Main Street Lenders Grant

About this funding opportunity

Open in new Tab MAIN STREET LENDERS GRANT

Lenders funded through the Main Street Lenders Grant program are actively offering microloans and technical assistance to eligible New Jersey small businesses. To apply or learn more, please contact a participating lender directly. Please note: NJEDA is no longer accepting lender grant applications for the Main Street Lenders Grant program. Businesses interested in microloans must apply directly with a participating lender.

The Main Street Lenders Grant provides grants to eligible micro business lenders, which the lenders can use to create new loan micro business loan products or supplement existing micro business loan products. Lenders can also qualify for additional grant funding to provide technical assistance to micro businesses, to better prepare these businesses to qualify for loan products.

The maximum amount that any eligible entity may apply for under the Main Street Lenders Grant $1.5 million ($1 million lending grant and $500,000 technical assistance grant). DOLLAR AMOUNT

Lending Grant

Up to $1 million per eligible entity. Grant funding to be used for creating new micro business loan products or supplementing existing micro business loan products.

Technical Assistance Grant

For entities that receive a lending grant, up to 50% of the lending grant amount, to be used for technical assistance services for micro businesses to help businesses qualify for loan products. Technical assistance grant may not exceed $500,000. BENEFITS

Provides lenders with ability to expand services by developing new or expanding existing micro business loan products and providing technical assistance to help these businesses qualify for loans. ELIGIBILITY

Lender must have at least 10 years of small and micro business lending experience.

Lender can be based outside of New Jersey but grant funding must be used for loan products and technical assistance that serves only eligible New Jersey based businesses.

Lender must be a Community Development Financial Institution (CDFI), Minority Depository Institutions (MDIs) or other eligible lender (see eligibility below)

*Additional terms apply. See eligibility below. LENDING GRANT TECHNICAL ASSISTANCE GRANT ELIGIBILITY

LENDING GRANT

Eligible lenders can apply for a lending grant of up to $1 million that will be used as funding for new micro business lending products or as supplemental funding for existing micro business lending products.

In order to ensure that the loans being provided to the micro businesses are flexible and meet the Authority’s expectations for this program, any loan products created by the lender and funded through this grant must meet the following specifications:

Requirements for Loan Applicants Must be for micro businesses that have less than 10 full time employees at the time of application and have less than $1.5 million in annual revenue (based on their last federal tax return required to be filed). The micro business must have a commercial location in New Jersey, which can be a home-based business. Loans can be used by micro businesses for equipment purchases, rolling stock, and operating expenses such as payroll, marketing, inventory, rent, mortgage/property tax payments, utilities, or any other expenses that are applicable to the daily operation of the business. Loans cannot be used for restructuring existing debt or financing, any construction, reconstruction, demolition, alteration, repair work, maintenance work, or construction related to installation of equipment where such activity exceeds $1,999.99. Home-based businesses, non-profit organizations, for-profit entities, sole proprietors, and/or startups may be eligible for loans, but home-based businesses are not permitted to use the working capital loans for rent/mortgage/property tax payments or utilities or for the purchase of equipment that attaches to the property. Lenders will be required to collect a current NJ Business Tax Clearance Certificate from micro…

Topic areas: Public Policy and Governance, Social Innovation and Community Development.

Funding amount

This grant provides Varies in funding.

Deadline

Applications are accepted on a rolling basis; there is no single fixed deadline.

Who can apply

This opportunity is open to the following applicant types:

• Not specified by the program.

Eligibility

The program did not publish a separate eligibility statement. See the official opportunity page for the full eligibility criteria.

Agency

Main Street Lenders Grant is administered by New Jersey Economic Development Authority (NJEDA), listed via New Jersey Economic Development Authority.