USE OF FUNDS:
Growth capital to advance newly discovered energy efficient, renewable energy or supply chain products that will assist Class I renewable energy or energy efficient technologies in becoming competitive with traditional sources of electric generation.
IN THE AMOUNT OF:
Up to $1.25 million for fixed assets, or up to $750,000 for working capital for a term of up to 10 years, with the option of either a fixed or variable below-market interest rate.
- Energy Efficiency Products: Limited to those which conserve the end use of gas or electricity. Energy efficiency equipment and technology that reduce electric or natural gas consumption, such as furnaces, boilers, and air conditioning systems with higher efficiencies than adopted New Jersey building energy codes or federal or New Jersey appliance standards, as well as lighting systems, including LED lights and energy monitoring and control systems would qualify. Products which improve the efficiency of electricity or gas generation, transmission or distribution are not eligible.
- Class I Renewable Energy: Photovoltaic, solar, wind energy, renewably fueled fuel cells, wave, tidal, sustainable harvested biomass, and methane gas from landfills qualify, as well as other technologies or equipment that can demonstrate their integral nature to the development of Class I renewable energy technologies, including technologies that produce or support the production of renewable or clean electricity generation.
- Must employ 75% of W-2 employees in New Jersey, or commit to growing 10 high-paying jobs (minimum salary of $75k) over two years
- Must have strong intellectual property position and/or satisfactorily available collateral and cash flow.
- Must have a full-time management team (working only at that company) with domain experience.
- Founders/management team must have equity in the company (sweat equity not considered).
The interest rate for this program will be fixed at 2% for a five-year term. A 50% loan conversion to a performance grant may occur at the end of year five based on the borrower’s successful completion of specific business milestones.
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.
*All fees are non-refundable.