Learn More About The NJEDA’s Small Business Lease Grant
Program Details
The Small Business Lease Grant supports the growth and success of small businesses and nonprofits by providing grant funding to cover a portion of lease payments. This resource will help establish and grow of small businesses, while also helping to fill space that is currently
vacant and prevent future vacancies. A total of $10 million of Main Street Recovery Finance Program funding will be utilized to capitalize the Small Business Lease Grant.
Of this $10 million allocated for the program, 40 percent ($4 million) will be reserved for businesses located in Opportunity Zone eligible census tracts. Applications will be accepted on a rolling basis until funding is exhausted.
Award Size
Two grant awards of 20 percent of the annual lease payment on a minimum
5-year lease term:
First disbursement will be made after execution of grant agreement, for an amount
equal to 20 percent of the annual lease payment.
Second disbursement will be made after 12 months of lease payments have been paid
by the applicant, for an amount equal to 20 percent of the annual lease payment.
Eligible Applicants
This program is open to businesses and nonprofits.
Applicants with multiple locations are limited to one application per location. Applicants
cannot terminate an existing lease and enter into a new lease for the same square footage
in order to pursue this grant.
Applicants must:
• Be a commercial business, nonprofit, or operator of an incubator.
• Meet SBA definition of a Small Business – determined by employee count and NAICS
code.
• Provide a current tax clearance certificate prior to approval.
• Provide certification from the landlord showing they are current on lease payments.
• Be in good standing with New Jersey Department of Labor and Department of
Environmental Protection.
• Certify at time of application that they are not in default of any other NJEDA or State
assistance.
• Certify at application that they will pay wages that are the greater of $15/hour or 120%
of the minimum wage rate for the term of the grant agreement (five years). Tipped
employees are required to be paid 120% of minimum wage rate.
• Commit to remaining in the facility for at least five years.