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Department of State

Business Assistance Programs

The Hon. Tahesha Way, Secretary

Manufacturing Business Assistance Programs

Direct Loans

New Jersey businesses in need of financing and committed to job creation/retention may be eligible for direct loans through the EDA when conventional financing is not available.

For businesses that are unable to obtain bank financing on their own, direct loans are available up to $2,000,000 for fixed assets, i.e. buildings and machinery and equipment, and $750,000 for working capital to cover salaries and inventory. Loan terms are up to 10 years with an amortization period of up to 15 years for real estate transactions and up to 5 years, or the useful life, for equipment. Working capital loan terms are up to 5 years. The EDA interest rate has a floor of 3% and projects will be scored based on risk, public purpose and length of amortization. Variable and fixed rates are available ranging from the 5-year Treasury rate plus 1% to the 5-year Treasury rate plus 5%, with a floor of 3%, for a period of 5 years. Fixed interest rates are reset every 5 years.

Dollar Amount:

  • Up to $2 million for fixed assets *
  • Up to $750,000 for working capital


  • Fixed assets or working capital


  • Lower interest rates
  • Longer terms


Businesses must commit to the creation or retention of one full-time job for every $65,000 of EDA exposure within two years


Based on the 5-year US Treasury or floor of 2%, whichever is higher, with basis point additions for credit risk.

Fees apply and are non-refundable.

Division of Taxation Tax Clearance Certificate required. Certificates may be requested through the State of New Jersey’s Premier Business Services (PBS) portal online.

  • Under the Tax & Revenue Center, select Tax Services, then select Business Incentive Tax Clearance.
  • If the applicant’s account is in compliance with its tax obligations and no liabilities exist, the Business Incentive Tax Clearance can be printed directly through PBS.

Please note: It is the applicant/client’s responsibility to maintain a current and clear tax clearance certificate. If a current and clear certificate is not evidenced to EDA at time of closing, EDA will not proceed with closing.

* Pursuant to P.L.2017, c.261, direct loans of up to $3 million may be available to qualified businesses in targeted urban centers, regional centers, and metropolitan planning areas.

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