businesses locating or expanding in the Route 130 Corridor, a region in Burlington County, NJ targeted for economic growth. Route 130 Corridor Map indicates eligible municipalities in Burlington County, NJ
The Route 130 Revolving loans are for:
- Acquiring Real Estate (Land and/or Buildings) in Burlington County, NJ
- Improvements/Renovations to Real Property (Land and/or Buildings) in Burlington County, NJ
- Fixed Assets or Working Capital for businesses in Burlington County, NJ
In addition, Route 130 Revolving loans can fund up to 25% of project costs in participation with a commercial lender. Amounts are from $125,000 to $2,000,000.
Burlington County Small Business Direct Loan ($50K and under)
Low-interest loans offered to businesses located in or relocating to Burlington County, NJ; does not require bank involvement.
Small Business Direct Loans are for:
- Acquiring Real Estate (Land and/or Buildings) in Burlington County, NJ
- Fixed Assets or Working Capital for businesses in Burlington County, NJ
Burlington County Small Business Loan ($50K-$200K) Fund Program
Low-interest loans offered to businesses located in or relocating to Burlington County, NJ.
Small Business Loans are for:
- Acquiring Real Estate (Land and/or Buildings) in Burlington County, NJ
- Fixed Assets or Working Capital for businesses in Burlington County, NJ
Further, loans in this program can fund up to 25% of project costs in participation with a commercial lender and can be in the amount of $50,000 to $2,000,000.
During the COVID-19 pandemic, the
Freeholders will:
- expedite the review of loan applications
- expedite settlement of loans for eligible applicants
- waive all application fees
ROUTE 130 REVOLVING LOAN FUND PROGRAM
Burlington County, NJ
for a comparison of loans and terms
SMALL BUSINESS LOAN PROGRAM
Burlington County, NJ
for a comparison of loans and terms
New Jersey’s small businesses or private non-profit organizations facing hardship because of the coronavirus are eligible to apply for Economic Injury Disaster Loans. These working capital loans are designed to help small businesses and most non-profit organizations meet their ordinary and financial obligations during the pandemic.
The U.S. Small Business Administration says the Economic Injury Disaster Loans are limited to a maximum of $2,000,000. The interest rate is determined by formulas and is fixed for the life of the loan. The maximum interest rate is 3.75% and the law authorizes loan terms up to a maximum of 30 years.
Applicants may apply online, receive additional disaster assistance information and download applications at www.disasterloan.sba.gov/ela.
Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email disastercustomerservice@sba.gov for more information on SBA disaster assistance. Individuals who are deaf or hard-of-hearing may call (800) 877-8339.
Completed applications should be mailed to: U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.
NJ ECONOMIC DEVELOPMENT AUTHORITY GRANTS
The New Jersey Economic Development Authority just approved and announced a package of grant and loan programs for small- and mid-sized businesses and non-profits hit hard by the coronavirus crisis.
NJEDA worked with EDA on these programs, which are varied in nature. EDA estimates the initiatives will support between 3,000 and 5,000 enterprises. And while the funding earmarked for these grants and loans will not make all of our New Jersey businesses whole, this is a great first step and those in need will be able to apply soon.
- Small Business Emergency Assistance Grant Program – A $5 million program that will provide grants up to $5,000 to small businesses in retail, arts, entertainment, recreation, accommodation, food service, and other services – such as repair, maintenance, personal, and laundry services – to stabilize their operations and reduce the need for layoffs or furloughs.
- Small Business Emergency Assistance Loan Program – A $10 million program that will provide working capital loans of up to $100,000 to businesses with less than $5 million in revenues. Loans made through the program will have 10-year terms with 0% interest for the first five years, then resetting to the EDA’s prevailing floor rate (capped at 3%) for the remaining five years.
- Community Development Finance Institution (CDFI) Emergency Loan Loss Reserve Fund – A $10 million capital reserve fund to take first loss position on CDFI loans that provide low interest working capital to microbusinesses. This will allow CDFIs to withstand loan defaults due to the outbreak, which will allow them to provide more loans at lower interest rates to microbusinesses affected by the outbreak.
- CDFI Emergency Assistance Grant Program – A $1.25 million program that will provide grants of up to $250,000 to CDFIs to scale operations or reduce interest rates for the duration of the outbreak.
- NJ Entrepreneur Support Program – A $5 million program that will encourage continued capital flows to innovation economy companies and temporarily support a cautious investor market by providing 80% loan guarantees for working capital loans to startup entrepreneurs.
- Small Business Emergency Assistance Guarantee Program – A $10 million program that will provide 50% guarantees on working capital loans and waive fees on loans made through institutions participating in the NJEDA’s existing Premier Lender or CDFI programs.
- Emergency Technical Assistance Program – A $150,000 program that will support technical assistance to New Jersey-based companies applying for Economic Injury Disaster Loans through the U.S. Small Business Administration. The organizations contracted will be paid based on SBA application submissions supported by the technical assistance they provide.
NJEDA strongly urges all business owners who are interested in these programs to QUICKLY take inventory of all necessary evidence of cash flow and income over the past year, including receipts and invoices, and to connect with your accountants. This way you can put your most effective foot forward during the application process and get in early. Don’t wait. Get ready now!
Additional details on the NJEDA’s new programs, including complete eligibility requirements, will be available at https://cv.business.nj.gov.
FINANCIAL RESOURCES
STATE AND OTHER RESOURCES
New Jersey Business Action Center, the Business-First Resource for Doing Business in New Jersey that helps companies of all sizes save time and money by getting answers from government agencies, directing businesses to appropriate contacts, and facilitating meetings and partnerships. All at no cost to New Jersey businesses!
New Jersey Board of Public Utilities, the state agency that provides assistance to industrial and commercial customers regarding their energy needs
New Jersey Board of Public Utilities Clean Energy Program, a financial incentive program for NJ residents, business owners and local governments to improve energy efficiency
New Jersey Business Action Center, the pro-business and proactive “one stop” resource for everything business in NJ
New Jersey Economic Development Authority, the state authority that provides financing and incentives to businesses as well as real estate development services and assistance
New Jersey Economic Development Authority Grow NJ Assistance Program, a powerful job creation and retention program that provides tax credits
Rutgers-Camden New Jersey Small Business Development Center, a valuable source for small business training and consulting
United States Department of Agriculture, Rural Development-Rural Business Cooperative Service, the federal agency that provides financial assistance to rural communities and utilities to build and expand infrastructure
United States Small Business Administration, the federal agency that provides financial assistance and small business planning and development services
CONTACT US:
Economic Development and Regional Planning
Burlington County Bridge Commission
edcoordinator@bcbridges.org
(609) 265-5055 FAX (609) 265-5006
Physical Address:
1900 Briggs Road
Mount Laurel, NJ 08054
Mailing Address:
1300 Rte. 73 North, PO Box 6
Palmyra, NJ 08065-1900